In Ohio’s evolving sports betting landscape, the second month of regulated operations witnessed a significant dip in both the total handle and revenue compared to a promising inaugural month. Despite this decline, the market continues to show potential, with key players like FanDuel and DraftKings dominating the field.
February’s Handle and Revenue Decline:
Ohio recorded a total sports betting handle of $639 million in February, marking a 40% decrease from January’s impressive $1.1 billion. This dip is a natural part of the industry’s fluctuations, often influenced by factors such as the sports calendar.
Sports betting revenue for the state took a more substantial hit, plummeting by 60% to $83 million, down from the $209 million reported in the first month of regulated sports betting.
Market Dominance by FanDuel and DraftKings:
FanDuel and DraftKings solidified their positions as market leaders, accounting for a combined 71.9% share of Ohio’s sports betting market.
FanDuel held a $232.7 million handle, while DraftKings was close behind with a $214 million handle.
Other notable players in the Ohio sports betting landscape included BetMGM ($46.1 million), bet365 ($31 million), Caesars ($28.4 million), and Barstool Sportsbook ($28.1 million).
Role of Lottery-Run Kiosks:
Ohio also explored lottery-run kiosks, contributing $973,208 to the total handle and generating $62,146 in revenue. While this segment is relatively modest compared to other operators, it represents an interesting avenue for growth.
Promotional Credits and Free Bets:
Sportsbooks in Ohio were proactive in promoting their offerings by distributing $59.1 million in promotional credits in February. FanDuel and DraftKings alone accounted for $38 million of these credits.
This figure is significantly lower than the $320 million in free bets and credits distributed in January but remains an essential element in attracting and retaining bettors.
Ohio’s Vibrant New Year Start:
Ohio emerged as one of the most active regulated sports betting markets in the US over the New Year holiday weekend, registering an impressive 11.3 million geolocation transactions on January 1 and 2. This dynamic start suggests the state’s enthusiasm for sports betting.
While Ohio’s sports betting market experienced a decline in its second month of regulated operations, it is essential to recognize that such fluctuations are common in the industry. The dominance of FanDuel and DraftKings, coupled with innovative strategies and the continued support of promotional credits, demonstrates that Ohio’s sports betting market holds promise for growth and engagement in the coming months. As the market matures and additional sports seasons come into play, Ohio’s sports betting landscape is poised for further evolution and expansion.