The sports betting market in Tennessee demonstrated a robust performance in March, with gross wagers soaring to a commendable $473.6 million. This figure significantly outpaced the $392.7 million wagered in the same month the previous year. What’s more, it also marked a 25.2% increase from the $378.2 million placed by bettors in February of this current year.
Despite these impressive numbers, the March result did not set a new record for the state’s betting industry. The pinnacle of Tennessee’s sports wagering activity occurred in November 2023, which remains the all-time monthly high to date. After factoring in $1.6 million in adjustments, the net sports betting handle in Tennessee for March clocked in at $472.0 million.
From the perspective of tax contributions, the state’s privilege tax revenue from sports betting also experienced positive growth. Tennessee’s coffers received a total of $8.7 million from this stream of revenue, representing an uptick of 24.8% from the $7.0 million collected in February. Interestingly though, despite the increased handle, this tax collection was a slight 0.5% decrease compared to the previous year.
It’s important to note that the Tennessee Sports Wagering Council operates with a certain level of confidentiality surrounding the finer details of its betting industry. Unlike some counterparts, the Council refrains from publishing monthly revenue details, or divulging any specifics about individual operator performances.
Even with these limitations, Tennessee’s betting landscape is nothing short of dynamic and competitive. It is home to some of America’s most esteemed sports betting entities. Titans like BetMGM, FanDuel, and DraftKings have been operational since Tennessee ushered in its legal sports betting market in November 2020, proving instrumental in shaping the local betting scene.
One of the newest players in the market is Fanatics Sportsbook, which commenced operations in August of the previous year. ESPN Bet also plunged into the Tennessee scene in November, with its launch being part of a broader rollout that took place across 17 states. These recent additions have diversified the betting options for Tennessee’s eager sports enthusiasts and are expected to further fuel the sector’s growth.
In addition to these industry giants, other noteworthy brands have established their presence in the Volunteer State. September 2022 saw the launch of Hard Rock Bet in Tennessee. Moreover, heavyweight operator Caesars Sportsbook is in the game through a strategic multi-year partnership with the Memphis Grizzlies, a revered NBA team based out of Tennessee. The synergy between Caesars and the Grizzlies illustrates the increasingly entwined relationship between sports franchises and betting operators, mutually benefiting both the sports and the gaming industry.
As Tennessee’s market continues to mature, the state is setting an example of how regulated sports betting can thrive and contribute significantly to the state’s revenue. The market’s performance, especially in March, underscores the strong demand for legal sports betting options among Tennesseans. With the state navigating the complexities of regulatory frameworks and market forces, the widespread engagement of well-established and emerging operators in Tennessee provides an optimistic outlook for the future of sports betting in the region. While the precise revenue details and individual successes remain opaque, the aggregate numbers speak volumes of a highly engaged betting community and a prosperous industry trajectory.
