US Casino Industry Worth $37 Billion In 2012May 7, 2013 11:35 am
According to the latest report by the American Gaming Association, US brick and mortar casino revenue improved by 4.8% to $37.3 billion in 2012, signalling a return to its peak year of 2007 when revenues reached $37.52 billion. However, the figures exclude Indian casino revenue, an industry which was worth $27.4 billion in 2011. Throughout 2012, US casinos also paid 8.5% more in casinos taxes at $8.6 billion
Commenting on the latest findings, CEO of the American Gaming Association Frank Fahrenkopf Jr, said: “After three years of increasing growth and positive signs in all sectors of the industry, it’s clear that we have weathered the recession.”
The encouraging casino figures were helped along by an overall improving US economy, as well as higher consumer spending and growth in areas with new casinos, unlike mature markets such as New Jersey which shrank by 8%.
There are 513 commercial nontribal casinos spread across 22 states in the US, with 15 states then reporting an increase in gambling revenues throughout 2012. Leading the way in growth was Kansas, followed by Maryland, Maine and New York, all of which opened up new casinos last year. Other states reporting significant increases in casino revenue included Florida, Illinois, South Dakota and Pennsylvania, which recorded 4.6% growth and overtook New Jersey as the USA’s second-largest casino market. As Fahrenkopf explains:
“Pennsylvania has been one of the great success stories of our industry in the last few years. There’s a price for that, and unfortunately Atlantic City has gotten hit with the price for that. If you live in Pennsylvania you no longer have to drive an hour and 15 minutes to Atlantic City to play the slots.”
Nevada still remains America’s main gambling destination and recorded a 1.5% growth in gambling revenue last year, at $10.9 billion.