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Despite falling market share in most of its key states, BetMGM still has a chance to mount a comeback according to the latest edition of the Sports Betting Market Monitor from Eilers & Krejcik Gaming (EKG).

The report includes several key data points and analysis from the US sports betting market, including year-on-year growth of nationwide betting handle and GGR, as well as predictions for the future of the sector.

Below, NEXT.io sets out some of the key talking points from the December edition of the report, using data up to October 2023.

Time for a BetMGM comeback?

This month’s Market Monitor shone the spotlight on MGM Resorts International and Entain joint venture, BetMGM.

The report showed how the brand has seen its sports betting market share fall between the 12 months ended September 2022 and the same period in 2023, in almost every state where it operates.

With the exception of Illinois, BetMGM has seen a precipitous drop in market share across every state where it has been live for more than a year.

In Tennessee, for example, its sports betting GGR share fell from over 30% to just over 20% during the period, while Colorado and Michigan also saw market share drops from percentages in the high 20s to 20% or under.

Even the modest gains made by the brand in Illinois only saw its share of online sports betting GGR begin to approach 5%.

Still, EKG pointed to several silver linings for the brand as it gears up to enter 2024.

Recent promises to improve its product and renew a marketing push will be possible with the deeper integration of Angstrom’s capabilities, for example, after Entain acquired the technology supplier in July.

By leaning on MGM Resorts’ customer base in Las Vegas, EKG also believes the brand can find “non-consensus ways to maximise return on marketing spend amid broad, brute-force spending by ESPN Bet, FanDuel and DraftKings,” it said.

Elsewhere, EKG suggested that brands like bet365, Caesars, Fanatics and Hard Rock easing their spending in the US would leave BetMGM more room to grow despite the big budgets of its main competitors FanDuel and DraftKings.

State-by-state handle comparison

This graphic shows the year-on-year difference in handle between the trailing 12 months and the previous 12 months, on a state-by-state basis.

Previously seen trends continued here, as multiple states saw a decrease in the total amount wagered year-on-year.

Nevada was the biggest loser here as its handle fell by 11.9% year-on-year and its overall share of handle fell from 7.7% to 5.4%.

West Virginia also saw a significant drop of 8.1% year-on-year, while handle in Indiana fell 5.1%, as the state’s overall share of cash wagered fell from 5.2% to 3.9%.

Handle in Iowa fell by 3.6% year-on-year, while it dropped by 2.5% in Michigan.

Not all was doom and gloom this month, however, as most US sports betting markets saw handle grow year-on-year.

In Oregon, the growth was most pronounced at 40.6%, although the state still only accounted for 0.6% of overall betting volume.

In Louisiana, handle grew by 28.7% and in Wyoming by 22.4%.

Illinois, New York, Washington DC, Tennessee, Virginia, and Connecticut also saw their handle improve by between 10% and 20% year-on-year.

Elsewhere, New Jersey, Pennsylvania, Rhode Island, New Hampshire, Colorado and Arizona all saw their handle increase by up to 10%.

State-by-state GGR comparison

While handle fell in multiple states, GGR continued to grow almost across the board, with Washington DC’s highly restricted betting market being the only exception, as revenue fell by 7.4% year-on-year.

Among the fastest growing states were Oregon, where GGR grew by 59.3%, and Louisiana with a year-on-year growth rate of 42.1%.

Illinois, Tennessee and Connecticut all saw GGR growth of upwards of 30%, while West Virginia, New Jersey, New Hampshire, Colorado, Virginia, Arizona, Wyoming and New York all saw GGR growth of more than 20%.

Elsewhere, growth was more modest.

In Nevada, for example, GGR grew by just 13.5%, while Pennsylvania fared slightly better with a year-on-year growth rate of 19.8%.

GGR in Iowa, Indiana and Rhode Island increase by 10.5%, 14% and 17.2%, respectively.

Michigan recorded the lowest positive growth rate of all, as GGR there increased by just 4.1% year-on-year.

EKG’s monthly report provides a digest of news and data points, including forecasts, for the emerging market for regulated sports betting in the United States. Please contact managing director Chris Krafcik for more information.

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