The US legal sports betting gold rush continues as does the flood of European gambling providers lining up to take advantage. The latest example is the German gambling giant, the country’s #1 sports betting provider Tipico who last week secured a partnership with New Jersey’s Ocean Resort Casino to provide gambling services in the state.
Tipico, despite the lack of a technology partner just yet will open a retail facility and also launch an online sports betting platform hopefully before the start of the 2020-2021 NFL season. The company has so far set up a US Twitter page and is currently in the process of finding and setting up a New Jersey office ahead of the company going live in the state.
All that is missing is an official license from the New Jersey Division of Gaming Enforcement that was submitted last year. It is expected to be rubber-stamped in the near future.
Despite not being a household name in the US, Tipico has a following in its home country of Germany and is consistently mentioned as one of the biggest sportsbooks in the world. A privately-owned company, exact earnings figures have traditionally been hard to discern but according to the ERG Power 50 list of online gaming operators, the company is currently ranked just ahead of such Heavyweights as William Hill. Tipico is sixth on that list.
“With nearly 15 years of European sportsbook experience, Tipico is one of the few on the B2C side of the industry using our own proprietary technology,” said Adrian Vella, MD of Tipico US. “We are very excited to debut the product our hardworking developers have put together for the US market.”
Tipico rarely, if ever ventures outside its realm for technology or pricing. A staff of 13 has already been put in place to get the ground running in Tipico’s entrance into the New Jersey market. The company is still in need of not only a tech provider but digital marketing and sportsbook management teams to aid in the launch. Those jobs have been listed on the careers page on Tipico’s US website.
Tipico couldn’t have picked a better jumping off point for its foray into the US market. New Jersey has elevated into the elite class of bet-friendly states and when it is not challenging Nevada in terms of overall monthly handles, it is eclipsing it. New Jersey, in January and February of this year, brought in a combined $1 billion+ in legal sports bets.
All of the major legal sports betting providers have a presence in New Jersey which is considered the most competitive market in the US. Not only will Tipico be facing off against other European betting giants like William Hill but it will also be up against recognizable, iconic US brands that already exist in the New Jersey market.
The state has shown that it can tolerate competition – all providers have thrived since coming on board in the Garden State.
The future of Tipico
As Germany’s premier sports betting operator, Tipico has its sites squarely on succeeding in the growing US market with New Jersey being the testing ground for a strategy going forward. The inherently private company has been mum on their expansion plans in the US so far but you can bet some sort of announcement on the future of Tipico in the US is coming soon.
The attractiveness of the US legal sports betting industry appears to not have taken much of a hit during the coronavirus crisis. Both foreign investment and domestic optimism in the New Jersey market has not slowed one bit and looks as though it won’t slow anytime soon.
Trends should continue as we climb out of the coronavirus hole – more European providers will infiltrate the US scene and New Jersey should continue to lead the way.