FanDuel, DraftKings Dominate Illinois Sports Betting Market Share

Written By Dave Briggs on April 21, 2023

Which sportsbook is considered the best in Illinois? The answer varies based on your evaluation methods. However, it’s undeniable that DraftKings and FanDuel hold dominant positions in the Illinois market.

After closely examining the Illinois Gaming Board’s statistics, Play Illinois discovered that DK and FD collectively hold over 60% of the market.

This means that the remaining 40% is being contested by the five other IL sports betting sites.

Over the course of their existence, the seven legal sportsbook operators in Illinois have seen more than $20.4 billion placed in bets. In February, the state surpassed the $20 billion handle mark, according to the most recent data from the IGB. Illinois is also a leading jurisdiction for sports betting in North America, consistently ranking either second or third.

DraftKings reigns supreme among Illinois sports betting sites, with over $6.8 billion wagered through its platform. This represents a 33.2% market share. FanDuel, with a market share of 27.3%, is close behind thanks to nearly $5.6 billion in wagers.

The seven sportsbooks in Illinois have amassed a lifetime revenue exceeding $1.6 billion up to February 2023. With FanDuel leading the pack in revenue and DK following closely in second place. FanDuel Illinois has generated more than $600 million in lifetime revenue, accounting for 37.3% of the market. DraftKings, on the other hand, holds a 26% market share with a revenue close to $420 million.

Illinois sportsbook lifetime market share through February 2023

A complete look at the market share

The rankings for lifetime market share by handle, up to February 2023, are as follows:

    DraftKings has a share of 33.2%, FanDuel has 27.3%, and BetRivers holds 16.1%. PointsBet stands at 7.7% while BetMGM holds 6.6%. Barstool and Caesars have shares of 5.5% and 3.5% respectively.

In terms of revenue, FanDuel takes the top spot, reversing the number one and two positions.

Market share by revenue for the entire lifespan (up to February 2023):

    FanDuel has a share of 37.3%, followed by DraftKings at 26%. BetRivers occupies 16.6%, while PointsBet and BetMGM have 7.3% and 6.3% respectively. Barstool has 4.3% and Caesars has the smallest share at 2.3%.

Where that leaves the other five Illinois sportsbook operators

Thus, it’s clear that DraftKings and FanDuel have acquired a massive portion of the sportsbook market in Illinois. How does this affect the remaining five sports betting sites in Illinois?

BetRivers, an Illinois-based company, holds a strong third position in its home state. Over time, BetRivers has managed more than $3.3 billion in bets and generated almost $268 million in revenue. This equates to the company being responsible for slightly more than 16% of the total sports betting turnover. Additionally, it has accounted for approximately 16.6% of the overall revenue.

Together, FanDuel, DraftKings, and BetRivers constitute over 75% of the regulated sports betting sector in Illinois.

This isn’t a good sign for PointsBet, BetMGM, Barstool, and Caesars.

Bottom four Illinois sports betting operators divide up remaining 25%

PointsBet ranks fourth among the remaining four sportsbooks in Illinois, handling about 7.7% (over $1.5 billion lifetime) of the total. With a lifetime revenue exceeding $117 million in Illinois, PointsBet accounts for roughly 7.3% of the state’s total sports betting revenue, which is over $1.6 billion.

BetMGM, Barstool and Caesars together hold between 13 and 16% of the Illinois market.

In terms of handle and revenue, the remaining three are ranked as follows:

    Barstool BetMGM Caesars

BetMGM Illinois leads the pack in revenue among the three, boasting over $101 million. Barstool follows with an income of almost $70 million, while Caesars lags behind in a distant seventh place in the state, generating slightly less than $40 million. These figures translate to a revenue share of 6.3% for BetMGM Illinois, 4.3% for Barstool, and 2.3% for Caesars.

Revenue accumulated over lifetime (up until February 2023):

    FanDuel has $601,754,326, DraftKings has $419,159,877, BetRivers has $267,827,419, PointsBet has $117,232,821, BetMGM has $101,205,956, Barstool has $69,987,485 and Caesars has $36,926,648.

When considering handle, the gap narrows slightly, particularly between BetMGM and Barstool. BetMGM has a lifetime handle exceeding $1.3 billion in Illinois, while Barstool has received over $1.1 billion in bets in the same state. Caesars, on the other hand, has managed more than $721 million. This translates to a handle share of 6.6%, 5.5% and 3.5% for each, respectively.

Handle valid for lifetime (until February 2023):

  1. DraftKings — $6,800,930,712
  2. FanDuel — $5,583,131,054
  3. BetRivers — $3,303,421,020
  4. PointsBet — $1,565,765,310
  5. BetMGM — $1,360,091,685
  6. Barstool — $1,130,026,574
  7. Caesars — $721,219,850

Market dominance makes it tough for new sportsbooks in Illinois

Circa is set to become the eighth legal sports betting operator in Illinois sometime this year.

The top three operators currently control over 75% of the market, presenting a significant challenge for Circa. However, Circa does possess a unique selling point as a sportsbook that targets high-stakes bettors and doesn’t impose restrictions on gamblers, unlike most others.

In November, Play Illinois assessed the sportsbooks that are expected to come next to the state.

A minimum of 14 open slots are available for an online sportsbook in Illinois to enter the market, and potentially even more.

  • Six tethered to an existing licensed retail casino
  • Five tethered with new casino applicants
  • Three through online-only sportsbook licenses
  • Perhaps as many as four are linked to professional sports facilities.

Entry cost is indeed a concern. However, there is some legislation being considered in Springfield to attempt to reduce the expense.

At present, the lowest cost for a sportsbook license is $5 million. Entry into the market, when linked to an original retail casino license holder, was priced at 5% of adjusted gross receipts or a percentage of handle for the two horse racing tracks. The actual cost fluctuated between approximately $2.3 million and $10 million.

Any new casino or track’s base cost still revolves around a percentage, but with a minimum price tag of $5 million. Meanwhile, the fee to run a sportsbook at a professional sports facility stands at $10 million.

Three online-only sportsbook licenses are available for purchase without needing a connection to a retail casino, however, each license costs $20 million.

So far, there are no listed applicants for the IGB’s online-only licenses. The applications closed on March 1.

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Dave Briggs

Dave Briggs currently holds the position of managing editor and writer at Catena Media, where he specializes in covering the North American gambling industry. His focus areas include casino, sports betting, horse racing, and poker sectors. Presently, he is conducting reports on the gaming industries in Illinois and Canada.

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