Besides facing the summer slowdown, New York has exceeded expectations since the launch began on January 8th. September will be a crucial month in the Empire State because the market will be involved in its first full NFL season.
What is the current state of the New York sports betting market?
Despite the summer slowdown, the jurisdiction has handled $9.7 billion throughout the entire state. Because of the 51 percent tax rate, mobile sports betting has become second nature in New York, which generated $368 million in taxes.
New York has done this in a very short time as only four other states surpassed the $100 million mark in taxes in the post-PASPA era. During the last three months of the NFL season, the state should collect $500 million in taxes to make it a full year of operation.
This upcoming NFL season, there are strong indications that the sports betting capital will surpass the $2.3 billion handle. Of the seven states that provided a breakdown of each sport category’s revenue last year, 18 to 20 percent was represented by the NFL.
The same-game-parlay method will garner a lot of attention, especially on platforms like DraftKings and FanDuel. Over in neighboring New Jersey, the handle for NFL action last year hovered around $2 billion, which was one of the highest in the country.
New York’s Sports Betting Market: Is it Back?
New York also releases weekly numbers, as well as the New York State Gaming Commission, released the figures last Thursday. The nine sportsbook operators that conduct business in the state registered a handle of $197 million for the week ending on August 14th.
The $197 million noted a slight increase of $3 million from the week ending on August 7th. The gross gaming revenue also went up for the week as the bookmakers were able to generate a total of about $21.1 million due to a hold of 10.7 percent.
During the week ending on August 7th, the gross revenue for that span was $20.9 million. The September weekly and monthly handles should start to skyrocket as the season officially begins on September 8th. The Buffalo Bills will be facing the defending Super Bowl LVI champion Los Angeles Rams.
Breaking Down the Market Share for the Sportsbook Operators
Out of the nine sportsbook operators, FanDuel still remains on top of the rest of the competition. The bookmaker registered a handle of $82.6 million for the week ending on August 14th. This led to $10.5 million in gross revenue.
DraftKings came in second once again with a handle of $57.2 million, which generated $4.9 million in revenue. Caesars secured the third position with a handle of $26.4 million and $2.6 million in revenue.
The three sportsbooks combined to bring in a market share that was situated around 84 percent. The remaining 16 percent was split between the six other competitors.
Even though the August numbers had to account for the NFL preseason, this is a good sign for the market heading into September. As a whole, the sports betting industry should pick back up in September.