Colorado’s much delayed official data release shows that the Centennial State’s first month of action “topped the debut month of most of the largest markets in the country,” according to PlayColorado analysts.
Released this week, with June’s official reporting expected next week, the data confirmed that the region’s sportsbooks generated $946,741 in operator revenue on $25.6m in bets during May.
Only Indiana, which attracted $35.2m in bets when retail sportsbooks launched in September 2019, produced a larger handle in its first month of legal sports betting than Colorado.
Furthermore, the region also fared well when compared with a selection of the US’ more established jurisdictions, with Indiana, the country’s fourth-largest sports betting market, accepted $37.3m in wagers in May.
Asserted that this is “merely a glimpse into the bright future for Colorado’s sports betting market,” PlayColorado also comments that “it is likely” that the two largest brands in US legal sports betting were the best individual performers.
Pinpointing the DraftKings Sportsbook/Golden Gulch Casino and FanDuel Sportsbook/Golden Gates Casino partnerships as market leaders, it is worth noting that the state did not publish data on individual operators.
“Considering the circumstances of its first month, Colorado debuted about as well as any market could,” commented Dustin Gouker, lead analyst for PlayColorado.com.
“Ultimately the revenue that was driven while sports were mostly dormant is less important than sportsbooks launching and engaging sports bettors so they’re ready when major sports resume. By that metric, Colorado’s launch was a success.”
With Colorado’s 10 per cent tax rate, the revenue generated in May injected $96,538 into state coffers, but PlayColorado projects that the state’s handle could eventually reach at least $6bn a year.
An influx on new brands are also expected to debut, with dozens of online and mobile sportsbooks set to follow SBK Sportsbook/Bronco Billy’s Casino and Sky Ute Sportsbook/Sky Ute Casino and Resort in having already launched this month.
“One of the primary reasons why Colorado fared well in its first month is that the top brands were ready to go from the beginning,” Gouker said.
“Having FanDuel and DraftKings, in addition to BetMGM and BetRivers, accepting bets on the first day of operation is unprecedented. It shows just how much confidence operators have in the future of the Colorado market.”