The gambling industry in New Jersey has contributed a record-setting tax payment for 2022, according to online-casinos-nj.com. Every year, the industry adds a portion of its earnings to the Casino Revenue Fund. In 2022, the Garden State was able to generate over $700 million in tax payments. The total hit record numbers thanks to the more than $249 million generated by online gaming sites. Sports betting and land-casino totals also helped to increase the yearly payment.
Online Casinos Continue to be a Revenue Driver
New Jersey online casinos continue to be a revenue driver. The New Jersey Division of Gaming Enforcement provides monthly reports showing the industry’s high or record-setting monthly gains. Since the COVID-19 pandemic hit in 2020 and casinos were shut down, players gravitated towards iGaming, leading to increased revenues.
In 2022, the total amount contributed to the Casino Revenue Fund was $706.8 million. Online casinos added over $249 million, while land-based casinos brought in $179 million. Online sports betting totals came in at just over $90 million, while retail sportsbooks generated less than $4 million.
Each market continues to contribute on a steady or boosted level, which helps to increase the overall bottom line. New operators are still slowly trickling in as well or new suppliers of content are added, which gives players even more options to explore via the online casino and sports betting sites.
The Online Sector Dominates
The online sector is much more popular with players due to the convenience of betting and ease of use. Players can easily log online with a mobile device, including smartphones and tablets, to place a bet from anywhere in the state.
When it comes to the gaming industry, the online casino sector has secured almost 40% of the overall market regarding revenue earnings. In August, operators brought in over $155 million, an increase for the month of 18%.
For 2023, the online casino sites have generated over $1 billion in total revenues. Compared to 2022, this is almost 15% more for the same period. Analysts expect 2023 will see an even higher yearly total, and the Casino Revenue Fund will add a record-setting number again.
A Look Into the Future
The demographic of players that gravitate towards online casino gaming and sports betting ranges from 21 to 40+. As more generations come of age and start playing games, we should see an even larger shift towards the online market.
The younger generations grew up with technology and prefer less social options for entertainment. With iGaming, players can spin a slot or play a table game from home, making it much more convenient and less costly.
As new technology develops and New Jersey online casinos continue adding more gaming options and features, the industry becomes even more appealing. Promotions, new games, and updated apps bring in new players on a regular basis.
We expect the industry to continue to see an upward trend in revenues and tax payments. There seems to be no leveling off point as New Jersey continues to grow and thrive as a top provider of online gambling options in the United States.