How Big is Sports Betting in The US? Our Trends Analysis Report
Have you ever wondered just how big the sports betting market is? It feels like it’s massive, with ads coming fast and furious during sporting events and mobile applications for it readily available. According to Newswire, the global sports betting market was valued at $81.7 Billion (USD) in 2022 and is expected to reach $231.2 Billion by 2032.
That’s a tremendous increase in what isn’t that much time. Nevertheless, what is the sports betting market size in the United States?
Key Takeaways
- Find out more about the current sports betting situation in America.
- You’ll know all the predictions about the future market.
The Current State of the Sports Betting Industry
If you’re even remotely familiar with the sports world, you’ve seen the market growth rate of the betting industry. It has seeped its way into the sports, and the two are conjoined now in a way that likely won’t change.
NFL MVP candidates can’t be discussed without mentioning the current lines. Individual sports games are followed directly by the odds on the matchup.
Market Size and Value
As mentioned, the global market for the sports betting sector is growing by the second. Just over a year ago, it was under $100 billion as a worldwide industry, but that’s going to almost triple in about a decade. Legal sports betting has taken off, with traditional sports leading the way.
As for the United States side of things, it’s on the rise as well. SportsPro Media cited the American Gaming Association (AGA)’s study. It stated that:
Sportsbook revenue in the States hit $7.5 billion in 2022. That was up a stunning 75% increase from the year before. Flutter, FanDuel’s parent company, believes that the American betting market will be worth more than $40 billion by 2030.
Revenue Streams and Growth
According to Business of Apps, overall sports betting revenue in the United States hit about $7.4 billion in 2022. That was approximately 20% of global revenues, and it was just one industry in one country. It’s a massive field that’s only going to grow.
Here are some of the biggest revenue streams in the sports gambling industry:
- FanDuel: The most used gambling app in the US.
- DraftKings: It also does fantasy, which adds to the revenue.
- BetMGM : They’re partnered with MGM Resorts and European betting giant Entain Holdings.
Furthermore, of all the sports, one was the top dog in terms of bringing in revenue for sports gambling: basketball. More money came in from bets on the NBA, NCAAM, NCAAW, and the WNBA than for any other sport.
Football may be the most popular — and it was most bet on in the UK, but basketball is evidently where the money is at according to Business of Apps.
Comparing Sports Betting to Other Gambling Sectors
Sports gambling isn’t the only slice of the gambling cake. While some people are placing wagers on which NFL team will win, others are betting on who might be the next president or how long the national anthem will play at an event. It’s a massive industry in which sports is just a section.
Market Share and Position
Casinos and lottery are two of the most common betting sectors in America. The lottery is played by millions of adults all the time. Just buying a scratch-off ticket at a gas station, which most of us have done at least once or twice, is gambling.
Casinos are only found in certain places, but that’s another part of it. Gambling with your buddies at home, which I have done occasionally, doesn’t count towards the industry’s revenue, but it’s another form. Esports gambling, exchange betting, and more also factor in.
According to Statista, the US market for all gambling, which includes lottery and sports, is $242 billion. There are over 24,000 businesses in this market in America. Grand View Research provided this report on the percentage that each section makes up.
The American Gaming Association reported that the entire gambling industry in 2022 brought in about $60 billion in revenue. Sports gambling that year brought in $7.4 billion, so sports roughly made up a little less than 12% of the entire market. That’s pretty substantial for such a vast industry.
Unique Trends and Characteristics
What makes sports betting so unique is the accessibility. While anyone can play the lottery, it’s much easier to place a wager on a sports event. All you have to do is download an application or visit a comprehensive website like TrustnBet to learn sports betting, sign up, and bet.
If you want to bet on the upcoming Denver Nuggets matchup, you can do so in a matter of minutes. Thereafter, the game only takes about two hours, and you know what you’ve earned.
Consumer behavior drives this growth. If there weren’t people betting all the time, then the industry would stagnate. To put it into perspective, about one in five adults has bet on sports before. That’s most of the people you know.
Put simply, everyone gambles on athletic events, and the spike in revenue and expected growth is a direct byproduct of that.
The Future of Sports Betting
Sports betting has transformed before our very eyes. What was once a simple act of placing money on whether or not a specific horse would win the Kentucky Derby has become something massive. One can only imagine where the industry will go next.
Projected Growth and Expansion
Technology has aided the expansion of sports betting. It used to require physical pieces of paper given to bookies, and it was a much more complicated method, especially for those who lost and owed money.
With digital banking and digital betting, it’s much easier now, and that’s only going to continue as the world evolves in the upcoming years.
The market is also growing exponentially. As we mentioned above, the numbers are staggering. There was a 75% increase from 2021 to 2022, and that might be looked back upon as a low mark.
→ Diversity: One prediction for the future is that more things can be gambled upon. There are already some interesting wagers, including whether the winner of The Masters will shed a tear.
A bettor lost money on Jon Rahm’s refusal to cry in 2023 after his win. Imagine the most random bets in sports and think about how much more intricate and unique they will be in five years.
The Role of Data in Understanding the Industry
No understanding of anything is complete without data, and you can’t have a full understanding of the sports gambling industry if you don’t know what the numbers say. Stats don’t lie!
Sports Betting Statistics and Insights
— 20% of American adults have at least once placed a sports bet in their lifetime. We are arguably experiencing a boom in gambling on sports, and that number is probably going up.
— 46% American adults placed at least one sports wager in the past year.
That number shows how important sport is in the US, with American Football and Basketball on top of the list.
— 31% of American sports bettors bet at least once per week.
The numbers say that it’s a pretty frequent hobby. Mostly practiced by men.
Business of Apps reported that the breakdown of gambling on sports looks like this:
- Basketball — 33%
- Football — 27%
- Baseball — 18%
- Other: Soccer, Tennis, Boxing, Horse Racing — 22%
Two sports dominate the field, and that’s because they’re the most accessible sports to get into. Expect that trend to continue in the future.
Online vs. Offline Betting Dynamics
The most significant difference between online sports betting and offline is simple. If you’re not at the event, it’s harder to gamble offline.
I went to the Carolina Panthers vs. New Orleans Saints game earlier in the NFL season. I could have bet there offline. I did not go to the Carolina Panthers vs. Detroit Lions game, so I couldn’t have bet offline.
Online betting is extremely accessible. All it requires is an Internet connection. Even if you don’t have a smartphone, you can do it on websites on a computer with ease. It’s all extremely attainable, and that makes it far preferable to most people.
There is something fun about submitting a ticket for a bet like the old days, but there’s no need to do it that way anymore. The popularity of online betting is largely due to the ability to do it from your couch on any number of online platforms.
Rapid Growth of The Sports Betting Industry
The rapid growth of the sports betting market, particularly its expansion in the U.S., is noteworthy. This knowledge is vital for bettors like you that are looking to understand the evolving landscape and identify new opportunities.
Use these insights to time your bets during peak sports seasons and focus on sports like basketball and football, which offer the most betting activity and potential for profit.
Curious about the next trends in sports betting? Check out our comprehensive guide to find out where sports betting is legit in USA.