Sports bettors in four states now have access to the previously limited Fanatics Sportsbook.
The app previously required a code to sign up, but is available in every state where it beta tested:
The launch gives the platform about three weeks to add customers before NFL betting kicks off with the start of the regular season on Sept. 7.
PointsBet will ‘supercharge’ Fanatics platform
Fanatics cannot say much about the pending acquisition of PointsBet‘s US operations but did touch on how it fits into Fanatics Sportsbook:
With Fanatics Betting and Gaming’s recent acquisition of the U.S. businesses of PointsBet and its proprietary Banach Technology, the Fanatics Sportsbook will integrate the best parts of the PointsBet tech platform to supercharge its sports betting engine.
The Fanatics Sportsbook will also leverage PointsBet’s quantitative driven trading models from Banach Technology in its new state-of-the-art risk and trading platform.– fanatics press release
The initial closing of the $225 million acquisition should take place at the end of the month.
Getting a jump on ESPN Bet
Choosing to go live now gives Fanatics Sportsbook about a three-month head start over ESPN Bet.
Penn Entertainment CEO Jay Snowden expects the app to go live before Thanksgiving in November. The company ditched the Barstool brand after less than four years with little market share to show for it, selling it back to founder Dave Portnoy for $1 while recording more than $800 million in losses.
Penn will pay ESPN $2 billion in cash and stock over the 10-year deal, which also has early-termination clauses for the third and seventh years.
Fanatics, ESPN could change state launches
The top two US sportsbooks, FanDuel and DraftKings, each have playbooks in place for how to launch a new state. The right mix of marketing, promotions and customers has helped those companies turn a profit faster in new states, especially given their scale on a national level.
Those plans might need a bit of an update, though, considering the new competition. Both ESPN Bet and Fanatics are expected to spend significantly to acquire NFL customers.
Carlo Santarelli of Deutsche Bank expects Penn to report losses of more than $100 million in the second half of this year and $250 million in 2024.
How Fanatics rewards will work
Fanatics has not shared specific details about its marketing spend but it is already offering incentives to switch to their sportsbook and online casino. The company is offering cash back, which can be used for free bets or be applied toward merchandise on the Fanatics website, for five bet types:
- 5% back for same game parlays
- 3% back for parlays and futures
- 1% back for straight bets
- 0.5% back on slots
- 0.13% back on table games