The demand for online casino play continues to grow in Michigan at a furious pace. November 2024 represented the third consecutive month of record-setting gross revenue totals as licensees reported $226.0 million in winnings. Newcomer Fanatics Casino has been contributing to that growth in a small but significant way.
That surpasses October’s sum of $220.7 million and continues a streak of enormous growth for the vertical in Michigan. November’s returns set the stage for a conclusion to a record year as well.
Michigan online casinos maintain a blistering pace
According to a release from the Michigan Gaming Control Board, online casino operators paid $53.1 million in privilege fees (taxes) to the state and the City of Detroit on their record gross revenue for November. That’s also the highest such sum to date for a single month in Michigan.
November 2024’s winning for the state’s 15 licensees represents an impressive year-over-year increase of about 23.4%. The figure of $226 million is among the five highest single-month totals anywhere in the US. The top four are all held by Pennsylvania, which benefits from a larger population.
November’s winnings for online casino licensees also puts the running total for calendar year 2024 over the $2 billion mark with December still playing out. Detroit and Michigan have now collected over a combined $500 million in tax revenue off that activity for 2024 as well.
While it was a robust month for Michigan online casinos in general, one of the brands continued its notable ascent in the market.
Fanatics clears another threshold
Fanatics Casino earned over $7 million in November, its best month to date.
After hovering around the $4 million in gross revenue mark from May through August, the following three months have been a steady incline for Fanatics online casino in Michigan. It then cleared $6 million in winnings during September and again in October and has continued to grow from there.
| Licensee | Online Brand | Revenue | Promos | Taxes |
|---|---|---|---|---|
| MGM Grand Detroit | BetMGM | $59,719,420 | $5,971,942 | $15,721,137 |
| MotorCity | FanDuel | $57,044,760 | $5,704,476 | $15,017,033 |
| Bay Mills | DraftKings | $41,582,405 | $4,220,772 | $10,461,257 |
| Little River Band of Ottawa | BetRivers | $14,267,430 | $1,426,743 | $3,595,392 |
| Grand Traverse Band of Ottawa and Chippewa | Caesars | $13,965,713 | $1,396,571 | $3,519,360 |
| Keweenaw Bay | Golden Nugget | $9,451,192 | $955,044 | $2,378,921 |
| Lac Vieux Desert Band of Lake Superior Chippewa | Fanatics | $7,153,024 | $714,813 | $1,802,699 |
| Greektown | Hollywood | $5,508,542 | $550,854 | $1,450,124 |
| Pokagon Band of Potawatomi | Four Winds | $3,899,524 | $389,952 | $982,680 |
| Sault Ste. Marie Tribe of Chippewa | Horseshoe | $2,883,704 | $288,370 | $726,693 |
| Sagniaw Chippewa | Eagle | $2,805,542 | $280,554 | $706,997 |
| Little Traverse Bay Bands of Odawa | PokerStars | $2,694,563 | $269,456 | $679,030 |
| Match-E-Be-Nash-She-Wish Band of Pottawatomi | betParx | $2,583,490 | $258,349 | $651,039 |
| Nottawaseppi Huron Band of Potawatomi | FireKeepers | $1,848,297 | $184,830 | $465,771 |
| Hannahville | SI | $588,181 | $58,818 | $137,634 |
| Total | $225,995,786 | $22,671,547 | $58,295,768 |
Record activity as a whole acts as a tide that lifts all ships to an extent, but Fanatics nearly doubling its gross revenue compared to May 2024 is growth that other brands in Michigan can’t match. This is not isolated to Michigan, however, as Fanatics online casino is growing quickly in New Jersey as well.
If Fanatics can prolong this trend, it may soon challenge Golden Nugget for a spot in the top six earners of online casinos in Michigan.
However, every brand but BetMGM Casino and FanDuel Casino are still on the outside looking in when it comes to the top of the list.
Market share race favors BetMGM in November
In November, BetMGM finished with about $2.7 million more win than FanDuel, re-taking the top spot after FanDuel barely squeaked ahead by a margin of less than $10,000 in October. These months are a microcosm of their rivalry in Michigan.
For the year-to-date through November, BetMGM and FanDuel have each claimed an equal share of the Michigan market, with less than 1% of statewide revenue separating them.
However, although these are the market leaders, it’s uncertain how much actual profit they are collecting from Michigan online casino play. Investors have been critical of the top online casino operators for spending too much on marketing, although most are now in the black after several years of posting a loss.
BetMGM’s operating income after expenses was a mere $3.2 million in Q3, while FanDuel reported adjusted EBIDTA of $58 million. Both are profitability metrics, although measured somewhat differently. However, these figures aren’t broken down geographically and include both sports betting and online casino revenue.
Without access to the companies’ internal accounting, it’s impossible to say how much of that profitability can be attributed to Michigan online casinos. However, it’s a positive sign that both are in the black and that revenue is growing.
For the City of Detroit and Michigan, record months are a win regardless of who ends up atop the earner list. 2024 is already the best year ever for Michigan online casinos and has set a high bar for future annual cycles.
