The decrease was expected due to limited sports events to bet on from April through August. Several factors contributed to the decline in the betting handle, such as the absence of Illinois teams in the NBA and NHL playoffs and the conclusion of the NCAA college basketball season.
FanDuel Leads Illinois Betting Operators
During April, FanDuel again secured itself as the top performer, generating an impressive $310.1 million in wagers and reporting a taxable revenue of $36.9 million. The company’s 11.3% hold rate resulted in a tax payment of $6.2 million.
DraftKings, while coming in second, still performed well with a betting handle of $282.2 million. However, they earned $2 million less than FanDuel, reporting an 8.1% hold rate and paying just over $4 million in taxes.
BetRivers had a solid April, handling $91.9 million in wagers and generating $7.9 million in revenue with an 8.9% hold rate. The Des Plaines Illinois bookmaker paid $1.4 million in taxes.
Illinois’s sportsbook market saw Caesar’s ranking fourth, boasting a significant $75.5 million in handle and paying $655,882 in taxes on $2.9 million in taxable revenue. Caesars recorded an impressive 3.9% hold rate, the lowest among its competitors.
PointsBet, an Australia-based sportsbook provider, handled $42.9 million in wagers with a 10.1% hold rate, earning $4.9 million in revenue and contributing $904,674 in taxes.
BetMGM, a Las Vegas-based sportsbook operator, finished sixth with $3.1 million in revenue, based on a $49 million handle and a 6.4% hold rate, paying $581,324 in taxes for April.
Last but not least, Barstool Sports secured the seventh position, earning $2.1 million in revenue, paying $459,961 in state taxes, and handling $35.2 million in wagers. Barstool shared an April hold rate of 6.0%, proving a worthy contender in the sportsbook industry.
Parlays, Parlays, Parlays
Parlays drive the monthly revenue, but basketball is running a close second. In April, the top five sports betting markets for handle and revenue were:
|
Betting Markets |
Betting Handle |
Revenue |
|---|---|---|
|
Parlays |
$249.4 million |
$17.6 million |
|
Basketball |
$240.3 million |
$3.4 million |
|
Baseball |
$163.4 million |
$2.9 million |
|
Tennis |
$68.3 million |
$689,029.00 |
|
Other Markets |
$55.7 million |
$955,732.00 |
Factors Driving Growth in Illinois Sports Betting
Several factors are driving the growth of the Illinois sports betting market. These include:
- The popularity of sports in Illinois. The state is home to several professional sports teams, including the Chicago Bears, Chicago Bulls, Chicago Blackhawks, Chicago White Sox, and Chicago Cubs
- The convenience of online sports betting. Online sports betting allows people to place bets from anywhere in the state. This has made it easier for people to participate in sports betting
- The availability of multiple sportsbooks. There are now seven sportsbooks operating in Illinois. This competition has led to lower prices and better odds for bettors
Future of Illinois Sports Betting
The future of Illinois sports betting looks bright. The market is expected to continue to grow in the coming years. This growth will be driven by many factors, including:
- The continued popularity of sports in Illinois
- The increasing popularity of online sports betting
- Circa Sports entering the market in August
Illinois Third in Nation in Taxes Paid
The Prairie State bookies coughed up $14.4 million in taxes on their sports betting revenue for April, adding to the already impressive $56.4 million in tax dollars collected in the first quarter of 2023.
With a total of $289 million in taxes contributed since the inception of legal sports wagering in 2020, the seven sportsbook operators in Illinois are doing their part in supporting critical programs like “Rebuild Illinois” and the “Capital Projects Fund.”
