Paddy Power Betfair Doing Well in Online Gaming Sector of New Jersey
New Jersey continues to be the top operating state in the US when it comes to online gambling. Month after month, the state secures quality earnings from online casino and poker gaming along with the newly introduced online sports betting. Big name operators are offering such services in the state including Paddy Power Betfair. After recent revenue reports were made public, Paddy Power Betfair has reported solid growth in the online casino and sports betting categories.
Betfair Casino is the online casino gaming site of Paddy Power Betfair that is doing quite well in New Jersey. During a recent first quarter trading update, the company announced that Betfair Casino has seen a year-over-year increase of profits of $11.7 million. This is a whopping 83% increase from the same time frame last year. Revenues have increased at around 14% and remained steady for the past two years.
Betfair Casino currently operates under the interactive license of the Golden Nugget. They could not ask for a better partner and are one reason why the brand continues to be the top earner in the state. Last year, gross gaming revenues for the brand came in at $34 million, which is a 31% increase for Betfair from the 2017 earnings.
If Betfair can continue to earn similar revenues during the next three quarters of the year, they will easily be able to outpace their performance from 2018. As the brand continues to perform well, it only further reinforces the position of Paddy Power Betfair in the state as top online gaming operator.
Growth Due to Cross-Sell
According to the first quarter call, Betfair Casino has seen a quality increase in performance due to cross-selling from the FanDuel Sportsbook. The brand actively markets their gaming options to customers of FanDuel which helps to bring in more players. Paddy Power Betfair now holds a controlling stake in the company, acquiring shares soon after the PASPA was repealed in May of last year.
After the acquisition, Paddy Power Betfair decided to take their brands in the United States and placed them under the new FanDuel Group. This included DRAFT, the group’s daily fantasy sports mobile operation, and TVG, a horse betting platform. Over time, FanDuel Sportsbook has become a true leader in the online sports betting industry of New Jersey.
Since late last year, the sportsbook of FanDuel in New Jersey has been posting banner ads for Betfair Casino. Many of the ads link directly to the site. To help players have access to gaming in a simpler format, the same account and wallet can be used across both platforms. Players are seeing these banners and clicking on them, to then gain access to the online casino site.
Based on revenue numbers, the Betfair Casino seems to be brining in around $4 million a month. The company is set to stay on this pace and possibly earn even more over the coming months. Only time will tell just how well the casino will do, but with continual support from the FanDuel Sportsbook, it is only expected that the revenue numbers will continue to climb at a steady pace.
It seems year after year we see New Jersey soar to new heights with their online gambling industry as operators continue to offer more to players, setting new records along the way. We will certainly be keeping an eye on Betfair Casino and how well they do over the next few months as revenue reports are made public.