Legal sports betting generates record $385 million in January wagers, while online casinos set sights on $400 million year, according to PlayNJ.com analysts
(ATLANTIC CITY, N.J.) — New Jersey’s sportsbooks raked in nearly $400 million in bets in January as the state’s bettors took advantage of their first opportunity to bet legally on the NFL Playoffs. January’s record $385.3 million handle, which netted $18.8 million in revenue, was up 20.7 percent from the $319.2 million New Jersey’s online and retail sportsbooks collected in December.
“January has historically been considered part of the offseason in Atlantic City, but the crowds in the city's sportsbooks on NFL Sundays suggest otherwise,” said Steve Ruddock, analyst for PlayNJ.com. “In addition to creating jobs and a new revenue stream for the state, sports betting is helping transform Atlantic City into a year-round destination.”
New Jersey's 11 online sportsbook brands accounted for $304.97 million, or 79.2 percent, of total bets in January, according to official reporting released Wednesday. The state’s 10 retail sportsbooks made up the remaining 20.8 percent. That compares to 76 percent of total bets flowing through online sportsbooks in December.
New Jersey sports betting revenue, or the “win,” was down 9.9 percent from $20.8 million in December.
January is historically a slower month than December for legal sports bettingoperators in the U.S. And January’s results follow news of a slightly underwhelming Super Bowl performance in February, which ended with a $4.5 million loss for New Jersey’s sportsbooks on a handle just short of $35 million.
“Super Bowl betting didn’t quite reach expectations, but there were definitely some positives,” said Dustin Gouker, lead sports betting analyst for PlayNJ.com. “The NFL Playoffs generated significant action in January, and anecdotal evidence suggests visitation to Atlantic City for the weekend of the Super Bowl was way up. All in all, it was a successful first season of the NFL for New Jersey’s sportsbooks.”
DraftKings Sportsbook — which represents more than 95 percent of Resorts’ online revenue — fueled Resorts’ $6.9 million in January online gross revenue, up slightly from $6.7 million in December. Resorts accounted for 48 percent of the state’s online win for the month. DraftKings was followed by:
- FanDuel Sportsbook/Pointsbet ($5.9 million, up slightly from $5.5 million in December)
- Monmouth/William Hill/Sugarhouse ($1.2 million, down from $1.3 million)
- Caesars Sportsbook and 888sport ($260,290, up from $108,892)
- playMGM/Borgata ($41,897, up from -$22,436)
- Hard Rock ($25,235, N/A)
- Tropicana/William Hill ($196, N/A)
FanDuel Sportsbook at The Meadowlands remained the dominant retail sportsbook. FanDuel gained $1.2 million in January gross revenue, down 67 percent from $3.6 million in December. FanDuel represented 36 percent of the entire retail win in January, compared with 58 percent in December. FanDuel was followed in gross revenue by:
- Monmouth Park ($830,792, down from $1.03 million in December)
- Borgata ($635,564, up from $189,677)
- Resorts AC ($242,636, up from $195,766)
- Bally’s AC ($236,370, up from $19,862)
- Tropicana Casino ($98,626, down from $217,408)
- Golden Nugget ($27,287, down from $82,532)
- Harrah’s AC ($20,615, down from $215,971)
“The battle for market share, particularly in the online market, will continue to be fascinating as the year plays out,” Gouker said. “FanDuel has gained on DraftKings in the online market. But through the entire NFL season, the smaller online brands have yet to make a significant challenge to the two dominant forces in the market.”
LEGAL ONLINE CASINO SHOOTING FOR $400 MILLION YEAR
New Jersey’s online casino and poker industry achieved its first $30 million month, and it could generate $400 million in revenue in 2019, according to PlayNJ.com. Legal online gambling generated a record $33.6 million in January, up 15.8 percent from $29 million in December.
The quick start to the year continues the industry’s constant growth, from $196.7 million in revenue in 2016, to $245.6 million in 2017, to a record $298.7 million in 2018.
“New Jersey’s online gambling industry grew nearly 22 percent in 2018 and has grown 50 percent since 2016, and that growth will continue,” said Ruddock, lead online gambling analyst for PlayNJ.com. “There are some concrete reasons why. Two new casinos opened in 2018 with online gaming, Atlantic City’s revitalization efforts continue to pay off, the popularity of live dealer games that have added to an already robust portfolio of online casino games, and the legalization and launch of New Jersey sports betting.”
Some important online casino and poker data from the December report:
- Online casinos generated $5.9 million in January tax revenue. Online casinos have now generated $184.6 million in total tax revenue for New Jersey since launch in November 2013.
- The Golden Nugget — home to the Golden Nugget, Betfair, and SugarHouse online casino brands, generated a record $12.2 million in January, up from $10.2 million in December.
- The industry generated $1.1 million per day in the 31 days of January, up from $935,750 per day in the 31 days in December.
- Online casino games generated $31.7 million in January, up from $27.2 million in December. Online poker hit $1.9 million in January, up from $1.8 million in December.
For more information and analysis on regulated online gaming in New Jersey, visit PlayNJ.com.
About the PlayUSA.com Network:
The PlayUSA.com Network is a leading source for news, analysis, and research related to the market for regulated online gaming in the United States. With a presence in over a dozen states, PlayUSA.com and its state-focused branches (including PlayNJ.com and PlayPennsylvania.com) produce daily original reporting, publish in-depth research, and offer player advocacy tools related to the advancement of safe, licensed, and legal online gaming options for consumers. Based in Las Vegas, the PlayUSA Network is independently owned and operated, with no affiliations to any casino — commercial, tribal, online, or otherwise.