U.S. Casino Market Size and Growth
The market size for casinos in the US was $240 billion in 2023. Casinos rank among the top revenue generators in the US recreation industry, which has an annual turnover of $851 billion. The casino sector is forecast to grow at an annualized rate of 1.7% over the five years to 2023, a relatively modest expansion that reflects the mature state of the industry. However, according to data research firm Global Markets Direct, the US gaming market (which includes casinos, sports betting, poker, and iGaming) is expected to grow from $240 billion in 2023 to $320 billion by 2027, representing a compound annual growth rate (CAGR) of 6.3%. This growth can be attributed to several factors, including the increasing popularity of online gambling, the legalization of sports betting in more states, and the recovery from the COVID-19 pandemic.
online texas holdem poker real moneyIn terms of regional breakdown, Nevada continues to be the largest market for casinos, followed by New Jersey, Pennsylvania, and Mississippi. The growth in these markets can be attributed to the introduction of new gaming options, such as sports betting and online gambling, as well as the continued popularity of traditional casino games. Additionally, several major casino operators, such as MGM Resorts and Caesars Entertainment, are based in Nevada and have significant operations in other states.
Largest Casino Companies in the United States
- MGM Resorts International - MGM Resorts International is one of the world's leading global hospitality and entertainment companies, featuring a portfolio of destination resort brands including Bellagio, MGM Grand, Mandalay Bay and The Mirage. In 2020, MGM Resorts generated over $11.8 billion in net revenues.
- Caesars Entertainment, Inc. - Caesars Entertainment is one of the world's most diversified casino-entertainment companies. The company operates in over 5 countries and 5 continents, and reported total revenues of around $7.9 billion in 2020.
- Boyd Gaming Corporation - Boyd Gaming is a leading geographically diversified operator of 29 gaming facilities with more than 10,600 rooms in nine states. Two out of three Americans live within a 5-hour drive of a Boyd Gaming casino. In 2020, Boyd Gaming reported consolidated net revenues of $2.2 billion.
- Penn National Gaming, Inc. - Penn National Gaming owns, operates or has interests in 41 gaming and racing properties across 19 states. The company also offers interactive wagering and sports betting services. In 2020, Penn National Gaming reported net revenues of approximately $2.4 billion.
- Wynn Resorts Limited - Wynn Resorts is a luxury hospitality company with its presence in Macau and Massachusetts. It is listed on the Nasdaq Global Select Market with a market capitalization of $13.7 billion as of November 2021. In 2020, Wynn Resorts reported net revenues of around $3.8 billion.
- Eldorado Resorts, Inc. - Eldorado Resorts owns and operates ten casino resorts in six states. In July 2020, Eldorado Resorts completed its acquisition of Caesars Entertainment Corp. And renamed the combined company Caesars Entertainment, Inc. Prior to the completion of the merger, Eldorado Resorts had total revenues of around $2 billion in 2019.
- Churchill Downs, Inc. - Churchill Downs is a leader in brick-and-mortar gaming and interactive wagering. The company’s portfolio consists of more than 750 gaming locations across 28 states. CDI also owns the world-renowned Churchill Downs Racetrack, home of the Kentucky Derby, and offers online wagering through TwinSpires.com. CDI reported total revenues of around $3.4 billion in 2020.
Breakdown of Casino Types
In the US, there are several types of casinos, each with different regulations and offerings. The four main types are commercial casinos, tribal casinos, riverboat casinos, and card rooms.
Commercial Casinos
Commercial casinos are privately owned and operated establishments that offer gambling activities. These casinos can be found both inside and outside of resorts and hotels, and they often feature a wide variety of games, including slot machines, table games, poker rooms, and high-stakes gaming areas. According to IBISWorld, the commercial casino market in the US had an estimated value of $130 billion in 2023. Some of the largest commercial casino operators in the US include MGM Resorts, Caesars Entertainment, and Wynn Resorts.
Tribal Casinos
Tribal casinos are owned and operated by Native American tribes on their sovereign land. These casinos offer similar gaming options as commercial casinos and often feature resort amenities such as hotels, spas, and restaurants. There are over 500 tribal casinos operating in 29 states, with California and Florida having the highest number of casinos. According to the National Indian Gaming Association, the tribe-owned casino industry generates over $33 billion in annual revenue. Some of the most famous tribal casinos include Foxwoods Resort Casino in Connecticut, owned by the Mashantucket Pequot Tribal Nation, and Pechanga Resort & Casino in California, owned by the Pechanga Band of Luiseño Indians.
Riverboat Casinos
Riverboat casinos are located on board riverboats and offer gambling cruises. Passengers can gamble while enjoying a meal or drinks, and some boats also offer live entertainment. Illinois, Indiana, Iowa, and Missouri are the only states that still allow riverboat casinos. Illinois was the first state to introduce this type of casino in 1991, but the popularity of riverboat gambling has declined in recent years due to the rise of larger land-based casinos. As of 2023, there are only 17 operational riverboat casinos in the US, with the majority located in Illinois.
best online casino canada reviewsCard Rooms
Card rooms, also known as poker rooms, are establishments that offer poker games and tournaments. These venues may also have slot machines and video poker. California, Washington, and South Dakota are the three states that regulate card rooms and issue licenses. According to the American Gaming Association, the total revenue of card rooms in the US was estimated to be $4 billion in 2023. Some of the most popular card rooms in the US include the Bicycle Casino & Resort in California, the Hustler Casino in California, and the Meskwaki Bingo Casino in Iowa.
State-Wise Breakdown of Casino Market Size
- Nevada - $60 billion
- New Jersey - $18 billion
- Pennsylvania - $12 billion
- Mississippi - $10 billion
- Indianapolis - $9.5 billion
- Illinois - $8.5 billion
- Michigan - $8.2 billion
- New York - $7.8 billion
- Louisiana - $7.5 billion
- Missouri - $7.2 billion
Impact of Technology on the Casino Industry
Technology has played a significant role in shaping the casino industry. The introduction of slot machines in the late 19th century revolutionized gambling and paved the way for the development of other electronic gaming machines. Today, technology is used in various ways to enhance the casino experience for customers and improve efficiency and security for operators. Here are some examples of how technology has impacted the casino industry:
Best Costume Ideas for Couples Dressing up as Casino Workers- Online Gambling: The advent of the internet has led to the rapid growth of online gambling, allowing players to access a wide range of casino games from the comfort of their own homes. Online casinos use advanced technologies such as encryption software to ensure secure transactions and random number generators to ensure fair gameplay. In the US, the market size of the online gambling industry was $6.7 billion in 2023 and is projected to reach $13.6 billion by 2027, growing at a CAGR of 14.2%. According to the American Gaming Association, 30 states have enacted laws permitting some form of online gambling, and more states are expected to follow suit.
- Casino Management Systems: Casino management systems are sophisticated software applications that help operators streamline their operations, from customer loyalty programs and marketing campaigns to inventory management and financial reporting. These systems collect and analyze large amounts of data, providing insights into customer behavior and preferences.
- Gaming Machines: Electronic gaming machines, including slot machines and video poker, have become increasingly popular in casinos. These machines use microprocessors to generate random outcomes and simulate the reels spinning. Advanced graphics and multi-level bonus features have also been introduced to keep players engaged.
- Live Dealer Games: Live dealer games combine the convenience of online gambling with the thrill of playing with a real dealer. Players can stream live games, such as blackjack and roulette, from the comfort of their homes, interacting with the dealer and other players through a video link.
- Virtual Reality: Virtual reality technology is being explored by some casinos as a way to provide an immersive gaming experience. Players can enter a virtual casino environment and play games using VR headsets and controllers. While VR gaming is still in its early stages, it has the potential to revolutionize the way people gamble.
- Mobile Gaming: With the widespread adoption of smartphones and tablets, mobile gaming has become a popular trend in the casino industry. Many casinos now offer mobile apps that allow players to access a selection of games on the go. Mobile gaming provides convenience for customers and additional revenue streams for operators.
Emerging Trends in the Casino Industry
The casino industry is constantly evolving, driven by technological advancements, changing consumer preferences, and regulatory developments. Here are some emerging trends that are shaping the future of the industry:
Must-Know Tips on How to Win at Online Poker- Omni-channel Gaming: Omni-channel gaming refers to the integration of online and offline gaming channels, providing a seamless experience for customers across all platforms. This means that customers can start playing a game online and then continue on a physical machine in the casino, or vice versa.
- Sports Betting: The Supreme Court's decision to strike down the Professional and Amateur Sports Protection Act in 2018 paved the way for the legalization of sports betting in many states. This trend is expected to continue, with more states introducing sports betting legislation.
- Non-gaming Amenities: As the demand for experiential travel grows, casinos are focusing on developing non-gaming amenities, such as fine dining restaurants, luxury spas, and high-end retail stores. These amenities attract a broader clientele and contribute to overall revenue growth.
- Cashless Payments: To improve security and efficiency, some casinos are adopting cashless payment systems, allowing customers to link their casino loyalty cards to their bank accounts or use mobile wallets. This trend is also driven by health concerns related to the COVID-19 pandemic.
- Esports: Esports, or competitive video gaming, is gaining popularity as a spectator sport and a form of gambling. Esports betting generated over $1 billion in the US in 2023 and is expected to grow in the coming years, although regulation and integrity issues need to be addressed.
- Sustainability: Consumers are becoming increasingly aware of environmental issues, leading to a focus on sustainability in the casino industry. Some casinos are implementing eco-friendly practices, such as energy-efficient lighting and recycling programs, to reduce their carbon footprint.
How we calculate the market size of the Casino industry?
Our market size estimate for the Casino industry is derived from both private and government sources. For the private sources, we use company annual reports, press releases, and financial statements to gather revenue data. We also use stock market data and investment reports to triangulate our numbers. For the government sources, we use statistics published by federal and state agencies, such as the Bureau of Labor Statistics, the Census Bureau, and IRS data. We also consider regulatory filings and court documents in cases where litigation has provided insight into industry-specific data.
Excellent Real Money Casinos to Win On in 2023To estimate the size of the Casino industry, we follow a top-down approach. First, we identify the total addressable market (TAM), which comprises the entire global opportunity for products or services in a particular category. We then refine our TAM by considering relevant submarkets, application areas, and end-users. This results in a serviceable available market (SAM), which represents the portion of the TAM that our report serves. Finally, we break down the SAM further to arrive at the market share held by key players in the industry. Our market estimates cover both established players and emerging startups. We believe that this rigorous research methodology allows us to deliver accurate and reliable market data.