Part 2: Peering into the future
14
Chart 12: H2GC New Jersey sports betting and online gaming
forecasts 2019-2023
550
150
200
250
300
274m
350
400
450
500
$450m, suggesting the market was
definitely a slow burner as it is only
in the past 12 months we have seen
anything near its true potential.”
One obvious factor in the recent
rising rate of growth in gaming
and sports betting is the trend
towards greater mobile usage.
Says Holliday: “Mobile accounted
for just under 57% of gross win
(just under 63% of handle) in 2018
and is expected to grow its share
going forward.”
As he points out, it is no
surprise the state’s authorities
reacted with such dismay to the
recent reversal on the part of
the Department of Justice (DoJ)
regarding the Wire Act. “When
you look at the combined value
of these two verticals compared
to the AC casinos no wonder they
are challenging the DoJ’s revised
decision,” he says.
Within the gaming sector, poker
will remain a laggard. According to
H2’s estimates, poker gross win to
date has been 12.5% historically, but
it fell to 7.2% in 2018 and given the
100
50
0
2019
2020
Online gaming revenues
2021
2022
2023
Sports betting revenues
Source: H2 Gambling Capital
divergent paths between poker and
casino, it will likely fall further.
In terms of market share in
2018, Holliday says Golden Nugget
dominated the online gaming market
with a 35% share, with Resorts,
Tropicana, Borgata and Caesars all
coming in at between 15% and 18%.
New Jersey: data and lessons from the first five years of the US’ leading digital market