Player spending on online sports betting in New York has taken a noticeable dive, reaching its lowest total in ten months as of June. With the conclusion of the NBA and NFL finals early in the month, and no New York teams making it to the finals, the dip in activity is not entirely surprising. The numbers tell a clear story: June saw the total monthly handle in New York recorded at $1.47 billion, marking a significant 25.4% drop from May's handle of $1.97 billion. Interestingly, this is still a 25.6% increase from June of the previous year.
To put this into perspective, the gross gaming revenue for June was $133.9 million, which is 29.0% higher compared to the same period last year. However, this figure falls short by 34.1% of the earnings reported in May. One possible explanation for this decline is the seasonal nature of sports betting. The summer months generally see less activity in sports betting across New York and the United States, with June historically being the strongest of these quieter months. This seasonality is compounded by the fact that most major sports leagues are in their off-seasons during June, resulting in fewer high-stakes events that captivate bettors.
Breaking down the contributions of various operators provides additional insights. FanDuel led the market with an impressive $67.1 million in revenue generated from $571.3 million in total wagers for June. This hefty sum also translated into a significant tax contribution of $34.2 million for the month, bringing the total contributions from FanDuel since January 2022 to nearly $998.3 million. DraftKings followed closely, posting $40.9 million in revenue from a $521.6 million handle. Caesars, another major player, saw customers stake $127.7 million, which resulted in $6.8 million in revenue. BetMGM reported similar numbers, with $6.8 million in revenue from $100.6 million wagered.
Other operators, while not matching the leaders in scale, also played their part in the market. Fanatics emerged with a handle of $67.3 million and revenue 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 reported revenues of $658,294 and $572,891 respectively. Wynn Interactive, though on a smaller scale, generated $66,665 off $1.5 million wagered.
An understanding of the sports events available also sheds light on the patterns observed. The MLB season, which runs through the summer, traditionally does not drive significant betting activity. Despite this, June remains frequently bolstered by other prominent events like horse racing's Belmont Stakes, golf’s US Open, and the Copa América football tournament. Notably, the Copa América is being held in the US for only the second time this year. Despite these events, June's spending levels still hovered near the subdued figures of February, which saw $131.4 million in revenue.
This typical decline seen in June often extends into July, with a slight uptick anticipated in August. However, the sports betting market is expected to heat up considerably in September with the onset of the NFL season, which consistently drives high engagement and wagering. The cyclical nature of the sports calendar clearly influences betting habits, and the New York market is likely to experience a robust resurgence as the NFL season kicks off.
In conclusion, while June's numbers reflect a seasonal slump in online sports betting in New York, they also highlight the enduring appeal and rising popularity of this activity year-on-year. As the summer winds down and major sports leagues prepare to resume, the stage is set for a dynamic comeback in the months to come.