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Are Americans spending their stimulus checks on online casino gambling?

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The IRS has now sent out more than 130 million stimulus checks as part of President Biden’s American Rescue Plan. The payments are designed to stimulate spending and help kick-start the US economy, and when the plan was first announced, most Americans said the money would go towards essential expenses like groceries, bills and housing costs. However, there are indications that at least some are using the windfall to speculate with casino games and sports betting.  

A booming sector 

Some could argue that the gambling sector is one of the few American industries that is not in need of extra stimulation. True, gambling hubs like Las Vegas and Atlantic City felt the pinch harder than most, but evolving legislation has seen a dramatic upsurge in online casino activity across the US that has more than compensated for the revenue drops at land-based facilities over the past year. 

It’s a pattern that has been repeated time and again, and not just in the US. Chief Editor Mark Pilarski of Casino Senpai said that they have observed a clear spike in interest worldwide on the topic of online casinos since last March.  

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Of course, the online gambling market is still in its infancy in the US compared to places like the UK and even Canada. Delaware, New Jersey and Pennsylvania are still the only states that are fully open to online casino gambling, although Nevada also has online poker rooms. Still, in those states, gamblers have been making hay, and all have seen online gambling revenue increase dramatically since the first lockdown took effect 12 months ago. 

Sports betting surge 

Even if you include Nevada, that still accounts for only eight percent of the population, however, and while there has almost certainly been a certain amount of illicit online gambling activity across state lines, geofencing technology keeps that to a minimum.  

The result has seen many would-be casino gamblers turn to the world of sports betting instead. Here, 25 states have now legalized, and more than half of them permit online betting. At the height of lockdown, when the major sports leagues were inactive, this led to the somewhat surreal sight of American sports fans betting on everything from soccer in Belarus to baseball in South Korea. eSport betting also saw a spike in interest. 

However, it was when the major franchises got back underway that the full force of sport betting became obvious. Wagers placed on the NBA and NHL have been higher than previous years, and then, of course, at the beginning of February, we had the greatest sports betting barometer of them all in the shape of Super Bowl LV.  

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In the run up to the game, Bill Miller, the CEO and President of the American Gaming Committee, said: “This year’s Super Bowl is expected to draw the largest single-event legal handle in American sports betting history. With a robust legal market, Americans are abandoning illegal bookies and taking their action into the regulated marketplace in record numbers. 

Miller went on to predict that 7.6 million Americans would place their bets online, Some states have still to release their final numbers, but from the data available so far, it seems that Miller was right on the money. In New Jersey, Super Bowl betting more than doubled over the previous year, while in Pennsylvania it was up by more than 75 percent. Results like these more than make up for the 13 percent drop reported by Nevada due to lower numbers turning up for in-person betting on The Strip.  

 

Recovery offline, too 

Having said that, the news from Vegas and Atlantic City is not all bad – indeed, it is positively brimming with optimism compared with this time last year, and it all comes back around to those stimulus checks. Let’s be honest, if you are going to blow a thousand dollars or more at the casino, you’re more likely to want to do that in person than via a phone app.  

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Vegas is buzzing again since it reopened, and aside from the reduced numbers and the regular sight of people wearing masks, it almost feels like the Sin City of old. And after everything we have gone through, why not – surely there are few better places to celebrate spring break and spend a $1,400 windfall.  

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AGA

Americans to Wager Estimated $1.39 Billion on Super Bowl LIX

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The American Gaming Association (AGA) estimates that Americans will wager a record $1.39 billion legally on Super Bowl LIX, highlighting the continued expansion and enthusiasm around the legal sports betting market.

“No single event unites sports fans like the Super Bowl, and that excitement extends to sports betting, with this year’s record legal handle reflecting its widespread appeal,” said Bill Miller, AGA President and CEO. “This figure underscores the positive impact of the legal market—from protecting consumers to generating tax revenue that benefits communities across the country—while enhancing the game experience for all.”

Americans’ support for legal sports betting continues to grow. According to the AGA’s 2024 American Attitudes Survey, 75% of Americans support legal sports wagering in their home state, and 90% view sports betting as an acceptable form of entertainment. Since the Supreme Court struck down PASPA in 2018, 38 states and D.C. have launched legal sports betting markets, expanding consumer access to safe, regulated options.

With Super Bowl LIX marking another major milestone in the growth of the legal U.S. sports betting market, the AGA is committed to fostering a thriving legal market that promotes responsible gaming, safeguards consumers, and supports long-term economic growth. As part of this effort, the AGA is once again partnering with New Orleans Saints great, college football analyst and responsible gaming ambassador, Mark Ingram II, at Super Bowl LIX. Mark will appear on Radio Row on behalf of AGA’s Have A Game Plan.® Bet Responsibly.™ campaign. He will encourage bettors to bet legally and responsibly on Super Bowl LIX.

The post Americans to Wager Estimated $1.39 Billion on Super Bowl LIX appeared first on Gaming and Gambling Industry in the Americas.

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AGA

Commercial Gaming Revenue Growth Continues in Q3 2024, Driving Industry’s 15th Consecutive Quarter of Growth

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U.S. commercial gaming revenue reached $17.71 billion in Q3 2024, the industry’s highest-grossing Q3 on record, according to the American Gaming Association’s (AGA) Commercial Gaming Revenue Tracker. This makes Q3 2024 the industry’s 15th consecutive quarter of annual revenue growth, with September marking the 43rd straight month of rising year-over-year commercial gaming revenue.

Through the first nine months of the year, nationwide commercial gaming revenue stands at $53.24 billion, pacing 8.0 percent ahead of 2023 and putting the industry on track for a fourth straight record revenue year.

In Q3 2024, 29 of the 35 commercial gaming jurisdictions operational last year saw increased year-over-year revenue. This growth resulted in an 8.9 percent year-over-year increase in state and local taxes tied directly to gaming revenue, with commercial gaming operators contributing $3.79 billion in taxes across the quarter.

Quarterly revenue from land-based gaming – encompassing casino slots, table games and retail sports betting – totaled $12.56 billion, 0.62 percent lower than Q3 2023. Meanwhile, combined revenue from online sports betting and iGaming totaled $5.14 billion in Q3 2024 as online gaming made up 29.0 percent of commercial gaming revenue, a significantly higher share than in Q3 2023.

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Looking at each sector in Q3 2024:

  • Traditional Gaming: Traditional brick-and-mortar casino gaming generated quarterly revenue of $12.38 billion, a contraction of 0.9 percent year-over-year.
  • Legal Sports Betting: Americans legally wagered $30.3 billion on sports, generating $3.24 billion in quarterly revenue (+42.4% YoY). Recent market launches in Kentucky, Maine, North Carolina and Vermont contributed to this growth.
  • iGaming: iGaming generated $2.08 billion in revenue, marking a 30.3 percent year-over-year increase.

“Q3 2024 continued gaming’s momentum from the first half of the year, with online casino and sports betting driving strong growth. At the same time, new brick-and-mortar casino openings bolstered traditional gaming, which still accounts for the bulk of industry revenue,” said AGA Vice President of Research David Forman. “More than a quarter of commercial revenue now regularly comes from online sources, raising the importance of continued sustainable growth with consumers in those states.”

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AGA

American Attitudes Toward Casino Gaming, Sports Betting Reach High-Water Marks

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Americans are increasingly embracing casino gaming and sports betting as acceptable forms of entertainment and responsible industries, according to new consumer survey results from the American Gaming Association (AGA). The new data comes ahead of Responsible Gaming Education Month this September and on the eve of the seventh NFL season with widespread legal wagering.

Among new high-water marks in consumer sentiment, 75% of Americans believe the gaming industry behaves responsibly in the communities where it operates, 9 in 10 Americans view sports betting as an acceptable form of entertainment, and 75% of Americans support legal sports betting in their home state.

“These latest survey results highlight a consistent trend over the years: as gaming expands to new audiences, Americans increasingly see the benefits of a legal, regulated gaming marketplace that contributes to communities, prioritizes responsibility and provides unmatched entertainment,” said Joe Maloney, AGA Senior Vice President, Strategic Communications.

The study reveals particular increases in favorable views toward the industry’s commitments to responsible gaming, with 65% of Americans now saying the gaming industry is committed to encouraging responsible gaming and combating problem gambling—a notable rise from 55% last year. This confidence is even stronger among those who engage with the industry directly, with 81% of physical casino players and 88% of sports bettors agreeing with this sentiment, up from 70% and 78%, respectively last year.

This sentiment is driven by increased perceptions across several areas:

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  • Responsible Marketing and Advertising: Americans are taking notice of the legal industry’s efforts around responsible marketing and advertising marketing, with 65% of respondents saying they believe the industry is truthful in its marketing and advertising, up from 58% last year. Additionally, 73% view the industry as responsible in its marketing efforts, up from 68% in 2022.
  • Effectiveness of Responsible Gaming Programs: Data shows 66% of Americans believe the gaming industry’s responsible gaming programs are effective, up from 59% last year. Among those who participate in gaming, 79% of physical casino players and 85% of sports bettors agree that these programs are effective.
  • Increased Awareness of Responsible Gaming Messages: The study shows a significant rise in the number of Americans exposed to responsible gaming information. Specifically, 46% of land-based casino players and 57% of sports bettors noted an increase in responsible gaming messaging. Notably, 66% of all Americans say they have encountered responsible gaming messaging in the past year, up from 56% in 2022.
  • Familiarity with Responsible Gaming Resources: Awareness of responsible gaming resources has grown, with 76% of Americans familiar with at least one responsible gaming resource, an increase from 65% in 2022. Awareness is particularly high among industry participants, with 92% of land-based players and 96% of sports bettors familiar with at least one responsible gaming resource.

“The gaming industry’s responsibility efforts are stronger than ever, and consumers are noticing,” continued Maloney. “As we embark on another Responsible Gaming Education Month, we’re more energized than ever to continue our work to give consumers the legal, safe and fun gaming experiences that they want and deserve.”

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