Michigan sportsbooks saw a decent volume of betting in October, but game outcomes favored players and prevented operators from cashing in. The Michigan Gaming Control Board (MGCB) reported that Michigan sportsbooks brought in only $32.2 million in revenue because of an abysmal 5.5% hold percentage.
The 5.5% hold percentage is the Great Lakes State’s lowest total since June 2022, when it recorded a rate of 5.4%. Operators took in $582.6 million in total bets, which is month-over-month and year-over-year increases of 11.2% and 5.7%.
Because of the dismal hold rate, revenue decreased 45.6% compared to September and 30.2% year-over-year. The low hold rate was a theme for the industry nationwide in October, largely due to a lack of significant upsets in the NFL that month.
However, enthusiasm for success from the Detroit Lions and Detroit Tigers helped keep operators busy, as many of the top sportsbooks posted competitive market shares.
October 2024 Michigan sports betting revenue numbers
- Handle: $582.6 million ($560.4 million online)
- Revenue: $32.2 million ($32.2 million online)
- Hold: 5.5% (down from 11.3% last month)
- Month-over-month: Handle increased 11.2%
- Sports betting taxes: $907,000 total to state and local taxes
- Top online sports betting app by handle: FanDuel Sportsbook MI with $222.4 million
- Top online sports betting app by revenue: FanDuel Sportsbook MI with $16.5 million
Excitement is still in the air, but not for sportsbooks
Michigan sportsbooks didn’t have a problem with the amount of people betting. The excitement over the Tigers’ postseason run and the Lions’ start to the 2024 season was there. However, the public won more than usual.
This past month was the state’s best October, in terms of handle, since launching sports betting in January 2021. Operators did not win their fair share of bets, though.
To boot, retail casinos lost $822,551 because of sports outcomes. Sportsbooks are hoping the tide turns in November.
ESPN BET market share slides slightly in October
The football season is a critical time for ESPN BET, as rumors swirled over the summer about a potential sale of the online business. The operator hasn’t performed well since launching in November 2023.
However, ESPN BET did show some life in September, when it increased market share for the second time. It recorded 6.8%, which improved from July’s 6.1% and August’s 6.2%.
The operator could not keep the same momentum in October, posting a market share total of 6.5%. It finished behind BetMGM Sportsbook MI for fourth place, by wide margin, in terms of handle.
If ESPN doesn’t improve over the next two months, chatter surrounding a sale of PENN Entertainment’s online business could get louder.
FanDuel still leads the sports betting pack
FanDuel Sportsbook Michigan does not have the competition it does in the iGaming vertical in Michigan. The operator takes the cake in every sports betting category in the Great Lakes State.
In a down month where the average hold percentage was 5.5%, FanDuel was able to muster a 7.4% hold rate, which is easily the highest of any operator who produced at least $1 million in handle.
The MGCB does not break down revenue by bet type, but FanDuel’s Same Game Parlay product has a lot to do with the company’s success. Because of a solid hold percentage, FanDuel was able to collect $16.5 million in revenue, which was $10 million more than DraftKings Sportsbook MI.
Michigan sports betting handle for October by operator
| Licensee | Online Brand | Handle | Revenue | Hold | Taxes |
|---|---|---|---|---|---|
| MotorCity | FanDuel | $222,430,312 | $16,450,880 | 7.40% | $828,100 |
| Bay Mills | DraftKings | $159,871,356 | $6,530,037 | 4.10% | $0 |
| MGM Grand Detroit | BetMGM | $88,804,212 | $4,172,536 | 4.70% | $0 |
| Greektown | ESPN Bet | $38,018,450 | $1,959,514 | 5.20% | $14,776 |
| Lac Vieux Desert Band of Lake Superior Chippewa | Fanatics | $29,507,990 | $1,262,458 | 4.30% | $0 |
| Grand Traverse Band of Ottawa and Chippewa | Caesars | $27,659,570 | $1,163,702 | 4.20% | $60,633 |
| Little River Band of Ottawa | BetRivers | $8,708,394 | $438,003 | 5.00% | $0 |
| Sagniaw Chippewa | Eagle | $2,495,290 | $94,043 | 3.80% | $4,158 |
| Nottawaseppi Huron Band of Potawatomi | FireKeepers | $1,659,902 | $44,961 | 2.70% | $0 |
| Match-E-Be-Nash-She-Wish Band of Pottawatomi | betParx | $1,600,204 | $17,140 | 1.10% | $0 |
| Pokagon Band of Potawatomi | Four Winds | $1,172,810 | $17,671 | 1.50% | $0 |
| Hannahville | SI | $683,228 | $58,380 | 8.50% | $0 |
| Total | $582,611,718 | $32,209,323 | 5.50% | $907,667 |
