Gambling revenue in the US breaks records second year in a row

The United States gambling industry is on the upswing for the second year in a row, the latest American Gaming Association’sCommercial Gaming Revenue Tracker data revealed. In 2022, the country’s commercial gambling sector was able to hit $60bn in total gross gaming revenue (GGR) a 13.9% gain year-over-year, with all verticals in the industry progressing steadily.

This is ahead of the $51bn in GGR reported a year earlier, in 2021. In terms of specific verticals, slot revenue in 2022 stood at $34.19bn, gaining 5.1%. Table games soared by 13.9% to $10bn, and iGaming GGR was posted at $5.02bn for the full year, up 35.2%. The biggest winner, though, was sports betting, which brought in $7.50bn in GGR, up 72.7% from a year before.

The mass legalization of sports gambling across the country has paid off, driving results, and engaging more customers throughout the year. Results in the fourth quarter of 2022 were also very strong. AGA reported $15.85bn in total GGR in Q4 2022. Sports betting revenue reached $2.54bn, up 63.3% year-over-year, one of the biggest throughout the year.

Interactive and online gaming options, iGaming, also did well with GGR hitting $1.39bn or up 28.2% from Q4 2021. The developments were welcomed by AGA President and CEO Bill Miller who hailed the significance of 2022 as a particularly strong year for the industry and markets.

Miller emphasized that the success was indicative of the fact that US customers were actively seeking and choosing regulated gambling options over the illegal market, a jab at a recent proposal to prohibit the advertisement of gambling products in the country. Miller said:

"Simply put, American adults are choosing casino gaming for entertainment in record numbers, benefitting communities, and taking market share from the predatory, illegal marketplace."

Taking a closer look at the available verticals and mode of engagement, AGA reported that 80.5% of the GGR still came from retail gaming, with online gaming contributing 19.5% of the total. The association had more interesting data, including the number of American adults to have visited a gambling property in 2022. Some 84m did, AGA explained, representing 34% of the country’s adult population.

New markets such as Nebraska and Virginia also did well in the traditional gaming vertical. In terms of sports betting, the total betting handle collected by sportsbooks in 2022 reached $93.2b, one of the highest on record. This fueled the record-setting $7.5b full-year revenue, with mobile betting markets taking off in places such as Maryland, New York, and Louisiana.

In terms of interactive online casinos, the segment did very well as well. Miller said that there were still some microeconomic challenges to be mindful of, but remained certain that the industry will continue to carry the momentum in 2023.

There have already been new sports betting launches in 2023, which should give the industry an additional nudge along the way as it seeks to improve on last year’s results. The full breakdown of the 2022 market can be read on AGA’s official Commercial Gaming Revenue Tracker page.

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