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DC lauds FanDuel’s success after revenue exceeds $5m in the first 30 days

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DC Office of Lottery and Gaming has applauded the success of FanDuel since it became the official platform for sports betting in Washington DC. The brand generated $5.0m in revenues (PS3.9m/EUR4.6m in its first thirty days of operations).

FanDuel and the OLG have been officially working together since 15 April. The OLG has completed the transition of GambetDC from Intralot, which was its long-term partner in DC for sports betting.

FanDuel’s online sportsbook has reported gross gaming revenues of $5.0m for the time period between the day it launched and 14 May. The amount is 887% more than the same period last year.

The handle has also improved significantly. In the same time period, DC players spent $30m on betting sports. This is an increase of 673% from last year.

OLG noted, too, that higher revenues allowed it to raise more money for the district. FanDuel donates 40% of its revenue to DC. This amounts to $1.9 million for the 30 day opening period, up by 690% from last year.

DC sports betting has a bright future

The OLG predicts that the launch of FanDuel in DC will likely also improve DC’s sports betting revenue per capita.

DC’s sports betting revenue per capita between September 2023 to February 2024 – including tax and GambetDC – was 2.71 dollars. According to FanDuel’s early numbers, the revenue per capita is likely to surpass $19. The OLG claims that DC will be among the top US markets for sports wagering.

Frank Suarez said that the OLG’s executive director Frank Suarez believes the transition to FanDuel – the leader of the mobile sports betting market – will ensure the viability and sustainability of mobile sports gambling in the District.

FanDuel’s partnership with the District brings a number of benefits, including a 40 percent share in GGR, a revenue guarantee of $5 million in the first year and an established user-base. It also offers a respectable brand and commitment to responsible gambling, as well as a large and loyal customer base.

The first 30 FanDuel days exceeded expectations.

FanDuel is now the dominant player in gambling

GambetDC’s decision to be dropped was not a surprise given its problems in DC. Intralot was contracted to DC but struggled with a product that could compete. The platform actually lost $4.0m by 2021.

The OLG has approved Intralot’s request to subcontract FanDuel to provide online sports betting. FanDuel was able to launch in DC a couple of days after.

A partnership with FanDuel offers the district additional benefits. The OLG will no longer be responsible for operating costs, previously between $2.0m to $4.0m per year. FanDuel is now responsible for payment processing, promotion, marketing, and retailer commissions.

The new partnership has also been a catalyst for changes on the retail side. While it is primarily focused on FanDuel’s online sportsbook the impact of the new partnership can be seen in other areas. FanDuel has replaced betting kiosks in 63 lotteries across DC.

Players can still access the GambetDC App, but no longer bet on sporting events. Customers have until the 15th of October to withdraw their remaining funds.

Mixed Market in April

In April, the DC market as a whole showed mixed results. The revenue fell by 59.5% on an annual basis to $526 689. This is also 62.4% less than the $1.4m of March this year.

In terms of spending, the players bet a total amount of $14.5m in April. The same amount was wagered in April last year, but it is 5.7% less than the $15.7m that players spent in March.

GambetDC was the leader despite ceasing its operations at the end of April. After subtracting $6.5m of winnings from the $6.9m spent by players, this suggests a revenue of $394.224.

FanDuel’s total revenue for the month was $194,236. This is based on a handle of $550,751.

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