Betting Quantity Down, Income Up For Indianapolis Sportsbooks In-may

May’s numbers are in for Indiana sports betting, and the state’s sportsbooks have now seen five consecutive years of declining annual betting volume. In May, Indiana online sportsbooks recorded $283.5 million in wagers, representing an 11.8% decrease compared to the previous month and an 8.1% decrease compared to the previous year. However, despite the decline in betting volume, the sportsbooks generated a robust 11.8% hold, resulting in $33.5 million in monthly revenue, showing gains of 14.3% compared to the previous month and 5% compared to the previous year. This revenue represents an above-average hold of around 8% for the industry.

FanDuel, DraftKings grow their own market share

The Indiana sports betting market continues to be dominated by two major operators, FanDuel and DraftKings, who together accounted for 67% of the state’s market share, a level not seen since January. In terms of total handle, FanDuel Sportsbook Indiana edged out DraftKings Indiana with $96.2 million compared to $93.8 million. FanDuel also had a larger revenue lead, earning $13.3 million compared to DraftKings’ $10.7 million. Both sportsbooks saw year-over-year increases in their handles, with FanDuel’s handle growing by 4.6% and DraftKings’ handle growing by 7.1%. Year-over-year revenue also increased, with FanDuel seeing a 5.6% growth and DraftKings experiencing a significant 39% growth.

The race for the third spot went to BetMGM Sportsbook, which outperformed Caesars Entertainment for the second consecutive month. However, both sportsbooks saw significant drops in their overall activity. BetMGM handled $26 million in bets, a 35.6% decrease compared to the previous year, and reported $3.4 million in revenue, a 21.9% decrease. Caesars’ handle was $22.7 million, a 22.1% decrease, with $1.9 million in revenue, a 2.9% increase.

Some other sportsbooks along with handles over $5 mil included:

• BetRivers: $8. 5 mil handle (-21. 8% YoY); $701K income (+25. 2% YoY)
• Bar stool: $6. eight million manage (-32. 3% YoY); $495K revenue (-51. 4% YoY)
• Hard Rock and roll: $5. a few million manage; $96K income (went reside in Sep. 2022)
• PointsBet: $5. 1 mil handle (-12. 6% YoY); $754K income (+27. 3% YoY)

Parlay recognition grows

The Indiana Gaming Commission’s report provides a breakdown of total bets for parlays and individual sports categories. Here is the breakdown for May:

• Parlay: $79.4 million handle (a 2.9% increase compared to the previous year)
• Basketball: $72 million handle (a 14.7% decrease)
• Baseball: $64.9 million handle (a 6.1% decrease)
• Football: $2 million handle (a 14.8% decrease)
• Other: $69 million handle (a 10.7% decrease)

Among the listed categories, only parlays saw a year-over-year increase. Year-to-date, parlay bets total $1.12 billion, representing a 2.5% increase compared to the previous year. Baseball bets have also increased for the year, totaling $376.7 million (an 8.1% increase).

After five months, basketball has experienced the largest decline with a 15.6% decrease year-over-year, despite accounting for $1.06 billion in wagers. The total handle for all other sports combined is $680.2 million for the year, a 3.9% decrease compared to the previous year.

Taking a look at the summer forward

Indiana’s decline in gambling revenue is expected due to market maturity and competition from neighboring states, particularly Ohio, which has impacted the previously inflated figures. However, this decline is neither inherently good nor bad for Hoosiers, as they still have access to a comprehensive range of sportsbooks.

While the decline in tax revenue may be a concern for the state, it is important to note that the revenue for May exceeded expectations, surpassing $30 million. It is crucial to focus on outperforming projections rather than solely looking at overall numbers, especially considering that the next two months are traditionally slower for Indiana sports betting. However, with the upcoming football season, there is hope for a strong finish to the year.

It is unlikely that Indiana will see numbers like those in 2022 again. Nevertheless, Indiana was projected to be the 13th-largest sports betting market in the United States at the beginning of the year. If it meets those projections, the sports betting economy in Indiana will continue to thrive.