Winners in Michigan’s Online Gambling Launch
DETROIT – Michigan has had an interesting recent history surrounding online gambling. You only have to go back to 2010 to find a time when private poker games in the state were being raided by the authorities. Fast forward to 2021 and it is now legal to gamble online in Michigan, and that includes Michigan sports betting, casino games, and poker.
The Michigan Gaming Control Board is responsible for the regulation of online casinos and sportsbooks in the state. That means we have seen the introduction of several online gambling brands, but which of these have been tasting the most success following Michigan’s online gambling launch?
As of the end of April 2021, Michigan’s online and retail sportsbooks have combined to take a total of $990.9 million in bets since legalization. In online sports betting alone in March 2021, the gross total bet was $32.3 million. Online casino and poker revenue for March 2021 reached $95.1 million in revenue and the per day average sat at $3.1 million in terms of wins throughout the month.
DraftKings casino has excelled as one of the standout online casinos in the state, and this is partly due to the growing range of slots available with the operator. You only have to look at the selection of slots and other casino games at DraftKings to see why they have been performing so well in Michigan. In May, DraftKings saw an increase in their monthly total revenue on their online casino platform in the state, from $15.5 million to $15.7 million. It may not be a significant amount of money, but it shows the brand is moving in the right direction in Michigan.
However, there is plenty of competition in the online casino market in Michigan and BetMGM Casino has long been a front-runner in the state. This is despite the fact BetMGM’s daily average is down more than 5% and this resulted in a drop in the monthly figure. While BetMGM’s online casino continues to lead the way in Michigan, there is a lot of competition for second place and FanDuel has emerged as a serious contender behind BetMGM. In fact, FanDuel was the online casino in Michigan to register an increase in daily average revenue for the month of May. As of May 2021, FanDuel had a market share of 18.8% in the online casino market, which is more than 4% over DraftKings.
WynnBet Casino has quietly moved up in the rankings and has cut the amount of money spent on promotions, resulting in greater returns. Nonetheless, BetRivers held its own in May and remained in fourth place, keeping WynnBet Casino in fifth.
Moving to online sports betting in Michigan and February and March were strong performers thanks to the Super Bowl and March Madness. However, the late spring and into summer tends to be a slow month for sportsbooks across the United States and Michigan will be no different. The daily average revenue for online sportsbooks in Michigan fell by 6.3% in May but FanDuel remains the top performer, with BetMGM in second place. This means the brands have reversed their position from the online casino figures above and suggests these have been the dominant force since Michigan’s online gambling launch.
The DraftKings sportsbook is yet to perform anywhere near expectations but that could soon change. However, based on the figures from May 2021, BetMGM is winning the race in Michigan having made a total revenue of $36.1 million for the month, with FanDuel second, but some distance behind on $14.7 million, and DraftKings in third with $14.1M. The remainder have been cut adrift, meaning BetMGM, FanDuel, and DraftKings are currently leading the way.
This column was provided by Luke Windsor.