New AGA Report Shows Just How Good October Was for Gaming Industry
We didn't have to look far to see just how good the month of October was for the legal sports betting industry in the US. State-after-state reported record handles thanks to an unprecedented menu of sports betting opportunities during the month and the relaxing of some of the COVID lockdowns that had been plaguing the industry for months.
The latest proof came from a report by the American Gaming Association (AGA). They published the latest edition of their Commercial Gaming Revenue Tracker report on Tuesday, and they revealed what we already knew - that October was unlike any other month ever in the US legal gambling space. The report provided more positive signs that the US legal betting industry has shaken off the effects of COVID-19 and is ready to enter 2021 with a bang.
About the Report
AGA’s Commercial Gaming Revenue Tracker provides state-by-state and nationwide insight into the U.S. commercial gaming industry’s financial performance. Monthly updates on AmericanGaming.org feature topline figures based on state revenue reports while quarterly reports provide a more detailed analysis covering the three previous months.
The Report
The AGA's Commercial Gaming Revenue Tracker report showed that commercial gaming in the US jumped 6.3% from September to October. There are now 19 states and Washington, D.C., that offer legal sports wagering with six states in the process of getting their own platforms launched and four more states that have legislation pending.
Gaming revenues hit an astounding $3.38 billion in October according to the AGA. Sports betting and iGaming in the states of Colorado, Iowa, New Jersey, Ohio, Pennsylvania, and South Dakota were identified as main drivers for the surge in revenues – each easily bested their previous record hauls and contributed to the October totals.
Commercial gaming also showed a slight increase in October, rising 6.3% from September, which is further proof that the industry is making its way back to health after a COVID-19 affected year. With retail casinos bouncing back, and mobile betting sites reaching new heights, the AGA report continues to point to strong growth in the industry going forward.
Sports’ Contribution
October's betting revenues were bolstered by an unprecedented sports betting menu. During October, both college and pro football dominated the betting platforms, along with playoff action in both the NBA and MLB, as well as some European soccer action.
The AGA report doesn't shy away from the impact of sports betting on the health of the industry on the whole. The reports stated: “October is likely to be the strongest month for legal sports betting in US history as Americans wagered at least $2.82bn on sports across 17 states and the District of Columbia. (This number is expected to surpass $3bn upon the release of the October revenue report for Illinois – the fourth largest market in September.)
“Along with a likely record handle, the quickly growing US legal landscape also reached record revenue, with an all-time high combined hold of at least $237.5m, including first bet offer and promotions. That equals a gain of 53.5% over the previous record month, October 2019.”
Year-over-year, the US National sports betting handle through the first 10 months of 2020 is up 48% from the same period last year, despite the sporting world being shuttered for a few crucial months in the spring. Revenues for the period between January-October, 2020 were up 33%.
Recovery Is the Theme
Recovery doesn't happen overnight. But industry analysts are comfortable saying that the legal betting industry is on a strong path to that elusive recovery-period, mostly due to the fact that October was the sixth straight month of industry handle and revenue upticks. Retail showed strength and mobile betting has been off-the-charts the last half-year.
All but four of the legal gambling jurisdictions in the US reported handle increases in October – all followed up on similar record-numbers in September. Those outlying states that didn’t see a spike in October have reported higher year-over-year totals which further suggests the industry has shrugged off its funk and is in full "recovery-mode".
All Despite...
COVID-19 is still raging out of control and threatening to shutter all brick-and-mortar facilities once again. The industry however now has eight-months experience on how to deal with the global pandemic.
Sports leagues have managed to avoid another shutdown, so far, and with the COVID-19 vaccine here, the legal betting industry, like the whole world seems to have dodged a bit of a bullet. The industry has proven strong and to be one of the few COVID-proof businesses in the nation. The AGA is expecting continued positive reports – no reason to doubt them based on what has happened in their industry in 2020
