If sports betting does not go to New York, New York goes to where betting is. In what is known as sports betting tourism, New Yorkers are flocking to the right next door state of New Jersey for betting.
New Yorkers, while coming from a state where sports betting is banned, place bets in a state that has legalized sports betting. They can do this as the GPS or the smartphone geolocation software shows them to be in New Jersey.
Sports betting was legalized in 2018 in New Jersey
The U.S. Supreme Court reversed the sports betting ban in 2018, and since then, the Garden City has emerged as one of the top states to have legalized sports gambling. New Jersey enjoyed a staggering $4 billion in sports bets revenue in 2019 alone.
Transit hubs including Newark, Jersey City, and Hoboken are the destinations that a majority of New York gamblers are heading to in the state.
While tourism and gaming industry experts speculate that New Jersey’s dominance with respect to sports betting may end in the near future, the state’s prominence is more than evident currently.
N.J. takes second place while Nevada tops the list as far as sports betting revenues are concerned. The sports betting market in N.J. has grown consistently throughout the year while it witnessed record-breaking revenues in November and December with half a billion being wagered. This brought in significant tax income apart from introducing a safe and competitive landscape for operators and players.
Sports betting promotion in transit hubs
Multiple DraftKings ads can be seen in Hoboken NJTransit station, plastered on fences between trains and on walls. This is one of the graphic reminders of how sports betting has grown in New Jersey and the importance of promoting it in transit hubs that connect New York to the Garden City.
The PATH station is the first stop in Hoboken, New Jersey after the train picks up people from five stops across Manhattan, which is the wealthiest potential market in the country.
New Yorkers on this train walk across to sports betting venues like Texas Arizona to place online bets and to watch games. The sports bar is located right across the Hoboken PATH train. Sports betting tourism mostly takes place during the weekends, particularly in the football season.
FanDuel admitted to a news agency that 22 percent of online bets are from New York. FanDuel is one of the top online sportsbooks in New Jersey and even offers a shuttle to its Meadowlands racetrack from the Port Authority bus terminal in New York.
In New Jersey, it is mandatory for betters to be within the state lines to place online bets. N.J. sportsbooks have geolocation software to ensure people placing bets are in state lines.
New York may soon legalize sports betting
While New Jersey continues to make considerable money out of this sports betting tourism, experts think that New York is losing money. Others predict that the sports betting windfall in New Jersey may not last forever with New York considering legalizing sports betting. While this is a matter of time, the Garden City’s juggernaut will continue until that happens.