Describing the company’s objectives for 2024, BetMGM chief executive officer Adam Greenblatt cited the initial 50% of the calendar year holding the purpose of building a foundation for the company to go forward.
“The first half of this year has been very important in laying the groundwork for BetMGM’s future,” Greenblatt said in a statement. He referred to 2024 as being a year of investment for the online sports betting and casino divisions of their gambling empire.
Changes Paying Dividends For BetMGM
The latest numbers from BetMGM are suggesting that this investment is definitely paying dividends. The company issued a very promising report on BetMGM’s first half returns.
Net revenue from all online operations showed $1 billion in revenue. That’s a 6% increase over the first half of 2023. There was a second quarter net revenue growth of 9%, which was 3% better than the first quarter of 2024.
BetMGM’s second quarter gaming showed average monthly actives growth of 18%, a 9% uptick over the first quarter of the year. And all of this was achieved without a single new state launch by the company.
“We have exceeded our goals for both acquisition and retention,” Greenblatt said.
BetMGM Buying Spree Paying Off
A series of purchases in the past year by BetMGM are designed to make their own product more self-sufficient and increase its appeal to the US betting public.
A year ago, the $264.5 million acquisition of Angstrom Sports enhanced the analytics capabilities of the company. This has led to more same-game parlay options, creating a 40% uptick in SGP wagering on MLB over the previous year.
BetMGM is counting on these analytics capabilities and prediction-based modeling designed to establish odds being delivered by Angstrom Sports to be fully integrated across MLB, NBA and NFL platforms to provide a better customer experience and enhanced betting during the most lucrative time of the year, NFL season.
Elsewhere, BetMGM also increased its online sportsbook and casino technology capabilities by utilizing its LeoVegas subsidiary to acquire the US holdings of Tipico. BetMGM also acquired Push Gaming, giving the company its own in-house game developer. Finally, BetMGM online casino formed a partnership with PlayTech to develop its own live dealer casino brand, dubbed MGM Live (may be live in NJ soon).
These new technologies will be test run in markets such as the UK, Mexico and Brazil, but clearly, the prize that BetMGM has its eyes on is improvement in the US market.
Holding a 22% share in the US online casino market space and a 13% share of online sportsbook activity among the 29 states, including New Jersey, with a BetMGM presence, as the No. 3 online betting site in the country, BetMGM’s objectives in the US are twofold.
Firstly, they want to solidify their status as No. 3 in the market, holding off potential challenges from the likes of ESPN Bet, Fanatics and Bet365 NJ. Secondly, their long-range plan would appear to be to try and take a run at the top dogs in the US industry, namely FanDuel and DraftKings.
BetMGM’s stated goal is to grab 25% of the US market by 2026.
