US – Commercial casino sector hits $60bn for the first time in the StatesBy Phil - 16 February 2023
US commercial gaming revenue reached an annual record of $60.4bn in 2022, according to the American Gaming Association’s (AGA) Commercial Gaming Revenue Tracker.
This marks the first $60bn year for the commercial gaming sector, passing the previous record of $53bn set in 2021.
The year was punctuated by all-time high quarterly commercial gaming revenue of nearly $15.9 billion in Q4 2022. Sports betting and iGaming both marked single quarter highs, while traditional gaming grew 1.7 percent year-over-year.
“Our industry significantly outpaced expectations in 2022,” said AGA President and CEO Bill Miller. “Simply put, American adults are choosing casino gaming for entertainment in record numbers, benefitting communities, and taking market share from the predatory, illegal marketplace.”
The industry continues to diversify offerings, with retail gaming accounting for 80.5 percent of total revenue and online gaming making up the remaining 19.5 percent—marking a new high.
84 million American adults, or 34 per cent of the adult population, visited a casino in the past year—including new markets in Nebraska and Virginia. Table game revenue experienced a strong boost in demand, up 13.9 per cent year-over-year, while slot machines showed steady 5.1 per cent annual growth.
In 2022, the continued growth of the legal market drove new records for handle ($93.2B) and sportsbook revenue ($7.5B). This growth was fueled in part by Kansas, which operationalized both retail and mobile sports wagering, and the launch of mobile sports betting in Louisiana, Maryland and New York.
Online casino revenue grew 35.2 per cent year-over-year to $5bn in the limited number of legal iGaming states.
In 2022, the Las Vegas Strip and Atlantic City retained their top commercial market positions. The Baltimore-Washington, D.C. market reclaimed its position as the nation’s third largest gaming market, besting Chicagoland (fourth) and the Mississippi Gulf Coast (fifth) which round out the top five.
“Even as we navigate macroeconomic headwinds, I am optimistic about the year ahead,” continued Miller. “To carry our momentum into 2023, the AGA remains focused on combating the illegal market, doubling down on responsibility, and creating favorable policy and regulatory conditions that enable our industry’s sustained success.”