Posted on: April 3rd, 2025 by wade
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As online gambling continues its rapid expansion across the United States, Atlantic City’s traditional land-based casinos are facing mounting challenges in maintaining their market share. Once known as the country’s premier casino destination, Atlantic City now finds itself contending with the growing popularity of online casinos, which have gained significant traction, particularly since the onset of the COVID-19 pandemic.
While Atlantic City’s casinos have seen some recovery in the wake of the pandemic, the rise of digital gambling platforms has added a new layer of competition that threatens to disrupt the city’s casino industry. Online gambling, which became legal in New Jersey in 2013, has experienced exponential growth in recent years, offering players the convenience of accessing a variety of games from their homes or mobile devices. With more states moving to legalize online gambling, the pressure on Atlantic City’s brick-and-mortar casinos is intensifying.
Online Gambling Continues to Soar
In 2023, New Jersey’s online gambling market generated over $1.6 billion in revenue, an all-time high. This surge is attributed to the increasing number of online platforms offering slots, table games, poker, and sports betting, alongside the continued advancements in technology that enhance the online gaming experience. Mobile apps and websites allow players to enjoy a wide variety of games without leaving their homes, and many platforms offer attractive bonuses and promotions, which draw players away from traditional casinos. The COVID-19 pandemic played a pivotal role in the growth of online gambling, as lockdowns and social distancing measures pushed consumers to seek alternative entertainment options. While land-based casinos have recovered as restrictions eased, online gambling has continued to thrive, with New Jersey seeing consistent year-over-year increases in digital gaming revenue.
The Struggles of Land-Based Casinos
For Atlantic City’s land-based casinos, the competition from online platforms has been particularly challenging. Despite efforts to modernize and attract younger audiences with new amenities, events, and renovations, traditional casinos have seen a decline in foot traffic and overall gaming revenue. According to reports, total casino revenue in Atlantic City for 2023 was up by 10% from the previous year, but land-based casino revenue has remained largely flat, suggesting that the increase is primarily driven by online gambling.
Some of Atlantic City’s iconic casino operators, such as Borgata and Caesars, have attempted to bridge the gap by launching their own online gambling platforms, but even these efforts have not been enough to counter the broader shift toward digital gaming. While these platforms can help generate additional revenue, they still face stiff competition from independent online casinos and national operators that are drawing players away from Atlantic City’s land-based properties. “The shift to online gaming is undeniable,” said John Smith, a gaming analyst based in Atlantic City.
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“Land-based casinos are struggling to adapt to the digital age, and while some operators have been able to establish strong online presences, it’s clear that the convenience and variety of online gambling are appealing to a broader demographic, especially younger players.”
The Changing Demographics of Gamblers
Another factor contributing to the struggles of land-based casinos in Atlantic City is the changing demographics of gamblers. Younger generations, who have grown up with smartphones and digital entertainment, are far more likely to engage with online casinos than their older counterparts, who are more inclined to visit traditional brick-and-mortar venues. As the gaming landscape evolves, casinos must adapt to these shifting preferences or risk losing a significant portion of their customer base.
In response, some land-based casinos are exploring hybrid models that blend online and in-person experiences, such as offering exclusive promotions for players who also gamble online. Others are investing heavily in entertainment and non-gaming experiences, such as concerts, luxury hotels, and fine dining, to entice visitors to stay longer and spend more during their visits.
The Future of Atlantic City Casinos
Despite the challenges posed by online gambling, many industry experts remain optimistic about the future of Atlantic City’s casino industry. While digital gaming continues to grow, land-based casinos still offer experiences that cannot be replicated online, such as live entertainment, the social atmosphere of the casino floor, and high-stakes table games. The key for Atlantic City’s casinos will be finding a balance between maintaining their traditional offerings while embracing new technologies to meet the demands of modern gamblers. Many believe that integrating online platforms with land-based operations could be the answer, allowing casinos to capture a larger portion of the digital gambling market while continuing to attract visitors to the iconic Atlantic City boardwalk.
As the competition between online and land-based casinos intensifies, Atlantic City’s operators are under increasing pressure to innovate and adapt. While the digital shift has undoubtedly impacted the city’s gaming industry, its long-standing reputation as a hub for entertainment and gaming means that it will continue to evolve in order to compete in an increasingly digital world.
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