Arizona sports betting saw record activity in October across the state’s smorgasbord of sportsbooks and mobile apps.
Arizona sportsbooks handled $618.6 million in October, according to an Arizona Department of Gaming report last week, vaulting it into the top 10 most-bet states in brief US history. It was Arizona’s second-highest betting month since launching sports betting in Sept. 2021 and ranks sixth among all states for October.
Betting increased 15% from September, and 27% from October 2021.
“It is clear Arizona’s sports betting industry continues to grow, with over $132 million more dollars wagered in October of 2022 when compared to the same month of 2021,” ADG Director Ted Vogt said in a statement. “With Super Bowl LVII and the Phoenix Waste Management Open on the horizon, I am excited to see how these major sports tourism events impact the state’s sports betting industry in the coming months.”
More betting, less taxes
Arizona sports betting generated $2.9 million in taxes for the month, about $95,000 less than in September as operators won less bets and held 7.8% of handle. They deducted $19.9 million in free play and losses from $48 million in gross gaming revenue.
Along with its deductions, Arizona imposes a lower 10% tax on online sports betting revenue and 8% on retail, making it one of the most operator-friendly states in the country.
Six states generated more tax revenue in October despite each taking more than $90 million less in bets, according to LSR‘s sports betting revenue tracker.
DraftKings dominates Arizona sports betting
DraftKings made up 35% of the online market with $214.7 million in bets. October was its third $200 million month, which Arizona’s 17 other apps have yet to hit even once.
FanDuel took the second-most mobile bets with $192 million, its best month in Arizona yet. BetMGM was third with $94 million, followed by Caesars with $57 million and Barstool with $17.5 million.
The state’s 13 other apps combined for the remaining 6.5% of all bets. TwinSpires and Fubo Sportsbook took a combined $400,000 before shutting down for good halfway through the month.
What’s with Phoenix Suns business?
While DraftKings led mobile activity, FanDuel led on the ground with $2.8 million in bets placed at its retail sportsbook.
However, FanDuel Sportsbook at Phoenix Suns Footprint Center posted more than $185,000 in losses, its third losing month in the last five. No other retail sportsbook reported losses. In October, the Phoenix Suns were 4-2 against the spread, per Lineups.com.
The BetMGM Sportsbook at State Farm Stadium took $2.3 million in bets and $190,000 in revenue. It has yet to report a losing month since opening in August and next month becomes the first retail sportsbook at a Super Bowl game. Caesars Sportsbook at Chase Field took $985,000, keeping $110,000.
Racetracks, restaurants and other off-track betting locations took $1 million in bets, their most since March 2021.
