Though they have only been permitted in the state since 2013, online casinos have quickly become one of New Jersey’s most lucrative industries, and their growth shows no signs of slowing.
More than $25 million was made through online casino games in March, July, and September 2018. Every month has seen year-over-year sales growth in the double digits this year. To keep things simple, this comparison of Atlantic City casinos will focus on just two: the Resorts Casino Hotel and the Marina Casino Hotel, located within New Jersey and have enjoyed some measure of success during their time on the boardwalk. You may be aware that these hotels have succeeded despite their Atlantic City locations.
Five significant casinos, including the Trump Taj Mahal, Atlantic Club Casino Hotel, and Trump Plaza, closed their doors and tables in the months leading up to the election, causing a severe drop in Atlantic City’s casino industry in 2016. Since the beginning of this decade, the market for online casino games has increased by an average of 62.5% per year. In addition to the rise in online activity, these benefits have a considerable effect on the bottom line of brick-and-mortar casinos. This strategy may “cannibalize” the sales of competing businesses, but it can also be beneficial for expanding the company’s market share.
Ex-casino mogul Steve Norton
A gambler and industry analyst in Atlantic City claims that the proliferation of online gambling would cause a significant decline in foot traffic to land-based casinos, severely damaging a “once thriving” sector. “downsizing” is synonymous with layoffs, bankruptcies, and decreased casino profits and payouts.
Wow! It’s official: the opening of the Hard Rock Hotel & Casino and the Ocean Resort Casino brought a significant rise in revenue to Atlantic City, which had seen a steep fall in gaming fortunes before their introduction. Once upon a time, all state institutions might benefit from an increase in revenue from non-gaming sources and land-based casinos, but this is no longer the case. Six of Atlantic City’s nine casinos reported a significant decline in total gaming revenue from 2017 to 2018. Perhaps more shockingly, all six reported declines in revenue from September 2017 to September 2018 compared to the previous year.
Another Atlantic City casino insider, Schaffel, has predicted that the state’s declining revenues will lead to New Jersey expanding its already lucrative iGaming market (including casino games and betting) over the next decade, causing even more financial problems for the casino and eventually forcing it to close. You’ll probably end up spending a lot of time online gaming once you get the chance.
Online casino gaming sites serve a far wider audience than traditional casinos, which is also true for residents of New Jersey, as was found in the Global Casino Gaming Statistics report. Women and people of different ethnic backgrounds who may feel uncomfortable in a crowded casino may like the more open and private atmosphere of online casinos and poker rooms. You can play at casinos for a fraction of the typical cost by looking at the variety of money-saving promo codes accessible online.
Because of the slow pace of innovation in this sector, online casino games are restricted to desktop and mobile computers. Portable electronic devices are crucial to the industry’s future success. Mobile casinos and individual apps may be downloaded quickly and easily onto players’ smartphones and tablets, making it more straightforward for them to access their preferred games whenever and wherever they like. As someone is always playing at an online casino, it is fair to say that they are open 24/7, every day of the year.
A higher vantage point
Schaffel and Norton agreed, stating, “there is no meaningful means to make up for the financial gap from the shutting of New Jersey’s casinos.” People in Atlantic City are split on the issue. Cannibalization by online casinos is a genuine concern. However, I think Steve Ruddock is exaggerating in his previous statement. Since the game has been around for five years, he concludes that “it has not had any bad consequences on the amount of visitors or the overall spending,” proving that online casino gaming is too massive.