As summer rolls in, the sports betting landscape in New York has seen significant fluctuations, with June marking a notably quieter period. Player spending on online sports betting in the Empire State plummeted to its lowest total in ten months, a stark reflection of the broader seasonal trends that affect the industry.
June's Betting Landscape in New York
The total monthly handle for June in New York was recorded at $1.47 billion. While this figure represents a robust 25.6% increase from June last year, it also signifies a 25.4% drop compared to May's $1.97 billion. The gross gaming revenue for the month stood at $133.9 million, which, although 29.0% higher year-on-year, fell 34.1% short of May's total earnings. Such fluctuations are typical during the summer, a period often quieter for sports betting activities across New York and the United States.
June's subdued activity is further highlighted by comparing it to August 2023, the last time spending levels were this low, when consumers wagered $1.11 billion. Revenue for June barely edged out February's earnings, posting $133.9 million compared to February's $131.4 million.
The Sports Calendar's Impact
The decline in June’s betting activity can be partly attributed to the conclusion of the NBA and NFL finals in the first weeks of June. Neither finals featured a New York team, which historically drives higher betting engagement locally. Additionally, major sports leagues, such as the NBA and NFL, were in their off-seasons, leaving fewer high-stakes events to captivate bettors. June, which typically is the strongest of the summer months for sports betting, still saw a decline with the end of major sporting events.
Despite the MLB season running through the summer, it traditionally does not drive significant betting activity. June does feature other events like horse racing’s Belmont Stakes, golf’s US Open, and the Copa América football tournament, the latter of which is being hosted in the U.S. for only the second time this year. However, these events do not match the engagement levels of the NBA and NFL seasons.
Leading Operators
Among the operators, FanDuel led the pack, posting $67.1 million in revenue from $571.3 million in total wagers for June, contributing $34.2 million in taxes. Since January 2022, FanDuel has paid nearly $998.3 million into state coffers. DraftKings followed with $40.9 million in revenue from a $521.6 million handle.
Caesars saw customers stake $127.7 million, resulting in $6.8 million in revenue. BetMGM, a significant player, reported $6.8 million in revenue from $100.6 million wagered. Fanatics recorded a handle of $67.3 million and revenue of $6.7 million, realizing a hold percentage of 9.96% for the month. Rush Street Interactive generated $2.5 million from $68.8 million in total wagers. BallyBet posted revenues of $658,294, while Resorts World showed revenues of $572,891. Wynn Interactive, though a smaller player, generated $66,665 off $1.5 million wagered.
Seasonal Patterns and Future Projections
The summer months are traditionally quieter for sports betting across New York, with activity typically declining further in July. A slight recovery is often seen in August as anticipation builds for the new NFL season, which consistently drives high engagement and wagering. The sports betting market in New York is expected to see a robust resurgence with the onset of the NFL season in September.
In conclusion, June’s low figures are not entirely unexpected within the sports betting industry. The end of major championships and the seasonal lull contribute to the decreased activity. However, the market is poised for a rebound with the return of high-stakes sports events in the fall, indicating that the current dip is a temporary trough in an otherwise dynamic and thriving industry.