The Indiana Gaming Commission reported a monthly handle of $427.1 million to start the new year. It was notable year-over-year, but there may be a few external reasons why the decline took place at the height of the NFL playoffs.
Indiana’s Handle Notes a Significant Decline for January 2023
January 2023’s monthly handle notes a solid decline of 14.6 percent from last year’s record $500.1 million. To start the New Year, Ohio joined the sports betting industry via universal launch, becoming the biggest launch to start the new year.
Due to the launch, bettors in the Buckeye State don’t need to make trips to neighboring states to place wagers. Despite a slight decline of nearly one percent from December’s $431.4 million, Indiana’s sportsbooks maintained their streak of collectively surpassing $400 million for four consecutive months.
The public fared better against the house to begin the new year by reducing the win rate by approximately 1.4 percent. Regardless of the circumstances, sportsbook operators in the Hoosier State posted a win rate of 8.5 percent for the month, which is still well above the national average of 7.2 percent.
Operators across the state recorded nearly $36.5 million in adjusted gross revenue, putting an end to the four-month streak of over $40 million, with additional adjustments contributing to more than $1.1 million. With all things situated, the state was able to collect $3.5 in tax receipts for the month. Since its launch in September 2019, Indiana has generated over $86.4 million in state tax revenue through the business venture.
How Was the Market Share Breakdown Amongst Bookmakers?
Indiana is one of the states that doesn’t break down its numbers by individual sports categories. However, the parlay category brought in $124.7 million bets, and FanDuel showcased its dominance in the category.
FanDuel sustained its dominance in Indiana, registering its seventh consecutive month with a hold rate of at least 11 percent. In January, it achieved the state-best hold rate of 12.3 percent by generating $17.5 million in revenue due to the level of success. It’s the fifth consecutive month where the revenue has exceeded the $15 million threshold.
The other competitor that was close to matching FanDuel’s output was DraftKings. The bookmaker accepted $139.6 million in wagers but struggled against the public by registering a win rate of just 6.6 percent, which only produced $9.2 million in revenue.
BetMGM secured third place in both the handle and revenue categories, with $38.2 million and $3.5 million respectively, and Caesars sportsbook rounded out the top four by accepting $33.5 million in bets and $1.3 million in revenue. However, the platform struggled against the public by showcasing a win rate under 3.8 percent. Only Barstool Sportsbook and BetRivers managed to attain handle figures in the eight-figure range.
Indiana is Still a Strong Contributor to the Industry
The sports betting numbers went down for the month, but that is expected when a strong neighboring state enters the industry. For example, New Jersey’s numbers have taken a hit over the course of a year as the New York mobile sports betting market came to fruition.
Indiana may have lost its sports betting customers from Ohio but maybe adding another weapon to its arsenal. iGaming is close to becoming a reality in the Hoosier State.
