Arizona’s sportsbooks had nearly $470m in bets and more than $50m in gross gaming revenue in November, becoming the quickest state to reach the $1bn mark in wagering after launch, according to analysts from PlayAZ.com.
According to official data by the Arizona Department of Gaming, the Grand Canyon State’s sportsbooks saw $466.7m in November wagers, down 4% from October’s $486.1m. Average betting volume came in at $15.6m per day, down slightly from the previous month’s $15.7m.
Arizona’s operators won $51.4m in gross revenue, up from October’s $37.5m. After $18.4m in promotional credits, the state taxed $31.9m in gross event wagering receipts, producing $3.2m in privilege fees for the state.
C.J. Pierre, lead analyst for PlayAZ.com, commented: “The timing of Arizona’s launch could not have been better for sportsbooks. The early launchers caught the vast majority of the football season and they were in position to catch the early excitement created by the Suns’ hot start.
“Plus, Arizona’s sportsbooks were able to ride a historic wave of winning in November that easily produced record revenue for operators in the US All of it has helped the state’s sportsbooks get off to an unprecedented debut.”
Arizona has now smashed nearly every US revenue record for a state through its first three months, but these records could be short-lived once New York gets going following its January launch.
Through the market’s first three months, Arizona’s sportsbooks have generated: $1.2bn in wagering, the quickest state to hit $1bn in US history; $121.2m in gross revenue, the most of any state over its first three months; and $4.2m in privilege fees for the state.
Eric Ramsey, an analyst for the PlayUSA.com Network, which includes PlayAZ.com, stated: “Arizona is in a remarkable position for such a young market. Local bettors have responded enthusiastically, obviously, giving the state’s sportsbooks an impressive start. And operators have clearly placed a lot of emphasis on the state, considering the promotional spend so far.
“Tax revenue will likely lag some while operators are so aggressive, but that should continue to come around as the market settles.”
Arizona’s online sportsbooks led the way in November with $459.3m in wagers (98.4% of the state’s handle), with the state’s retail sportsbook accounting for the remaining $7.4m.
DraftKings topped the Grand Canyon State market in November with $148.7m in wagers, all from online bets. This was down from October’s $151.4m. The operator won $12.5m in gross revenue from November’s bets.
FanDuel was the second-best operator with $118m in wagers ($113.3m from online bets), down from October’s $120.8m ($115.9m in online wagers). November’s bets produced a state-best $16.0m in gross revenue.
DraftKings and FanDuel were followed by: BetMGM ($93.2m in wagering, all online; $9.5m in revenue); Caesars ($66.2m in wagering, $63.5m online; $7.4m in revenue); Barstool ($17.8m in wagering, all online; $2.1m in revenue); WynnBet ($17.8m in wagering, all online; $2.1m in revenue); Rush Street ($2.7m in wagering, all online; $245,964 in revenue); TwinSpires ($1.5m in wagering, all online; $267,098 in revenue); and Unibet ($881,937 in wagering, all online; $93,396 in revenue).
Pierre added: “Anyone who watched an NFL game this fall and saw the number of sportsbook ads knows that operators have been pouring money into Arizona’s market so far. For good reason, too. Once operators gain a foothold, as DraftKings and FanDuel have in Arizona, it has proven nearly impossible to dislodge them from the market lead.”