By
Jerry Smith
Staff Writer Updated: 01/16/2020
Jerry’s greatest advantage is his extensive experience on the casino floor. His time as a casino manager taught him everything about what makes a player tick. Besides being a skilled poker player, he has deep knowledge of all live table games and gambling regulations in the US.
New Jersey online poker hit an all-time low revenue in 2019, Photo by Pixabay
In 2019, online poker in New Jersey generated a revenue of $21 million in total, which is the lowest year on record. Recently, the New Jersey Division of Gaming Entertainment released the latest figures, bringing to light the dire situation for online poker in the state.
With the exception of 2016, revenue brought in by online poker in New Jersey has been declining ever since its first full year of operation, when it raked in a total of $29 million. 2016 was an exception as PokerStars, one of the biggest online poker platforms, returned to the US after Black Friday, much to the delight of poker players across the state.
The online poker industry in New Jersey hasn’t been doing too well, and as mentioned earlier, last year was the worst year on record. In fact, in 2019, monthly revenue generated from online poker declined to a new low for that particular month for as many as eight times. In other words, in 2019, eight months saw their worst performances on record for online poker in New Jersey.
Despite the poor performance, the state of New Jersey still raked in more than $3.5 million from online poker last year. This is due to the 15 percent tax rate on gross gaming revenue and an additional 2.5 percent that is put aside for Investment Alternative Tax Obligations.
The state’s online poker industry may have been on a steady decline for the past years, but this doesn’t mean that things look bleak. In fact, experts hope that 2020 may be able to bring some good news.
From 2018 to 2019, there was a two percent decline in revenue, which was the lowest drop among all the declining years. The next lowest drop was eight percent in 2017. All other years reported a double-digit drop.
2020 may finally be the year when online poker in New Jersey stabilizes, as many industry experts hope. This comes at a time when the competition is high among online gaming operators; it was in the second quarter of 2018 that online sports betting was launched in the state. The fact that competition is at an all-time high may help turn around the state of affairs.
Online poker in New Jersey may be struggling, but the casinos are doing exceptionally well. In fact, New Jersey casinos generated a total of $3.4 billion in revenue in 2019, making it the best year on record since 2012.
According to figures released by the Department of Gaming Enforcement, the nine casinos and two standalone sportsbooks on racetracks in the state brought in $287.3 million in December, which was a whopping 11 year-over-year increase. The impressive numbers for the last month of the year helped the total revenue for the year to reach $3.469 billion.
A full year of online gambling and legal sports betting played major roles in bringing up the numbers. The incredible performances of famous gaming properties in the Garden State, such as Hard Rock Atlantic City and the Ocean Casino Resort, was also an important factor.
While Hard Rock brought in a little over $350 million in 2019, Ocean Resort Casino generated a total of $238 million.
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