The Rise of US Sports Betting: How Will It Affect European Operators?
What happens across the pond usually isn’t a lifestyle concern for Brits. Where sports betting is concerned, the implications of the increased loosening of restrictions in the US could be substantial. The worldwide gambling market is valued at around £45 billion, with European operators at the forefront of the action.
More competition is bound to make it harder for established providers to cement their positions at the top of the tree and people may look to other gaming options like Casino Bonuses. But there is another side of the argument – it may present more opportunities, too. The future is uncertain, yet the following is likely to happen to European and UK operators as a result of the rise of the US sports wagering industry.
European-Centric Markets Should Create a Buffer
It’s not surprising that North American audiences will opt for North American leagues such as the NFL, MLB and NBA. They are highly lucrative markets, particularly in the US where franchises are valued at tens of billions of dollars. Currently, the average price for a basketball team is £1.73 billion.
Still, football, or soccer, as a whole is the world’s leading sport when it comes to money. Not only is it the most-watched globally, but the sport is also one of the most wagered on. If you factor in the English Premier League, which is only one division of England’s Football League, a single game has as much as £2.7 billion riding on it weekly.
Therefore, the betting markets are powerful enough to maintain the status quo for the UK’s leading brands. Yes, even for a Premier League winners market that has been won by Man City three times out of the last four, and that the football betting odds rank them as the 11/10 outright favourites in front of Chelsea and Liverpool. European betting companies have an edge from a football perspective as they have been around longer and positioned themselves as integral to the industry.
Operators Will Enter the US
Another factor that shouldn’t come as a shock is the aspirations of European gambling outfits. Sure, US providers will take away from the offshore industry that is typically dominated by the brands with the best reputations. British companies are at the forefront because of the rules and regulations they adhere to.
JUST IN: The guys at @bet365 are up in New Jersey. It is the state’s 15th mobile sports betting app. @theScore expected to be No. 16 in a couple weeks. Competition is fierce. Leaders in state on mobile, which makes up 80% of $ bet, are @DKSportsbook, @FDSportsbook & @PointsBetUSA
— Darren Rovell (@darrenrovell) August 24, 2019
However, nothing’s stopping the same operators from going toe to toe with the top brands in the US. It won’t be easy, but Bet365 has already got the ball rolling by acquiring a sports betting licence in New Jersey. The Garden State is the only place where Bet365 is legal in the USA, yet that will change in the future, and when it does, it will have an excellent base from which to appeal to an American consumer base.
Unless something drastic happens, this will help the brand’s global reach, improving its ability to reach people and convert leads into sales. Unlike US operators, it will do it from a healthy position as it has its UK base as the foundation for growth.
There could be challenges ahead. However, the biggest impacts should be overwhelmingly positive thanks to the role of football and football betting, and the potential of the American market.
