New Jersey Sports Betting Revenue Surpasses Nevada
NJ bookies reported $318.9 million worth of wagers placed in May, with total revenue equaling $15.5 million. On the other hand, Nevada reported $317.4 million in wagered bets, with total revenue landing at $11.6 million.
As previously reported by Nerdybet, sports betting has soared within New Jersey, surpassing initial expectations by a wide margin. Since PASPA fell in 2018, several states have moved to legalize sports betting.
Since then, New Jersey has seen an explosion in bets wagered, along with an influx of tax dollar revenue. Now for the first time, NJ has hit a milestone. The garden state now generates higher sports betting revenue than Nevada.
A surprising twist
When it comes to sports betting, Nevada has long been considered a powerhouse of the industry. Betting on sports has been legal within the state for decades, and readily available at its casinos. Few insiders thought New Jersey would be able to dethrone the desert state in such short amount of time.
Recent developments can likely be attributed to two factors.
- Demographical limitations: With its population of roughly 3 million, Nevada offers a much smaller pool of players. In comparison, NJ has a population of almost 9 million, and thus provides a much larger market.
- Mobile technology: Nevada’s mobile casino and sports betting industry is lagging behind, in part due to the state’s regulatory environment. Land based casinos widely regard the mobile industry as a threat to their hegemony.
Sports bettors prefer mobile phones
Of the total $319 million bet on sports by NJ residents, about 80% were placed with mobile apps. New Jersey sportsbook operators offer state of the art technology, with advanced applications. It makes it easier for people within the state to place bets online.
Moreover, mobile applications are more flexible and readily available than desktops and land based locations. Compared to mobile applications offered in Nevada the difference is stark. Betting apps in NV are widely viewed as being both outdated and less user friendly. They also come with various restrictions that are not found in New Jersey.
To sum it up: While Nevada is picking grass in the outfield, New Jersey is hitting home runs with its sportsbook industry.
NJ is only continuing to increase their number of apps. Major corporations are also investing in both the state and its nascent sportsbetting industry, including Fox News through their new app Fox Bet.
New Jersey’s rise to the throne is a good indicator of what’s in store for the rest of the nation. As more states move to legalize sports betting, total industry revenue could break the ceiling.
Recent developments in NJ indicates that pundits are correct, when saying the sports betting industry could generate tends of billions of dollars on a nationwide scale. We have likely only seen the beginning of the industry’s potential. As more NJ residents pick up on sports betting and begin to wager bets, revenue could double, or even triple from today’s numbers.
It is also evident that mobile betting is the future gold standard of the sportbook industry. Companies that wish to succeed must pour money into developing sustainable apps which focus on user friendliness. Another important component will be variety, and the ability to wager bets on a multitude of different sports evens.
The sports betting industry of New Jersey has been around for less than one year. Still, it has grown at an impressive rate, and should be used a reference points for other states that seek to legalize the industry.