ESPN BET Generates $3M in Wagers During New York Debut

This is after delays with licensing pushed the sportsbook's anticipated launch before the start of the football season. In those first two weeks of the season, New York sportsbooks won a net $91.5 million, according to revenue reports from the state's gaming commission.

However, that didn't hold back ESPN for long. It made its long-anticipated debut on September 27th, coinciding with the NFL season's most intense weeks. According to the latest report from the New York State Gaming Commission (NYSGC), ESPN BET handled $3.04 million in wagers during its first three days of operation. 

This is a modest (in comparison) yet highly commendable figure, thanks to the sportsbook's recognizable brand and the bookie's multiple promotions and bonuses, about which you can read more here.

Other New York Sportsbooks in Comparison

ESPN BET's entry into the market makes New York the 19th state where Penn Entertainment operates the sportsbook. It also makes ESPN BET the 9th player in the market, with the others being FanDuel, DraftKings, BetMGM, Caesars, Fanatics, Bally Bet, BetRivers, and Resorts World.

The first three days of ESPN BET in the market they have proved quite good, generating a handle of $3.04 million and revenue of $165,673 on a 5.4% hold (win rate). 

Over the first week, ESPN BET generated $9.1 million in online sports betting handles. This placed it significantly ahead of Bally Bet and Resorts World, whose weekly total was $2,203,068 and $1,648,214, respectively.

However, it was significantly below the market leaders. FanDuel reported a $198.2 million handle and generated $24.2 million in revenue on a 12.2% hold. DraftKings also did well, reporting a $196.3 million handle and generating a $17.4 million hold on an 8.9% hold. 

This debut placed ESPN BET way below industry leaders, but it also demonstrated potential by outperforming smaller sportsbooks like Bally Bet and Resorts World Bet in just one weekend. "It's very early in the journey for ESPN BET, and it's an interesting opportunity for us to be truly a disruptor in this space," said Mike Morrison, ESPN's Vice President of Sports Betting, during an August media event.

The start is modest, but ESPN BET's first-week results suggest the sportsbook could become a competitive player in the state.

Promising Early Numbers

Although ESPN BET was 7th in the total handle, there's a respectable distance to Bally Bet and Resorts World. When you move to the total revenue generated of $1.1 million in the first full week, this places the bookie 6th on the table, edging out BetRivers, which earned $1 million in the same period.

Penn Entertainment has also noted that ESPN BET's New York bettors were depositing twice as much as users from other states, with the average daily handle per bettor nearly tripling the national average. This means that consistent growth in the market will place it in a better financial space to compete with the big players in the state.

Building Momentum Amid Challenges

Although the launch in New York was modest, Penn officials are quite optimistic about ESPN BET's future. When the company was recently highlighting U.S. performance to shareholders and analysts, it showed a 151% year-over-year increase in GGR and a 161% rise in monthly active users since it launched last year. Across its 19 operational states, ESPN BET has added 1.8 million users, driving an 85% increase in Penn's overall customer base.

Penn Entertainment has set lofty expectations as it's aiming for ESPN BET to capture up to 20% of the U.S. sports betting market by 2027. However, that won't be easy to achieve, considering FanDuel and DraftKings boast almost 70% of the market. However, Penn Entertainment is banking on ESPN name's global recognition to gain instant credibility. It's off to a good start, and it will be interesting to see if the sportsbook can maintain the momentum year-on-year.