NJ Smashes Through Sports Betting’s $1 Billion Barrier
By Ken Edwards, 19 December 2018
Wagers at New Jersey’s land-based and online sportsbooks rose by almost 30% in November to a whopping $330.7 million, as revenue rebounded from the less than overwhelming October figures. To the end of November 2018, New Jersey’s handle sat at an impressive $928.1 million in less than six months since sports betting became legal in the USA, an amazing success system. Economic analysts and gambling industry experts have estimated that New Jersey sportsbooks took their $1 billionth dollar in sports betting sometime between December 10 to December 14.
Jeff Gural, Manager of the Meadowlands Racetrack in East Rutherford, just a stone’s throw across the Hudson from New York City, for one, isn’t in a state of shock at all by how well the Garden State’s legal sportsbooks are doing.
“I was there Sunday (at the track’s legal sportsbook), and the place was packed,” he said. “So many of those games went right down to the last minute. It was really exciting.”
Gural anticipates that the Meadowlands sports book will continue at an even more dramatic rate when the track’s self-serve sports betting kiosks are installed in the first week of January 2019, thereby increasing the possible number of betting portals in the track’s sports betting facilities. Factoring in the possible impact of the NFL play-offs, January 2019 may even up the ante and see more sports betting records fall.
For its part, industry giant, FanDuel, who operate the Meadowlands sports book, called November “a history-making month” doubling its revenue in just a month from a sluggish October.
Online Sportsbooks lead the way in New Jersey
New Jersey’s online sportsbooks made up $238.6 million, or 72 per cent, of the Garden State’s total sports wagers in November 2018, with bricks-and-mortar sportsbooks comprising the remaining 28 per cent, according to the official reporting figures released last week. That 72 per cent online figure compares to 67 per cent of the total sports bets flowing through online sportsbooks in October.
Overall, November sports betting revenue recovered from a less-than stellar October. New Jersey’s $21.2 million gross revenue figures very nearly doubled the $11.7 million October mark and fell agonizingly short of the state’s biggest sports betting month of $23.96 million in September 2018.
Moreover, online sports betting seems to be giving Atlantic City’s land-based casinos a bump too. Coupled with the strong month of online gaming, profits from sports betting helped Atlantic City’s casinos post an increase of almost 25 per cent in gambling revenue in November, when compared with figures from a year ago.
Atlantic City casinos took in a strong $257 million in revenue last month.
DraftKings & FanDuel Fuel the NJ Growth
Making the most of their brand name recognition from their existing DFS player databases, DraftKings and FanDuel enjoyed a two-thirds market share in the New Jersey in November.
DraftKings Sportsbook topped the online market share by generating 34 percent of New Jersey’s November online revenue. However, the gap to the rest of the pack is beginning to narrow. Led by FanDuel Sportsbook, which generated $4.4 million in November and followed by record numbers to 888sport, the market is competitive, alive, and extremely healthy.
FanDuel have even gone on record as announcing its operation at the Meadowlands racetrack has quickly become one of the biggest retail betting outlets in the world;
“November was a history making month for the FanDuel Sportsbook,” announced FanDuel Group spokesman Kevin Hennessey in a prepared statement. “We doubled revenue versus October and we were the first legal sports betting operator in the United States to pay out future wagers early on Alabama winning the college football national championship.”