Another Monthly Sports Betting Record Falls, This Time Pennsylvania

Add Pennsylvania to the long list of participating US legal sports betting states whose monthly handles have set a new standard. Aided by an unprecedented sports betting menu, Pennsylvania, considered the third most successful state in terms of the dollars they take in, reported a $462.79 million handle for September - the first time the state eclipsed the $400 million mark. That figure surpasses Pennsylvania's previous high-water mark set just last month.

The start of the NFL season, combined with playoff action in MLB, the NBA and NHL provided a unique sports betting landscape for bettors in the US and certainly had something to do with the handle-spikes we are seeing across the country. Pent-up demand, a couple of new high-profile options for the state's bettors and an organic growth strategy can also be credited for Pennsylvania's platform reaching new heights.

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Pennsylvania's sports betting arrow has been pointing way up since the return of sports from the crippling COVID-related lockdowns this past spring. August saw a record-for-the-time $365 million handle - a figure that was easily eclipsed by 26.8% with September's $462.79 million. Prior to the last two months, Pennsylvania's high-water mark came in January when $348.4 million in bets were taken in.

The Pennsylvania Gaming Control Board reported that revenues hadn't quite reached the heights of the overall handle however. There was $18.3 million in sports betting revenue in September (not quite a record) and taxable revenue was down, largely because of the number of promotional credits issued in conjunction with the start of the NFL season.

The Mobile Contribution

Mobile betting in Pennsylvania has been its bread-and butter and September's figures only bolster that fact. Of the record $462.79 million handle, $414.1 million or 89.5% of the bets taken in came from mobile apps and internet betting.

Mobile betting continues to trend upward in the state. August saw $321.6 million in mobile contributions toward the overall handle or 88.1%. The slight uptick seems to be following a trend in the US in which mobile platforms are contributing slightly more each month to states' overall numbers.

For comparison, New Jersey's mobile platform posted a national-record 90.7% of the total sports betting handle in September.

Another Major Contribution

The Pennsylvania market had been quite secure but added a new provider to mix during the month of September. The much-heralded Barstool Sportsbook picked Pennsylvania for its initial location and launched in September.

Barstool turned out to be the fourth highest grossing sports betting brand operating in the state, despite launching part-way through the month. It took it $32.3 million in bets last month but lost $2.4 million in revenue thanks to a necessary and expected launch-related $2.2 million in promos.

It is widely expected that Barstool will soon pass others ahead of them in the provider pecking order soon, but will still have some work to do before catching the two DFS giants that have dominated the monthly take in Pennsylvania.

Pennsylvania Follows the Trend

Record monthly handles for September have been a theme for participating states and Pennsylvania can be added to the list of impressive monthly hauls taken in by jurisdictions with legal sports wagering.

New Jersey was the biggest beneficiary of the packed sports betting menu in September. They not only beat their own state record but set a new high-water mark nationally for states to chase. New Jersey reported an incredible $748.6 million in handle.

Indiana, Iowa, Oregon, Illinois, Michigan, Washington DC and West Virginia are other states that reported their own monthly handle records. Nevada, the other huge fish in the legal sports betting industry has yet to release their September sports betting figures - they too should be big, although their lack of a strong mobile betting platform could realistically see the state fall short of a record monthly handle. Colorado has yet to report as well. Their numbers are expected to fall in line with the "record setters".

Altogether, the legal sports betting industry is approaching $3 billion in total handle for the month of September. It’s further proof that pent-up demand and a strong sports betting calendar will provide great numbers for the industry going forward. Stealing from another sports/pop-culture analogy – “If you build it, they will come”.