Michigan sports betting revenue is rising, even as the neighboring Ohio market picks up steam.
Michigan sportsbooks took less in wagers year-over-year for the sixth consecutive month in April, handling $338.1 million, down 15% from $396.0 million in April 2022, according to Michigan Gaming Control Board information released this week. It is not all bad news for MI sportsbooks, as revenue grew 12% year-over-year, from $32.4 million (8.2% hold) in April 2022 to $36.3 million (10.7% hold) last month.
While Michigan’s market shows signs of a shift toward profitability for sportsbooks, the January launch of Ohio sports betting also likely contributes to shrinking handle. Ohio sportsbooks took $2.5 billion in bets in their first three months of wagering.
Online sports betting dips in Michigan
Online handle in Michigan hit $322.8 million in April, down from $371.2 million in April 2022.
Through the first four months of 2023, Michiganders have wagered 9.7% less online than in 2022 – $1.55 billion compared to $1.72 billion.
The downward trend in handle likely comes from operators focusing more on profitability and less on courting new customers with promotions.
Sports betting revenue up in Michigan
Sports betting revenue is up in Michigan, but that is largely because of FanDuel. Through the first four months this year, Michigan sportsbooks generated $137.2 million, up 15.9% from $118.4 million in the same period last year.
The US sports betting leader has $71.2 million in revenue through the first four months. That revenue figure is up from $45.9 million in the same period of 2022.
Nine sportsbooks in Michigan generated less revenue during the first four months of 2023 than in 2022.
FanDuel, DraftKings steady in Michigan
FanDuel is the far-and-away leader in Michigan, taking $114.9 million in online handle during April, or 36% of the overall online handle. The sportsbook generated $17.4 million in revenue, a robust 15.1% hold during the month. That is 48% of the overall online sports betting revenue.
DraftKings solidified its second-place standing in Michigan, taking $86.3 million in wagers, or 27% market share. DraftKings held 10.7% for $9.2 million in revenue, or 25% of the overall online revenue.
After pushing for second through the first two years of online wagering, BetMGM dropped back to third with $55.1 million in handle, or 17% market share. BetMGM drew 18% of revenue, holding 11.5% for $6.4 million.
New operator heading to Michigan
PointsBet controlled 2% of the Michigan sports betting market share. The sportsbook took $7.6 million in wagers and generated $868,171 in revenue on an 11.5% hold.
This month, Fanatics Sportsbook acquired PointsBet USA and will replace the brand in its existing markets, including Michigan. Market access is among the key pieces Fanatics gains through the $150 million deal.
In-person sports betting in Michigan
The three Detroit casinos contributed $15.3 million to overall handle in Michigan. The April in-person figures were skewed, as a bettor won $2.6 million on parlay wagers placed at FanDuel Sportsbook at Motor City Casino.
Motor City ended up with a -$1.7 million adjusted gross revenue for the month. The three together finished the month with a -$14,489 adjusted gross revenue.
In-person sportsbooks in Michigan:
- Barstool Sportsbook at Greektown Casino: $6.8 million handle, $1.4 million in revenue
- BetMGM at MGM Grand Detroit: $4.3 million handle, $432,194 in revenue
- FanDuel at MotorCity Casino: $4.2 million handle, -$1.7 million in revenue