Michigan iGaming Market Raises The Bar On Revenue

Michigan’s online casino market set yet another new revenue record for the state in March. The latest figures from the Michigan Gaming Control Board (MGCB) show that the efforts of commercial and tribal iGaming operators culminated in $215.15 million in revenue.

That number comfortably surpassed its previous high of $188 million reported just a month earlier.

Adjusted gross receipts (AGR) for March across both iGaming and online sports betting stood at $221.1 million, with iGaming accounting for $194.5 million of that total. The iGaming AGR saw a 25.8% year-on-year increase in March, although sports betting AGR was down 15.2% compared to March 2023.

Michigan’s online gambling revenue hit a record $1.92 billion in 2023. So far this year, Michigan’s online operators have accumulated $705.2 million in revenue, putting the state on track to top $2.8 billion over 2024 if it keeps up the pace.

The success of Michigan’s online casino segment is also reflected in the taxes and payments submitted to the state, with commercial operators reporting $39.4 million in March.

At the same time, Detroit’s three commercial casinos also had a successful March, combining for $123.9 million in revenue. That was up 3.9% on the same month last year and 18.5% ahead of February, and provides further evidence to suggest that iGaming isn’t eating into retail casino revenue. This aligns with a study the Sports Betting Alliance published last month that observed that online casino markets can help retail casinos see improvements.

FanDuel takes top billing in Michigan

Leading the charge among the operators, FanDuel Casino emerged as the top performer, with $57.6 million in revenue for March, overtaking previous leader BetMGM, which was second with $54.7 million. DraftKings followed with $40.4 million.

The operators also reported significant expenses through bonuses and promotions. Combined, they gave away over $20.6 million through incentives.

This marks the first time since the launch of online casinos in Michigan in January 2021 that BetMGM did not lead in revenue. FanDuel has been showing strong upward trends in Michigan and is expected to surpass $1 billion in total Michigan online casino revenue in April.

Between commercial and tribal casinos, Michigan has 15 online casino operators. For the first three months of the year, their combined GGR was $585 million.

The American Gaming Association’s recent study on 2024 revenue from in-person and online gambling presented a comprehensive view of the industry’s financial performance, highlighting Michigan’s significant contribution to the sector.

This reflects a broader trend in the commercial gaming industry, which set a new revenue record for the third consecutive year, reaching $66.5 billion, surpassing the previous year’s total by 10%. New Jersey also set a new online gaming revenue record in March. The growth is attributed to the increasing popularity of online alternatives, which accounted for nearly a quarter of the nationwide commercial gaming revenue, marking a new annual high.