Wednesday November 29, 2023

DraftKings Takes Market Share Lead In U.S. Online Gambling

  • New report shows major change in industry's established pecking order
  • Further disruption expected from ESPN Bet, Fanatics
Mark J. Rebilas-USA TODAY Sports
Copy Link
Link Copied
Link Copied

A new market reality in U.S. online gambling is emerging as DraftKings has overtaken incumbent leader FanDuel for the overall market share lead, suggesting more change to come in the still-developing market. 

In August, DraftKings took the U.S. online gambling lead, according to a new study by prominent research entity Eilers & Krejcik Gaming, capturing 31% of overall gross gaming revenue compared to FanDuel’s 30%. FanDuel had been the clear American market leader for several years.

The figure includes revenue from both sports betting and other online casino games. For sports betting specifically, FanDuel still has a 39.3% market share lead compared to DraftKings’ 34.1%. But the leadership flip in overall gaming revenue marks a key inflection point in the still-developing U.S. wagering market. 

“[This] is a major move that signals a shifting competitive landscape — one that we believe will continue to shift as big new brands Fanatics and ESPN Bet begin to ramp,” Eilers & Krejcik said.

To that end, ESPN Bet is set for a November debut of its new Sportsbook in partnership with PENN Entertainment, while Fanatics is continuing to integrate its recently acquired PointsBet assets.

Company Escalation

Those two entities represent perhaps the greatest threat yet to the established DraftKings-FanDuel market duopoly, but DraftKings said it is not planning to yield its leadership position. 

“We enjoy the chart, but no one is anywhere close to satisfied yet at DraftKings!,” DraftKings co-founder Matt Kalish posted on X. 

The company plans to release its next set of financial results on Nov. 2, and its stock has risen more than 144% this year, fueled in part by the market share gains and a reining in of its much-debated marketing and customer-acquisition costs.

“DraftKings’ ability to reel in FanDuel speaks to a company that is stepping away from squishy narratives and harnessing the power of more focused, disciplined execution,” Eilers & Krejcik said.

Copy Link
Link Copied
Link Copied

What to Read

Greg Olsen's Coaching Ambitions Could Shake Up Fox Sports' NFL Broadcasts

The current No. 1 analyst could be a candidate for a head coaching job with the Carolina Panthers.

ESPN Investors Not A Sure Thing, Disney CEO Says

Disney is exploring selling a stake in ESPN.

Sports Illustrated’s AI Controversy: What We Know, What’s Next

Union, corporate issues heightened amid AI-related controversy.

Tennis Grand Slams Reportedly Want a Formula 1-Style Tour

Potential union of sport's largest events would represent historic transformation.
podcast thumbnail mobile
Front Office Sports Today

Report Claims Sports Illustrated Publishes AI-Generated Articles


Featured Today

Lane Kiffin

Ole Miss, Lane Kiffin Lawyers Argue for Dismissal of Player Lawsuit

FOS obtained audio of Lane Kiffin's interaction with the player behind lawsuit.
LSU Lady Tigers head coach Kim Mulkey reacts against the Iowa Hawkeyes during the NCAA Womens Basketball Final Four National Championship at American Airlines Center.
November 6, 2023

Who Is The Highest-Paid Women’s College Basketball Coach?

LSU rewarded Kim Mulkey after winning a national title after her second year leading the program.
The Pac-12’s Collapse Will Have Ripple Effects on College Basketball.
November 6, 2023

The Pac-12’s Collapse Will Have Ripple Effects on College Basketball

The existing Pac-12 host a college basketball season for the last time.
Favre Presley
November 3, 2023

Brett Favre Controversy Casts Shadow Over Mississippi Gubernatorial Race

Candidate Brandon Presley has made the scandal one of his talking points.


Powered By

Careers in Sports

Looking for a new job? Check out these featured listings and search for openings all over the world.
Multiple - USA Careers
Multiple - USA Careers
Kroenke Sports Enterprises
Multiple - USA Careers

U.S. Sports Betting On Pace To Hit $100B In Wagers

Sports wagering activity accelerating to unprecedented levels.
November 20, 2023

ESPN Treads Lightly with Promoting Its Own ESPN Bet

The much-anticipated first weekend didn't lead to over-the-top promotion.
November 20, 2023

Las Vegas GP Smashes Records For Sportsbooks

High-profile Formula 1 event proves to be popular with bettors.

USGA’s Amanda Weiner on Delivering
Personalized Fan Experiences with
 AI and Automation

How the USGA is using AI to streamline content creation and distribution.
November 17, 2023

ESPN Bet Wants To Challenge the Sports Gambling Duopoly. What Are Its Chances?

ESPN Bet is live in 17 states after launching this week.
November 15, 2023

ESPN Bet Offers Familiar Feel, Hefty Promotions at Launch

PENN rolled out its reskinned Barstool app on Tuesday.
November 13, 2023

ESPN Bet’s ‘Blueprint’ For Success Has An Unexpected Origin Story

PENN Entertainment looks to replicate success seen with Canada's theScore.
November 10, 2023

ESPN BET Will Attempt To Prevent The Influence Of Insiders

ESPN released internal guidelines that banned Insiders from the new ESPN BET.