U.S Casino Market Estimated to be worth $93 Billion by 2020
According to advisory and technology Research Company, Technavio, the U.S. gambling market is estimated to be worth $93 billion by 2020. In 2013, research revealed that the U.S. casino industry was estimated to be worth $67 billion. This research included casinos tribal gaming industries and casinos in Las Vegas.
Technavio's predictions for 2020 also include an industry growth of $26 billion in the next seven years all of which will be attributed by specific factors. These include progressive transportation structure, online gambling and the casino's contribution to the U.S. economy. The company also states that revenues from the gambling industry in the U.S. will most likely see a steady growth rate in the next 4 years.
The country's recent economy recovery including the recently revived tourism sector with CAGR growth of 7% have made way for land based casinos in the U.S. However, the company has also stated that online gambling is one particular industry with the most growth potential. Currently, online gambling is only legal in three states, New Jersey, Nevada and Delaware.
The fight for U.S. online gambling industry to be a regulated sector is still a debatable issue in 10 states including the legalization of online poker. However, for revenue growth, Land based casinos are now relying on non-gaming actions. According to recent gambling proceeds, gaming only contributed in the lowest revenues. Last year, Nevada's gaming profits were $24.6 billion, in that revenue only 43.2% came from gambling activities. Land based casinos on the Strip only offered 34.9% in gaming proceeds.
According to Technavio, U.S. casinos are now looking at different way of expanding and acquiring customers. Casinos are partnering with prestigious hotels which offer entertainment and the installations of slot machines at bars and restaurants are just some of the ways casinos are hoping to attract new customers.