Sportsbooks and daily fantasy operators are anticipating a boost in activity during the upcoming Summer Olympics in Paris. With the legalization of gambling in the US, this will be the first time the Olympic Games coincide with widespread legal gambling. The gaming industry is particularly expecting an increase in betting for sports like basketball, soccer, and tennis. The timing of the Olympics is advantageous for sportsbooks as it falls during the offseasons of major betting leagues like the NFL and NBA. However, the impact on giants like FanDuel and DraftKings may be more modest compared to smaller players. The success of these operators during the Olympics will largely depend on viewership.
The growth of gambling in recent years has been significant. Over 30 states now allow some form of sports wagering, with many permitting mobile and online betting. This marks a dramatic increase since the last Summer Olympics. In 2021, 97 million American adults were able to place bets, compared to the projected 164 million adults who will have access to wagering this year. While the Olympics may not generate the same level of betting surge seen with other sports in the US, they can still contribute to incremental betting activity.
There are several factors that may influence the betting interest in the Olympics. State regulations may limit betting options for certain events, potentially restricting users to wagering on medal competitions only. Additionally, viewership for the Olympics in the US has declined in recent years due to factors such as time zone differences and the absence of fans during the pandemic. Although Paris’s time zone presents fewer challenges for American viewers than Tokyo’s, prime-time events will not be aired live this year. Instead, NBC will broadcast prime-time replays, while NBCUniversal’s Peacock streaming service will provide comprehensive coverage of the games. Sportsbooks will be closely monitoring whether this increased access to Olympic coverage improves betting interest.
Despite potential challenges, the Olympics present an opportunity for betting operators to engage users and drive activity during the typically slower summer months. With many major sports leagues in their offseasons, the roughly two weeks of competition in Paris offer a chance to capture attention. Daily fantasy operator PrizePicks, for example, has observed that users prefer summer competitions, leading them to expand their offerings for the Paris 2024 Olympics. The picturesque backdrop of Paris and the ability for US viewers to watch competitions live during the daytime are expected to further enhance engagement.
The selection of sports included in the Summer Olympics also plays a role in driving betting interest. Basketball, tennis, and soccer are anticipated to be the top sports for betting, with FanDuel reporting that basketball wagers made up approximately half of their betting handle during the Tokyo Olympics. The popularity of women’s sports is also on the rise, and this trend is expected to carry over to the Olympics. Additionally, patriotism often fuels fandom during the Olympics, which can translate into betting activity as individuals support their country’s athletes. Some sportsbooks may also see an influx of bet volume from specific regions with strong ties to certain countries participating in the games.
In conclusion, while the impact of the Olympics on gambling operators may vary, the games present an opportunity for increased engagement and betting activity. The growth of legal gambling in the US has set the stage for higher levels of wagering compared to previous Summer Games. Factors such as state regulations, viewership challenges, and time zone differences may influence the extent of the betting surge. However, the Olympics offer a unique summer event for sportsbooks and daily fantasy operators to capture the attention of bettors during a typically quieter period in the sports calendar.
