Online and retail operators in Ohio are predicted to generate between $9bn and $12bn in bets annually once fully matured, according to PlayOhio.
Predicted to come as soon as the market’s third year, this estimation would also accumulate between $700m and $900m in gross revenue each year as PlayOhio also pinpointed that the state’s sports betting market is capable of producing as much as $900m in gaming revenue, $12bn in wagers, and $90m in state taxes once the market matures.
“Ohio is a large state that has embraced an open model, which will make it immensely attractive to both national and local operators,” said Eric Ramsey, analyst for the PlayUSA.com network, which includes PlayOhio.com.
“The common element among the largest markets in the US is that they all foster competition among many operators. Those markets are far more appealing to bettors, which in turn makes the industry a more reliable revenue producer for the state.”
When Gov. Mike DeWine signs the bill to officially legalise sports betting in Ohio, which PlayOhio states is “expected”, it will join 30 other US states and Washington DC, that have legalised and regulated sports betting in some form.
Moreover, when the Buckeye State launches, which could be as late as January 2023, it is predicted to be “one of the nation’s largest markets”.
“The way the bill has been structured, it will make Ohio one of the largest and most dynamic markets in the US,” stated Matt Schoch, lead analyst at PlayOhio.com. “The state’s sports landscape and residents’ affinity for land-based gambling, which has benefitted sportsbooks in neighboring states such as Indiana, also bodes well for the future of sports betting in Ohio.”
By population, Ohio (11.7 million residents) most closely compares in size among established sports betting markets with Illinois (12.6 million residents) and Pennsylvania (12.8 million residents), currently the third and fourth largest sports betting markets in the US, respectively.
Pennsylvania, which has had retail and online betting for more than two years, has taken in $5.3bn in bets through the first 11 months of 2021. This in turn has produced $415.3m in gross gaming revenue.
In Illinois, which launched in July 2020, sportsbooks have generated $397m in gross gaming revenue and $5.2bn in wagers through the year’s first 10 months.
“Ohio won’t have much opportunity to draw bettors from neighboring states, but it has enough local advantages to be a successful standalone market,” Ramsey added. “The state is already home to an unusually high number of pro and college teams, and policymakers did not put any significant restrictions on college sports betting. That combination will make Ohio a particularly robust local market.”