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Due to increased interest sparked by the Colorado Avalanche and Denver Nuggets’ playoff appearances, the state’s betting volume increased to roughly $250 million in May.
The importance of local teams’ success to bookies was underscored in May, according to PlayColorado, especially in the offseason of sports betting. According to figures supplied by the Colorado Division of Gaming, sportsbooks accepted $249 million in wagers online and in stores in May, equating to $8 million each day.
Wagers increased by nearly tenfold from $25.6 million in May 2020, the first month of sports betting in the state, up from 1.9 percent in April.
Thriving local teams
Jessica Welman, analyst for the PlayUSA.com Network, which includes PlayColorado.com said: “The US jurisdictions that have fared best over the last two months have tended to be those like Colorado where a local team thrived or a locally held event drew heavy interest.
“The biggest takeaway is that Colorado’s bettors remain engaged, and that will prove important once football season kicks off and robust growth returns.”
Furthermore, May’s wagers generated $15.2 million in total gaming income, down 13.7 percent from $17.6 million in April but up from $2.6 million in May 2020. Sportsbooks reported $5.9 million in net sports betting earnings after promotional credits, generating $635,641 in tax income.
Colorado’s month-over-month rise in wagering was smaller than New Jersey’s, up 8.9 percent, and Indiana’s, up 7.6 percent, but larger than Iowa’s, down 2.9 percent, Michigan’s, down 6.0 percent, and Pennsylvania’s, down 6.7 percent, among the top ten US markets that have released May data.
Ian St. Clair, analyst for PlayColorado.com said: “Colorado’s sportsbooks are in a good position relative to most other legal states.
“The seasonal slowdown will continue to be a factor until the NFL and college football returns. For now, though, the state’s sportsbooks are doing what they can to keep interest up by taking advantage of the opportunities, such as playoff appearances by the Nuggets and the Avs, as they come.”
In addition, with the Nuggets’ playoff run beginning in May, the NBA generated $86.9 million in basketball wagering, up from $84.3 million in April. Despite the Colorado Rockies’ problems, baseball was the second-most popular sport, with $49.1 million, up from $48.3 million in April. The Avalanche increased hockey wagering to $15.5 million from $10.6 million in April.
“With both the Avalanche and Nuggets eliminated and the Colorado Rockies struggling, Colorado won’t be as lucky as it has been for the remainder of the summer months,” St. Clair continued. “But baseball’s All-Star Game should generate some interest, as well as an influx of out-of-state bettors. And the state’s sportsbooks will be creative in maximising interest in events such as The Olympics.”