August proves to be another strong-performing month for New Jersey online gambling as it brings in $21.3 million in combined gross revenue, a 32.4% increase from $16.1 million in the same month a year before. This makes it the sixth straight month that the garden state has seen monthly revenue in excess of the $20 million mark – a healthy sign that the growth is sustainable and the market is maturing.
Online casino was responsible for the majority of the year-over-year change as it reported a monthly revenue of $19.2 million, a 3.3% increase from the previous month and a massive 38.1% jump from the year before. Online poker, on the other hand, reported a modest 3.7% month-over-month change but down 4.2% from August last year. This wasn’t a huge surprise by any means as it is simply the status quo for the online poker side of things right now.
This steady growth prompted lead analyst for PlayNJ, Steve Ruddock, to say “Online gaming has grown into an industry on pace to generate close to a quarter of billion dollars in 2017. That represents a 20 percent year-over-year increase, and an increase of more than 90 percent compared with what the industry generated back in its first full year 2014.”
Revenue Leader Board by Operators
|Operator||August 2017||July 2017||Difference Month over Month||August 2016||Difference Year over Year|
Golden Nugget: August was a down month for Golden Nugget, who has been leading the revenue race since the end of last year. Having said that, even though they were down nearly 17% compared to July’s figures, they were still more than half a million ahead of the nearest competition. Despite the month-to-month fall, they still continued an upward trend and recorded almost 50% year-over-year increase, and shows no sign of slowing down.
Caesars: The biggest surprise came from Caesars who placed dead last just a month before, so unsurprisingly recorded the biggest month-over-month increase out of all the operators. This was only the second time that this casino has generated in excess of $3.3 million, so whether or not this was a simple blip or signs of Caesars rising to the top remains to be seen.
Borgata: Borgata fell one place from last month but still managed to see a revenue jump of more than half a million, which was probably largely thanks to the recent launch of the playMGM casino and poker room.
Tropicana: Coming in second to last this month is Tropicana, a regular at the bottom half of the table. That being said, it continued its month-over-month growth since June and showed an expected 33% year over year growth.
Resorts AC: Resorts AC continued playing tango with Tropicana, constantly switching places in the leader board, but loses out this time around and ended up dead last, but still fell in line with the rest of the operators in terms of yearly upward trend.
MGM Enters into the Ring
The emergence of MGM’s very first online casino to carry its name in New Jersey could not only help Borgata to dethrone the current king in Golden Nugget but might probably help the online gambling industry in the state as a whole.
“The arrival of MGM demonstrates that major players believe there is still plenty of meat on the bone in the New Jersey market,” Ruddock said. “We anticipate Ten and Hard Rock will follow suit and launch online gaming sites to strengthen their land-based casino revenue, brand awareness, and marketing initiatives.” He also added, “MGM’s entry could also point to renewed support from the company to expand regulated online gambling in other states.”