Over the last three years, the US gaming industry has been breaking its previous revenue records, and it seems unstoppable. Almost every aspect, including online platforms and land-based casinos, has posted unprecedented growth, spreading the increasing trend throughout the years.
Notably, the U.S. commercial gaming reported its highest-ever annual record of $66.5 billion in 2023, which was an increase of 10% more than 2022’s previous record of $60.5 billion. It is an amazing growth rate in such a short time.
There’s more, and we’ll explore them in this article. Let’s dive in.
The Real Economical Impact
One of the most meaningful economic implications of the gaming industry is related to job creation. Casinos, online platforms and businesses associated with this industry have been actively developing and providing people with jobs nationwide.
According to the AGA, commercial casinos throughout the US created more than 700,000 direct jobs across the US. Over the years, as the industry develops, the number will only increase, with added positions in hospitality, IT, safety, and games production.
In addition, commercial casinos contributed over $13.7 billion in tax revenues to state and local governments in 2022 alone. This significant increase in domestic gross allows for much-needed investment in public priorities, such as education, infrastructure, and health initiatives.
Land-based casinos still attract many tourists. In 2023, Las Vegas reached a record-high number of visitors since the beginning of the pandemic after welcoming more than 40.8 million visitors. Tourism generates money not only for the town and state but also for hotels, eateries, small cafes, and businesses.
US Online vs US Landbased
A feature that is not present in land-based casinos and shops is the phenomenon of online entry offers. When a person creates an account, they are greeted with a freebie or pay-for-play bonus, which consists of virtual cash, game rounds or raffle entries. It is estimated that 88% of new accounts created in the past 3 years have been motivated by the need to access these coupons.
Although the convenience of playing on the Internet is unparalleled, as one can wager from the comfort of one’s own house and in any location where there is a steady Internet connection, the need to travel to a physical location makes land-based casinos less appealing in comparison.
Interestingly, because developing software and overseeing operations costs less online, individuals may be provided with a wider variety of games. However, the opportunity to gamble in public and win while experiencing the unique atmosphere and social interaction that online betting fails to offer is a major draw for land-based casinos.
Marketing Magnets
Marketing magnets are not the only thing special about the US gaming industry’s growth but also celebrity influences. It is a new method that has turned out to be the most popular way of capitalising on high-stakes games.
For example, the stream of Drake playing roulette with other celebrities in 2022, or esports celebrity Ninja’s official move to YouTube Gaming in 2020, which was YouTube Gaming’s start-up for its fan bases and move to house a broad range of outstanding esports celebrities.
Evidently, gamblers, athletes, actors, and online personalities develop, and platforms multiplying this content or making it available to the public grow together with them.
Which Are the Most Productive States?
The boom in the US gaming market is not even for the entire country. In 2023, Nevada had a GGR of $15.52 billion, while Pennsylvania and New Jersey had the second and third figures in this ranking, respectively.
Pennsylvania’s online market, which was legalised in 2019, has had exponential growth over the years and reached $5.86 billion of annual GGR in 2023. New Jersey has been one of the first states to legalise online gambling in addition to traditional Atlantic City capacities, and in 2023, its GGR amounted to $5.78 billion.
The great New York City entered the online gaming market in 2022 after Illinois had also legalised online sports betting in 2020. There are other states still entering the market, and that means even more people. Ultimately, the growth of gaming revenues means growth of numbers in the industry. That said, you can be part of the numbers. So, join in now.
