The sports betting industry in the US has seen varied performances across different states as the market matures. This round-up gives a closer insight into the ongoing trends in Kentucky, Maryland, and Maine, which all reported different results over the last few months.
With Kentucky preparing for its first full NFL season, Maryland continuing to experience year-on-year growth, and Maine’s market adjusting to seasonal fluctuations, the coming months are expected to see a varied performance in these states. While Kentucky is hoping for a resurgence driven by football season, Maryland’s steady growth offers a positive outlook. Meanwhile, Maine’s market may need more competitive dynamics to drive further growth.
Kentucky’s Online Betting Sees Continued Decline
Kentucky’s sports betting market is approaching the one-year anniversary of its regulation, but the state’s online sports wagering performance continues to experience a decline.
According to Kentucky Horse Racing Commission’s report, in July, online sports bettors wagered $125.4 million, marking the lowest monthly total since the state’s regulated market launched in September 2023. This figure was $50 million lower than May’s total and represented the eighth decline in online sports betting in the past nine months.
The online wagers in July generated $14.7 million in revenue, which equates to a hold of 11.7%. Among the operators, FanDuel maintained its leadership position, generating $6.1 million in revenue from $41.2 million in wagers, resulting in a 14.8% hold. Meanwhile, DraftKings followed closely with $5.7 million in revenue from $48 million in bets, representing an 11.9% hold.
Retail sports betting in Kentucky also experienced a dip, with $3.9 million in wagers recorded in July, marking the lowest monthly total for retail betting since it launched on September 7, 2023. Despite these figures, there is optimism surrounding the upcoming NFL season. With Kentucky’s first full NFL season of digital wagering platforms kicking off this month, there is hope for an uptick in both online and retail sports betting numbers.
Maryland’s Year-on-Year Sports Betting Growth
In contrast to Kentucky’s declining trend, Maryland has seen more positive developments in its sports betting market. Despite a predictable summer slump in overall handle, the state reported a year-on-year sports handle increase of 43.1% for August, rising from $263.7 million in 2023 to $377.4 million in 2024.
Maryland’s mobile sports betting revenue reached $38.1 million, with a 10.3% hold, while retail wagering generated $1.2 million with a 13.1% hold. Live! Casino led the way among mobile operators, recording a handle of $160.7 million with a hold of 11.4%, generating $18.3 million in revenue. DraftKings followed with a handle of $119.3 million, resulting in $12.5 million in revenue and a 10.5% hold.
Although Maryland’s mobile operator numbers have decreased slightly year-on-year from 12 to 11, the state’s sports betting market continues to grow, further bolstered by the popularity of both mobile and retail wagering platforms. The introduction of mobile sports betting in November 2022 has been a key factor in driving the state’s ongoing success.
Maine’s Market Dominated by DraftKings
Meanwhile, Maine saw a notable month-on-month decline in its sports betting handle for August 2024. The total handle dropped 16.8%, from $42.8 million in July to $35.6 million in August.
Monthly revenue also saw a significant dip, falling from $6 million in July to $3.6 million, with the hold decreasing from 14.1% to 9.6%. However, despite these declines, Maine’s August revenue was still an improvement from June’s total of $3.4 million.
In August, DraftKings continued its dominance in the Maine market, accounting for 84.6% of the total state wagers. DraftKings reported $30.1 million in wagers, while Caesars, its only competitor, lagged behind. In Maine, DraftKings operates in partnership with the Passamaquoddy tribe, while Caesars collaborates with the Penobscot, Maliseet, and Micmac tribes.
The Maine Gambling Control Unit has overseen sports betting in the state since its launch in November 2023, and although the market is still relatively new, the overwhelming presence of DraftKings suggests a significant level of market consolidation.
Source:
US sports betting round-up: Kentucky, Maryland, Maine, igamingbusiness.com, September 10, 2024.