Governor Phil Murphy launched the state’s first sports betting at Monmouth Park in 2018. New Jersey remains a leader in business despite neighboring states welcoming the industry. – Aaron Houston/NJBIZ
When New York launched mobile betting in January, many analysts and pundits expected New Jersey to see a significant decline. But evidence suggests New Jersey continues to hold its own, with its sportsbook breaking her $1 billion mark with her six handles in the past seven months. did. To this day, that’s something no other state has done. PlayNJ.com analyst David Danzis said: Jane Boknewitz, faculty director at the Lloyd D. Levenson Institute of Gaming Hospitality, said: “This is a big win for New Jersey because New York bettors won’t have to cross state lines to place bets on their mobile phones. There was concern that it could lead to decline,” he said. , Stockton University Business School Tourism (LIGHT). “Early results do not suggest that this has had a significant impact on the handling of sports betting in New Jersey.”
Danzis adds: He attributes the trend to a sufficient number of operators, regulators’ efforts to educate consumers, and states’ early acceptance of business.
Governor Phil Murphy signed the Sports Betting Act into law in 2018. It follows years of struggle by former Gov. Chris Christie and a landmark U.S. Supreme Court ruling that gave every state the green light to legalize sports betting. .
“I think New Jersey did a lot of things early on that allowed them to build the market they have today,” Danzis said.
The numbers show that the popularity of mobile betting has been fueled by the pandemic. Homebound people sought new forms of entertainment. “Mobile betting accounted for 88% of total sports betting revenue in 2019,” said Bokunewicz. “In 2020, the proportion of mobile he sports betting increased to 97% of his total.”
The rise of mobile betting is a welcome development and has not yet had a significant impact on physical performance, but it remains imperative that retail and online continue to act in a symbiotic or complementary relationship. He said trends stemming from the pandemic show that mobile sports betting and online gambling will become a real focus moving forward for the New Jersey gaming industry.
“Atlantic City casinos must necessarily figure out a way to get customers off their phones, tablets and computers and into the facility. But find a way to integrate the two,” said Danzis. explains.
This can interfere with comps, special events, promotions, and other perks designed to attract players to physical locations.
Patrons line up for New Jersey’s first legal sports betting event at Monmouth Park Racecourse on Thursday, June 14, 2018. – AARON HOUSTON/NJBIZ
“During live, iconic events such as the Super Bowl and March Madness, face-to-face sportsbooks offer an exciting experience for people to place bets on, watch the game in a festive atmosphere, and enjoy food and drinks. We enjoy drink options,” Bokunewicz said. “Operators can encourage mobile bettors to visit their establishments by offering incentives such as earning loyalty points from online bets that can be redeemed for hotel rooms, food and beverages, or entertainment.
While much of that part of the equation continues to waver after the pandemic, Dangis noted that Caesars, MGM, Bally’s and Hard Rock are all trying to set the industry standard. He pointed out that the big national brands with their This is what he’s watching closely: “This is the real story in New Jersey for the next three, five, 10 years,” he says, Danzis.
So who’s getting the most of the action out of these record-breaking handles? This is a bit of a tricky question, as New Jersey doesn’t provide a breakdown by operator, and analysts and experts alike don’t. It’s a frustrating area for the house. The numbers are reported by licensees, so the picture is a bit cloudy. But based on raw numbers, the top 6 operators are FanDuel, DraftKings, BET MGM, Caesars, PointsBet, and Barstool. The group is believed to make up more than 70% of the market for him, with many other operators working on margin. Overall, the market is considered to be highly competitive.
March Madness led the latest banner month as sportsbooks accepted $1.1 billion in bets, up 30.7% from March 2021 and up 13.7% from February. And those March numbers could be even higher if New Jersey players can bet on St. Peter’s elite eight runs, as New Jersey bans betting on in-state college teams and events. He is one of the few states that have. In fact, voters had the chance to change that in his November, but the poll question he was turned down from 57% to 43%.
Since New Jersey launched sports betting in 2018, the state has received a staggering $25.6 billion in wagers. However, due to the nature of the business and associated costs, sports betting accounts for only about 7% of total gaming revenue statewide.
Governor Phil Murphy signed the Sports Betting Act into law in 2018. It follows years of struggle by former Gov. Chris Christie and a landmark U.S. Supreme Court ruling that gave every state the go-ahead to legalize sports betting. . – Aaron Houston
“New Jersey sports betting handles have consistently averaged over $1 billion per month since September 2021,” said Bokunewicz. “However, sports betting revenues are volatile and fluctuate based on match outcomes and odds set by sportsbooks. While down from the first three months of 2020, the more consistent metric, Handles, remains strong and beyond 2021.”
And while this is a time when the handle drops a bit, Danges points out that the NBA playoffs typically keep people interested until June, helping to close the gap to football season.
“July is going to be a slogan for sportsbooks. Come August the numbers will start rising again with betting on future football,” Danzis said. “And by September, I think we’ll quickly get back to the numbers we’re showing now.”
From lengthy legal battles to Supreme Court rulings to state laws being signed to the first day of legal sports betting on June 14, 2018, it was an incredible journey when Murphy made a $20 bet in Monmouth Park. . He sent $20 to the Devils to win the Stanley Cup and Germany to win the World Cup.
“There’s an old adage that you bet with your head, not your heart,” Murphy said on the opening day at Monmouth Park. “So for the past seven years, our heads and hearts have been aligned as we fought to overturn unlawful and unfair federal laws. And we knew in our hearts we would win.
In fact, the state has been a standard-bearer since the early days of what is now a booming industry.
“New Jersey has been a leader in legalizing sports betting and internet gaming,” said Bokunewicz. “New Jersey’s sports betting regulations have become a model for the industry.”