September Welcomes Back Football

September welcomes the arrival of NFL and college football, which is precisely the elixir the top-rated sportsbooks need following the dog days of summer when recreational bettors vacation and put sports betting on the shelf. According to the Ohio Casino Control Commission, mobile and retail sportsbooks experienced a beehive of activity. September’s $863 million handle was the third highest since sports betting launched in January 2023.

Not only did the handle increase, but so too did the revenues derived from it. Mobile sports betting generated an overwhelming share of the combined revenue, producing $102.4 million, while retail generated only $3.2 million of Ohio’s combined September revenues of $105.6 million.

Ever-Growing Industry

Although the higher handle and revenues were expected to climb well above August’s numbers, the year-over-year data reveals that sports betting is a growing industry in the Buckeye State, as evidenced by the handle soaring over 25% and revenues jumping 30% in comparison to September 2023.

Another notable factor boosting the numbers was the combined 12.3% hold or win rate that the sportsbooks enjoyed in September. This was a whopping three points higher than the previous month and half a point higher than a year ago.

As the sportsbooks’ revenues have increased, so too has the state’s tax bite. Ohio imposes a 20% tax on adjusted gross revenues, and it received more than double what it did in August ($9.8 million) with $21.3 million in September, which is nearly $5 million more than September 2023. We should also note that Ohio has seen its tax coffers swell by more than $129.8 million over the first nine months, which is 50.4% higher than the same time last year.

DraftKings Wins Popularity Contest

Boston-based DraftKings generated the highest handle in September with $308.7 million, which was well ahead of second-place FanDuel’s accepted wagers for the month totaling $276 million. However, in the category that truly counts, FanDuel was the state’s highest revenue producer at $39.1 million compared to DraftKings’ $37.5 million, due to its state-leading 14.2% hold against DraftKings’ 12.1%.

DraftKings and FanDuel, or vice versa, occupying the top two spots is a familiar pattern throughout the US sports betting landscape, but the second-tier sportsbooks shift according to geography. In September’s race, the European mobile sportsbook, bet365, took the bronze medal with a $68 million handle, generating $7.6 million in profits.

BetMGM was next with $52.4 million, producing $5.6 million, while Fanatics posted a $35.6 million handle, generating $3.6 million for the relative newcomer to the industry. Caesars was next with $29.2 million in accepted bets, which delivered $2.6 million to the iconic Las Vegas brand. ESPN Bet was just a whisker behind Caesars with a $28.7 million handle producing $3 million in revenue.

YouTuber turned boxer Jake Paul’s Betr completed its first full month in the Ohio sports betting market with $614,496 in wagers, which produced $90,450 in revenues for its debut, ahead of only betPARX and Betly.