The sports betting industry has been anticipating 2023 as a significant year for business, and new data has emerged that highlights just how significant it is. According to a recent report from the American Gaming Association, Americans bet an impressive $23 billion on sports during the third quarter, representing a 32.7% increase from the previous year. This puts the industry on track to reach a record $100 billion in total handle for the year.
The total sports betting handle for January through September stands at $78.7 billion, marking a 22.9% increase from the same period in 2022. Much of this growth can be attributed to the introduction or expansion of legal sports wagering in states such as Massachusetts and Ohio.
In addition to the increased betting volume, sports betting revenue for operators is also experiencing positive growth. Third-quarter revenue reached $2.15 billion, an increase of 22.8%. The revenue for the first nine months of the year has reached $7.11 billion, a 51% increase from the previous year and nearly on par with the full-year 2022 figure of $7.18 billion.
Matt Speakman, U.S. sports betting analyst at Online-Gambling.com, noted that the rise in betting volume compared to revenue growth suggests an evolving, engaged betting community. He expects the market to continue expanding with upcoming major sporting events.
The U.S. sports betting market is experiencing a period of transition with the entrance of well-resourced companies such as Fanatics and ESPN Bet. New York remains the top performer in the industry due to the introduction of legal online sports betting in January 2022. In October, New York became the first U.S. state to post $2 billion in sports betting handle in a single month.