NEW YORK – There have been both winners and losers; however, new competition in surrounding states has been the death knell for casino hotels that have traditionally faced little competition.
While the number of places to gamble has increased, the total size of the gambling market has just barely increased over the five-year period. Nevertheless, rising consumer spending and an increasing amount of foreign travel to the United States has helped bolster revenue. As a result, industry revenue is expected to increase at an annualized rate of 1.9% to $60.0 billion over the five years to 2016.
The industry will benefit from an improving economy and the growing societal acceptance of gambling over the five years to 2021. According to IBISWorld Industry Analyst Andrew Alvarez, “The industry will continue to expand away from its traditional stronghold of Nevada and New Jersey to new states that seek the easy tax revenue stream that gambling provides.” However, alternatives to gambling, such as live entertainment and more interactive video games, will lead industry revenue to increase at a pace just slightly slower than the previous five-year period.