Online Gambling Increases Atlantic City Casino Revenue
New Jersey’s fledgling online casino industry has greatly helped the state’s 11 Atlantic City land-based casinos to stay alive. The casinos have generated around $195.7 million in revenues from land-based as well as online gambling, which is 4.6 percent lesser than what the revenue was one year back.
However, without the $9.5 million revenue generated through online gambling, Atlantic City casinos would have generated 9.2 percent lesser revenue than what they generated last year.
New Jersey’s online gambling industry is now two months old, having been launched late in November 2013. The casinos earned $7.4 million through online gambling in December 2013. January shows an increase of 28 percent as the casinos earned $9.5 million. Since the Atlantic Club Casino Hotel was shut down on Jan 13, the city’s revenue figure suffered greatly.
According to the revenue stats released by the New Jersey Division of Gaming Enforcement (NJDGE), the competition between Caesars Interactive, which operates the 888 and WSOP.com brands, and Borgata Hotel Casino & Spa, which operates Party Poker NJ, is getting intense. While Borgata made around $3.9 million in January, Caesars made around $3 million.
Boyd Gaming President Keith Smith said that online gambling has attracted new players to the Borgata. He said: “These results also once again demonstrate online gaming’s potential to expand our business. About 85 percent of our online players have not had rated play at Borgata in at least two years, showing there is little overlap with our land-based business. Online gaming is growing our database, creating a long-term opportunity to market Borgata to an entirely new group of customers.”
While the Borgata has grabbed 41 percent of the state’s online gambling market, Caesars Interactive succeeded in increasing its revenue by 49 percent this month.
Caesars Interactive spokesman Seth Palansky said: “It was a very strong month for us. We saw huge growth in casino revenue, and significant growth in poker revenue, too. We started marketing in earnest in January, and the promotions we offered our customers really seemed to resonate well. We’re very encouraged on how the New Jersey market is performing for us across all three of our brands, CaesarsCasino.com, Harrahscasino.com and WSOP.com.”
Other providers of online gambling services in NJ continued to lag behind this month. The Trump Taj Mahal and Ultimate Casino generated only $858.351, which is slightly more than the earnings of Tropicana Casino Resort. While Trump Plaza Hotel Casino and Betfair made $557,007, the Golden Nugget Atlantic City made only $286,922.
Regarding land-based casino revenues, Revel Casino generated the highest revenue of $9.8 million, which is 23 percent more than its revenue last year. Golden Nugget revenue shot up to 10.5 million, a 10 percent increase; Borgata generated $48.3 million, indicating a 2.5 percent rise; and Resorts Casino Hotel generated $8.3 million, indicating a 2.4 percent hike.
On the other hand, the revenue of Trump Plaza plummeted to $3.5 million, indicating a 26.7 percent fall; Caesars Atlantic City fell to $17.8 percent, by 23.4 percent; and Taj Mahal fell to $15.4 million, by 18.2 percent.« FBI Investigating Hacking of Sands Official Websites Bigger Welcome Bonus at 888 Casino »