Rhode Island’s Autumn Online Casinos Surge

Rhode Island’s online casino industry is experiencing remarkable growth, with August's revenue increasing by 14.2% from the previous month. According to data from the Rhode Island Lottery, the state’s iGaming sector has posted consistent revenue increases since its launch in March 2024. As this new market expands, the data suggests that Rhode Island is quickly becoming a notable player in the U.S. online gambling landscape.

 

A Steady Climb in Revenue

Rhode Island’s iGaming revenue started at $1.2 million in March, nearly doubling to $2.1 million by April. This growth continued with an 8.3% increase in May and smaller gains of 3.5% in June. July marked a significant jump of 11.3%, bringing total revenue to $2.6 million. By August, revenue had reached nearly $3 million, marking a 14.2% rise from the previous month.

Online slots were the primary driver of this double-digit growth in August, with slot game revenue growing by 19% compared to July. This pushed slot revenue past the $2 million mark for the first time since the platform's launch. Table games also showed strong performance, generating more than $800,000 in both July and August, with a slight increase to $839,637 in August.

Despite these positive signs, there are questions about whether this momentum can be sustained as the market matures. Rhode Island’s fiscal year began in July, making the next 10 months critical in determining the long-term growth and stability of the state’s iGaming sector.

Rhode Island’s rapid growth mirrors broader trends across the U.S. In August 2024, legal online casinos across seven states generated more than $690 million in revenue, with annual growth rates of over 30% in several states. Pennsylvania led the pack with nearly $225 million in revenue, a 30.9% increase from the previous year. New Jersey and Michigan followed closely, both recording revenue around $198 million and $196 million, respectively, each seeing year-on-year growth close to 30%.

Smaller states also posted impressive numbers. Delaware’s online casino revenue grew by a staggering 419% year-on-year, while West Virginia saw a 76.5% increase. Connecticut also showed strong growth with a 42.9% rise. Rhode Island’s performance, while not directly comparable since it launched its iGaming operations only this year, is remarkable in its own right, with August revenue nearing $3 million.

 

Future Growth: The Road to $4 Million?

Analysts are watching Rhode Island to see if its iGaming revenue can continue to rise at this pace. The state is expected to surpass $3 million in monthly revenue within the next two to three months. A further milestone of $3.5 million in March 2025 is possible, given that March is typically the strongest month for U.S. online casino revenue.

At the current rate of growth, Rhode Island’s online casino market could potentially hit $4 million per month by the end of 2024. However, maintaining this trajectory will depend on expanding the player base and offering competitive gaming options to keep users engaged. As the market matures, growth may slow, but Rhode Island’s performance so far suggests a promising future.

 

 

Conclusion

Rhode Island’s impressive growth in online casino revenue reflects the larger national trend of iGaming expansion. While the state is small compared to heavyweights like Pennsylvania and New Jersey, its month-over-month growth suggests a strong demand for online gambling. As Rhode Island heads into the next fiscal year, the challenge will be sustaining this rapid growth and navigating the complexities of a maturing market. For now, Rhode Island’s online casino industry is thriving, and all signs point to continued success.