In the evolving landscape of Ohio’s betting market, a recent report by the Ohio Casino Control Commission (OCCC) captured a vibrant start to 2024 with revenues hitting a robust $113.1 million for the state’s operators by the end of January. Despite this figure representing a 46% fall from January of the preceding year, it marked a substantial 30% increase from December 2023. Ohioans have had just over a year to adjust to the state’s sports betting offerings, which launched in January 2023, with $210.5 million generated in that inaugural month. The months that followed showed a decline, with December 2023 seeing a low of $87.3 million in revenue.
This stark growth in revenue is heavily contributed by online and mobile platforms, as they accounted for an overwhelming $110.6 million of the total, leaving a fairly nominal $2.5 million to retail operations. FanDuel, operating from Belterra Park, was the protagonist in this success story, amassing over half of the revenue with its $53.0 million contribution. Notably, DraftKings, based out of Hollywood Toledo, was the only other heavyweight in the scene, raking in $34.0 million in January.
In contrast, the overall betting handle observed a downturn. January 2024 witnessed bettors wagering $810.4 million, plummeting by 26% in comparison to January 2023’s $1.1 billion and a minor 2.3% from the preceding month, December 2023. This was the month when Ohio enforced a ban on player props involving college student-athletes, which OCCC underscored accounted for 1.5% of the sports betting pool the previous year.
Delving deeper into the payouts, Ohio’s operators disbursed $691.8 million in winnings for January, with promotional write-offs tallying $40.0 million. The virtual sphere continued to dominate with $792.1 million in online handle dwarfing the $18.4 million from retail betting.
FanDuel not only led the revenue race but also topped the charts for handle, securing $282.7 million, with DraftKings trailing at $254.2 million. ESPN BET and Bet365 garnered $59.8 million and $50.0 million, respectively.
When pitches are compared on a broader scale, Ohio reflects a contrast to other jurisdictions. While Washington DC reported a similarly dipped handle paired with growing revenues earlier in the same week, New Jersey celebrated a record-high revenue and handle during January.
In a simultaneous report, Ohio’s brick-and-mortar infrastructure, encompassing four casinos, posted gross gaming revenues of $75.2 million for January, descending by 12.6% year-over-year and 18% from December. The monthly output was cited as the second-lowest in almost three years, with February 2021 being the only worse period.
Ohio’s established gaming landscape, featuring seven racinos with video lottery terminals (VLTs) and four casinos with slot machines and live dealer table games, experienced a 9% setback from January 2023’s $110.8 million to $100.8 million. Jack Cleveland Casino stood out among Ohio casinos with a revenue peak of $21.2 million, despite its slot machine revenue being the lowest in the state.
As the numbers roll in and the analysis continues, it becomes evident that while the volume of bets has decreased, the efficiency and profitability of sports betting in Ohio, especially through online channels, appear to be on a promising trajectory. The shift towards online betting is reflective of a broader trend as bettors and operators alike pivot to digital platforms, reshaping the gambling industry’s future.
