New England Patriots’ Joe Milton III (No. 19) struggles to escape pressure from Washington Commanders’ Cue Blue Kelly (No. 36) during the third quarter of a preseason game at Commanders Field in Landover, Maryland on August 25, 2024.
Scott Tetch | Getty Images Sports | Getty Images
Football’s return is expected to bring record-breaking betting.
The American Gaming Association projects that American adults will bet $35 billion on the NFL this season.
According to the AGA, this is a new record and more than 30 percent increase over the $26.7 billion that Americans bet during last year’s NFL season. Since last year’s NFL season, Maine, North Carolina and Vermont have allowed sports betting operators to open in their states, and a court ruling has allowed Hard Rock International to resume sports betting in Florida.
Sports betting is currently legal in 38 states and Washington, D.C.
However, the stock prices of gambling-related companies have not followed the same growth trajectory. DraftKings, pen, Caesars, MGM Resorts and Entainwhich co-owns BetMGM, are both in the red so far this year. Flutter, The FanDuel parent company has seen its shares rise 19% since it went public on the New York Stock Exchange this year. The company reported second-quarter earnings that well beat revenue and profit expectations, boosting the shares.
Churchill Downs This year is positive, Rush Street Interactive It has recorded an impressive gain of 109% year-to-date.
Increasing competition
Each licensed sportsbook is working on strategies to grab a larger share, trying to attract new customers and convince existing players to become more loyal to the brand.
The NFL kickoff is a chance to unveil new and improved technology and innovative betting options to entice players, and sportsbooks customize promotions to attract new customers.
“The NFL season is our biggest buying period of the year,” said Christian Genetsky, president of FanDuel, a major U.S. sports bookmaker.
FanDuel is the only company to partner with YouTube for its “Sunday Ticket” promotion. Players who bet $5 can watch out-of-market NFL games for free for three weeks on “Sunday Ticket.” FanDuel hopes that by allowing fans to watch their favorite teams, it will increase betting volume.
FanDuel also said it has tweaked the design of its app and added more bets to same-game parlays. The company said it has upgraded the feature to allow fans to bet at the “speed of sports.”
With over 95% of sports betting now taking place online, speed is key. This is especially true when it comes to micro-betting, where you bet on specific plays as the game unfolds.
Michael Rubin’s e-commerce empire, which sells sports merchandise and memorabilia, launched sportsbooks in four markets last year. Fanatics Sportsbook then acquired PointsBet’s U.S. business and technology and is now fully integrated. And its sportsbooks are now live in 22 states.
For an industry newcomer, this is a pretty impressive step forward.
Pablo Gonchar | LightRocket | Getty Images
Fanatics Sportsbook leverages its existing database of 100 million sports fans throughout the year to attract customers and reward them with products from its merchandise and collectibles business.
And just before the start of the 2024 football season, Fanatics hosted a blockbuster fan activation called “Fanatics Fest NYC,” where customers could meet athletes and celebrities and celebrate their passion for sports.
Matt King, CEO of Fanatics Sportsbook, told CNBC that customer response has been enthusiastic.
“There’s been an incredibly positive response and resonance with our proposition to be the most profitable sportsbook, both in terms of the economic value we give back and, frankly, the unique things we can do,” King said.
King said the unique athlete perks will be built into the culmination of the sports calendar, the “fall equinox of sports,” the fall period when nearly all sports play on overlapping schedules.
DraftKings said the NFL is its most popular league, both in terms of volume and number of bets it accepts.
The sportsbook, which recently backed away from plans to tax customers in high-tax states, is offering a “No Touchdown” prop bet this season, meaning bettors can wager on whether the top player will not score a touchdown.
New Services
The company has come under scrutiny and attention with its shares down 28% this year and its digital business losing money. Pen EntertainmentThis is the first NFL season to showcase ESPN Bet, which has invested $2 billion into the rebranded sportsbook in partnership with the NFL. DisneyThe sports giant, owned by , first launched last November in the middle of the NFL season.
Since then, the platform’s customer database has expanded to 31 million members, an 80% increase, and University of Pennsylvania officials are optimistic about the media combination with ESPN.
“People are actively using our apps, and our goal over the coming quarters is to increase customer loyalty and retention through product improvements and expanded offerings, and to more effectively monetize that significant engagement activity,” University of Pennsylvania CEO Jay Snowden said during an earnings call on August 8.
The ESPN Bet app is installed on a smartphone in New York, USA, Thursday, February 22, 2024.
Gabby Jones | Bloomberg | Getty Images
BetMGM has launched the first single wallet for mobile play in Nevada, allowing customers to bring their accounts from Las Vegas back to their home state. The mobile wallet eliminates the hassle of multiple transactions.
“Our players can now immerse themselves in the excitement of MGM Resorts Las Vegas and across the state while seamlessly continuing to wager at other BetMGM markets,” BetMGM CEO Adam Greenblatt said in a statement.
WATCH: CNBC will release its official 2024 NFL team ratings on air and online on Thursday, Sept. 5.
