Atlantic City, long known as one of the premier gaming destinations in the United States, is experiencing a renaissance. With significant developments, including the introduction of live table games at DraftKings Sportsbook in Resorts Casino Hotel and record-breaking revenue figures in 2023, the city’s casino industry is thriving.
DraftKings Sportsbook at Resorts Casino Hotel: Live Table Games Revolution
In a significant move that underscores the evolving nature of gaming, DraftKings Sportsbook at Resorts Casino Hotel in Atlantic City has launched live table games. This addition marks a new chapter for the sportsbook, which is located in a prime position on the casino floor, directly across from Bar One.
The integration of live table games within a sportsbook environment is a noteworthy trend in the gaming industry. Traditionally, sportsbooks and casino table games operated in separate spaces, but the merging of these experiences reflects a broader shift towards creating more dynamic and immersive environments for patrons. For DraftKings, a leader in the sports betting market, this move could attract a broader audience, including both sports bettors and traditional casino gamers, thereby enhancing the overall customer experience and driving increased revenue.
The strategic placement of these table games—right in the heart of the casino floor—ensures maximum visibility and accessibility. This positioning not only draws in seasoned players but also entices newcomers who might be intrigued by the lively atmosphere of a sportsbook combined with the excitement of live table games. The proximity to Bar One further enhances this experience, offering players a seamless blend of gaming and socializing.
Mohegan’s Departure: A Major Shift in Management
Another significant development in Atlantic City’s casino scene is the upcoming departure of Mohegan as the management company for Resorts Casino Hotel. Mohegan has announced that it will end its management agreement at the end of 2024, marking the conclusion of a 12-year partnership that began in 2012.
This partnership was not just a management agreement but also involved Mohegan acquiring a 10% ownership interest in Resorts. Over the years, Mohegan’s management has played a crucial role in steering the casino through various challenges and helping it carve out a niche in Atlantic City’s competitive market.
The end of this agreement raises important questions about the future direction of Resorts Casino Hotel. Will new management continue on the path laid out by Mohegan, or will they introduce fresh strategies to further differentiate the casino? Additionally, with Mohegan stepping away, there could be opportunities for new partnerships or investments that could shape the next chapter in the casino’s history.
Atlantic City’s Record-Breaking Revenue in 2023
The year 2023 has been a banner year for Atlantic City’s casinos, with the industry generating $467 million in gross gaming tax revenue. This figure represents a nearly 12% increase over the previous record set in 2006, according to the 2023 Impact: Atlantic City Casino Industry report by the Lloyd D. Levenson Institute of Gaming, Hospitality, and Tourism at Stockton University, in collaboration with the Casino Association of New Jersey (CANJ).
This impressive revenue growth can be attributed to several factors. First, there has been a resurgence in tourism as people return to travel and leisure activities post-pandemic. Atlantic City, with its array of gaming options, entertainment, and dining, has successfully capitalized on this trend. Second, the expansion of gaming options, including the introduction of new table games and the integration of sportsbooks, has likely played a role in attracting a more diverse crowd of visitors.
Moreover, the record revenue figures highlight the resilience of Atlantic City’s casino industry. Despite facing challenges such as increased competition from neighboring states and the economic uncertainties of recent years, the industry has not only recovered but also surpassed previous performance benchmarks. This resilience is a testament to the strategic decisions made by casino operators and their ability to adapt to changing market conditions.
Financial Contributions and Capital Investments: A Year of Growth
The financial contributions of Atlantic City’s casinos in 2023 have been substantial. In addition to the $467 million in gross gaming tax revenue, the industry also reported $3.32 billion in net revenue. These figures reflect the robust health of the industry and its significant role in the local economy.
Casino operators contributed a total of $681.95 million in taxes and fees in 2023. These contributions are crucial for supporting public services and infrastructure in Atlantic City and the surrounding areas. The taxes and fees generated by the casinos help fund everything from education and public safety to tourism promotion and community development projects.
Beyond their tax contributions, Atlantic City casinos also made significant investments in their facilities. In 2023, operators spent $258 million on capital improvements—the highest level of investment since 2008. These investments are vital for maintaining the competitiveness of Atlantic City’s casinos, ensuring that they can offer state-of-the-art facilities and a premium experience to visitors.
The capital improvements made in 2023 likely include a range of upgrades, from renovating hotel rooms and gaming floors to enhancing dining and entertainment options. Such investments not only attract new visitors but also encourage repeat business, as customers seek out the best possible experience during their stay.
Insights from the 2023 Impact Report
The 2023 Impact: Atlantic City Casino Industry report by the Lloyd D. Levenson Institute of Gaming, Hospitality, and Tourism, in collaboration with the Casino Association of New Jersey, offers valuable insights into the state of the industry. This report is an essential resource for understanding the broader trends and challenges facing Atlantic City’s casinos.
One of the key takeaways from the report is the sustained growth in gaming revenue. This growth is not only a reflection of increased visitor numbers but also of the strategic expansion of gaming options. The report highlights how casinos have diversified their offerings, integrating new technologies and entertainment experiences to appeal to a broader audience.
The report also underscores the economic impact of the casino industry on Atlantic City. In addition to generating significant tax revenue, the casinos are major employers in the region, providing thousands of jobs and supporting local businesses. The industry’s contributions to tourism are also noteworthy, as casinos serve as a major draw for visitors from across the country and around the world.
The report offers a cautiously optimistic outlook for Atlantic City’s casinos. While the industry faces ongoing challenges, such as competition from other gaming destinations and potential regulatory changes, there are also opportunities for growth. The report suggests that continued investment in innovation and customer experience will be key to sustaining the industry’s momentum in the years to come.
The Future of Atlantic City’s Casino Industry
As Atlantic City’s casino industry continues to evolve, there are several factors that will shape its future. One of the most significant is the ongoing competition from other gaming hubs, both within the United States and internationally. To remain competitive, Atlantic City casinos will need to continue innovating and offering unique experiences that cannot be easily replicated elsewhere.