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COVID Causes US Industrial Gaming Revenues to Fall 31 %, Worst Yr Since 2003 | Bet-Now
  • Wed. Jul 28th, 2021

COVID Causes US Industrial Gaming Revenues to Fall 31 %, Worst Yr Since 2003

ByBet-Now

Feb 19, 2021

Posted on: February 17, 2021, 11:56h. 
Final up to date on: February 18, 2021, 02:26h.

Steve Bittenbender Learn Extra

Because of COVID-19 and the shutdowns and restrictions it created in 2020, the US business gaming trade noticed its worst yr in 17 years. That’s in keeping with knowledge revealed by the American Gaming Affiliation on Wednesday.

American Gaming Affiliation President and CEO Invoice Miller provides the welcome tackle to the 2020 digital International Gaming Expo. On Wednesday, the AGA introduced business gaming income fell greater than 31 % in 2020 as a result of COVID-19 pandemic. (Picture: AGA/YouTube)

Commercially licensed gaming, which incorporates state-sanctioned casinos, retail and on-line sports activities betting, and iGaming operations, reported gross revenues of $30 billion. That’s down roughly $13.6 billion % from 2019, a decline of greater than 31 %.

(T)hese numbers present the financial realities of COVID-19 and underscore the significance of focused federal reduction and ramped-up vaccine distribution to speed up gaming’s restoration in 2021,” AGA President and CEO Invoice Miller mentioned in a press release.

The $30 billion in revenues – technically $29.98 billion earlier than rounding – was the bottom quantity generated since 2003, when business operators gained $28.7 billion. Again then, although, solely 11 states had authorized gaming, in keeping with the AGA. Some sort of economic gaming was out there in 29 states and the District of Columbia final yr.
Revenues declined for the primary time since 2014.
Casinos Misplaced a Quarter of Operational Days in 2020
The pandemic compelled all brick-and-mortar on line casino exercise throughout the US to stop by late March. Whereas most resumed operations by Could or June, they’ve achieved so with far fewer desk seats and slot machines in an try and abide by social distancing pointers of their jurisdiction.
So, it shouldn’t be stunning that the share of on line casino days misplaced practically traces up with the income drop.
Within the 25 states with business casinos, these venues misplaced greater than 45,600 working days mixed. That’s a 26.7 % lack of the out there days.
New Mexico noticed a lack of practically 80 % of its business operation days. After New Mexico have been New York (48.4 % of days misplaced), Michigan (47.6 %), and Illinois (40.2 %). New York and shut down their business casinos for six months in 2020. Michigan and Illinois every had a couple of interval the place their brick-and-mortar venues closed in the course of the yr.
In Nevada, business casinos misplaced a complete of 21,538 days, or 26.8 % of the whole doable days out there. Most main on line casino operators reopened in June however these with a number of properties on the Strip reopened these properties in phases as demand picked up.
Sports activities betting, iGaming See Sharp Will increase
Not all information was dangerous for the business gaming trade in 2020. Whereas COVID crippled the retail aspect, it additionally offered an enormous alternative for iGaming.
Income for on-line casinos and card video games shot up considerably final yr. The practically $1.6 billion in gross gaming income represented virtually a 200 % enhance from 2019.

For perspective, sports activities betting generated greater than $1.5 billion, an almost 70 % bounce from the yr prior. Whereas these income numbers are virtually equivalent, it took sports activities betting licensees in 18 states and DC to generate that income. Then again, iGaming derived its income from 4 states (Delaware, New Jersey, Pennsylvania, and West Virginia).

Clearly, the casinos’ closures had some influence on the dramatic enhance. Nonetheless, the outcomes have been nonetheless vital sufficient for some states, comparable to Indiana, to think about legalizing iGaming this yr.

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