The sports betting industry is going to slow down now that we are into the summer months, as there just aren’t as many sports betting options remaining. May totals have already started to roll in for many states, but Arizona and Illinois have come catching up to do.
The Arizona Department of Gaming just announced sports betting totals for March, and the Illinois Gaming Board just released April figures. These two states are always the last to report, but that doesn’t mean that they aren’t seeing plenty of action.
Arizona has continued to post some solid sports betting numbers since launch, and Illinois continues to grow. There has been some concern in the industry about sports betting slowing down, but these two states have continued to see action and bring in solid tax revenue.
Illinois Now a Clear Number 2
The state of Illinois is now the number two sports betting market in the United States as it just continues to push past New Jersey every single month. Illinois was number two in the industry for handle, revenue, and tax revenue in April, and it’s one of only two states that continue to see a big jump.
The total sports betting handle in Illinois during April was $898.6 million, and the adjusted sports betting revenue was $89.5 million. Both of those numbers are huge for a month that doesn’t include any major sporting events.
There was a bit of a dropoff from the numbers reported in March, but Illinois saw year-over-year growth for the month of April. That hasn’t been the case in most states as New York is the only other top-10 market that can lay that claim.
FanDuel Sportsbook continues to put up huge numbers in the state of Illinois, and that sportsbook was over 20% of the wages placed in April. Illinois bettors continue to choose parlays as their preferred betting option, and it continues to be the wrong play.
The Illinois sports betting market hasn’t grown since March 2022 as there are still just seven online sportsbooks available in the state. That is going to change in August as Circa Sports will join the market and provide bettors with another terrific option.
March Leads to Madness in Arizona
Arizona has put up some pretty solid sports betting numbers since launching in September 2021, but March was one of the best months on record. The sports betting handle that month was $644.8 million, which is the second-highest monthly total on record.
One troubling thing for Arizona is that the record for monthly handle was set in March 2022, and there was a significant drop from the $691 million that was wagered. Sports betting handle did jump nearly 6% from February, but that was to be expected with the NCAA Men’s Basketball Tournament taking place.
Total gross revenue for the month checked in at $53.5 million, and that’s the highest total ever recorded in the state. That number could have been even higher, but sportsbooks posted a very low hold rate of just 8.3%.
The national hold rate continues to hover right around seven percent, but Arizona had the third-lowest rate for the month of March. Arizona did post a sports betting handle of 5% higher through the first period in 2023 than what was brought in during 2022.
It will take awhile for the April numbers to be revealed, but that will give a true barometer of how this market is performing.
