January Proves Better Than December for NJ Online Gambling Industry
The January revenue figures for the slightly more than two months old New Jersey real money online gambling industry came in this week, and it turns out that the first month of 2014 had a leg up on the last month of 2013.
According to the Press of Atlantic City, the Garden State’s fledgling iGaming market pulled in $9.5 million last month.
This exceeds the take in December by some $2 million, so says the paper.
Marketing push credited with increase
Industry pundits are attributing January’s surge to the rolling out of advertising and marketing promotions on the part of the casinos who host the real money online poker and casino sites.
Earnings were up by 28 percent to kick off the first month of the year, and while it can be extrapolated that New Jersey residents are proving to be interested in placing bets over the Internet, the numbers fall far short of outside revenue predictions that were tossed about last year in the lead up to the launch of the state’s online wagering industry. Sites went live in a test mode on November 21 of last year, with the full scale commencement following five days later on November 26.
Numbers unlikely to hit $1 billion this year as some speculated
Some particularly bullish online gambling proponents had put a high estimate on annual revenue at some $1 billion.
Among those with a particularly optimistic view of the potential of the nascent New Jersey online gambling market was the state’s governor, Chris Christie, who signed New Jersey’s Internet wagering bill into law nearly one year ago as a means of assisting the Atlantic City casino industry, long struggling the face of increased competition from Pennsylvania and other states in the region.
The Press of Atlantic City noted that many companies didn’t get their marketing campaigns into full swing until last month. One such company was Caesars Interactive, which saw a nearly 50 percent increase in January over December.
Remarked Caesars Interactive spokesman Seth Palansky, “There was just no way for us to really be out there in a big way with this product until early January.”
“We think there’s a lot of growth ahead. Ultimately, we’ll be concerned about how we keep our share of the market. We believe the pie is going to get even bigger,” Palansky continued.
All eyes on New Jersey market as other states consider regulation
The online gambling industry in New Jersey has received an incredible amount of attention, both before the real money sites went live and since.
The New Jersey fervor can largely be attributed to the fact that, as a relatively populous state (New Jersey counts about 9 million inhabitants), the Garden State can serve as a model for other large states looking into regulating some form of Internet-based wagering.
Last week, the results of a survey put out by Gambling Compliance that revealed that 10 U.S. states are expected to consider online gambling legislation this year gained an impressive amount of traction in the poker media as well as in the mainstream media.
If 2014 proves to be as busy a year for U.S. online betting as Gambling Compliance is predicting, we may see such heavily populated states as Illinois, Pennsylvania, and California all mulling the possibility of allowing residents and visitors to place real money wagers from the comfort of their homes or the convenience of their smartphones.
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