Online casinos and sportsbooks in Michigan were impressive with record breaking debuts in January, after a ten-day launch window at the end of the month offered a snapshot of the long-term potential of the market.
Online casinos and poker posted gross receipts of $29.4 million, or $2.9 million per day, more than any other in the history of the first month of online casino gaming in the United States. This yielded tax revenue of $4.3m.
BetMGM and MGM Grand Detroit seem to be the initial market leaders with $11.1m in gross receipts, after the long-awaited go-live finally gained fruition January 22.
Matt Schoch, analyst for PlayMichigan.com said: “Online sportsbooks draw more attention, but online casinos are typically a far more consistent revenue generator for state governments.
“With nearly $30m in 10 days, Michigan is well on its way to becoming one of the giants in online gaming.”
According to the Michigan Gaming Control Board, Michigan’s online sportsbooks produced $115.2m in bets in the 10-day timeframe, yielding $13.3m in gross receipts.
Michigan’s sports betting handle reached $150.8 m in combination with retail sportsbooks, a result that analysts claim lets the city reach the highest overall monthly handle for a state debuting online sports betting.
With $32.6m in online wagers that generated just $622,372 in gross receipts, FanDuel and MotorCity Casino topped the market, ahead of DraftKings and the Indian Group of Bay Mills, who won a $28.2m handle that yielded $3.4m in gross receipts. Internet sports betting accounted for 76.3 percent of the state’s influence.
Dustin Gouker, analyst for PlayMichigan.com said: “The circumstances for Michigan’s online launch could not have been better ahead of two of the biggest sports betting holidays of the year.
“Ultimately, it’s a small sample size, and the results of which are less important than sportsbooks launching and engaging sports bettors and setting the groundwork to flourish for years. By that metric, Michigan’s launch was a success.”