New York Online Sports Betting Sees Significant Drop in June Activity
New York’s online sports betting scene has witnessed an unexpected downturn, hitting its lowest monthly figure in ten months. June's numbers revealed a significant drop in player spending, bringing the total monthly handle to $1.47 billion. While this figure signifies a 25.6% increase year-on-year from June last year, it represents a 25.4% decline compared to May’s robust $1.97 billion handle.
The fall in spending levels marks the lowest since August 2023 when New Yorkers wagered $1.11 billion. Despite the dip, the gross gaming revenue for June stood at an impressive $133.9 million, a 29.0% increase from the same period last year. However, it fell short by 34.1% compared to May’s earnings. The revenue for June was just marginally higher than the $131.4 million in February, reflecting the seasonality of betting trends.
Key factors such as the conclusion of the NBA and NFL finals in early June, without the participation of any New York teams, likely contributed to the reduced betting activity. June typically sees quieter sports betting activity, both in New York and the broader United States, further evidenced by the historical trends.
Operator Performance Insights
Among the operators, FanDuel led the pack, generating $67.1 million in revenue from $571.3 million in total wagers. They also contributed a notable $34.2 million in taxes for June, bringing their total tax contributions to nearly $998.3 million since January 2022. DraftKings followed, recording $40.9 million in revenue from a $521.6 million handle.
Other operators also showed varied performances. Caesars saw customers stake $127.7 million, translating to $6.8 million in revenue. BetMGM reported $6.8 million in revenue from $100.6 million wagered. Fanatics posted a handle of $67.3 million and revenue accounts of $6.7 million, boasting a hold percentage of 9.96% in June.
Rush Street Interactive generated $2.5 million from $68.8 million in total wagers, while BallyBet and Resorts World posted revenues of $658,294 and $572,891, respectively. Wynn Interactive reported generating $66,665 off $1.5 million wagered, underlining the diverse landscape of online sports betting operators in New York.
Impact of Seasonal Sports Events
June boasts significant sporting events such as horse racing's Belmont Stakes, golf’s US Open, and the Copa América football tournament, which took place in the US for only the second time. Despite these anticipation drivers, major sports leagues tend to be in their off-seasons in June, leading to fewer high-stakes events captivating bettors. The MLB season runs through the summer; however, it traditionally does not trigger significant betting activity.
As a result, a decline in betting activity during June is typically expected. June usually stands as the strongest of the summer months for sports betting, with the number of bets often declining further in July, before seeing a slight recovery in August. The sports betting market tends to gain considerable momentum again in September with the onset of the NFL season, which consistently ignites high engagement and wagering levels.
Looking Forward
The information stands as a testament to the cyclical nature of sports betting, influenced heavily by the calendar of sporting events and seasonal trends. New York can anticipate a robust resurgence with the return of the NFL season, as major sports leagues kick off new seasons and bring high-stakes events back into the spotlight.
The data underscores the dynamic shifts in player spending and revenue generation across different periods, providing valuable insights for operators and stakeholders in the online sports betting market. As New York prepares for the onset of more active betting months, it is poised to ride the cyclical wave of sports excitement and engagement.