Decrease in Online Sports Betting Activity in New York in June

As of June, player spending on online sports betting in New York has plummeted to its lowest total in ten months, marking a significant drop in activity. The revenue figures, too, have followed suit, with the state recording the smallest monthly total since February. The total monthly handle for June stood at $1.47 billion, which, while representing a 25.6% increase from the same period last year, marked a noticeable 25.4% decrease compared to May's $1.97 billion. The lower levels of spending haven't been seen since August 2022, when consumers wagered $1.11 billion.

Gross gaming revenue for June was recorded at $133.9 million, showing a 29% year-on-year increase. However, this figure fell 34.1% short of the previous month's total earnings. A significant factor in this downturn could be attributed to the conclusion of the NBA and NFL finals in the first few weeks of June, neither of which featured a New York team vying for the championship. This lack of local team participation seemingly dampened enthusiasm and subsequent betting activity.

The revenue for June was barely higher than the $131.4 million posted in February. The summer months traditionally see lower activity in sports betting across New York and the broader United States. June includes events like horse racing's Belmont Stakes, golf’s US Open, and the Copa América football tournament. Although the Copa América is taking place in the US for only the second time, these events didn’t significantly drive betting activity.

Performance of Leading Operators

Amongst the operators, FanDuel led the charge, posting $67.1 million in revenue from $571.3 million in total wagers for June. This heavy hitter contributed $34.2 million in taxes for the month and has paid nearly $998.3 million into state coffers since January 2022. DraftKings followed, generating $40.9 million from a $521.6 million handle in June. Meanwhile, Caesars saw customers stake $127.7 million, resulting in $6.8 million in revenue.

BetMGM reported $6.8 million in revenue from $100.6 million wagered. Fanatics, with a handle of $67.3 million, generated $6.7 million in revenue and a hold percentage of 9.96% in June. Rush Street Interactive reported $2.5 million from $68.8 million in total wagers. BallyBet posted revenues of $658,294, and Resorts World posted $572,891. Wynn Interactive, on the other hand, generated $66,665 off $1.5 million wagered.

The Summer Season and Betting Trends

The summer months tend to be quieter periods for sports betting, not just in New York but across the United States. Major sports leagues are in their off-seasons, resulting in fewer high-stakes events to captivate bettors. The MLB season, which runs through the summer, traditionally doesn’t drive significant betting activity. As a result, July might witness an even more significant decline in betting, with a slight recovery anticipated in August. June is typically the strongest of the summer months for sports betting, but the quieter period is expected to place further downward pressure on activity until the fall arrives.

A Look Ahead

The sports betting market is expected to experience a robust resurgence with the onset of the NFL season in September. The NFL season consistently drives high engagement and wagering, injecting vigorous activity into the sports betting landscape. As major sports leagues return from their off-seasons, bettors will have more events to attract their attention, reversing the downward trend seen in the summer months.

June's dip, while notable, aligns with historical seasonal trends and the absence of local teams in major finals. As sports enter their active periods again, betting activity in New York is poised for a substantial uptick. For now, operators and stakeholders will keenly anticipate the return of the NFL season and the broader rejuvenation of sports betting across the state.