The repeal of PASPA is changing sports betting forever. Nevada no longer has a monopoly on single-game sports betting. Not only are more states offering sports wagering, but there are new sportsbook operators in the United States.
These new operators in the US have a different way of doing business behind the counter and in front of the counter. For better or worse, new sportsbook operators are offering different kinds of odds for bettors.
There have been hiccups like FanDuel Sportsbook glitch in New Jersey and the high vig at DraftKings sportsbook when it opened. While experienced sports bettors are up in arms, the new sports bettors in New Jersey are lining up to fire away at both sportsbooks.
Sportsbooks on social media
At the same time, the competition in new states is strong. The new sportsbook operators like FanDuel, DraftKings, and SugarHouse are regularly offering odds promotions. In fact, FanDuel offers a Daily Odds boost on certain bets.
🚨Daily Odds Boost🚨
Who doesn't like a Home Run prop?!
How about one that pays off if only one of two players succeed?
Do you think Machado or Yelich leave the yard tonight? If one of them do we're paying out +160!
Bet it here 👇https://t.co/uMkYBeS7xY pic.twitter.com/iZMczUy5MN
— FanDuel Sportsbook (@FDSportsbook) October 12, 2018
These regular promotions are a new tactic in the United States. Casino sportsbook operators in the United States rarely offer odds promotions. In Nevada, you’ll have to keep up on personal Twitter accounts of sportsbook workers to see the occasional deals. Sometimes they’ll share the information with the media but that’s not very often.
You don't have to predict the winner in these League Championship Series bets. All you have to forecast is if it will end quickly or go long. #MLBPostseason pic.twitter.com/n7x7pzA8hi
— DraftKings Sportsbook (@DKSportsbook) October 12, 2018
This DraftKings Sportsbook tweet is just a heads up on what they’re offering bettors. There’s nothing fancy — just a reminder that customers won’t be able to wager on the playoffs for much longer.
The new sportsbook operators aren’t just using Twitter to promote themselves. Bettors will receive odds promotions straight to their mobile device if notifications are turned on. FanDuel sends out special wagering opportunities before a variety of big games.
Between mobile and social media marketing, the new companies are reaching customers where they are at all times. They’re not waiting for bettors to find them. This active approach is helping the companies out of the box.
New Jersey sports betting revenue
September sports betting revenue in New Jersey was big. You can already see a difference between traditional casino sportsbook operators and the operators with a focus on mobile wagering.
Legacy Casino Sportsbook Operators
Bally’s (Caesars Entertainment)
Retail – $394,046
Digital – $106,463
Borgata (MGM Resorts)
Retail – $2,394,106
Digital – $120,938
Harrah’s (Caesars Entertainment)
Retail – $310,766
Digital – NA
New Sportsbook Operators
SugarHouse (Golden Nugget)
Retail – $619,030
Digital – $499,414
FanDuel (Meadowlands)
Retail – $4,377,474
Digital – $2,852,548
Resorts (DraftKings and BetStars)
Retail – $279,492
Digital – $8,505,940
Hybrid Operator
Ocean Resort (William Hill)
Retail – $999,858
Digital – $292,081
Monmouth Park (William Hill)
Retail – $2,138,097
Digital – $70,785
This isn’t about winners and losers but there’s a noticeable trend that sportsbook operators who actively promote their sportsbook product online and via mobile are seeing plenty of business. As expected, FanDuel and DraftKings combine for the vast majority of mobile wagers in New Jersey. Their mobile apps are great and combine for 87% of digital revenue in the state.
MGM Resorts’ Borgata is the shining star of the traditional casino sportsbook operators. Caesars Entertainment’s properties are lagging behind the competition.
Marketing to a new customer
The new sportsbook operators use twitter the same way their customers do. Sometimes they’re sassy, other times they just share a video clip of the game that’s on, and maybe they’re just sharing silly (sometimes obnoxious) gifs about the games.
Most importantly, the new sportsbooks are in touch with current events in sports. FanDuel Sportsbook will frequently retweet a news article with betting odds at their sportsbook. This isn’t rocket science. They’re just being relevant and marketing to their customers.
Meanwhile, the main social media accounts for casinos have a bit more broadly focused. Casinos have restaurants, traditional gaming, shows, and more to market than just sports betting.
A few casino sportsbooks have their own social media accounts but aren’t very active. You’ll typically find more information about the sportsbook by following the people who work at the properties.
What’s the right strategy for sportsbooks?
We’re still in the beginning stages of expanded sports betting so there’s no right or wrong here. There are just different approaches. However, it does seem that aggressive marketing and promotions by the new sportsbooks in New Jersey is attracting attention and business from the new sports bettors.
If the new sportsbook operators are onto something, the casino sportsbook operators better move quick or they’ll be left in the dust. Legacy brands mean less to younger customers than older customers because they’ve had less time to form a bond.
Fans and customers can be captured quickly online. Once a customer finds a sportsbook brand that they like they may never leave. If casinos want their sportsbook operations to reach their full potential they may have to change social and marketing tactics.
This is a new day for sportsbooks and sports bettors. The legacy companies better act fast or they could lose the market they once had to themselves.
