Vermont’s Online Sports Betting Market Shows Mixed Results in February

Vermont’s Department of Liquor and Lottery (DLL) has released the figures for February, marking the first full month of activity in the state’s legal online sports betting market since its inception on January 11.

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With three operating sportsbooks—FanDuel, DraftKings, and Fanatics—the total handle reached $21.2 million. This represents a modest increase from January’s $19.9 million.

Revenue and State Earnings Decline

Despite the growth in handle, adjusted revenue for February saw a significant drop, falling from $3.5 million in January to $2.3 million.

This decrease in revenue was accompanied by a lower hold percentage of 12%, down from January’s 22%, indicating a less profitable month for operators but a more favorable outcome for bettors.

Consequently, state revenue also decreased, with the government earning $731,874 in February, a stark contrast to the $1.1 million collected in January.

Betting Demographics and Preferences

The DLL provided insights into the demographics of betting within the state. In-state residents accounted for $14.5 million of the total handle, with 27,904 active users placing an average of $18.22 per bet across 797,187 total bets.

In contrast, out-of-state bettors contributed $6.7 million through 194,029 bets, averaging $34.67 per bet, highlighting a higher average bet value compared to in-state patrons.

Popular Sports for Bettors

In terms of sports preferences, basketball dominated the betting scene in Vermont, making up nearly 45% of all wagers. This was followed by tennis, which accounted for almost 11% of the bets.

Football, which was the most popular sport in January, saw a significant decline, with only $1.7 million in wagers in February, coinciding with the end of the college football season and the NFL.

Analysis and Future Outlook

The early months of Vermont’s online sports betting market illustrate a dynamic landscape where bettor behavior and operator performance can vary significantly.

The substantial decline in revenue despite a growing total handle suggests that bettors may be getting more adept at wagering, or it might reflect the variance inherent in sports betting.