Massachusetts: Sportsbooks Retain 10.3% After Bally Bet Launch

Bally Bet, BetMGM, Caesars Sportsbook, DraftKings, ESPN Bet, Fanatics Sportsbook, and FanDuel collectively took $405.3 million in wagers, up significantly from July 2023’s $294.9 million. However, turnover was down from June 2024’s $509.3 million. Four digital operators reported retention rates above 10%.

Operators paid more than $8 million in taxes to the state of Massachusetts.

Market share leader DraftKings, based in Boston, held its ground, taking $202 million in wagers with a 10.3% retention rate and recording an adjusted gross revenue (AGR) of $20.9 million. FanDuel came in second with $119.9 million in wagers and a 10.97% retention rate.

The state’s operator count increased to seven in July with the launch of Bally Bet on July 2. The year began with eight operators, but Betr and WynnBet exited the market. Bally Bet took $2.4 million in wagers, but with a 5% retention rate, the company only retained $121,299.

Of that, $115,250 was subject to taxation, according to the report. Massachusetts does not allow operators to deduct promotional expenses from gross revenue, and the Gaming Commission does not release promotional expenses data, making it difficult to determine how much Bally Bet spent in its first month of operation.

This puts Bally Bet’s retention at the lowest of any digital operator.

Among the other four operators, BetMGM and Fanatics also had retention above 10%. BetMGM took $27.5 million in wagers and posted an AGR of $2.8 million. Fanatics took $21 million in wagers and posted an AGR of $2.2 million. Caesars Sportsbook (7.29% retention) and ESPN Bet (8.05% retention) each took less than $20 million in wagers and posted an AGR of less than $1.5 million.

In the retail market, Plainridge Park posted a 15.53% retention rate, retaining $362,106 in AGR on $2.4 million in turnover. Encore Boston Harbor had the highest turnover rate among physical locations ($3.5 million), but its retention rate was only 3.6%, the lowest of any sportsbook in the state for the month.

At a meeting on Thursday, the commission decided to remove International Boxing Association events from the betting menu due to the investigation by the International Olympic Committee. At the same time, the commission added several new bets on football and basketball.

The commission also decided to hold a second meeting before early October to discuss betting limits. Earlier this year, in May, operators in the state were invited to a roundtable on the issue, but all declined to participate, citing confidentiality. However, the commission has since held additional discussions with operators, and now the limits can be discussed in a public meeting.