Author: Joe Kizlauskas
Last Updated: 17th February 2021
A new report published by the iDEA Growth Trade Group shows the continued growth of New Jersey’s mobile gaming over six years through additional revenue, employment, salaries and consumer security ‘ Economic Impact of New Jersey Online Gaming’ commissioned by iDEA Development and conducted by Meister Economic Consulting and Victor Strategies and covers the New Jersey market since its inception.
Stressing the area “is the most successful business model of the four states where online gaming is currently in operation in the US,” adding that the state would serve as an example for those pursuing regulated mobile gaming and betting.
Of the report’s headline takeaways, it is stipulated that gross gaming revenue has grown at a compound annual rate of 24.8 percent since its first full year of online gaming operations.
In addition, between late 2013 and 2018, 6,552 jobs were created, while the legalisation of online gaming contributed to consumer protection by taking a long-standing onshore offshore industry from a grey market into a secure and regulated environment.
This year’s GGR is projected to hit $452 million, an increase of 51% year-on-year, with state and local taxes coming in at $52.3 million last year, marking a rise of 21.6% from 2017. It provides around $44.9 m to the government and $7.5 m locally through the Development Authority for Casino Reinvestment.
“The results of this report demonstrate the economic, regulatory and consumer safeguard wins that mobile gaming and betting offers a state. 80 per cent of sports betting wagers are already placed on mobile devices or online. When bets are done legally and in the proper regulatory framework, everyone wins,” explained Jeff Ifrah, founder of iDEA Growth.
“For the many states considering whether to legalise mobile betting and gaming, the question to ask is what could your state do with more tax dollars? The additional revenue gained from mobile gaming can be earmarked for important state initiatives.”