US iGaming Revenue Crosses $66.5 Billion in 2023

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US casinos and online gaming and betting platforms have contributed to a massive $66.5 billion in revenue in 2023. The figure smashes the record from the previous year by as much as 10%, according to a new report published by the American Gaming Association. Here is more on US iGaming revenue.

The period marks the third consecutive year that the US gaming industry has secured record amounts of revenue. With more states that have traditionally held a conservative stance towards gaming lifting some of their preexisting prohibitions, the overall size of the gaming market in the United States has been on a steady upward trajectory. States like Kentucky, Maine, Massachusetts, Nebraska, and Ohio all launched new sports betting markets in 2023.

Accordingly, the number of people visiting casinos also increased, thanks to the higher spending on marketing and customer acquisition. Overall, 41% of all American adults visited a casino in 2023, amounting to a staggering 102 million people in all. The number of casino visitors has increased from 34% recorded in 2022.

However, it is important to note that visitation levels are still yet to cross their peak at pre-pandemic levels, when the visitation rate stood at 44% of all American adults in 2019. Notably, the average age of gamblers is also leaning towards the younger end of the spectrum, as the average age of casino visitors dropped to 42 years old, eight years down from 50 years old in 2019.

Industry executives and experts believe that the revenue figure points to the newfound strength of the gambling industry in the United States. Brendan Bussmann, whose firm B Global creates gaming and hospitality solutions for the industry said: “It shows gaming is a mainstream form of entertainment across the country and continues to grow and persevere through various economic forces.”

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US Sports Betting Continues to Grow

Wagering on sports in some form or another is currently legal in 38 states across the country, in addition to Puerto Rico and Washington DC. Overall, sportsbooks have gained $10.92 billion in revenue — a massive, unprecedented 44.5% increase over the previous record, which was set in 2022. Throughout 2023, bettors wagered $119.84 billion on games of their choice, a jump of 27.8% from the previous year.

Top honors for America’s sports betting leader goes to New York, with the state racking in more than $1.69 billion on its own. The state is also home to the casino property with the highest gross revenue outside of Nevada: Resorts World in Queens. This casino single-handedly generated just under $1 billion in gaming revenue, matching the overall sports betting revenue generated by some other states.

In contrast, both New Jersey and Illinois earned a little over $1 billion in sports betting revenue each, ranking them second and third respectively. Surprisingly, the country’s historical gambling capital Nevada stands in 10th place for sports gambling, earning only a relatively leaner $481.3 million from sports betting in 2023.

US Online Gaming Revenue Spikes From 2022

Mobile casino games, or iGaming, are legal only in six states in the country. However, they generated $6.7 billion in revenue — an increase of 22.9% over 2022. Interestingly, in-person gaming contributed to more than 75% of the country’s gross gaming revenue, amounting to around $50 billion.

While online gaming only held 25% of the market, their overall contribution stood at $16.43 billion. Slot machines dominated the in-person casino space in terms of pure revenue generated. The game One Armed Bandits brought in a remarkable $35.3 billion in revenue.

According to David Forman, Vice President of Research at the American Gaming Association, gaming revenue is up 50% since before the pandemic. He attributes the growth to the expansion of legal sports betting since 2018, as sportsbooks typically attract a younger demographic to the nation’s 1,000 casinos.

Once in the casinos, players have demonstrated a tendency to try out different games, apart from what they initially based their visit around. “Gaming revenue growth has been on an incredible run,” Forman said. The revenue figure from 2023 does not include the revenue brought in from Native American Casinos. According to some estimates, Native American establishments generate an estimated $45 billion in revenue. Overall, 2023 was a landmark year for the casino industry in the United States of America.

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About the Author
Nikhil Kalro

Nikhil Kalro

Nikhil Kalro is a sports betting writer at Gaming Today. With an interest in strategy and mathematics, applying that to sports writing was the natural progression. Nikhil’s previous experience includes working with ESPN for five years. His specializations include soccer, football, basketball, tennis, and esports betting.

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