New York Sports Betting Takes a Summer Slump
New York’s online sports betting market experienced a significant downturn in June, marking the lowest spending levels since August 2023. The monthly handle for June dropped to $1.47 billion, which, while representing a 25.6% increase from the same period last year, indicates a stark 25.4% decline from May’s $1.97 billion.
Such a drop can be attributed to the seasonal nature of sports betting. Summer months have traditionally been quieter for wagers across New York and the United States. Major sports leagues are in their off-seasons, and fewer high-stakes events captivate bettors. The conclusion of the NBA and NFL finals in early June also played a role, particularly since neither featured a New York team competing for the championship.
June’s gross gaming revenue stood at $133.9 million. Although this figure is 29.0% higher year-on-year, it fell short of May's totals by 34.1%. This revenue was only marginally higher than February’s $131.4 million. FanDuel led the way among operators, posting $67.1 million in revenue from $571.3 million in total wagers, contributing a substantial $34.2 million in taxes for the month. FanDuel has now paid nearly $998.3 million into state coffers since January 2022.
DraftKings followed, generating $40.9 million from a $521.6 million handle. Caesars saw customers stake $127.7 million, resulting in $6.8 million in revenue, while BetMGM reported $6.8 million from $100.6 million wagered. Fanatics reported a handle of $67.3 million with $6.7 million in revenue, achieving a hold percentage of 9.96% for June. Rush Street Interactive and BallyBet posted revenues of $2.5 million and $658,294, respectively. Resorts World reported $572,891, while Wynn Interactive made $66,665 off $1.5 million wagered.
June’s sports landscape featured events like horse racing’s Belmont Stakes, golf’s US Open, and the Copa América football tournament, which was held in the US for only the second time. Despite these events, they did not generate enough momentum to offset the overall decline in sports betting activity. The MLB season, which runs through the summer, traditionally does not drive significant betting activity compared to other major sports leagues.
Sports betting in New York sees its nadir in June, which is often followed by a further decline in July. However, the market typically sees slight recovery in August, with a robust resurgence in September aligning with the onset of the NFL season. The NFL consistently drives high engagement and wagering, promising a revival of the sports betting market.
The cyclical nature of sports and the corresponding betting trends underscore the crucial role of high-profile events and major leagues in dictating market performance. As the summer months wind down, the anticipation of a new NFL season brings optimism for a revitalized surge in wagers and revenue, positioning New York’s online sports betting market for a strong comeback.
While the summer slump is expected, these fluctuations are a testament to the dynamic and ever-evolving world of sports betting. As the calendar inches closer to September, both operators and bettors eagerly await the excitement and opportunities a new NFL season brings.