Indiana retail and online sportsbooks capped their inaugural year in the state by surpassing $160 million in bets in a month for the first time. Indiana’s record handle in December pushed the state to more than $430 million in bets since the first wager was accepted in September, a staggering pace that has set the stage for a momentous 2020, according to analysts from PlayIndiana.
“Indiana’s ascent to one of the largest sports betting markets in the country has been impressive by most any measure,” said Dustin Gouker, lead analyst for PlayIndiana. “The question for 2020 is whether Indiana can sustain its rate of expansion, especially as neighboring states become more likely to legalize sports betting. That has already happened in Michigan, which could take a bite out of the handle at some of northern Indiana’s retail sportsbooks.”
In December, the state’s retail and online sportsbooks generated a combined $161.8min bets, up 10 per cent from November’s $147.3m handle, according to official reporting released Friday. December’s handle produced $12m in adjusted gross revenue, up 29 per cent from $9.3m in November. The “win” yielded $1.1m in tax revenue for the state.
Indiana sportsbooks have now generated $433.4m in bets and $42.7m in revenue since launch, and is easily the fourth-largest sports betting marketing in the country, trailing only Nevada, New Jersey, and Pennsylvania. To put Indiana’s growth into perspective, it took Pennsylvania, the No. 3 market in the US, 10 months to surpass $400m in lifetime handle. Indiana surpassed $400m in its fourth month.
A boost could come in January. Football betting has accounted for $178.6m since launch and $59.1m in bets in December, and that will likely surge with the NFL Playoffs and college football’s national championship in January. In addition, basketball, which has accounted for $82.2m since launch and $42.3m in December, should grow as college basketball enters conference season and the NBA season heats up.
“With the NFL Playoffs at hand and college basketball in full swing, it is possible that Indiana will surpass $1bn in bets by March, making Indiana one of the quickest legal US jurisdictions to reach that mark,” Gouker said.
The relatively rapid growth of Indiana, which launched online sportsbooks in October, can be attributed to the adoption of online sports betting far earlier than states such as Pennsylvania. In Indiana, $110.6m of December’s bets were made online representing 69.5 per cent of the state’s total handle, up from 65 per cent of the November handle.
Online sports betting is also growing in the number of sportsbooks. BetAmerica, operating under the Rising Star Casino license, became Indiana’s fourth online sportsbook when it launched in late December.
Still, DraftKings, which operates under the Ameristar Casino license, led the online market once again. In December, DraftKings attracted $66.7m in bets, up from $64.1m in November. That generated $5m in gross receipts, up from $4.3m.
DraftKings was followed by:
-FanDuel/Blue Chip Casino, Hotel & Spa ($36 million handle in December, up from $23.7m; $2.2m win, up from $1.7 million)
-BetRivers Online Indiana/French Lick Resort ($7.9 million handle, down from $8.4 million; $528,200 win, up from $476,284)
-BetAmerica/Rising Star Casino Resort ($2,129 handle; -$1,173 win)
Once again, the top retail sportsbooks were those closest to large out-of-state markets. The top retail sportsbook in Indiana continues to be Horseshoe Casino – Hammond, near Chicago. The market leader generated $13.4 million in December, up from $13 million in November. Those bets generated $1.1 million in gross receipts, up from $800,208. Horseshoe Hammond was followed by:
-Hollywood Casino – Lawrenceburg ($8.9m handle, up from $8.8m in November; $824,235 win, down from $1.1m)
-Ameristar East Chicago Casino ($8.3m handle, up from $8m in November; $928,211 win, up from $735,103)
-Harrah’s Hoosier Park Racing & Casino ($5.7m handle, down from $7m; $441,112 win, down from $557,764)
-Indiana Grand Racing & Casino($4.6m handle, up from $4.2m; $208,275 win, up from $171,205)
-Blue Chip Casino ($4.2m handle, down from $4.5m; $186,802 win, down from $310,955)
-Tropicana Evansville ($2m handle, even with November; $185,176 win, up from $174,841)
-Caesars Southern Indiana ($1.6m handle, up from $1.4m; $170,884 win, down from $106,081)
-French Lick Resort ($1.5m handle, up from $1.2m; $13,587 win, down from $45,357)
-Belterra Casino Resort ($948,810 handle, up from $920,344; $151,640 win, up from $92,233)
“Indiana’s strong start is unquestionably tied to the state’s relatively early launch of online sports betting,” Gouker said. “Online sports betting should make up an increasing share of the state’s handle, too. That will help steady Indiana’s sports betting industry, even as increasing competition from neighbouring states affect retail sportsbooks, which is inevitable.”