May Drops Revenues for Online Gaming in New JerseyPublished June 23, 2014 by OCR Editor
Though online revenues subsided in New Jersey in the spring month of May, land-based casinos are grateful for the added revenues of online gaming that the state allows.
In one of the three states where online gambling is currently legal, the momentum gathered in the launch of online casinos is starting to wane. However, that ebb is more of a small ripple in a slowly expanding revenue pond, directly attributable to the added revenue boos of online casinos to overall casino intake.
Online Revenues in New Jersey Down for May
The New Jersey Division of Gaming Enforcement (NJDGE) reports that the state's online gambling brought in $10.4 million in May, down a full $1 million from April, with the daily take down significantly overall.
The total revenues brought in in New Jersey now stands at just under $62 million since the sites were first permitted and launched in late November 2013. This number represents a far slower pace than inflated estimates that had the sites bringing in as much as $1 billion dollars in their first year. However, this pace also falls short of since adjusted projections of $200 to $300 million in annual revenue.
Online poker user traffic is down worldwide overall, and there is speculation that improvement in weather conditions at the end of the winter months renders people less interested in online games, or less likely to be online or around electronic devices in general.
Online Gaming Boosts Revenues Overall in AC
The faltering Atlantic City physical casinos have nonetheless benefited from the still substantial online traffic and added revenues, with substantial recovery gains being shown on their ledgers for the first time in May.
Reports have the 11 remaining physical casinos in AC reporting gross revenues of $232.3 million for May, down about 8.2 percent from the same month last year, but this does not include the now closed Atlantic City Club.
When accounting for one less earner in those cumulative totals, the drop is calculated at 3.1 percent.
Once Internet revenues were added to the land-based income totals, the Atlantic Casino revenues showed overall gains of 1.3 percent.