According to PlayMichigan, online casino and poker income dipped to its lowest level since February as individuals “spent less time indoors.”
Over the 30 days of June, internet casinos and poker rooms made $3 million per day, down 5.9 percent from $94.9 million in May, producing $13.7 million in state taxes and $5 million in local taxes.
Jessica Welman, analyst for the PlayUSA.com Network, which includes PlayMichigan.com said: “It’s not surprising to see revenue drop a bit during the summer months, when people tend to spend less time indoors.
“Overall, the online gambling market has been remarkably consistent so far. Growth will return — probably in the fall when the weather begins to turn. In the meantime, online casino gaming will continue to be the most dependable source of revenue for operators and for the state that Michigan’s gaming industry can provide.”
BetMGM/MGM Grand Detroit dominate
With $33.8 million in gross gaming revenue, BetMGM/MGM Grand Detroit once again dominated the online casino and poker sector.
Despite the reduction in online casino GGR, online and retail sports betting volume in Michigan increased marginally in June, but remained modest as the summer slowdown continued.
“Michigan’s sportsbooks grew so quickly from January through March that the slowdown that has followed might feel more dramatic than the reality,” Welman added. “Sportsbooks remain in excellent position for a ramp up when football season approaches. Until then, they will have to rely on opportunities such as the Olympics and the NBA Finals to stoke interest.”
According to official figures issued on Monday by the Michigan Gaming Control Board, online sportsbooks in Michigan accepted $235.1 million in wagers in June, down 1 percent from $237.6 million in May.
Michigan’s online and retail sportsbooks pulled in a combined $259.4 million in bets, up 0.7 percent from $257.7 million in May, according to $24.4 million in retail handle revealed earlier this week.
Slowest months for sports betting
April, May, and June are traditionally the slowest months for sports betting, but no major US sports jurisdiction has seen a sharper drop from March’s highs than Michigan.
The total handle in June was down 32.4 percent from the record $383.7 million in March. In instance, sports betting volume in Indiana fell 22.2 percent from March to June, while it fell 31.1 percent in Iowa.
In June, gross gaming revenue at online sportsbooks increased 28.2 percent to $24.9 million, up from $19.5 million in May. And operators’ hold of 10.6 percent in online sports betting in June was their best for any complete month in Michigan.
Matt Schoch, analyst for PlayMichigan.com said: “We’ve been waiting for a bump in taxable revenue that led to a real increase in tax revenue, which we finally got in June.
“If there has been a disappointment with Michigan’s launch, it’s that tax revenue gains have lagged. So hopefully, this will continue into the fall, when we know revenue from sports betting will make a big leap forward.”
In June, FanDuel dominated the online market with a $77.3 million handle, up from $71.2 million in May. This resulted in a market-leading $10.3 million in gross sports betting revenue, up from $9.3 million previously. The action in June generated $8.1 million in taxable revenue.
“FanDuel really opened up a significant market share lead, which will be difficult for any rival to overcome,” Schoch concluded.