New Report Evaluates Impact of iGaming on Indiana Economy, Casinos and Consumers
Washington D.C. – January 19, 2022 – A new study shows that the state of Indiana would raise nearly $500 million in new tax revenues if it enacts HB 1356 introduced last week by Representatives Douglas Gutwein (R-Francesville) and Ethan Manning (R-Denver). The research, commissioned by iDEA Growth (iDevelopment and Economic Association) and the Casino Association of Indiana (CAI), evaluates the market potential of iGaming in Indiana and offers regulatory guidelines used by other states that have already made it legal. The report’s data and analysis, composed by Global Market Advisors, helps the legislature understand the positive impact that legalizing iGaming will have in Indiana, including increased tax revenue, strong consumer protections for Indiana’s bettors, all to the benefit of the state’s thriving land-based gaming operations.
“Indiana already has the experience and infrastructure in place through online sports betting to support iGaming,” says John Pappas, iDEA’s State Advocacy Director. “Without even realizing it, Indiana consumers are using illegal online gaming sites that provide no consumer protections and zero state tax revenue. The state’s lawmakers can meet consumer demand by establishing a legal, competitive market that benefits the state economy and protects online players with regulatory safeguards.”
The report details the Indiana iGaming market potential, including:
- Under the proposed 2022 Legislation with an 18% tax rate, the iGaming market is projected to generate approximately $500 million in new gaming tax revenue for the state over the next five years – revenue that could be used for a number of important pursuits being explored by the Indiana General Assembly this year.
- In looking at existing iGaming market performance, iGaming revenues supplement, rather than supplant, land-based casino revenue in these markets.
“iGaming in Indiana will modernize our industry and keep us competitive with our neighboring states that seek to extract Hoosier customers and Hoosier entertainment dollars from our state,” says Matt Bell, Executive Director of the Casino Association of Indiana. “We partnered with iDEA Growth for many reasons. iDEA Growth is a professional organization and the gold standard in the iGaming industry. We mutually agree that the iGaming market presents Indiana with an opportunity to expand our current regulated environment in a positive way, without impacting the land-based gaming revenue generated in the state. Just as mobile sports betting has grown the overall revenues for our industry, iGaming will enhance our connection with existing customers and enable us to meet new ones in ways never before possible.”
The report’s legislative recommendations include:
- Online gaming licenses will only be granted to respected operators with experience in online gaming, and will be licensed and regulated by the Indiana Gaming Commission in partnership with a land-based entity.
- Only patrons within the geographic borders of the state of Indiana will be allowed to place bets.
- The iGaming product offering will be diverse, including a slot product featuring numerous titles/themes, table games (house-banked and player-banked), and live dealer online offerings, all as approved by the Indiana Gaming Commission.
- Borrowing from the success of mobile sports betting, Indiana already has the infrastructure and regulatory safeguards to ensure consumers have all of the resources to support responsible gambling behaviors and to receive support that they may not otherwise receive.
To read the full report, click here.
About iDEA Growth
iDEA Growth (iDevelopment and Economic Association) is a 501(c)(6) association which seeks to grow jobs and expand the online interactive gaming business in the United States through advocacy and education. We represent all sectors involved in the growing industry of internet gaming and entertainment, including operations, development, technology, marketing, payment processing, and law.
About Casino Association of Indiana
The Casino Association of Indiana serves as the trade association supporting the casino gaming entertainment industry in Indiana. The mission of the Casino Association of Indiana is to utilize the highest standard of ethics and integrity to promote and protect the interests of the Indiana Casino Gaming Industry through advocacy, communications, and education.
About Global Market Advisors
Global Market Advisors is the leading international provider of consulting services to the gaming, entertainment, sports, and hospitality industries with offices located in Las Vegas, NV; Denver, CO; and Singapore. The company’s market experience extends throughout all regions of the Americas, Eastern and Western Europe, Australia, and Asia. GMA provides clients with strategic planning, market feasibility studies, primary research, due diligence, general counsel, payroll control, operations analyses, government relations, responsible gaming initiatives, business and marketing plans, and reward program design. GMA’s clients consist of the majority of public gaming companies, more than 80 Native American tribes, commercial and investment banks, and government agencies from around the world.