Massachusetts reaches $512M sports betting handle in September, DraftKings posts record $290M in bets

Sports betting giant DraftKings maintained its dominant position in the mobile sports wagering vertical in Massachusetts, securing more than 50% of the online handle in September.

As per the data from the Massachusetts Gaming Commission, September witnessed a 62.6% increase in sports betting activity in the state compared to August, resulting in a handle of $512.2 million from both mobile and retail wagering.

This marks the third-highest handle in the state’s relatively short history of sports betting, various media reports said. Betting activity was driven by the opportunity Massachusetts residents had to wager on NFL regular-season games for the first time.

Sportsbook operators generated $51.04 million in gross gaming revenue, which is the third-highest since the launch of online wagering in March. This figure reflects a significant 117% increase from August, with a hold of 9.97%. Mobile sportsbooks played a pivotal role in this success, with a hold of 10.05% and $50.2 million in gross gaming revenue.

The state taxed $49.8 million from the $51 million in gross revenue, resulting in an inflow of $9.9 million into state coffers. Overall, Massachusetts has collected approximately $60.3 million in taxes, with September’s figures more than doubling August’s total of $4.5 million, thanks to a 117.3% increase in gross revenue compared to the previous month.

DraftKings, headquartered in Boston, achieved an all-time handle high of $290.1 million in September in its home market, surpassing its previous record of $283.8 million in April. This marked the third time DraftKings exceeded $250 million since the launch of mobile wagering in March.

The online giant recorded a 9.7% hold, closely approaching the statewide win rate, which was only 0.03% below 10%. It was the fourth instance in six months of mobile wagering that the statewide hold was at 9.9% or higher.

After a hold below 10% in August, FanDuel rebounded with an 11.7% win rate, collecting $14.2 million in revenue. This nearly doubled the $7.6 million earned in August, pushing FanDuel’s gross revenue for 2023 past the $100 million mark.

BetMGM stands out as the sole mobile operator to consistently achieve a double-digit hold every month, marking a 7-for-7 streak with an 11% hold in September. It retained over $3.6 million from the $33.5 million handle, surpassing $225 million in total handle since its launch.

Caesars Sportsbook was the only other operator to reach seven figures in revenue in September, with earnings exceeding $1.6 million from an $18.1 million handle and a 9% hold.

Fanatics experienced its most successful month in Massachusetts, doubling its handle from August to $8.9 million. However, its hold decreased by more than six percentage points to 6.5%, resulting in just over $577,000 in revenue, an increase of less than $24,000 from the previous month.

Betr reported its second-best month since its introduction in Massachusetts in May, generating slightly over $303,000 in wagers and maintaining a 9.5% hold, leading to gross revenue of nearly $28,700.