NJ’s record sports betting and online gambling industry

Online gambling launched in New Jersey in 2013 and has since seen tremendous success and growth over the past eight years. In 2018, the industry took to the next level with the legalization of sports betting, which propelled the Garden State to the top of the food chain when it comes to online gambling as a whole.

As of June 2018, no state has had a handful (amount of money bet) or more income from sports betting than New Jersey, according to Legal Sports Report.

In fact, New Jersey managed a total of $ 1.01 billion in sports betting in September, becoming the first state in the United States to surpass the billion dollar mark and break its previous record. was established in December of last year.

Lou Monaco, industry analyst at Gambling.com Group, says the NFL and college football are the main drivers of the record numbers the state has seen each fall, numbers that could continue to impress as the NHL, the NBA and college basketball. enter into full swing.

Of the $ 1.01 billion wagered in September, 90.8% came from online sports betting, with Meadowlands / FanDuel / PointsBet / SuperBook leading the online market with $ 36.6 million in gross revenue, up from 23 , $ 6 million in August.

“Sports betting reaching $ 1 billion in monthly processing is a reminder that there is no gambling market in the United States that plays at the level of New Jersey,” said Eric Ramsey, analyst for the PlayUSA.com network. . “The relentless growth of online sports betting and casino games continues to drive the industry as a whole. “

And it’s not just sports betting, as online casinos and poker rooms also generated a record gross revenue of $ 122.6 million in September. For the year, online casinos and poker rooms generated $ 988.7 million, beating the previous record of $ 970.4 million in annual revenue set for all of 2020.

With the steady income of online casinos and the record annual drop in sports betting, online gambling remains strong in New Jersey. However, the industry is changing and there are a few factors to consider that could impact the industry here in the state.

Regional expansion of online betting

Over the past three years, New Jersey has capitalized on the fact that surrounding states were either slow to embrace legal sports betting or had yet to launch legal online sports books.

Monaco says that many people from neighboring states, especially New York, who wanted to place bets came to New Jersey to do so, which was a boon to the state’s garden industry.

However, this sort of regional monopoly is changing as more states move to legalize online sports betting. Connecticut launched online casino games and online sports betting in October and recorded more than 1.2 million transactions in the first week, propelling the state to 9th in sports betting and traffic in line, according to GeoComply Solutions Inc.

“The sports betting industry offers other states the opportunity to take advantage of it and get into the game,” Monaco said.

He adds that New Jersey, however, has done a tremendous job of marketing and attracting businesses to the state to launch their products, which has cemented the state as an industry leader.

“You have the big guys like FanDuel and DraftKings, but you also have the small guys coming into the market,” he adds. “There are so many products now. “

For example, Australian online gaming company PlayUp recently announced a partnership with the New Jersey Devils and even launched the PlayUp Sports Lounge within the Prudential Center, which was unveiled at the Devils’ home opening this past. year.

The big question is the impending legalization of online sports betting in New York City. At the time of going to press, New York is set to appoint at least two operators to start offering online sports betting, according to the New York Post. Monaco adds that the state is aiming for a launch before Super Bowl 2022 in February.

“It should be very interesting to see come in next year, especially with the arrival of New York, how New Jersey maintains what they have already built and established,” said Monaco.

Sports betting on the State Colleges Athletics Amendment

New Jersey’s gubernatorial election in November included a ballot question that asked voters if they supported a constitutional amendment to allow betting on college athletic competitions in New Jersey.

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