New Jersey sports betting volume expectedly slowed to less than $750 million in April, the first month of a typical seasonal dip that should last into August. But the nation’s largest sports betting market still surpassed $15 billion in lifetime handle, $1 billion in revenue, and $150 million in tax revenue, according to PlayNJ.
“Considering the challenges, particularly in 2020, $15 billion in wagering and $1 billion in revenue are incredible yard sticks that really drive home just how successful the New Jersey market has been,” said Eric Ramsey, analyst for PlayNJ.com. “At least until New York launches its sports betting industry, New Jersey seems untouchable as the nation’s largest market.”
New Jersey’s sportsbooks accepted $748 million in wagers in April, according to official data released Friday. That is down 13% from $859.6 million in March, but up 1,270.1% over $54.6 million in bets taken in pandemic-marred April 2020.
Operator revenue dropped 9.9% to $54.8 million in April from $60.8 million in March. April’s action yielded $8.1 million in state taxes.
Since launching, New Jersey sportsbooks have generated:
While New Jersey’s volume declined from March, the month-over-month drop in wagering was less pronounced than other U.S. betting markets.
“New Jersey is unique in that it has never been quite as reliant on football as other legal jurisdictions,” said Dustin Gouker, analyst for PlayNJ.com. “NBA has always been particularly popular. Add that the region’s three most popular teams are all enjoying relatively strong seasons, and New Jersey sportsbooks have so far been able to smooth the natural seasonal decline that begins in April.”
Online betting accounted for 91.1%, or $681.2 million, of April’s handle. FanDuel Sportsbook/PointsBet topped the online market with $25.5 million in gross revenue.
Retailers generated $66.8 million in wagering, down from $79.5 million in March but a stark difference from the shutdown in 2020. Meadowlands/FanDuel led retailers with $3.6 million in revenue in April.
“Retail betting is slowly returning to normal, and that could become even more pronounced when all capacity restrictions are lifted next week,” Gouker said. “That won’t make a major difference for online sportsbooks, which are overwhelmingly preferred by bettors. But it could have an impact on online casino revenue, which made a massive and sustained jump since pandemic-related restrictions began last year.”
Online casinos and poker
Online casinos and poker rooms enjoyed another month of whopping revenue with $107.7 million in April, up 34.8% from $80 million in April 2020, though off from the record $113.7 million generated in March.
Borgata, which includes the BetMGM brand, $32.8 million in revenue on online casino games and poker in April, a dramatic increase from $15.9 million in revenue in April. Golden Nugget was second with $32.4 million in revenue, up from $26.7 million in April 2020.
“The battle for market supremacy was something that would have been hard to predict before the pandemic, but 2020 has really shaken up the way people interact with casino games, perhaps forever,” Ramsey said. “With restrictions in Atlantic City going away, though, this could mark the ceiling of the online market. But a more reasonable expectation is a moderation of the exponential growth that began in spring 2020, rather than an end to it.”
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