Gambling in the USA
Gaming Executives Positive on Current Business Conditions, Cautious on Future Growth Expectations
Overall Balance Sheet Health, Access to Credit Continue to Improve
In the face of slowing revenue expansion, gaming industry leaders continue to hold an overall positive view of the current business situation, with a notable improvement in credit conditions, according to the latest American Gaming Association (AGA) Gaming Industry Outlook.
The majority of respondents (88%) view the current state of the gaming industry as either good or satisfactory. Meanwhile, executives have a more conservative outlook on future business conditions, with respondents split on whether they expect conditions to improve over the next three-to-six months (3% net positive) and many expecting a decrease in customer activity (28% net negative).
“After years of very strong consumer gaming spending growth, expectations around customer activity over the next three to six months have cooled considerably,” said AGA Vice President of Research David Forman. “Still, gaming businesses remain well positioned, with executives touting strong balance sheets and more viewing access to credit as easy than restrictive for the first time in two years.”
Gaming Executive Panel
Since Q1, gaming executives’ sentiment has shifted, with a greater number of respondents now expecting a decline in customer activity over the next three to six months (28% net negative, up from 4% net negative in Q1). Despite this, panelists foresee improvements in overall balance sheet health (34% net positive).
Additionally, more executives reported access to credit as easy (19%) rather than restrictive (3%) for the first time in two years, and fewer cite interest rates as a major limiting factor than in the spring.
Hotel (56%) and food and beverage facilities (56%) continue to be the main and growing focus of capital investment among operators, followed by live entertainment (28%) and casino floor slots (22%).
Meanwhile, gaming equipment suppliers now believe their pace of capital investment and game sales will decelerate (13% net negative).
These expectations are impacted by evolving macroeconomic challenges, with uncertainty of the economic environment vaulting to the top of executive concerns (56%, up from 34% in Q1), followed by state regulatory concerns (31%), and inflationary or interest rate concerns and geopolitical risk (both 34%).
The Current Conditions Index
The Current Conditions Index for Q3 2024 was 97.3, which is consistent with real annualized contraction of 2.7 percent. The Current Conditions Index measures real economic activity in the industry, as measured by gaming revenue, employment and employee wages and salaries.
The Future Conditions Index
The Future Conditions Index, a leading indicator of changes in industry conditions, measured 98.9 in Q3. This indicates an environment in which real economic activity in the gaming sector, after controlling for underlying inflation, is expected to moderately decrease over the next six months (1.1% annualized rate).
The three Detroit casinos reported $101.98 million in monthly aggregate revenue (AGR) for the month of September 2024, of which $101.23 million was generated from table games and slots, and $755,519 from retail sports betting.
The September market shares were:
• MGM, 47%
• MotorCity, 31%
• Hollywood Casino at Greektown, 22%
Monthly Table Games, Slot Revenue, and Taxes
The casinos’ revenue for table games and slots for the month of September 2024 increased 1.2% when compared to the same month last year. September’s monthly revenue was 8.6% lower when compared to the previous month, August 2024. From Jan. 1 through Sept. 30, the Detroit casinos’ table games and slots revenue increased by 1.0% compared to the same period last year.
The casinos’ monthly gaming revenue results were mixed compared to September 2023:
• MGM, up 6.6% to $47.68 million
• MotorCity, up 0.5% to $31.17 million
• Hollywood Casino at Greektown, down 7.8% to $22.38 million
In September 2024, the three Detroit casinos paid $8.2 million in gaming taxes to the State of Michigan. They paid $8.1 million for the same month last year. The casinos also reported submitting $12.5 million in wagering taxes and development agreement payments to the City of Detroit in September.
Monthly Retail Sports Betting Revenue and Taxes
The three Detroit casinos reported $22.02 million in total retail sports betting handle, and total gross receipts were $771,751 for the month of September. Retail sports betting qualified adjusted gross receipts (QAGR) were down by 52.0% in September when compared to September 2023, and down by 55.4% when compared to August 2024.
September QAGR by casino was:
• MGM: $601,794
• MotorCity: $11,817
• Hollywood Casino at Greektown: $141,908
During September, the casinos paid $28,559 in gaming taxes to the state and reported submitting $34,905 in wagering taxes to the City of Detroit based on their retail sports betting revenue.
Fantasy Contests
For August 2024, fantasy contest operators reported total adjusted revenues of $613,448 and paid taxes of $51,530.
Welcome to our weekly roundup of American gambling news again! Here, we are going through the weekly highlights of the American gambling industry which include the latest news and new partnerships. Read on and get updated.
Latest News
Jackpot Digital, a leading manufacturer of electronic multiplayer dealerless poker tables, announced that it has received approval from the Saskatchewan Liquor and Gaming Authority (SLGA) to act as a registered supplier of gaming supplies and services to regulated casinos in the Canadian province of Saskatchewan. The approval follows the Company’s news release dated February 6, 2024, announcing the signing of a licensing agreement with the Saskatchewan Indian Gaming Authority to install the Company’s Jackpot Blitz dealerless poker ETGs into SIGA casinos.
Underdog Fantasy, one the fastest-growing sports gaming and media companies in the US, was recognised as the number 15 company on LinkedIn’s 2024 Top Startups list in the US, alongside startups recognised for employment growth, engagement, job interest and attraction of top talent. This marks the second consecutive year Underdog has made LinkedIn’s top startups list. Underdog is the only sports gaming company to make the list in 2024, and is the only sports gaming company to make LinkedIn’s list since Underdog’s founding in 2020.
FireKeepers Casino Hotel announced the opening of the Aristocrat Gaming Lounge, a cutting-edge gaming area showcasing some of the most popular slot games by Aristocrat Gaming. The lounge is conveniently located near to the hotel lobby, offering easy access for guests. The Aristocrat Gaming Lounge houses 32 popular game titles by Aristocrat Gaming including fan favourites like Dragon Link, Buffalo, Mo’ Mummy, Whisker Wheels and more.
NIGC Compliance Officer Jo’Elle Thompson was inducted into the Emerging Leaders of Gaming (ELG) “40 Under 40” Class of 2025. The ELG “40 Under 40,” designed by The Innovation Group (TIG) in collaboration with Global Gaming Business magazine, recognises the significant contributions that gaming professionals under the age of 40 have made to the casino gaming industry. Recipients of this award are not only being honoured for their achievements, but also paving the way for the next generation of innovators and leaders in the gaming industry.
Partnerships
Fanatics Betting and Gaming has integrated a range of White Hat Studios’ award-winning games into the new online Fanatics Casino for customers in Michigan and Pennsylvania. Known for bringing branded entertainment to life, White Hat Studios will offer Fanatics Casino players access to popular slots, including the hit titles Goonies Hey You Guys and Ted Cashlock. Each title offers engaging gameplay and immersive visuals that connect players with their favourite brands.
Slotomania, the free-to-play slots game from Playtika, has announced an extended collaboration with the hit game show “Let’s Make a Deal”. From October 1 to 24, Slotomania will sponsor The Big Deal of the Day round on “Let’s Make a Deal,” offering lucky contestants the chance to win big with even more exciting prizes in the ultimate showdown of chance, luck and fun.
Pavilion Payments, the leading omnichannel payments provider exclusively serving the gaming industry, has announced a strategic partnership with betPARX. This partnership will integrate Pavilion Payments’ cutting-edge Real-Time Payments (RTP) solution—fully supporting FedNow and RTP networks—into betPARX’s platform, revolutionising the payout experience for patrons by enabling instant access to their winnings.
The post Gaming Americas Weekly Roundup – September 30-October 6 appeared first on European Gaming Industry News.
Gambling in the USA
Zula Casino Kicks Off its Spectacular 1-Year “Zula-versary” with a Month of Events and Promotions
Zula Casino launched its online social casino in the US exactly a year ago delivering more. More games. More rewards. More free-to-play entertainment through a personalized experience. Zula Casino marked its one-year launch by crossing the 1000 casino-game threshold – a milestone that positions it among the top platforms nationwide.
The month-long birthday bash intends to go over the top to give back to its amazing player community that helped make this first year so incredible. With its advent calendar format, players can unlock a special surprise each day ranging from a “Win-a-Vacation” event, a carnival event, free spins and new exclusive games, and a prize pool of over 25 billion Gold Coins (GC) plus 150,000 Sweeps Coins (SC) to be given out throughout the month. Over this period, Zula Casino will run other special events, including surprise happy hours with special coupons, various social media contests, and special giveaways.
“We’re incredibly proud of the player experience we’ve built over the last 12 months. The platform has garnered a substantial and loyal pool of players, and it’s not just because we offer one of the largest game selections from leading global providers, but also the exclusive experiences we’re providing, and the platform’s continued evolution with enhanced promotions, personalization, and seamless user experience,” said Tamar Laypan, Program Manager of Zula Casino.
Zula Casino has added over 1000 games across all categories over the past 12 months, including slots, jackpots, fish, table, plinko, megaways, crash, hold and win, tumble games, and more. These additions include top games like Big Bass Vegas and Fire Stampede, as well as branded exclusives like Gold Gold Gold 5000, supplied by Booming Games, and Sweet Bonanza 1000 by Pragmatic Play. With recent additions, Zula Casino now boasts 25 game providers, including Relax Gaming, Habanero, Evoplay, Pragmatic Play, RubyPlay, Gamzix, Let Us Entertain You Inc., to name a few.
Zula Casino flourished in a tough and highly competitive market, launching its proprietary-integrated platform in September of last year. With an average TrustPilot score of 4.6 and almost 9K reviews, the online social casino is among the highest-rated free-to-play sites in the market.
Zula Casino was also previously shortlisted for the prestigious Global SBC Awards in the category of “Rising Star in Casino”.
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