With more states joining the race to approve sports betting across the country, it’s expected that revenues will also see an inconsistent and gradual increase. But, on the other hand, some states continue to report record-breaking revenues that glint with interest to the eyes on the other side of the argument.
Breaking a conservative approach towards gaming has not come easy. However, every penny has proven that it’s been the right move to most states. From modifying the ways of covering the spread to accessing an online betting provider, gaming is here to stay. And there is much financial incentive to pursue the inclusion of the industry.
Michigan and New Jersey’s Record-Breaking Revenues
The most recent examples of big revenue records were Michigan and New Jersey. Although gaming and betting were reduced in Michigan compared to what the state recorded in January, online action exceeded the expected marks.
Michigan did report a drop of about 6.8% in overall betting. Yet, when it came to online betting, the state reported a record figure of about $122.78 million. That’s almost a million more in February than in January, when the total came to $121.8 million.
As for the overall handle, online betting was recorded at $398.4 million, proving that there is an additional factor that all states need to consider. This factor pins the need to allow online gaming as a must when considering the approval of sports betting and gaming dynamics within state boundaries.
As for New Jersey, online sports betting fell in February. The state reported a 29.5% drop in sports betting action. Yet, overall, gaming in the state added up to $373.3 million. That’s below January’s $381.7 million, yet still close enough to come in as one of the top months ever recorded in the state.
What Michigan and New Jersey’s Numbers Say
Michigan and New Jersey are the perfect examples of how the gaming industry can vary across different states. Trends can change and take highs or lows, yet in the end, there are significant points that still place betting as an industry to keep closely in one’s business analysis.
Michigan saw an overall decrease in betting for starters, but February was a perfect month for online gaming. In contrast, New Jersey took a hit in terms of online betting and gaming. Yet, state gamers managed to pull in some solid numbers.
Many points can be derived from these numbers. First, gaming as a whole will always remain a volatile industry. No matter how many providers join the market or how many bettors decide to opt-in throughout different seasons, there will always be highs and lows.
Trends Not Always Trendy
When it comes to sports betting, these trends might be trickier to analyze. For instance, betting patterns can vary with the sports seasons. They can also present various spikes or drops depending on what the state is well known for in terms of wagering.
For instance, even if no major NFL, MLB, or NBA sporting event were to occur during a specific time, Kentuckians will always indulge in the Kentucky Derby. Because it’s one of the state’s very own events, it’s hard to believe that there will be a noticeable drop in betting throughout an event of that magnitude.
On the one hand, betting and gaming can be volatile markets. Yet, experts have raised the question that this is the only constant factor across all markets globally. Therefore, at least for gaming providers, the risks are worth taking.
Finally, no matter the drop in a specific month, revenues seem to remain consistent. Individual states might not see elevated amounts throughout every season. Yet, these numbers tend to stay on the high end for the entire year.
The evidence is on the table for those states still waiting to consider or perhaps reconsider sports betting. But, most importantly, all numbers point to one obvious answer.
