Michigan’s online casinos and sportsbooks impressed in January with record setting debuts, after a ten-day launch window at the end of the month provided a snapshot of the market’s long term potential.
Online casinos and poker recorded $29.4m in gross receipts, or $2.9m per day, more than any other in the US’ history of online casino gaming’s first month. This yielded $4.3m in tax revenue.
After the long-awaited go-live finally came around on January 22, BetMGM and MGM Grand Detroit are the early market leaders with $11.1m in gross receipts.
“Online sportsbooks draw more attention, but online casinos are typically a far more consistent revenue generator for state governments,” noted Matt Schoch, analyst for PlayMichigan.com. “With nearly $30m in 10 days, Michigan is well on its way to becoming one of the giants in online gaming.”
Michigan’s online sportsbooks generated $115.2m in bets in the 10-day timeframe according to the Michigan Gaming Control Board, producing $13.3m in gross receipts.
Combined with retail sportsbooks, Michigan’s sports betting handle hit $150.8m, a result which analysts say makes the region achieve the highest total monthly handle for a state debuting online sports betting.
FanDuel and MotorCity Casino topped the market with $32.6m in online wagers that produced just $622,372 in gross receipts, ahead of DraftKings and the Bay Mills Indian Community who secured a handle of $28.2m which yielded $3.4m in gross receipts. Online sports betting accounted for 76.3 per cent of the state’s handle.
“The circumstances for Michigan’s online launch could not have been better ahead of two of the biggest sports betting holidays of the year,” noted Dustin Gouker, analyst for PlayMichigan.com.
“Ultimately, it’s a small sample size, and the results of which are less important than sportsbooks launching and engaging sports bettors and setting the groundwork to flourish for years. By that metric, Michigan’s launch was a success.”