NFL Could Gain a $2.3 Billion Sports Betting Profit

NFL Could Gain a $2.3 Billion Sports Betting Profit

As sports betting regulation takes over the US, the financial implications for the future are becoming increasingly apparent. The huge enthusiasm that ensued right after the US Senate’s historical move in May of this year is already proving justified by the amount of revenue made by states who are running ahead of others…

Big Bucksville

…The American Gaming Association (AGA) has publicly stated that the National Football League could see its revenue rise on a yearly level by an unbelievable $2.3 billion should sports betting become widely available and regulated across the entire US – and all signs indicate that it will.

New Jersey, Mississippi, West Virginia and more states have already made sports betting legal with much more to come before the year ends.

The study conducted by Nielsen Sports has analyzed the potential revenue streams sports betting could create for NFL. This is the revenue gained from betting operators spending on advertising and sponsorship, purchasing of products and increased consumption of the NFL media and could total 1.75 billion…

…As the new season begins this week, with title holders, the Philadelphia Eagles, looking for their second consecutive Super Bowl, punters in the states that have legalized sports betting will be able to place wagers on NFL games, for the first time ever.

An additional revenue of $573 million could pour in as a result of data providers spending. The NFL is working actively on ensuring that any casino that advertises a certain team buys official league data.

Numerous Ways to Win

Sara Slane, AGA’s senior vice-president of public affairs, says that the NFL could be the biggest winner of all in a legal, regulated sports betting environment that will create new revenue opportunities…

“Once legal sports betting expands across the country, the NFL could take in more than $2bn a year, reinforcing how much sports leagues stand to gain from increased viewership and private partnerships with sports betting operators.”

Nielsen’s report, however, did not account for integrity fees that the AGA is strongly opposed to and which would have players and the League itself gain a share of cumulative wagers. Slane says that she thinks these numbers are “conservative” and show that NFL is “tripping over dollars to pick up pennies”

…The NFL itself is opposed to sports betting as they fear it could harm the integrity and fairness of the sport.

Source:

“NFL could claim $2.3bn boost from sports betting”, igamingbusiness.com, September 5, 2018.

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