In May 2024, Iowa’s sports betting market showcased a mix of impressive growth and some declines in activity compared to previous months. The latest figures from the Iowa Racing and Gaming Commission (IRGC) illustrate both a substantial year-over-year increase and a notable decrease from the previous month.
Handle Overview
The total sports betting handle in Iowa for May 2024 reached $182.5 million. This represents a significant year-over-year increase of 23.6% from May 2023. However, it also marks a 12.9% decrease compared to April 2024’s handle of $209.5 million. The breakdown of this handle indicates that $169.5 million was wagered online, while $13 million was spent at retail sportsbooks.
Year-to-Date Trends
The year-to-date figures through May show a robust betting activity in Iowa. Total bets placed have amounted to $2.46 billion, with revenue totaling $199.76 million. The state has collected $13.49 million in tax revenue thus far. These numbers underscore the growing popularity of sports betting in Iowa and the significant contributions to state revenue.
Revenue Insights
The total revenue generated from sports betting in May 2024 was $16.7 million. This figure is slightly higher than the $16.6 million reported for the same month in 2023 and a marginal increase from April 2024’s $16.5 million. Notably, $14.9 million of this revenue came from online betting, while $1.8 million was generated from retail locations.
Operator Performance
Different operators have shown varied performance in terms of revenue and handle. The leading operator in terms of revenue was FanDuel, followed closely by DraftKings in terms of the total handle.
Tax Revenue Contribution
The total tax revenue collected from sports betting in May 2024 amounted to $1.12 million. This is part of the year-to-date total tax revenue of $13.49 million, reflecting the continued financial benefit of sports betting to the state of Iowa.
Year-over-Year Growth
The 23.6% increase in the sports betting handle year-over-year highlights the expanding engagement and interest in sports betting among Iowans. This growth trend reflects broader national patterns and suggests a growing acceptance and enthusiasm for sports betting in the region.
Monthly Variations
The 12.9% decrease from April to May indicates that while the market is generally expanding, monthly fluctuations are common. Factors such as the sports calendar, major events, and seasonal variations can influence these monthly changes. Analyzing these patterns helps in understanding consumer behavior and adjusting strategies accordingly.
The May 2024 data for Iowa’s sports betting market provides valuable insights into both the growth and volatility of the industry. With a substantial year-over-year increase in handle and steady revenue generation, the market continues to thrive. The detailed breakdown of operator performance and tax revenue contributions offers a clearer picture of the sector’s dynamics and its impact on the state’s economy.