New Jersey Online Gambling Showing Sustained GrowthFebruary 20, 2014 1:00 pm
Last week, the New Jersey’s Division of Gaming Enforcement released its January online revenue results which, in spite of falling short of Governor Christie‘s original optimistic annual projection of $1.1 billion, nevertheless continues to show sustained growth.
In January, the Garden State generated $9.5 million in online gambling revenues, an improvement of 28% compared to the $7.4 million taken in December, 2013. Furthermore, online poker accounted for 36% of New Jersey’s total internet gambling revenue, and brought in $3,442,371 during the month, representing a $557,354 or 19.2% increase over the previous month.
In addition, the Division of Gaming Enforcement figures show that almost 200,000 online gaming accounts have been created in New Jersey out of a total state population of 8.865 million people. Interestingly, a recent poll by Lloyd D. Levenson Institute of Gaming, Hospitality and Tourism predicts that number may triple by the end of 2014, with 2.5% of the people surveyed saying they had already played on the Garden State’s online sites, and an additional 7% saying they intended to join one of NJ’s gaming sites this year.
New Jersey’s nascent online gaming industry is currently dominated by three main sites, namely Party/Borgata, 888poker.com and WSOP.com. Back in December, Party accounted for 47% of the cash game market with an average of 250 players, while the other sites recorded an average of 288 players. By February 16th, however, Party hosted 230 out of an average of 575 NJ cash game players, a seven point drop to 40% of the market compared to the month before.
Finally, all indications show NJ residents have steadily been abandoning unregulated offshore big brands, such as Full Tilt Poker and PokerStars, in favour of New Jersey’s licensed domestic internet companies. This will not only help the state’s cash strapped coffers, but will also ensure a greater level of consumer protection for gamblers. As Poker Players Alliance VP of player relations, Rich Muny, explains:
“The offshore sites aren’t big names anymore. We’re really seeing them get pushed out of the marketplace by the licensed and regulated games, as it should be. We would all rather play on the domestic sites because it benefits us as consumers. Now a disgruntled player can go to a regulator if there’s a dispute with the site over billing or any issue.”