Arizona Sports Betting Opens With A Bang

Arizona Sports Betting Opens With A Bang

Arizona Sports Betting Opens With A Bang

Arizona joined the long list of states in the US to break a sports betting record in 2021. The state handled more than any other state had in its second month when it took $486.1 million in October. This added to the strong opening in its first month of September. 

For context, over the first two months of operation, Arizona handled $777.3 million. Compare this to a state like Virginia, which only handled $324.7 million in its first two months.  

What caused such an excellent start for the state? And can it expect more of the same? Our experts at BestAppBet took a deep dive into the data to see what we can expect from betting in Arizona after such a successful start. 

The Key Factors in Arizona’s Success

The two main winners from the betting craze in Arizona have been DraftKings and FanDuel, which were the leading sportsbooks in the state across its first two months. This may be because these brands are familiar with residents of the state, thanks to the success of the fantasy sports the operators provide.

Arizona launched its online sports betting at an opportune time to capitalize on its market. Sports betting went live on 9th September 2021, which was the day of the first game of the NFL 2021 season. NFL betting is the most popular form of wagering in the US thanks to its massive audience and NFL broadcasters incorporating sports betting into the coverage of games. This was the perfect sport to time a launch with and was supplemented by the NBA season tipping off in October. 

There is also a variety of sportsbooks available to those in the state. Seven sportsbooks were available to customers from the get-go, including Unibet and more. That’s more than some states offer that have been accepting wagering for years. More sportsbooks have started operating since then, and as many as ten more are expected to launch soon. Arizona offering its customers a range of options is one of the reasons it has been so successful. Expect this to continue to be a strength as time goes on. 

Issues Over Profit

While the betting numbers in Arizona’s first couple of months have been overwhelmingly positive, it hasn’t been without issues. The main problem has been the sportsbook operators not generating much profit from all the bets being placed. For example, the state only claimed $1.3 million in taxes from all wagered money.

It is not just that this is such a low number. It’s just lower than expected. Governor Doug Ducey and others who were vital in pushing the new gambling legislation forward promised Arizona much larger numbers. The state putting this money into other operational needs for the state was one of the biggest appeals of legalizing online sports betting for those on the fence. 

The lack of tax revenue came from sportsbooks not registering much profit. This is where the tax comes from, which is at 10% in Arizona. Sportsbooks only took in $10.3 million throughout the record-breaking months. 

There isn’t too much panic about these numbers from sportsbook operators or lawmakers. Much of the lost profit can be attributed to the money wagered in free bets and other welcome offers. Many sportsbooks will offer welcome bonuses to entice new customers. With this being such an immature market, many people are enjoying these offers. Sportsbook profits and tax revenue should increase as more people deposit money into their accounts and place bets. 

Online Betting in Arizona Going Forward

Arizona’s first few months accepting online betting can only be marked down as a success. The Grand Canyon State has capitalized on the start of the football season, and the national interest in betting increasing to deliver record-breaking numbers. Some would advise caution, pointing to the lackluster haul of profits and taxable revenue. These are valid concerns. However, such teething problems are typical for an immature betting market and don’t overwhelm the overall positivity around the state. 

Growth in the state will continue as more sportsbooks receive licenses from the Arizona Department of Gaming to deliver betting markets to customers. That means there will be even more opportunities to get involved with wagering. If you want to stake on your favorite sports, you can do so all around the US.

Since 2018 when the US Supreme Court struck down the PASPA, states have been legalizing online sports betting. That means from Illinois to West Virginia, and in so many more states, you can place legal sports wagers. To get involved, you must be within the borders of one of these states. If you are, then all you have to do is download a licensed sportsbook app. Load up your app and explore a range of betting markets on the most popular sports in America. 

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