New York enters its second week of online sports betting. It’s just the NFL wild card round.
How big will the handle be? How many ads will we see on TV?
One thing is clear, New York sportsbook continues to roll out massive bonus offers to entice new users to sign up.
NY Sports Betting Current Picture
For now, Four mobile sports betting apps are available for New York weather: DraftKings, fan duel, Caesars and BetRivers. On Monday, BetMGM will join the fray – in time to get customers on board ahead of the final NFL wildcard game.
With the exception of BetRivers, betting apps are offering aggressive offers to attract new bettors in New York.
A recently Sportico items outlined the massive customer acquisition spend despite New York’s 51% tax on sports betting revenue. In short, sportsbooks consider the size of the market and brand equity of a top New York sportsbook to be worth the price of admission, so to speak.
What are these offers like? Here are the 3 biggest ones this weekend.
Caesars $300 Free Bet + $3,000 Deposit Match
Caesars Sportsbook, through its spokesperson JB Smoove (Caesar!), has garnered the most attention with its launch in New York, offering new players $300 free on registration along with a deposit bonus of up to $3,000 – an industry high.
This is one of the strongest offers we’ve seen, both for the amount and the different type of bonus money. You rarely see free bets over $100 or deposit matches over $1,000. Caesars effectively has three times that amount for online sports betting in NY.
The $300 free bet is given out upon registration and gives users a chance to try out the app. Your first deposit will be matched up to $3,000. It’s worth noting that most bettors don’t deposit that much and as such, Caesars isn’t on average hooked with the full amount.
DraftKings Sportsbooks 56 to 1 odds
DraftKings Sportsbook rolls out 56 to 1 odds on any NFL playoff game or the Super Bowl for new users taking their first place at DraftKings NY.
This is a special promotion for the NFL, but users actually have a choice of DrafKings standard $1,050 bonus or the 56 to 1 promo.
We prefer the latter for new New York weather because it offers an easy way to get yourself into the app. Just place $5 on any NFL team on your first bet and earn $280 in site credits if they win.
That’s easy enough.
FanDuel Sportsbook $1,000 Risk Free Bet
FanDuel Sportsbook is probably New York’s app with the most bets in the first week. And while they roll out 30 to 1 odds on every game this week, we prefer their more straightforward ones $1,000 risk free bet for betting in New York.
It’s exactly what it sounds like: FanDuel refunds first bets in site credit if they lose – up to $1,000.
How can NY betting justify massive sign-up bonuses?
Simple math would suggest that these promos, combined with a 51% tax rate on revenue, would take a long time to recoup sports betting in New York. But they play the long game. That doesn’t bother most bettors not Use the full sign-up bonus or withdraw funds from the app. There are other ways for the big betting apps to monetize customers.
Good recording @HowieLongShort this morning on US sports betting becomes much more than just betting.
Now what happens when they store NFTs, trading cards, crypto, clothing, tickets and media?@DKSportsbook @FanDuel @michaelrubin @stoolpresidente all come to mind.
great app pic.twitter.com/5HppForqlu
— Kyle Scott Laskowski (@KyleScottL) January 14, 2022
As Kyle’s tweet suggests, DraftKings and FanDuel have ambitions to become more than just “sports betting apps” in New York. In fact, both already offer daily fantasy games. In states where it is legal, both have an online casino. And DraftKings offers an NFT marketplace. Over time, these betting apps will expand into platforms or “sports bags”. The customer value can therefore be considerable – much higher than the bonus amounts paid out to new customers.