Michigan’s online gaming industry saw revenue increase by 33.5% year-over-year as online casino operators raked in record revenue, offsetting a small decline in sports betting turnover.
Data published by the Michigan Gaming Control Board revealed that commercial and tribal operations reported $216.4m across online casino and sports betting activities. This marks a 33.5% increase YoY and a 26.7% uptick on February, with online casino revenues performing remarkably well.
The regulator detailed that igaming yielded a record sum of $171.8m during March, beating that previous record set in January by 11.8% and displaying annual growth of 30.5%.
Online casino adjusted revenue stood at $154.6m, meaning that operators spent over $17m on bonuses and promotional spending. This also displayed a 30.4% growth rate on an annual basis, displaying consistency in promo spending from operators.
Michigan sports betting declines despite March Madness
Meanwhile, on the sports betting side of the industry, operators handled $407.7m during March, down 9.7% YoY. However, March Madness did have an impact on a monthly basis, as handle was up 18.23% from February’s $344.9m.
Sportsbooks generated $44.6m in revenue during March, representing a hold rate of 10.9%, generally considered to be a strong rate in the industry. This figure is 114.5% stronger than in March 2022, showing the strong growth that Michigan’s sports betting industry has gone through in the last 12 months.
Adjusted revenue for sportsbooks stood at $31.4m, with operators spending $13.2m in promotions and other deductions.
As March concluded Q1 of 2023, the MGCB provided online casino and sports betting figures for the entire quarter.
Online casino revenue for Q1 stood at $426.3m, marking an increase of 26% YoY, whilst sports betting adjusted revenue amounted to $57.7m, up 92.9% on Q1 of 2022.