Michigan Tops $600 Million in Sports Betting Handle in January

Following a successful December for Michigan sports betting, the top sports betting sites in the state continued their momentum into January, with over $600 million in total wagers accepted for the second consecutive month.

The January revenue report from the Michigan Gaming Control Board, released on Tuesday, showed a decrease in handle and a significant drop in revenue for Michigan sports betting apps compared to December. Despite this, sports betting activity in the state saw significant growth compared to the same period in 2023.

The strong performance of the Detroit Lions in the NFC Championship likely contributed to January’s handle in Michigan, as many sportsbook promotions were offered leading up to the game. Despite other states experiencing significant decreases in their handle compared to December, Michigan’s top sportsbooks only saw a slight decline during the January betting period.

Michigan draws $601.6 million in January sports betting

In January, Michigan bettors collectively wagered $601.6 million through the state’s top sports betting apps and retail sportsbooks. This represents a slight 1.9% decrease from December’s total of $613.4 million, but a significant 22.5% increase from the $491 million handle in January 2023.

In January, Michigan sports betting sites accounted for the majority of the state’s total sports betting revenue, with $577.4 million out of the overall $601.6 million coming from online providers.

Revenues up from January 2023, down from December

In January, Michigan’s top sportsbooks generated $48.2 million in gross sports betting revenues, a 27.1% decrease from the $65.9 million reported in December.

However, that amount was 42.7% higher than the nearly $33.8 million generated in January 2023. Michigan sportsbooks had a hold rate of just over 8% last month.

In January, Michigan sportsbooks saw a significant 82.6% year-over-year increase, with adjusted gross revenue totaling $28.9 million. This marked the fifth consecutive month that revenue exceeded $20 million in the state. Adjusted gross revenue accounts for promotional credits and bonuses.

At the same time, Michigan sportsbooks generated $1.3 million in tax revenue for the state and $685K for the city of Detroit from adjusted gross revenues.

FanDuel prevails in Michigan handle and revenue battle

Once again, in the competition to be the top Michigan sports betting app, FanDuel Michigan and DraftKings Michigan emerged as the clear frontrunners in January, solidifying their positions as the leading providers in the Wolverine State.

FanDuel achieved record-breaking monthly handle and revenues in Michigan in January, reporting $214 million in accepted bets and $26.7 million in gross winnings with a 12.5% hold. This marked the second consecutive month that the provider exceeded $20 million in winnings in the state, a first for FanDuel Michigan.

In January, DraftKings came in second place in the Michigan sports betting apps market, recording $166.8 million in bets and $10.9 million in gross gaming revenues with a 6.6% hold. Following closely behind, BetMGM secured third place with $73.2 million in accepted wagers and $5.8 million in January revenues. BetMGM has now surpassed $250 million in lifetime gross revenues in the Michigan market.

In terms of handle in the state, ESPN BET came in fourth place, bringing in $52.2 million in accepted bets in January. This amount accounted for approximately 9% of the mobile market share, surpassing the company’s initial goal of a 7% market share within its first year of operation. Despite this achievement, ESPN BET’s gross revenues were limited to just $1.1 million due to a low win rate of 2.2%.

The figures may see adjustments down the line following PENN Entertainment’s unveiling of the inaugural retail sportsbook for ESPN BET at the Hollywood Casino at Greektown in Detroit, set to debut in April.

In January, Caesars Underscoreg Michigan ranked fifth with a betting handle of $37.5 million, while PointsBet saw $11.1 million in bets for the month.