The New York sports betting market is back in full gear after a tough month regarding the monthly handle numbers. Experts believe that a lack of promotions at the start of the NFL season contributed to the lack of overwhelming numbers in the first weeks of the season.
The Handle Finally Hits $1 Billion in a Single Month
The summer slowdown had a significant effect on the industry, including the Empire State. The numbers finally bounced back as the nine operators combined to register a monthly handle of $1.26 billion in September.
Mobile operators combined for handles of $800.8 million and $872.2 million in July and August. Compared to other jurisdictions across the industry, these figures are considered to be solid but far from New York’s capabilities. July was the first time the handle went under $1 billion since the operation began on January 8th.
The bookmakers and the betting public were patiently awaiting the NFL season. Football is the most wagered sport in the United States by a large margin as the MLB has a difficult time attracting most of the public.
Baseball Had Some Significance in September
However, baseball in New York had some influence on the handle for September. The New York Mets were able to, unfortunately, dealt with a bad hand as they blew a comfortable division lead over the defending World Series champions Atlanta Braves.
However, the cross-town rivals had more front-page coverage in New York as they easily won the AL East. More importantly, Aaron Judge had his same cemented in the record books as he ended the season with 62 homers.
He surpassed Roger Maris (61) and Babe Ruth (60) for the AL and New York Yankees single-season records. The micro-betting platform Simplebet reported Judge had 150,000. . Pete Alonso of the Mets was next with 75,000.
Many bettors, especially in New York, were placing wagers on Judge to break the record. The Yankees will play the Cleveland Guardians in the ALDS, while the Mets were stopped by the San Diego Padres in the opening round.
Other News Surrounding New York
The 51 percent tax rate based on revenue is still a hot topic in the state. The nine operators in the Empire State will be lobbying for a lower tax rate, as the topic will most likely be discussed in the 2023 legislative session.
The bookmakers want a lower tax rate as marketing and promotions cost a fortune in the state. These sportsbooks will also not be profitable for a long time if the tax rate stays the same in the future.
Online sports betting is projected to generate $615 million in tax revenue for the state in FY2023 (April 1st, 2022, to April 1st, 2023), according to Governor Kathy Hochul’s enacted budget. Currently, halfway through the fiscal year, the numbers are situated at $307.3 million.
FanDuel and DraftKings have been battling for New York for a long time. The market share for FanDuel in September was slated at 39.7 percent, while DraftKings was at 34.6 percent.
DraftKings is in talks with ESPN as Disney’s CEO has long wanted to be in the sports betting business. Several leagues, such as the UFC, have partnerships with DraftKings. The UFC also has a partnership with ESPN.