Optimism in New Jersey Despite Early Low Revenue
Despite poor results from the first six weeks of New Jersey regulated online gambling, there is optimism that things will pick up. There is hope that when marketing initiatives are stepped up, combined with an acceptance from major US banks and credit card companies to actually process transactions, that things will pick up. The largest initial stumbling block is the fact that many online casino and poker players in the three legalized states are finding it extremely difficult to deposit funds, with credit card companies such as J.P Morgan, Amex and the Bank of America stating that they cannot and will not process deposits to online casinos, even though these online casinos are regulated in their respective states. There is also the fact that many residents of Nevada, Delaware and especially New Jersey are still in the dark about what's going on and maybe that when marketing campaigns take off, so will public awareness.
Tom Pohlman, VP and General Manager at the Tropicana is optimistic that things will take a turn and banks will eventually play ball and take a look at their policies regarding the online gambling industry, instead of players having to make cheque and even cash withdrawals at the physical casino. Pohlman stated that industry wide it is believed that around 70% of Visa and 25% of MasterCard transactions are all being declined. There are alternative payment methods for players and Skrill, formerly Moneybookers has been granted permission to facilitate payments, however it may take some time before players start, or consider to start using that method. Marketing has really yet to kick in and partnership deals are being signed, which will help awareness issues, and this is where the optimism stems from. It may take some time and those initial predictions regarding revenue from New Jersey may look way out at the moment, but should the banks smooth things out and marketing take hold maybe those numbers may start to look a little more realistic.