Michigan online sports betting set new records for processing and revenue in March, reaching nearly $ 400 million in online and retail betting and surpassing $ 30 million in online revenue, while revenue online casinos have approached $ 100 million.
The continued rise in sports betting has put Michigan online and retail sports betting at nearly $ 1 billion in lifetime, another milestone in the state’s rewrite of the state’s legal gambling record book. United, according to Play Michigan.
The NCAA Tournament turned out to be the big draw in March, helping Michigan sportsbook to hit $ 359.5 million online, up 19.1% from $ 301.9 million in February. Combined with the state’s $ 24.2 million retail handle, which was released last week, Michigan online and retail sportsbooks have collected $ 383.7 million in bets. That overall total is up 17.8% from $ 325.6 million in bets in February.
“With nearly $ 1 billion in lifetime bets now, it’s hard to underestimate how unprecedented Michigan gaming expansion has been so far,” said Dustin Gouker, analyst for PlayMichigan.com. âThe growth of online casino games has been extraordinary. No other state has seen a launch of online casino games and sports betting like this.
Only New Jersey, Nevada, Pennsylvania, and Illinois raised more in a single month, and none generated so much revenue so quickly after the launch of online sports betting. Michigan online and retail sports betting have now combined to record $ 990.9 million in wagers since legalization, including $ 860 million in the first three months of 2021.
The record handle also produced record revenues. Online betting in March generated $ 32.3 million in total gross sports betting revenue, up from $ 9.4 million in February. But even with strong promotion around the NCAA tournament, taxable income hit a record $ 19 million, down from a loss of $ 10.8 million in February.
Online sports betting generated $ 535,930 in state taxes, but promotional credits continue to hold back state takeover. So far this year, the state has raised $ 819,866 out of $ 3 million in taxable income. MGM Grand / BetMGM, Greektown / bar stool, and Grand Traverse / William Hill are the only three online operators to have recorded three months of positive taxable income so far.
âAs successful as the launch has been, these promotional credits are starting to add up, which could take some time to work,â said Matt Schoch, analyst for PlayMichigan.com.
He added: âThe summer months are likely to end up being more fruitful for the state, although betting predictably slows down with a lighter sporting schedule. However, if tax revenues remain poor, this could become a bigger problem that may need to be addressed in the future. “
Online betting accounted for 93.7% of overall government management, and no operator was more responsible for this percentage than FanDuel, which is associated with MotorCity Casino in Michigan. The nation’s largest sportsbook operator extended its peak period in Michigan to three months with $ 107.2 million online, from $ 87.2 million in February.
These bets earned $ 7.8 million in gross sports betting revenue, down from a loss of $ 78,889 in February and $ 5 million in taxable income, up from a loss of $ 5.4 million in February.
BetMGM /MGM Grand Detroit was second at $ 92.6 million, up from $ 75.7 million in February. BetMGM again topped gross revenue with $ 8.7 million from $ 5.3 million. These revenues generated taxable income of $ 6.4 million, the best in the market. Indian Community of DraftKings / Bay Mills was third with a handful of $ 76.5 million, up from $ 72.9 million in February. This led to $ 6 million in gross revenue.
âMichigan is the most competitive online sports betting market in the country today, and this is reflected in the heavy promotional spending by most operators,â said Schoch. “The top three separated from the field, but BetMGM differentiated itself by generating intense action while preserving their victory with fewer promotions.”
As strong as the launch of online sports betting was, the start of online casinos and poker was even stronger and much more profitable for Michigan. In March, Michigan became the third state to generate more than $ 90 million in online casino and poker revenue in a single month with $ 95.1 million in revenue, up from $ 79.7 million in February. .
March’s results made Michigan the country’s third-largest online casino market, behind New Jersey ($ 113.7 million) and Pennsylvania ($ 97.7 million).
Michigan’s online casinos and poker rooms combined to earn $ 3.1 million a day for the 31 days of March, compared to $ 2.8 million a day for the 28 days of February. This total generated adjusted gross revenue of $ 88.7 million, $ 17.2 million in state tax revenue and $ 4.9 million in local taxes.
BetMGM / MGM Grand Detroit again led the market with $ 30.8 million in gross revenue, which generated $ 6 million in state taxes.
âMichigan’s online casinos have been a huge success,â Gouker said. âThe state’s online casinos started out with more robust game libraries than in Pennsylvania, so residents had no reason to wait and wait for games like blackjack. Additionally, with the outbreak of the pandemic in Michigan, online casinos have been an attractive alternative for many. “