Indiana State Regulator “Online Gambling not a Problem for Land-based Casinos”
A report conducted by gambling economics experts Spectrum Gaming Group, conducted on behalf of the Indiana Gaming Commission, has revealed that the presence of an iGaming marketplace in the ‘Hoosier’ state would generate substantial revenue, without undermining the income of bricks-and-mortar casinos.
The study was co-ordinated in order to allay the frequently held fear that the creation of an online gaming sector would inevitably cause migration of players away from traditional casino establishments. Indeed, the coronavirus pandemic may have served to direct traffic towards iGaming platforms during the lockdown period, but there is plenty of evidence to suggest a significant bulk of players have returned to gaming halls in the months since. For example, in Pennsylvania, land-based casinos presided over a GGR figure of $3.2bn, just $54m short of the revenues delivered in the last full trading year prior to the COVID-19 crises.
Although no concrete plans are in place for Indiana to establish an iGaming industry, Senator John Ford (Republican) has already declared his intention to file an online gambling proposal ahead of the next legislative session in 2023. If Ford’s bill is successful, Spectrum Gaming believe that the state, by year three of trade, would see operators earning $836m via iGaming applications.
The first state to establish an online gaming space was New Jersey, legalizing its market in 2013, before a further five states embraced the opportunity in the following years. Given the general consensus regarding potential deflection from casino facilities, iGaming has failed to get anywhere close to the level of receptiveness enjoyed by the United States’ nascent digital sportsbook sector. Nevertheless, three of the six states who have taken the plunge, are now amassing over $1.1bn in gross gaming revenue each year.
In their analysis, Spectrum Gaming also emphasised the employment benefits of introducing iGaming, claiming thousands of jobs would materialise as a consequence of inviting commercial online operators into the state.
