Will New Jersey’s iGaming Industry Be Surpassed by Pennsylvania?
Since 2013, New Jersey has dominated the online gambling landscape in the United States. As one of three states offering services, New Jersey quickly rose to the top as the state to beat when it comes to online casino and poker games. For several years, the online casino operators in New Jersey have earned tens of millions from gaming revenues and show no signs of slowing down. Neighbor Pennsylvania is set to launch services next week, and many are wondering if they will eventually take over as the top state in the US regarding online gambling.
Factors to Consider
The online gambling industry will get started in Pennsylvania on the 15th when Parx Casino launches their services. Other operators are to follow so it will be some time before we can see if Pennsylvania will outpace New Jersey by way of revenues. New Jersey has an established market, having been in business for six years, so it would take time for Pennsylvania to play catch up.
A positive Pennsylvania does have over New Jersey is population. In PA, there are over 12 million residents, based on 2018 numbers. New Jersey has far less at just over 8 million. With more people, means more traffic and gambling. So, Pennsylvania might have a leg up based on how many people are located inside their borders permanently. Then of course, you also have potential earnings from travelers into the state.
Gaming is also well-established in Pennsylvania. The state has 12 casinos in operation and one in the works. Players are familiar with the brands and of course have their favorites. Regular casino goers will most likely give the online gaming options a try once live.
Because Parx will be first, let’s take a look at the property. The casino is pretty popular in the state, earning well into the eight figure range with land-based gaming. Because the brand is well known and already has a following, the online site should be traffic instantly.
And let’s not forget that players have been waiting since late 2017 to be able to play online games in their home state. Anticipation has built over the past year+, so players are going to be ready to get started as soon as they can.
Will New Jersey Be Affected?
Operators of online gambling sites in New Jersey have to be worried about where they will stand once online gaming launches in Pennsylvania. The two do border each other and players who make the trip into NJ to play online gaming won’t have to any more. it would be surprising to see New Jersey’s numbers NOT affected by the launch of iGaming in PA.
Right now, it is way to early to tell what type of impact the new industry will have on the neighboring state as well as if NJ will experience significant revenue losses. For about year now, New Jersey has continued to hit record after record, earning more and more from iGaming. Analysts have been wondering when stabilization might occur or if the industry would begin to dip. It may be the launch of gambling in PA that makes such changes occur.
Pennsylvania will be restricted for some time as they can only offer apps via Android devices. iOS solutions will have to wait due to recent changes within the Apple company. This small issue will help New Jersey to maintain the number one spot for some time, as the online gambling industry in Pennsylvania starts to grow.