March turned out to be pretty profitable for the US casino industry despite the creeping inflation reaching historic heights. The revenue of the operators also broke a few records as the numbers sent in history the previous best month, July 2021. The online casinos for US players also reported significant progress, seriously outpacing the increase of activity in the land-based casinos.
Although in total fewer people were betting compared to previous years, the operators’ winnings exceeded $5.3 billion only in March. The first quarter of 2022 was also the most profitable first 3-month period in history. Collectively, casinos won almost the same amount they did in the last 2021 quarter – $14.35 billion. The months of October, November, and December last year turned into the most successful quarter as a whole, but in view of the trend, 2022 is expected to be even better.
USA Online Casinos Are Also Growing
Slowly, more states are adopting online gambling, and their results for the opening few months are impressive. Combined, all operators reported more than $3.7 billion in revenue for 2021, but many states ran their first platforms in the last quarter. A good example is Connecticut, where two casino sites were launched in October and ended the year with a revenue of $47.6 million. According to the American Gaming Association, New Jersey, Michigan, and Pennsylvania crossed the psychological barrier of $1 billion. They did even better in the first quarter of 2022, but we have to postpone the conclusions until the final reports are published.
Although moving slower, West Virginia has also captured the uprising trend. The state offers some pretty awesome places to visit, such as the Chesapeake Bay, but many people obviously prefer to bet online. Internet gambling is responsible for a total 2021 revenue of $60.9 million. An important note is that some states offer only online casino or online sports betting, and their revenue is expected to rise sharply when all the limitations are dropped. Moreover, more regions are joining the group in 2022 and 2023, including Maine, Maryland, and North Carolina.
Internet vs In-Person Betting
If you like to travel, you can combine your vacation with several bets in the best commercial casinos. In light of that, Las Vegas, Atlantic City, and Chicago seem like the most logical destinations. However, there are useful travel guides that could widen your horizons. Of course, online gambling is also allowed in most cities, but nothing can compare to the thrill of visiting one of those dazzling brick-and-mortar establishments. Even so, some typical gambling centers, like Atlantic City, report lower growth in in-person casino revenue than expected.
Numbers are going up but still fail to reach pre-pandemic levels. And while the nationwide casino revenue is more than 21% higher than 2019, the previous most profitable year, these cities show more modest progress. Due to still valid restrictions or fear of crowded saloons, more people prefer Internet gambling or online sports betting, especially in states that have legalized them soon.
States with Record Revenues Compared to 2021
Despite the above, many states report record levels of commercial casino revenue. The leader for 2021 is undoubtedly the Las Vegas Strip ($7.05 billion), even without adding the $732 million reported from the downtown. Pennsylvania could be second if the revenue from all the casinos added up – $2.88 billion. Besides the best ferry rides in the US, New York is also doing well, ranking sixth, almost reaching $1.5 billion. The states and areas between are Atlantic City, Baltimore-Washington D.C., Chicago, and Gulf Coast.
Besides the skyrocketing $5.3 billion in March 2022, casino operators will have to pay record direct revenue taxes as well. The number for 2021 is almost $11.7 billion, and it does not include the income and sales fees and taxes, which are also worth billions. The association made a comparison with the previous (2020) and most successful (2019) years, and the growth is obvious – 75% and 15%, respectively.
Final Lines
Surely, this year will be another record for both in-person and Internet gambling. After a year and a half of lull, the second half of 2021 erupted in revenue, and momentum seems to have carried over into the first quarter of 2022. It is further fueled by rising inflation and the loosening of anti-covid measures, as well as the entry of new operators into the market. It is only a matter of time before we see where the upward trend will stop and enter a more stable spiral. However, the recent news is good for the industry, which has been going through a real revolution since PASPA was struck down in 2018.