Tennessee is one of the bigger markets in the sports betting industry despite only having a mobile sports betting market. The Sports Wagering Advisory Council reported a handle of approximately $182.8 million for the month of July.
Tennessee’s Overall Handle Enters Elite Territory
Even though the Tennessee sports betting market has posted solid numbers until this point, the state couldn’t necessarily escape from the summer slowdown as many other jurisdictions are in the same predicament. Still, there is some good news that can be drawn from this report.
The Volunteer State became the 10th state in the post-PASPA era to reach the $5 billion overall handle mark trailing ninth place Virginia by a small margin. The jurisdiction also became the 11th state to surpass the $2 billion handle mark this year. Compared to the first seven months of 2021, the handle has increased by 62.3 percent.
Despite the positive year-over-year numbers, the 13 sportsbook operators in the state couldn’t escape the summer slowdown as the handle noted a 15.3 percent decline from June’s
$215.8 million. The reason for this decline is the MLB is the only major league that is in season.
Despite having a lower handle, the Volunteer State kept up with the national trend of having higher revenue numbers than the previous month. Statewide, the results favored the house over the bettors, which generated more revenue than the previous month.
In July, Revenue Numbers Improved Slightly
With an average hold of 9.9 percent, the adjusted revenue was slated at $18.3 million. With promotions and deductions factored in, the gross revenue was set at $18.2 million.
Even though the rate was almost three percent higher than the national average of seven percent, the Volunteer state only ranked eighth out of the ten that released its revenue numbers to the public. Even though their monthly handles decreased, many states reported healthy revenue totals.
Looking at Tennessee’s revenue numbers once again, it depicted an increase of 14.6 percent from June’s figures. Thanks to the strong hold rate, the state was able to collect $3.7 million in taxes for the month; thus, bringing the overall amount to over $29 million for the year.
The majority of the industry is expecting the average betting volume to pick back up in August. Other prominent markets like New Jersey and Pennsylvania have showcased better numbers in August 2021 after a weak July.
Another Mobile Sportsbook Operator Enters Tennessee
Earlier this year, Southland Casino launched the first mobile sportsbook platform in Arkansas, also known as Betly. Unlike many other states in the sports betting industry, the major sportsbook operators like FanDuel and DraftKings aren’t available in Arkansas.
The mobile app will be available for bettors across the state, and Betly.com will be another option for those on PC and Mac. Tennessee doesn’t have any on-site casinos or gaming facilities in the state, so many have to cross state lines to find the nearest casinos.
Jeff Strang, who is Southland’s senior director of marketing, stated in a press release;
“We are thrilled to make the Betly online and mobile sportsbook available to our many loyal patrons in Tennessee,…Now they can experience the excitement of wagering on their favorite teams and sports betting in general from the convenience of their homes and anywhere in the state.”
Betly may be one of the sportsbook operators, but it has gained market access in Tennessee. In terms of the company’s expansion, this is a significant gain.