As it turns outs, October was a great month for the Keystone State’s daily fantasy sports – the industry’s revenue grew 36 percent when compared to the previous month and by so doing it got to a whopping $2.90 million. According to the figures recently released by the Pennsylvania Gaming Control Board, the revenue figures which has increased significantly from the $2.31 million that was recorded in September is primarily a result of the efforts by DraftKings and FanDuel, the daily fantasy sports market leaders in Pennsylvania as well as many other states.
The fierce competition between the two market leaders is still with DraftKings managing to take the lead this time around after it recorded a 32 percent month-on-month revenue bump to $1.55 million. Hot on DraftKings’ heels was FanDuel which brought in $1.25 million. Coming in third was SportsHub Technologies which recorded $41, 572 in revenue in October – while this may certainly seem very small especially when compared to the two market leaders, the amount SportsHub posted was a significant improvement on its performance in September when it only managed to bring in $270.49. At the fourth place was DRAFT which, despite being overtaken by SportsHub Technologies, also performed very well because it managed to record a whopping $36,592, an amount that is double the amount that was recorded in September.
This revenue bump was, of course, great for the state. The daily fantasy sports revenue from Pennsylvania’s seven licensed daily fantasy sports operators is taxed at 15 percent and in October the tax generated from the industry grew 36 percent to $435,429.
Slots and Table Games Not Doing So Good
Barely a week before the Pennsylvania Gaming Control Board released the revenue numbers for its daily fantasy sports industry, it revealed the same numbers for the state’s operational slot machine and table games. As it turns out there was a significant drop in slots machine and table game revenue in the month of October when compared to the same period last year.
Total gaming revenues in this regard came in at just over $252.7 million which is a 3.49 percent year on year decline. Table games went down 8.12 percent to $66 million while slot machine revenue dropped 1.7 percent to $186 million.
New Gaming Revenue Sources
Pennsylvania has suffered gaming revenue losses in both the slots or table games categories and while the daily fantasy sports category still seems to be doing quite well, it is high time that additional sources of revenue are considered. Sports betting already saw somewhat of a soft launch in the past week and online and mobile betting should go live by early next year. Both of these souls significantly increase the bottom line of gaming as a whole – considering the huge demand for sports bets, online bets, and mobile bets as well as the size of the state, it should not take long before steady revenues start streaming in.