COVER STORY: US SPORTS BETTING
THE NAME OF THE GAME This June marks three years since the United States Supreme Court struck down the Professional and Amateur Sports Protection Act (PASPA), paving the way for regulated sports betting across the country. In the time since, more than half of all states, plus the District of Columbia, have legalized sports wagering. Several more state legislatures are debating bills to regulate the activity as early as this year. In states where sports betting is already legal, the question is no longer whether operators can attract customers, but rather how fast and large sports betting can grow. Gaming America recently spoke to state officials from a half dozen regulated markets to gather what they’ve learned from the past year, their expectations for the rest of 2021 and why American sports betting has only scratched the surface. When looking for explanations to sports betting’s success in the United States, there’s perhaps no place better to start than Pennsylvania, which has emerged as a top-four market for handle since launching in spring 2019. With two large population centers, seven professional sports teams and several more NCAA Division I football and basketball programs, it’s little surprise that the Keystone State would attract a wide swath of bettors. “Population is, by far, the main factor,” says Doug Harbach, the communications director at the Pennsylvania Gaming Control Board. “As with all other jurisdictions that offer sports wagering online, wagers must be placed within the jurisdiction. Thus, the larger the population, the larger the potential customer pool.” Harbach says location has worked to Pennsylvania’s advantage as well, at least for now. 16 GAMINGAMERICA
“From a retail standpoint, there was certainly an advantage for the casinos, which opened a physical sportsbook to attract out-of-state customers to increase overall volume just as they have done for years to attract out-of-state patrons into their facility for other offerings,” Harbach adds. “There is no doubt that some bettors, favoring a short drive then accessing a land-based casino, entered Pennsylvania in order to establish an account and place online wagers since their state did not offer this option. Of course, with surrounding states like Maryland, New York and Ohio making moves to launch online sports wagering soon, those treks from non-Pennsylvania residents will likely decrease to some extent.” Pennsylvania retail sportsbooks have only partially been able to capitalize on attracting customers, whether in or out of state. Pennsylvania casinos were hit twice by Covid-19 related shutdowns, once last spring and again from December 10 to
