The Soaring Success of Internet Gambling in Atlantic City: A New Era for New Jersey’s Casinos
ATLANTIC CITY, N.J. – In a striking turn of events, New Jersey’s internet gambling market has not only flourished but set an unprecedented record by surpassing $208 million in winnings this September. This achievement marks the first time the state’s internet gambling sector has crossed the $200 million threshold in a single month, reinforcing the significance of online gambling in an evolving gaming landscape.
A Game-Changer for New Jersey’s Casinos
The latest figures, released by the state Division of Gaming Enforcement, reveal how vital online gaming has become for Atlantic City’s casinos. As traditional in-person gambling revenues have begun to dwindle, the rise of internet gambling has emerged as a lifeline for the industry. While the month saw an impressive total, including in-person revenue, the statistics underline a key trend: many physical casinos continue to report lower revenues compared to pre-pandemic levels.
An Uneven Recovery Post-Pandemic
Despite the surge in online gambling, the recovery of on-site casino revenues remains uneven. A closer look at the September figures demonstrates that five out of nine casinos experienced lower in-person winnings compared to September 2019, the last unaffected year before the COVID-19 pandemic. Although the cumulative in-person revenue increased by $6 million compared to 2019, several establishments are still struggling to regain their footing.
Key players in the market have seen contrasting fortunes. The Borgata led the pack with an impressive $62.4 million in September revenue, reflecting a 15% increase. Conversely, iconic venues like Ocean Casino suffered significantly, with revenues declining by 28%.
The Broader Revenue Picture
In light of the thriving internet gambling sector and a modest uptick in sports betting, the total revenue for Atlantic City casinos, plus sports wagering at local racetracks, reached a combined $558 million for the month. This marks a 7.1% increase from September last year. "The ongoing success of internet gaming helped push Atlantic City’s total gaming revenue to its highest figure for the month of September in over a decade,” stated James Plousis, chairman of the New Jersey Casino Control Commission.
This trend indicates a clear shift in the gaming landscape, with internet offerings becoming an integrated part of casino operations. Jane Bokunewicz, director of the Lloyd Levenson Institute at Stockton University, articulated the mixed dynamics at play: “September’s numbers were a mixed bag,” she noted, highlighting the stark contrast between soaring internet revenues and the stagnation of brick-and-mortar gaming.
Online Gambling: The New Revenue Engine
Internet gaming is making a substantial impact on the revenue mix for casinos. It accounted for an impressive 40.8% of the total revenue for the industry over the first three quarters of this year. This figure underscores the growing acceptability and preference for online gambling among players, a trend that is likely to continue as technology advances and options diversify.
The smaller share of income from in-person gambling creates an interesting dilemma for casino operators: while online gaming is reshaping revenue streams, the physical casino experience remains essential to their identity and core business model.
A Closer Look at the Numbers
Examining the specifics from the month of September reveals a wide range of performances among Atlantic City casinos.
- Borgata: $62.4 million (up 15%)
- Hard Rock: $44.6 million (down 4.7%)
- Ocean: $28.4 million (down 28%)
- Caesars: $20.5 million (down 4.1%)
- Harrah’s: $18.6 million (down 16.3%)
- Tropicana: $17.9 million (down 16.3%)
- Resorts: $14.3 million (down 3.9%)
- Bally’s: $12.5 million (down 4.4%)
- Golden Nugget: $11 million (down 12.5%)
When factoring in online and sports wagering, Borgata’s dominance remains apparent with total winnings of $120.2 million. In contrast, Golden Nugget witnessed a remarkable 25.8% increase across all platforms, totaling $72.8 million.
Concluding Thoughts
The numbers and narratives surrounding Atlantic City’s casinos paint a complex picture of resilience and adaptation. While the online gambling sector consistently flourishes, the physical gambling experience struggles to regain its former glory. As the industry progresses, embracing digital advancements and exploring innovative offerings will be crucial for traditional operators aiming to thrive in an increasingly competitive environment.
As New Jersey continues to navigate this changing landscape, the symbiotic relationship between internet and traditional gambling will likely dictate the future of Atlantic City’s storied casinos—a city where the thrill of the game is being redefined in real time.
For those interested in the evolving dynamics of the gambling industry, the case of Atlantic City serves as both a cautionary tale and a blueprint for future developments across the United States and beyond.
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