New York’s Sports Betting Took a Massive Hit in July, But Revenue Shows a Slight Increase
Online sports betting has become an integral part of the New York lifestyle as numerous operators have partnered with multiple professional franchises in the state.
However, even the most prominent sports wagering market isn’t invisible to the summer slowdown as the July report has been released.
How Was the Overall Handle for July in New York?
Bettors across the Empire State wagered a total of $800.8 million, the first time in state history that the monthly handle failed to surpass the $1 billion mark as the New York State Gaming Commission released the numbers on Friday, which noted a 23.8 percent decrease.
The handle has dropped approximately $200 million for the fifth consecutive month. Even though the New York Mets and New York Yankees have steady leads in their respective divisions, baseball cannot attract the same amount of volume as compared to other leagues like the NBA and the NFL.
Other major markets across the industry have yet to post their monthly handles for July; however, other markets like New Jersey and Pennsylvania can expect a major decline. Still, there is some positive news in the revenue department for the state.
Looking at the year-over-year numbers for other states, the New York sports betting market could expect a slight gain in August. Both New Jersey and Pennsylvania witnessed a moderate increase after a terrible July 2021.
Sportsbook Operators Register a Slight Gain in Revenue for July
New York has the highest tax rate based on revenue which is set at 51 percent. The Commission reported a revenue handle that was approximately $73.9 million. In spite of the handle plummeting, operators combined to gain two percent in revenue.
Bookmakers combined for an overall hold rate of 9.2 percent was the highest since New York launched mobile betting. The previous high of 8.7 percent was established in May. The state was able to collect $37.4 million in taxes for the month.
The Empire State was the first state in the post-PASPA era to surpass $350 million in tax receipts. Sportsbook operators in New York and the rest of the industry are awaiting for the NFL season to start as the average betting volume will certainly pick back up.
How Was the Market Share Among Operators in the State?
Once again, FanDuel continues to be the leader in regard to market share as the operator registered a handle of $347.7 million, or 43.4 percent of the mobile handle. FanDuel also had a hold rate of 11.2 percent, which accounted for about $39 million in revenue.
DraftKings saw its market share improve for three consecutive months to its all-time high of 26.7 percent. The operator accepted nearly $213.5 million in wagers. DraftKings was able to register a hold rate of 7.4 percent, which brought in about $15.8 million in revenue.
Caesars came in third with a handle of $118.2 million. PointsBet posted a hold percentage of 8,2 percent or better for three straight months with a hold rate of 10.5 percent for the month.
While its win rate was nearly two percentage points higher than June, BetMGM’s revenue fell to just under $6.3 million and accumulated a handle of $73.2 million. Bally Bet is the ninth operator to launch in the state and showed a handle of $640,397, $40,080 in revenue, and a win rate slated at 6.3 percent.
