Sports betting in Arizona has become second nature as it became the 11th state to surpass the $5 billion handle. On Thursday, the Arizona Department of Gaming released its July monthly numbers to mark its one-year anniversary.
The Popularity of Sports Betting in Arizona Has Grown
The Copper State has become the fastest state to reach the $5 billion post-PASPA after edging out Nevada by one month. With $5.07 billion wagered, Arizona surpassed Tennessee by $8.2 million, though it took Arizona 11 months to reach that milestone.
In July, sportsbook operators combined to register a handle of $290.5 million. The monthly handle to start the second half of the year dropped by 8.9 percent from June’s $318.8 million. However, gross revenue skyrocketed by 82.3 percent as the total went slightly under $22 million.
In part, the increase in revenue can be attributed to a doubled win rate from 3.8 percent to 7.6 percent. A combination of higher win rates and promotional credits dropping 24.2 percent to $7 million contributed to an increase in adjusted revenue of more than fourfold to $15 million.
Arizona overall handles post-PASPA ranks 10th. For the month, the state collected $1.5 million in taxes and combined to bring in $12.5 million for the year.
Mobile Sports Betting in Arizona has Become the Norm
Online sports betting accounted for 98 percent of the overall handle, as the total handle is just $21 million of the $5 billion mark. The majority of the volume came from platforms like FanDuel, DraftKings, Caesars, and BetMGM.
In terms of market share, FanDuel and DraftKings accounted for 59.1 percent of the handle. When combining Caesars and BetMGM, the total market share accompasses 92.6 percent. The only other bookmakers to reach the nine-figure mark are Barstool and WynnBet.
In July, FanDuel led the way by generating the most revenue for the month. The bookmaker posted a win rate of 10.1 percent and gross revenue of approximately $9.2 million with a handle of $91 million.
With a win rate of 3.5 percent, DraftKings posted $3.2 million in gross revenue with a handle of $835,000 less than FanDuel. BetMGM had the highest hold rate of 10.4 percent, and the bookmaker collected $5.6 million in gross revenue.
BetMGM and the Arizona Cardinals Reach a Historic Deal
The Arizona Cardinals and BetMGM make history with a key partnership. Both parties hosted a ribbon-cutting ceremony for the first retail sportsbook at an NFL stadium.
It’s the third sportsbook to open in metro Phoenix, and it is the sixth in-person sportsbook in the United States. This is significant as Arizona will host the Super Bowl this season, and the sportsbook will officially when the Cardinals take on the visiting Kansas City Chiefs on Sunday.
The new addition will feature a 17,000-square-foot venue featuring a 265-square-foot video wall, 38 televisions, and more than 25 betting kiosks. In addition to serving as a concert venue, the venue will have a gourmet grill and bar.