There is no argument that can discredit the fact that New Jersey is among the best performing gambling markets in the United States. Last year, the Garden State managed to raise revenues of $6 billion from the gambling sector alone. Industry experts consider the NJ market as a cheaper and more convenient alternative to the traditional Las Vegas since it brings to the forefront a gambling scene that is to a great extent supported by technology.
While it appears that every big name in the provision of betting services is rushing to set up in New Jersey, the truth is that the market is not yet congested. The latest entry into this market is Esports Entertainment Group; the brand has already opened an operations office in Hoboken as it awaits gaming launch.
Shareholders of Esports are in for a profit surge as the company enters a company that many other players consider successful. Speaking at a shareholders meeting recently, the CEO, Grant Johnson, revealed that the company was in the last stages of preparing for a grand entry into the NJ betting market.
The gaming brand for sure looked into and selected a profitable market to penetrate. For the current management under whose watch this happened, this is a legacy that will leave a mark in the history books. It makes sense why the CEO and his team are treading carefully to ensure that they get all the necessary documentation before they can finally open their doors to business.
The gaming brand has already applied for a gaming license from the state authorities and all they can do at the moment is touch up on everything other than actual trading. All the interested investors that have expressed an interest in entering the market in the past have been welcomed gladly and Esports is no different. This is the reason for solidifying a brand presence for Esports ahead of the actual issuance of a license of operation.
At the meeting which was more like an update session for stakeholders on the direction that Esports was taking to expand it gambling business, the operator announced the opening of a new business premises in Hoboken. The CFO of the company, Dan Marks, will be based in Hoboken as the Head of Office as per the requirements issued to the brand representatives by the Division of Gaming Enforcement (DGE).
With revenue of $6 billion in 2020, the state of New Jersey reported an increase in performance from $4.5 billion collected in 2019. Multiple factors are responsible for this significant increase in the revenue figures but top on the list is the Covid-19 pandemic. The rapid spread of the novel virus caused lockdowns in various locations around the world.
Movement restrictions meant that many people stayed home and spent long hours moving around the same space. With nothing to do and a lot of time on their hands, a large number turned their focus on online gambling.
The world has since begun returning to normal and this means that there will be a large group that will forget gambling as they resume their busy schedule at home and school. Although this means that the $6 billion revenue might be impossible to replicate, the growth witnessed around the state will probably lead to revenues higher than $4.5 billion.
Johnson feels that the company is ready to compete among the best in the industry and is confident that the profits are soon starting to stream in. At the time of speaking with the company’s shareholders, the person at the helm of Esports assured the company owners that gambling operations would soon start in the state.
Esports made and submitted their application in May 2021 and the New Jersey DGE confirmed to have formally received it. Johnson announced that his team was ready to roll out into the new location and is waiting for approval for the application they made for a transactional waiver. Upon receiving the transactional waiver, Esports will be open to taking live bets within the state.
The big break in gambling in the United States came in 2018 after a high court ruling allowed all the states to legalize betting. Over time, the individual states have been independently appending the ruling or customizing the law to suit them. At the front of the race to a regulated gambling market has been New Jersey which is currently enjoying the spotlight as the top gambling market in the country.
Mark the CFO considers entering the NJ market as the first step towards business success for his company. He is eager to take advantage of the new opportunity provided before them to scale the business into other jurisdictions around the US. Like some of the players that came before them, Mark can expect to see the fruits of their hard labor in a few months.
The Esports stable has been able to build a solid reputation in all the other markets it has been operating in. This is without a doubt the leverage they are bringing to the New Jersey market and the US at large. The only thing that holds them back right now is the license from DEG which is yet to be issued. In spite of that, the brand is ready with a working platform and a welcome package that is designed specifically to woo new gamblers.
According to the results of a study conducted by data firm Interpret, more than half of all Esports fans in the United States are looking forward to experimenting with sports betting. For Esports to bring a much anticipated product at its doorstep is a great achievement in the business sense. Since there is a bit of demand already within the existing market, the management of Esports can move forward in the hope that the rest of the market is going to join in.