The Centennial state is pushing towards the US’ fourth largest sports wagering market as the region continued its rapid ascent after beginning life in May during a global pandemic.
Lauding the “overwhelming success” achieved amid its first real test, analysts at PlayColorado lauded the region in utilising the busy sporting calendar to more than double the state’s handle from July.
August saw online and retail sportsbooks combine to generate $128.6m in wagers, up 117 per cent from $59.2m in July, according to official data. The wagers over the 31 days of August netted $1.9m in betting proceeds, down 22 per cent from $2.4m in July.
This aforementioned decline in net proceeds came in spite of a rise in gross revenue to $7.5m from $5.2m, which is said to have come as a result of increased marketing.
“Considering the obstacles Colorado’s market has had to face since it launched in May, the results so far have surpassed the expectations of all but the most optimistic,” said Dustin Gouker, lead analyst for the PlayColorado.com.
“Colorado is already in a small group of major US sports betting markets, and it has reached that level long before the market has matured.”
Colorado sports fans had plenty of motivation throughout August, and with the Denver Nuggets in NBA’s Western Conference Finals, versus the LA Lakers, and the Denver Broncos’ NFL season up and running, the region’s monthly record will likely be short-lived.
“As impressive as August was, September will almost certainly be even better with the Nuggets and Broncos in play,” said Jessica Welman, analyst for PlayColorado.com. “With table tennis as the state’s top draw in the first few months, it was impossible to get a reliable read on Colorado’s market.
“We now know it’s a market that responds well to its home teams. After September, though, we will find out how much interest in sports betting is driven locally as the Nuggets season wanes and if the Broncos continue to struggle.”
Via it’s latest monthly performance Colorado has pushed the nation’s fourth largest jurisdiction Indiana, which recorded $169m during the month and boasts both a more mature market and larger population.
“Colorado started as a relatively open market for sportsbook operators and a well-conceived regulatory framework have made the state especially appealing,” Gouker added. “With multiple bookmakers who have never operated in the US before, Colorado is beginning to look like no other market in the US.”