Amid soaring inflation that is pushing the cost of everything up, casinos in America are smiling to the bank. Even as the effects of the pandemic seem not to let go off the hook, March was the best month for the casinos. The industry won a staggering $5.3 billion from customers.
According to the American Gaming Association, this was the best earning recorded in a single month in the history of America’s gambling. The closest record ever recorded was in July 2021, when casinos in the US recorded $4.92 billion.
New Jersey and Michigan performed impressively
In the first quarter of 2022, New Jersey online casinos combined with land-based casinos recorded $401 million in total revenue. Michigan came behind New Jersey after recording a total revenue of $375 in the same period. This was a huge improvement for the Michigan casinos. New Jersey hosts 32 online casinos, but Michigan is home to 14 only. The difference between the two states was only $26 million.
Online betting was the best performer
In March, the US inflation rate was the highest in 41 years, standing at 8.5%. Although the rate dipped to 8.3% in April, the two months recorded the highest increase in goods prices since 1981. The cost of energy in March increased by 32%, while food costs increased by 9.4%. Vehicle prices were up 13.2%, while general consumer prices increased 0.3%, the highest in 16 years.
Despite these, online betting in the first quarter of 2022 recorded the best profits. The casinos recorded a rise in sports wagering by 102.3% to stand at $26.34 billion. In the same period in 2021, the record stood at $13 billion. The first quarter of 2022 recorded revenue growth of 64.6% to stand at 1.58 billion.
Addition of new markets
At the height of the pandemic, the real estate sector in the US was a super performer. As time went by, there was oversupply while demand decreased. Experts foresee a price increase of 5% in 2022, but there is also a higher likelihood of a dip.
The situation is different in the US gambling market because 2021 was the best year for the industry, and 2022 is getting much better. The best winning states in the US casino market were Arkansas which recorded $147.4 million. Florida came second with $182 million and New York first with $996.6 million.
What played a major role in the increase in revenue was the addition of new markets. After many years of struggle, six new markets have been added to the casino industry. New York’s mobile gambling market was added in January 2022. It is only a few months down the line, and the New York one is a stunning performance.
Casinos are still struggling due to a lack of staff
Amid the record profits in Q1 2022, casinos in the US are still struggling with a lack of workers. There are still huge gaps that are yet to be filled. Some of the casinos are opting to import workers from other states to help them meet the rising needs of customers. This shortage hasn’t barred casinos in the US from recording the best profits.