Category Archives: Sports Betting

As online sports betting continues to expand around the United States, states have had varying opinions on how to best tax the industry.

Sports betting tax rates for operators across the country range from as low as 6.75%, all the way up to 51%.

With more states on the horizon to legalize, tax legislation is one of the big issues that is holding up launches.

Michigan remains among the lowest in the nation when it comes to its sports betting tax rate. But, just what is the right rate for this quickly expanding industry?

Michigan has an 8.4% tax rate for the sports betting industry. That applies to both mobile and retail betting.

Only Iowa and Nevada have a lower rate for both at 6.75%. Arizona has 8% for retail sports betting and 10% for online wagering.

Indiana is the only other state that has a tax rate below 10% (9.5%).

The peak comes from New York, which has implemented an eye-opening 51% tax rate. Pennsylvania isnt far behind with 36%, while Tennessee is at 20%.

While New York is happy to be taking in big monthly tax revenue pots from its new online sports betting market, the high tax rate could be preventing further growth of the gambling industry.

In the 2021 U.S. Sports Betting Regulatory Survey, high state tax rates and license fees was chosen as theissue most likely to impede growth. That came in at 21.1% of the surveys, with slower than expected rollout of iGaming coming in second at 14.1%.

In Michigan, operators are currently able to use promotion credits to deduct from their taxable revenue. Thats not the same case around the county. Those states not as generous with their promotion credits are a reason operators question whether they can succeed long-term in those states.

If you dont have an exclusion for promotional credits, from the taxpayers perspective, you are raising the effective tax on operators, Andrew Winchell, Director of Governmental Affairs at FanDuel, said. Now in states where the tax rate is small, its more workable. In states like New York with 51%, it really does create questions about the long-term viability of that.

Winchell compared not having the ability to use promotional credits to running a pizza shop and having a promotion where you give away a pizza at half price, but you are still taxed for the pizza at full price. That essentially taxes the current tax rate the state applies, and makes it even larger in the grand scheme.

New York is projected to be the top U.S. Sports betting market in the years to come, and some operators fear their tax laws could be modeled by other major markets on the brink of legalization.

Part of the reason Michigan doesnt need to stress about its low tax rate for sports betting is its success with online casinos and online poker. The mitten is just one of six states with legalized online casinos.

When it comes to online casinos and poker, Michigan has a 20% tax for gross revenue less than $4 million. The rate grows to 28% for gross revenue greater than $12 million.

Weve taken a look at just how much more tax revenue is generated from iGaming compared to sports betting. In Michigan, its 26x more.

No government is going to make a lot of money from sports betting. Its the iGaming, where the tax revenue will come from, said Michigan Gaming Control Board Deputy Director David Murley.

Michigans iGaming tax revenue since the January 2021 launch sits at over $427 million. It has been a steady upward growth for Michigan, comparing well to its competitors in Pennsylvania and New Jersey.

Since Michigan launched, New Jersey has brought in $358 million in iGaming tax revenue, while Pennsylvania sits at $618 million.

Excerpt from:

Michigan's Sports Betting Tax Rate Among Lowest In The Nation - Play Michigan

Michael Rubin arrives at the 2019 Fanatics Super Bowl Party on Saturday, Feb. 2, 2019, in Atlanta.

Paul R. Giunta | Invision | AP

Fanatics, the sports merchandising company, is in talks to acquire sports betting company Tipico, according to two people familiar with the matter.

A deal hasn't yet been reached, and the two sides are currently at an impasse on price, though talks are ongoing, said the people, who asked not to be named because the discussions are private.

Tipico has a small U.S. sports gambling business, with licenses in New Jersey and Colorado, but is the leading sports betting provider in Germany, according to its website.

Michael Rubin, Fanatics' billionaire executive chairman, announced Wednesday he's selling his 10% share in Harris Blitzer Sports Entertainment, which owns the Philadelphia 76ers and New Jersey Devils, clearing the way for Fanatics to enter the gambling arena. National Basketball Association rules prohibit team owners from operating a gambling platform.

Fanatics has completed several acquisitions in recent years as a closely held company. In 2020, it acquired sports merchandise manufacturer WinCraft, and earlier this year it bought trading card company Topps for $500 million. Fanatics has a private valuation of $27 billion.

"As our Fanatics business has grown, so too have the obstacles I have to navigate to ensure our new businesses don't conflict with my responsibilities as part-owner of the Sixers," Rubin said in a statement posted on Twitter Wednesday announcing the sale of his 76ers stake. "With the launch of our trading cards and collectibles business earlier this year which will have individual contracts with thousands of athletes globally and a soon-to-launch sports betting operation, these new businesses will directly conflict with the ownership rules of sports leagues. Given these realities, I will sadly be selling my stake in the Sixers and shifting from part-owner back to life-long fan."

Rubin hasn't been shy about his desire to enter the sports gambling industry.

"We can be the No. 1 player in the world in that business in 10 years," Rubin told Sports Business Journal earlier this year. "That does seem ambitious for someone who's not in the business today, but our strategic advantages are that we are one of the best-known digital sports brands and we touch so many fans."

Fanatics is aCNBC Disruptor 50 company,ranking No. 21on this year's list.

This story is developing. Please check back for updates.

WATCH: Watch CNBC's full interview with Fanatics executive chairman Michael Rubin

Originally posted here:

Fanatics is in talks to buy sports betting company Tipico, sources say - CNBC

By Sam PanayotovichFOX Sports Betting Analyst

The USFL semifinals get underway this Saturday at Tom Benson Hall of Fame Stadium in Canton, Ohio, and boy are we in for a pair of doozies.

First up, the New Jersey Generals (-4.5, O/U 47.5) battle the Philadelphia Stars while the Birmingham Stallions (-5, O/U 44.5) take on the New Orleans Breakers in the nightcap.

I reached out to my buddy Eric Eager for his two cents on both contests. Eager runs research and development for Pro Football Focus, and his ability to create power ratings and fine tune advanced analytics gave him quite the leg up on the sportsbooks throughout the USFL season.

For starters, Eager is expecting fireworks in the matine.

"Philadelphia and New Jersey are the two best offenses in the league per expected points added and the two worst defenses in expected points added," he told FOX Sports. "I dont think either of these teams will stop anybody. If the pace starts quick, look out."

Its worth nothing that both teams were 7-3 to the "Over" this season.

Birmingham is a 5-point favorite at night, but Eager disagrees with that betting line because the Stallions enjoyed a lot of home cooking this season since every game was played in Alabama.

Given the Stallions are hitting the highway for the first time, the analytics believe the point spread is a few points too high.

"There was a legitimate home-field advantage for Birmingham this year," Eager explained. "Stallions games clearly had the most fans in the stands and with these playoff games being played in Canton, that advantage is gone.

"Birmingham is laying -4.5 or 5 and I make the game more like Birmingham -2. I like New Orleans even with all their deficiencies. You have two solid defenses, and New Orleans unit is a little bit better. Im digging the dog and the Under."

Laying points wasnt exactly a fool-proof system for USFL bettors over the course of the regular season. Favorites took care of business straight up (30-10 SU), but they were nothing special against the spread (21-19 ATS).

"Favorites were covering early on," Eager recalled. "They were 3-1 in Week 1 and 3-1 in Week 2, then the books caught on. As we got closer to the end of the season, the cover rates declined drastically for favorites. Take a team like the Stallions. They havent covered the spread in three weeks as a favorite.

"And lets not forget that a lot of covers came against Pittsburgh. The Maulers (1-9 SU with a -96 point differential) were eight or nine points worse than the average team on a neutral field. Everybody got right against them, which skewed the ATS record for favorites.

"Generally, it was tough to lay points in this league."

Eager is definitely attracted to the two teams catching points this Saturday and he isnt ruling out the possibility of either one winning two games to claim the crown this inaugural season.

But theres always a method to the madness with mathematics.

"With four teams remaining, youre never getting a good enough edge taking underdogs to win championships in the futures market," Eager said. "Youre always getting a better bet when you roll over the moneyline.

"Rather than take New Orleans [+320 at FOX Bet] or Philadelphia [+333 at FOX Bet] to win it all, you bet the moneyline in the first round and if it wins, you can decide whether or not you want to run it back in the title game.

"It would not surprise me in the slightest if both underdogs win outright."

Sam Panayotovich is a sports betting analyst for FOX Sports and NESN. He previously worked for WGN Radio, NBC Sports and VSiN. He'll probably pick against your favorite team. Follow him on Twitter @spshoot.

Download the FOX Super 6 appfor your chance to win thousands of dollars on the biggest sporting events each and every week! Just make your picks and you could win the grand prize.Download and play today!

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USFL Playoffs odds: How pros are betting the big games - FOX Sports

Fans of California sports betting are counting down the months until they get an answer on whether California mobile sports betting will be legalized. A bill to legalize California sports betting will be voted on in November, which could make California the newest state to have legal sports books. Gambling at race tracks and at Indian gaming casinos is already permitted, but the new bill would make it possible for sports betting in California to become a reality. Californians love their sports teams, so California sports book promo codes and deposit bonuses are sure to be very popular.

Until California online sports betting becomes a reality, bettors can head to the race track and take part in the sports betting in California the state has to offer now. They can also brush up on their sports-betting terms with this quick guide from our friends at SportsLine.

There are several ways you can make sports wagers both online and in retail sportsbooks and plenty of bet types you'll want to familiarize yourself with.

Live betting: California sports fans could be able to wager on their favorite players and teams in real-time thanks to live in-game odds updates. With pro baseball season in full swing, online sportsbooks let fans wager on live-updated totals or even the outcome of the next at-bat. California has five professional baseball teams, so placing a live bet on baseball will be very popular if California sportsbooks are legalized.

Prop bet: Want to bet on something other than the score of a game? A prop bet is a wager on a given outcome within a game or match other than the final score. For example, a prop bet in a pro baseball game can be on whether a big hitter gets a home run or whether a player on a hot streak gets an RBI. Prop bets can even be placed on the number of strikeouts a pitcher will have in his outing.

Outright: This is a popular kind of bet because it is easy to place and doesn't involve multiple sides or handicapped points. With an outright bet, the bettor picks which athlete will win an entire event. This is a very popular betting method for sports like pro golf where single athletes compete against one another. Outright betting can also be used for title fights or for car races.

If you're looking for the best values on the board in California or elsewhere, be sure to check out SportsLine, which specializes in Vegas picks, DFS advice and season-long fantasy sports projections.

An industry leader, SportsLine.com provides advanced computer modeling, expert picks, news and analysis of all the biggest events in sports. It can help you identify in which games you'll have the biggest statistical advantage. Plus, you'll get access to a team of over 40 experts.

SportsLine provides betting advice across the four major professional sports, college sports, golf, tennis, soccer, combat sports, horse racing, auto racing and more. It's a proven resource to sports bettors around the world. You can sign up here to enjoy all of the sports betting and fantasy sports advice that SportsLine has to offer. Then, use your knowledge to crush California online sports betting when it's a reality.

Read the original here:

Sports betting in California: When it will be legalized, how to bet online, where to get picks, optimal promos - CBS Sports

In summary

Theres a good chance that two initiatives to legalize sports betting will appear on the November ballot. If both pass, they might both go into effect or the result could be decided in court, depending on which one gets more yes votes.

Lea este artculo enespaol.

Come November, Californians will likely face the question: Should sports betting be legalized?

And then, a bit further down their ballot, theres a good chance theyll get asked again: Should sports betting be legalized?

Yep. Odds are that two measures to legalize sports betting will appear on Novembers ballot. Thats pared back from earlier this year, when four different initiatives were in play.

Of the two remaining measures, one is already eligible for the November ballot, and the other is expected to be soon.

The California Sports Wagering Regulation and Unlawful Gambling Enforcement Act is backed by a group of Native American tribes and is currently eligible for the ballot. It would allow tribal casinos and the states four horse race tracks to offer sports betting. It would also allow tribal casinos to expand their gambling offerings to roulette and dice games.

Meanwhile, the California Solutions to Homelessness and Mental Health Act is backed by several large sports betting companies, including FanDuel, DraftKings, and BetMGM. It would legalize online sports betting outside of Native American lands, and allow gaming companies to offer online sports betting if they partner with a tribe. Election officials are reviewing the signatures for this initiative if enough are valid, it too will be eligible for the ballot.

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California occasionally ends up with ballots that have multiple initiatives on the same topic.

If one passes and the others dont, then theres no problem: The one that passes goes into effect, the others do not.

If they all pass and dont conflict with one another, they can all go into effect.

But, if more than one pass and they are in conflict with each other, the one that passed with the higher margin of yes votes goes into effect and the other does not, per Californias constitution.

The initiative backed by FanDduel, DraftKkings and BetMGM asserts that it does not conflict with the measure allowing sports betting on tribal lands, and that if both pass, both go into effect. The measure backed by the tribes doesnt say anything about whether it conflicts with other measures.

So, if both initiatives pass and the initiative backed by FanDuel and DraftKings passes by a higher margin odds are that both measures will go into effect, said Ian Imrich, a Southern California attorney whose practice includes gaming law. But if both pass and the tribal measure passes by a higher margin, lawyers for the tribal measure could argue in court that the two measures are in conflict, to try and prevent the measure backed by FanDuel and DraftKings from going into effect.

This isnt the first time theres been more than one initiative on the same subject. In 2016, there were two initiatives related to the death penalty and two about plastic bags.

Legislators also can broker deals between initiative proponents. In 2014, lawmakers passed a bill that allowed backers to yank their measures off the ballot closer to the election, giving them more time to potentially work out a deal. In April, for example, lawmakers negotiated a deal between patient groups, consumer lawyers and medical professionals, passing a law that increases the penalties victims of medical malpractice can seek and averting a costly initiative battle on the subject.

In February, when four sports betting initiatives were in the mix, state legislative leaders Anthony Rendon and Toni Atkins voiced interest in pursuing a compromise over sports betting.

I think its always confusing to the voters when theres multiple ballot measures along the same item, said state Senate leader Toni Atkins, a Democrat from San Diego, at a Sacramento Press Club event. If you want to see progress, its helpful for it to be more simple so I think maybe there will be an opportunity (to negotiate a deal), Atkins said.

When CalMatters asked Atkins office if legislative leaders were still considering a deal, a spokesperson said they were still looking into it.

State Senate, District 39 (San Diego)

How she voted 2019-2020

Liberal Conservative

District 39 Demographics

Race/Ethnicity

Latino 19%

White 56%

Asian 16%

Black 5%

Multi-race 4%

Voter Registration

Dem 44%

GOP 23%

No party 27%

Other 4%

Campaign Contributions

Sen. Toni Atkins has taken at least $1.8 million from the Labor sector since she was elected to the legislature. That represents 20% of her total campaign contributions.

State Assembly, District 63 (South Gate)

How he voted 2019-2020

Liberal Conservative

District 63 Demographics

Race/Ethnicity

Latino 76%

White 10%

Asian 6%

Black 7%

Multi-race 1%

Voter Registration

Dem 56%

GOP 14%

No party 24%

Other 6%

Campaign Contributions

Asm. Anthony Rendon has taken at least $2.8 million from the Labor sector since he was elected to the legislature. That represents 27% of his total campaign contributions.

The vast majority of Californians think the initiative process needs to be changed, according to a survey conducted by the Public Policy Institute of California in April. Over 90% of Caliornians somewhat or strongly agreed that the wording of ballot measures is often too confusing for voters to understand what happens if the initiative passes, and 56% said that special interests control a lot of the process.

Most initiatives dont pass, and Mark Baldassare, president of the institute, said the likelihood of a measure passing goes down further if voters are confused by it.

The fact that initiatives can be confusing to voters and that the process can be further muddled by having more than one initiative on the same subject is a huge problem, said Mary-Beth Moylan, associate dean at the University of the Pacific McGeorge School of Law.

People dont tend to read things closely. And oftentimes, what is included in the ballot title is arguably misleading, Moylan said. So thats particularly dangerous in a situation where you have multiple initiatives about the same or similar subject matter.

Excerpt from:

What happens if Californians pass two sports betting initiatives? - CalMatters

Betting is now legal in 30 states, and sports fans in Georgia are eagerly waiting to see if their state will join in with Georgia sports betting. Efforts to get Georgia mobile sports betting voted on in 2022 fizzled because the state legislature ended its session, but experts believe that Georgia could add Georgia sports books in the near future. Georgia loves its sports teams, so there is no doubt sports betting in Georgia could be very successful once it is legalized.

If Georgia online sportsbooks get the green light, the newest Georgia sports book promo code and Georgia sportsbook deposit code will be all the rage for sports fans in the Peach State. Now is the perfect time to brush up on sports betting terminology with this helpful guide from SportsLine so you can wager like a pro if Georgia legalizes online sports betting.

There are several ways you can make sports wagers both online and in retail sportsbooks and plenty of bet types you'll want to familiarize yourself with.

Live betting: Georgia sports fans could be able to wager on their favorite sports in real-time thanks to in-game odds updates. With pro baseball season in full swing, online sportsbooks let fans wager on live-updated totals or even the outcome of the next at-bat. Atlanta's pro baseball team is one of the best in the league right now, so placing a live bet on baseball will be very popular if online sportsbooks are legalized.

Prop bet: A prop bet is a wager on a given outcome within a game or match other than the final score. For example, a prop bet in a pro baseball game can be on whether a big hitter for Atlanta gets a home run or whether a player on a hot streak gets an RBI. Prop bets can even be placed on the number of strikeouts a pitcher will have in his outing.

Outright: This is a popular kind of bet because it is easy to place and doesn't involve multiple sides or handicapped points. With an outright bet, the bettor picks which athlete will win an entire event. This is a very popular betting method for sports like pro golf where single athletes compete against one another. Outright betting can also be used for title fights or for car races.

If you're looking for the best values on the board in Georgia or elsewhere, be sure to check out SportsLine, which specializes in Vegas picks, DFS advice and season-long fantasy sports projections.

An industry leader, SportsLine.com provides advanced computer modeling, expert picks, news and analysis of all the biggest events in sports. It can help you identify in which games you'll have the biggest statistical advantage. Plus, you'll get access to a team of over 40 experts.

SportsLine provides betting advice across the four major professional sports, college sports, golf, tennis, soccer, combat sports, horse racing, auto racing and more. It's a proven resource to sports bettors around the world. You can sign up here to enjoy all of the sports betting and fantasy sports advice that SportsLine has to offer. Then, use your knowledge to crush Georgia online sports betting when it's a reality.

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Sports betting in Georgia: When it will be legalized, how to bet online, where to find picks, top promos - CBS Sports

Despite most gambling tickers hovering near 52-week lows as recession warning sirens blare louder, the sports gambling sector could be an attractive play through the rocky economic environment, according to one analyst.

The churn rates have been pretty low, Macquarie Analyst Chad Beynon said on Yahoo Finance Live recently (video above). The engagement, the retention of the tech that we're seeing out there has been pretty good, and there haven't been any new companies to come in the space in the past couple of months. So we really like the stocks at these levels. I know everything was down about 20% in the last week, but everything is according to plan. That's what we're hearing from these companies.

DraftKings (DKNG), MGM Resorts International (MGM), Penn National Gaming (PENN), and Caesars (CZR) are all down at least 35% this year. Yet, Beynon and Macquarie have maintained a 'buy' rating on all those equities.

What we've seen during the second quarter, which is seasonally one of the lowest quarters of the year, is some outperformance, Beynon said. That's come on the revenue side with more what we call single game parlays.

Fans wait to enter stadium next to BetMGM Sportsbook before the game between the Washington Nationals and the New York Mets on April 7, 2022. (Photo: Brad Mills-USA TODAY Sports)

The case for owning gambling stocks is built around customer retention, Beynon explained, which has been strong after companies shelled out millions in promotional dollars during the opening of operations in New York state. He noted those marketing spends are expected to trim lower throughout the summer before possibly returning briefly at the start of NFL season.

Meanwhile, mobile sports wagering handles in New York have fallen from a high of $1.67 billion in the opening month of January to $1.2 billion in May, but net revenue gained by each platform after bettor wins are paid out and taxes are accounted for hasnt wavered much. The net revenue paid to providers in May sat around $53 million, better than both April and February.

Single-game parlays encourage bettors to wager on more than one outcome in a given game. For example, during the NBA Finals, a bet couldve been made on the Golden State Warriors to win the game and guard Stephen Curry to score more than 30 points. Companies like DraftKings and FanDuel (PDYPY) ran heavy promotions on such bets throughout the NHL and NBA playoffs.

Story continues

Beynon believes this is part of a larger strategy to make gambling a more engaging social experience as the more people interested in smaller parts of the game, the more companies can profit off their customers wagering. This could prevent companies from overspending on marketing promotions to bring gamblers back to the apps.

Fans line up at the betting window during the 154th running of the Belmont Stakes at Belmont Park on June 11, 2022 in Elmont, New York. (Photo by Al Bello/Getty Images)

If the engagement and the retention tools are working, you don't have to" bring back promotions, Beynon said. What we saw in New York, which was probably the most heavily promoted state, early giveaways between $1,000 and $3,000 to acquire that customer, you still have to do odds boost and reload bonuses to keep that player engaged. But it's really some of the tools that they have in the app right now, the single game parlays, sharing your bet slip, betting or fading your friend's bet, so more of that social environment.

Despite consumers feeling the effects of rising gas prices and other pricing pressures, those following the gambling space haven't seen a large enough impact to negatively impact the industry. DraftKings CEO Jason Robins told Yahoo Finance in May that inflation had zero impact on their business. On June 1, Bank of America released a note flaunting the opportunity in gaming stocks amid a recession.

Just last week, Beynon told Yahoo Finance thats held true thus far at brick-and-mortar locations where visitation has remained steady through early June. Overall, though, spend from lower-end customers has fallen about 5-10%. That pullback will be the key indicator to watch moving forward.

The average player in a database on a sports betting side loses a little under $1,000 a year, so that certainly is a number that we're going to be looking at as gas prices continue to rise and inflation sets in here, Beynon said.

Josh is a producer for Yahoo Finance.

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How sports betting companies are weathering the economic storm - Yahoo Finance

Hollywood has come to accept that content is the primary weapon in the streaming wars. Quietly, as legalized online sports betting spreads across the country, content also has become the weapon of choice for digital casino operators and betting firms looking for that edge in what has been an expensive grab for consumer dollars. And content creators, from production companies to podcasters to established TV talent, are cashing in, The Hollywood Reporter writes.

It is the streaming wars version for casino operators, former Wall Street analyst Hal Vogel says.

Online sports betting has been on a steady expansion across the U.S. since the 2018 Supreme Court ruling in Murphy vs. NCAA paved the way for states to permit the practice. As each state legalized access to sports betting (its legal in 21 states, with another nine pending and others expected to follow), gaming operators jumped into the space, both digitally native firms like DraftKings, and legacy casino brands like MGM and Caesars. Even media companies entered the fray, with Fox launching FoxBet in partnership with Flutter (now owner of FanDuel).

But the expansion has proved to be expensive, with each state launch requiring a local marketing blitz. As anyone who lives in a state that has legalized sports betting in the past year or two would tell you, as soon as it becomes legal, TV ads, targeted digital marketing campaigns and mailed flyers proliferate. So gaming companies have turned to content as a point of differentiation. The result has been a flurry of deals covering podcasts, social media content like TikTok videos and Instagram pages, and even talent deals, as athletes, entertainers and sports media celebrities sign on with various gaming firms to produce originalcontent.

Most recently, Caesars Entertainment, owner of the famed Las Vegas casino resort and the Caesars Sportsbook mobile app, inked a deal with Peyton Mannings Omaha Productions to produce video and podcast content for its various platforms. Caesars big bet is that Peyton drives his rabid audience to its gambling platformand keeps them there, and away from others, says Peter Csathy, chairman of advisory firm Creative Media. Its all about customer acquisition and customer retention in an increasingly hyper-competitive online and offline world of gambling, gaming and crypto.

We do believe that consumers are smart, and it is much better to engage them with content and to let them get to know the world we are creating, Caesars Sportsbook chief marketing officer Sharon Otterman says. You dont have to keep hammering them over the head with this offer or that offer. It is a strategic way to build a relationship with customers, and to respect both sides of the equation.

It is, in the words of a finance world source, a wash, rinse, repeat cycle. Players come into the ecosystem because of the content, play, and then, hopefully, stay.

If anything, Caesars deal with Manning and his production company is the culmination of a years-long effort by betting firms to differentiate themselves through content. Penn National Gaming acquired a sizable minority stake in Barstool Sports in early 2020, and plans to become majority owner of the company next year. In addition to Barstool content like original podcasts, Penn also launched a Barstool-branded sportsbook.

Pat McAfee, the popular radio host and YouTube creator, inked a nine-figure deal with FanDuel last year to bring his program to the betting companys platforms. BetMGM struck deals with The Athletic, now owned by The New York Times, and Yahoo Sports, and Caesars hired former ESPN anchor Kenny Mayne in a content role, to name just a few deals.

Otterman says the company moved into content after it found that customers were tiring of the transactional experience of betting apps, with users saying the space felt more like a bank than the experience when you first walked into Caesars Palace.

Users enjoy and relate to talent and content on a different level than they do a game or betting app, and betting firms are more than willing to pay to secure that relationship for themselves. So far, many of the deals involve podcasts, and in particular podcasts that touch on sports, where the betting company is the presenting sponsor (and can also sell ad space). With sports podcasts already a top genre and betting already a frequent topic of conversation, the deals have proliferated. But deals for video content (again, usually sports-related), distributed on social platforms, YouTube, or within the apps and websites of betting firms, also have become morefrequent.

Former ESPN talent have been in particularly high demand. In 2021, DraftKings inked a multiyear deal with Meadowlark Media (co-founded by former ESPN chief John Skipper) to sponsor and distribute former ESPN radio host Dan Le Batards podcasts in whats been described as a mid-eight-figure deal. It is not a big leap for these companies to invest in media, because it gives them alternate ways to diversify their revenue streams, but also build their own audience and content, says Meadowlark Media COO Bimal Kapadia.

But more than anything, its about getting those consumers into their own ecosystems. It really is all about collecting those email addresses, says Joe Favorito, a sports media consultant and adjunct professor at Columbia University. Increasingly, content is becoming the most cost-effective way to achieve that result. As a high-level source on the content side of the business tells The Hollywood Reporter, online sports betting has reached a point where the street wants to see ways that are less cash-intensive to raise awareness and increase engagement for their platforms.

With much of the country on board or likely to launch legalized online sports betting in the next year or so, the localized land grab is giving way to more efficient national campaigns. The rapid growth of our footprint has opened up scale efficiencies that make some national initiatives accessible and attractive, whereaspreviously they were uneconomic because there was leakage into states where we were not active, BetMGM CEO Adam Greenblatt said at the companys May12 investor day.

That efficiency becomes more necessary as the country stares down a possible recession. Consumers are tightening purse strings, and sports bets could be an easy expense to cut. That environment could make content investments even more important, thanks to their inherent stickiness. Even if people dont make bets, they are likely to keep listening to podcasts or watching funny videos created by Manning or Mayne (like Maynes Betting 101 series for Caesars, which uses his quirky sense of humor to introduce betting concepts to users).

Dans voice, whether it is in a bear market or a bull market, is still relevant to his fanbase, Kapadia says of Le Batards loyal audience.

And the economics of the deals also work to help betting firms amortize their costs by selling other ads on owned podcasts or videos, or reselling content elsewhere if so desired. If betting companies can have their own content, or licensed or partnered content, they have an ability to lower those [consumer acquisition] costs because they can then recoup it through their own ad sales, their own licensing deals, their own partnerships, Kapadia adds.

Another content-side source notes that the strategy has already proven itself in between major sporting events, when, as one would expect, sports betting slows down. But consumers keep engaging with the content and return when things pick up. While a recession is certainly a different beast, the strategy shares a North Star.

We have no ambition to be a media company, that is not what we do, Caesars Otterman says, adding that increasingly the worlds of advertising and content are converging, and the best way that you can make sure a potential customer knows what we stand for, and to have an emotional connection to us, is to be immersed in our content.

And just as companies like Netflix, Disney, Paramount and NBCUniversal have found themselves in bidding wars for top-tier comedy and drama talent, betting firms are finding that authentic content from established names could be their ticket to consumer cash. Or at least their email addresses.

Gambling, gaming and crypto share the same opportunityand same dilemma, says Csathy. Consumers are willing to spend massive amounts of dollars, but they first need to know where to go spend that money.

Georg Szalai contributed to thisreport.

A version of this story appeared in the June 22 issue of The Hollywood Reportermagazine.Click here to subscribe.

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Las Vegas Sports Betting Giants Roll the Dice on Hollywood Talent - Sportico

Everybody is always looking for an edge in sports betting, its what you do when making any kind of investment. What many people are somewhat surprised to learn is that there is much more to getting one up on the best offshore sportsbooks than knowing every player, combing over every stat, and following every trend.

We have already covered the green lumber fallacy in sports betting, based on the famous anecdote about one of the best construction material traders in the world not knowing that green referred to wood that was just cut, not the color the boards were painted. That trader, Joe Siegel, rose to the top of his craft by evaluating order flow, price dynamics, and other factors instead of the product itself.

Its important to dive deeper into other theories around sports betting besides the actual game itself. None of these are foolproof obviously otherwise Las Vegas wouldnt be building new hotels every year but at least knowing about these strategies can only help build a better overall gambler.

Fading Majority Wagers

Almost every seasoned sports bettor knows that if a point spread looks too good to be true it probably is. Sportsbooks set the line, so it doesnt make sense that these well-paid, experienced professionals with insider information on every team in every sport would simply be wrong with their numbers.

As a sports bettor, its also really easy to overthink things, and not everybody is going to have the same read on a game. That being said if something like 85% of the public is on one side and the point spread is not moving, that should get the Spidey senses tingling. Then again 100 bets at $1 still equates to the same amount of money on a game as 1 wager at $100.

Ultimately the best approach in fading the public is if that youre not comfortable with the percentage of bets on one side, dont play the game. Sportsbooks know the fading the public angle so sometimes they lay the trap on the overthinkers as well.

The Value Is on the Better Price

To say that a wager such as the Yankees -500 doesnt have value just because it is high priced is simply not true. Sure there are games on each slate that have better value, and there are games with a higher return on investment but a team can also have value at any price.

Underdogs definitely have better odds, but thats for a reason because they are less likely to win. Ultimately taking huge favorites really depends on the bankroll. Its not a great idea to go all in on the Yankees -500 just to add $100 to your pot, but spending $5000 (of a $10,000 bankroll) to win $1000 is how high rollers build up their bankroll.

Parlays Have Better Odds

The theory on parlays is a combative one. On one hand, youre probably just burning money putting in 10-team parlays every week but at the same time with the crazy odds that a wager like that has you really only need one hit to have your bets covered for the year.

What many gamblers will say is that its hard enough to get one game right, so trying to correctly call 3,4, or 5+ games is nearly impossible. Most bettors are rational enough to know that a parlay is probably a lost bet kind of like a lottery ticket but they are still fun, which is ultimately what this should all be about.

Excerpt from:

Three Sports Betting Theories and If They Actually Work - The Sports Bank

A: Tennessee currently has nine sportsbook operators though a couple of additional operators have been approved and users can wager on sporting events anywhere in the state through their apps. Because there are no casinos in the state, Tennessee has not had a significant push for legalized in-person sports gambling.

Q: Do you have to be from Tennessee to engage in sports gambling in the state?

A: No, Tennessee residents and those from outside the state are allowed to wager online on sporting events.

Q: Are there limitations on sports gambling?

A: Sports gambling in Tennessee is restricted to those 21 years or older. While betting on professional and collegiate sports contests is legal, sports gamblers cannot place live prop bets (wagers tied to specific facets aside from the outcome) on college games. Users are allowed only one account at each licensed sportsbook, and those who are a part of leagues or teams cannot place legal wagers.

Q: Is sports gambling profitable for Tennessee?

A: Yes, the state collects 20% of adjusted sports betting revenue in taxes, with most of that revenue stream going toward Tennessees education programs. Tennessee takes in millions of taxes each month from online sports gambling, with peaks during major sporting events such as March Madness and football season.

Q: Is there momentum for further legislation?

A: There is not significant traction for legislation in the coming months, as the lack of casinos in Tennessee and the success of online sports gambling options have negated any immediate demand for further expansion of sports gambling.

Q: What similarities could we see if Georgia goes the online route?

A: Like Tennessee, Georgia does not have any land-based casinos, so online sports gambling could be an appealing option if gambling is legalized in the future. Tennessees restriction on live prop betting for college games would be another issue to track given Georgias college football presence.

See the article here:

What you should know about sports gambling in Tennessee - The Atlanta Journal Constitution