US SPORTS BETTING IN 2023
Furthermore , Bet365 – the world ’ s largest online betting operator – noted in its 2019 annual report that 79 % of revenues are generated through in-play wagering .
REPETITIVE BETTING DRIVES GROSS WIN – NOT HOLD MARGIN
The focus of US sports betting operators over the past year or so has been on parlay wagering , given the higher hold margin . However , the driver of gross win is repetitive wagering opportunities
H2 forecasts US sports betting gross win to reach $ 23.2bn by 2030 . Of this growth 57 % is from states where sports betting is already legal , while 43 % is from states where sports betting is expected to legalise in the coming years
rather than hold margin – as evidenced by the preference of lower margin fixed odds wagering over higher margin pari-mutuel wagering .
This is further evidenced by the higher average spend of igaming over sports betting . Igaming is a high turnover , low margin product , and the average annualised gross win per adult in states where igaming is legal in the US is currently at c .$ 160 , compared to c .$ 60 for sports betting ( see Fig 20 ).
In states where both sports betting and igaming are legal , every major state has a significantly higher average gross win per adult for igaming compared to sports betting ( see Fig 21 ).
Fig 19 : In-play handle as % of total wagering
90
80 70
60
50
40
30 20
10
0
US currently
US potential
Europe overall
Europe sports
Europe soccer
Source : H2 Gambling Capital , January 2023 Source : H2 Gambling Capital , January 2023
Europe basketball
Europe tennis
Fig 20 : Annualised rolling three-month gross win per adult ( in states with legal igaming )
200
180
160
140
120
100
80
60
40
20
Mar-19 May-19
Source : State Gaming Boards , H2 Gambling Capital , January 2023
Bet 365
Jul-19 Sep-19
Nov-19 Jan-20
Mar-20 May-20
Jul-20 Sep-20
Nov-20 Jan-21
Mar-21 May-21
Jul-21 Sep-21
Nov-21 Jan-22
Mar-22 May-22
Jul-22 Sep-22
Nov-22
Annualised rolling three-month GGR per adult Linear ( annualised rolling three-month GGR per adult )
Fig 21 : Annualised rolling three-month gross win per adult ( sports vs igaming )
260 240 220 200 180 160 140 120 100 80 60 40 20 0
Connecticut Michigan New Jersey Pennsylvania West Virginia
Sports
Igaming Source : State Gaming Boards , H2 Gambling Capital , January 2023
20