In the countdown to the biggest event of the year for the sports betting sector, Morgan Stanley emphasized the enduring significance of the Super Bowl. This weekend represents a crucial opportunity to attract new customers and entice casual bettors, a time slot that can only be rivalled by the beginning of the NFL season. According to analyst Stephen Grambling, the “Taylor Swift Effect” is anticipated to propel viewership by around 10%, thereby expanding the sports engagement and betting audience. This phenomenon is already evident in the surge of unique bets outside the U.S. and the substantial increase in volume of proposition bets this year. In anticipation of an explosive surge in sports betting activity, sportsbooks have been rolling out competitive odds for this year’s Super Bowl, with a particular focus on the “overrounds” or the difference in the implied hold rates compared to previous years or other major events.
The likes of BetRivers (RSI) and Wynn Bet (WYNN) have deployed aggressive overrounds, setting the moneyline bet closer to 100% (the break-even point for sportsbooks). Conversely, DraftKings (NASDAQ:DKNG) and FanDuel (FLUT) have taken a slightly more customer-friendly stance on the point spread.
Just ahead of Super Bowl LVIII, BetMGM unveiled a groundbreaking strategic partnership with the social media platform X. This innovative collaboration marks the first of its kind between a premier social media brand and a sports betting operator. As part of the initiative, BetMGM’s odds and branding will be seamlessly integrated into X, with each game linking to BetMGM’s website and app. All actual bets will be conducted directly through BetMGM’s platforms in states where sports betting is legal. In the United States, X users can now explore BetMGM’s latest betting odds on professional football, with offerings for other major professional and college sports rolling out in the coming weeks. BetMGM anticipates that the integration will continue to evolve and expand its functionality over the next few months.
“X is the hub of the sports world’s discussion 24/7,” noted BetMGM CEO Adam Greenblatt. “Being directly accessible within that forum represents an unprecedented opportunity to widen our reach to a passionate and engaged audience. We are excited about enriching the platform’s interaction around sports with additional insights and content,” he added.
In a recent update, BetMGM reported a revenue of $1.96 billion in FY23, reflecting a 36% increase from the previous year and aligning with the company’s guidance range. At the close of the fiscal year, BetMGM held a U.S. market share of 14%, slightly down from 19% the year before. All eyes will be on BetMGM this Super Bowl Sunday, with a high-profile commercial featuring Tom Brady expected to captivate audiences and the app set to break betting records.
BetMGM is a joint venture between MGM Resorts International (NYSE:MGM) and Entain (OTCPK:GMVHF).