bball

As the Playoffs Heat Up, the NBA Looks to Profit From Gambling

Bargaining chip: The NBA is using access to its data stream as leverage for a piece of the sports betting action.

The big picture: Both the NBA and MLB believe they should directly benefit from sports betting through “integrity” or “royalty” fees. The leagues are pushing state legislators for ≈ 0.25% of total bets placed.

Share of Nevada sports betting by sport:
1)
Football — 35%
2)
Basketball — 31%
3)
Baseball — 21%
4)
Other — 13%

Wow: An estimated 18M people wagered $3.9B on March Madness games.

March Madness betters by source according to Morning Consult:
1)
Online (mostly illegal) — 44%
2)
Casino (legal) — 35%
3)
Bookie (illegal) — 21%

Flashback #1: The high-stakes game for sports betting dollars

Estimated sports betting wagers according to Activate (YoY growth):
1)
2018 — $6B
2) 2019P — $10B (↑ 67%)
3) 2020P — $44B (↑ 340%)
4) 2021P — $70B (↑ 59%)
5) 2022P — $119B (↑ 70%)

Where you can currently place sports bets according to Legal Sports Report:
1)
DE
2) MS
3) NM (limited)
4) NJ
5) NV
6) PA
7) RI
8) WV

Where you will be able to place sports bets soon:
1)
AR
2) CT
3) DC
4) IA
5) IN
6) MT
7) NY
8) OR
9) TN

Flashback #2: Nielsen projects NFL could make billions annually from gambling market

A recent study projects that legalized sports betting could add $2.3B per year in revenue to the NFL’s bottom line.

Estimated % increase in revenue according to Nielsen:
1) Media rights — ↑ 18%
2) Sponsorship — ↑ 8%
3) Ticket sales — ↑ 7%

Video #1: How legalized gambling will transform pro sports

Video #2: Washington Capitals and Wizards owner Ted Leonsis envisions sports venues partnering with casinos to open sportsbooks in their facilities

More #1: Media companies’ newest wager: Their commitment to sports betting

More #2: 3 Key Takeaways on Fox Sports Gambling App

More #3: Gambling Will Take Over TV Sports

READ NEXT

Want the latest insights from around the video advertising industry?
Subscribe to our State of the Screens Newsletter.

logo

Thank you

We have received your message and will be in touch shortly.

logo

Contact Us