While Arizona sports betting handle slid a bit in its third month, sportsbook revenue increased.
In November 2021, Arizona sportsbooks handled $466.7 million in bets, according to a report from the Arizona Department of Gaming. The figure comes after a $291.2 million handle in its debut month of September and $486.1 million in October.
“Arizona has exceeded expectations and is already a top ten market nationally,” ADG Director Ted Vogt said in a statement. “Revenue from these new games is strong and will only get stronger as the market develops.”
Arizona sports betting taxes still suffer promo bite
Arizona sportsbooks generated $51.4 million in gross revenue, an 11% hold. Operators dished out $18.4 million in free bets and promo credits during the month, bringing the adjusted revenue to $31.9 million after allowable deductions.
The state collected $3.2 million in taxes. While low, the tax total is a marked improvement from the roughly $1 million collected in total from the first two months.
Operators generated $31.2 million and $36.3 million in sports betting revenue in September and October, respectively, but deducted more than $57 million in promotional spending.
DraftKings stays ahead in AZ
Online sports betting accounted for 98.4% of overall handle, or $459.3 million. DraftKings Sportsbook commanded 32.6% of the online market, handling $148.7 million in wagers.
FanDuel Sportsbook was a distant second with $113.3 million in online bets, or 24.7% of the online market share. FanDuel also took $4.7 million in retail bets at its sportsbook attached to the Footprint Center in downtown Phoenix.
BetMGM was third in the online market with $93.2 million in bets. Caesars Sportsbook was a solid fourth in the market with $63.5 million in online bets, while also taking $2.8 million at its retail sportsbook at Chase Field — one of two commercial retail books open.
| Sportsbook | Handle | Revenue | Hold | Online Market Share |
|---|---|---|---|---|
| DraftKings | $148.7 million | $12.9 million | 8.7% | 32.4% |
| FanDuel | $118.0 million | $16.3 million | 13.8% | 24.7% |
| BetMGM | $93.2 million | $9.7 million | 10.4% | 20.3% |
| Caesars | $66.2 million | $7.6 million | 11.4% | 13.9% |
| Barstool | $17.8 million | $2.2 million | 12.4% | 3.9% |
| WynnBet | $17.8 million | $2.1 million | 11.8% | 3.9% |
| BetRivers | $2.7 million | $252,778 | 9.4% | <1% |
| TwinSpires | $1.5 million | $270,796 | 18.0% | <1% |
| Unibet | $881,937 | $95,302 | 10.8% | <1% |
Operators still coming online
The Arizona sports betting market launched Sept. 9 with seven online sportsbooks. The ADG continues to issue licenses as it approves the 18 operators awarded licenses in August 2021.
Four new AZ sportsbooks have debuted their apps in Arizona in the past two months.
Arizona was the seventh-largest handle in November, just ahead of Indiana‘s $463.7 million and just behind Colorado‘s $475.4 million.
