Indiana Sports Betting Revenue Sees Fluctuations Amid Growing Interest

Indiana's Gross Gaming Revenue (GGR) has grown exponentially since sports betting launched in 2019. In that first year, it was $41.6 million, a strong start considering it was only live for a few months. By 2020, GGR had tripled to $136.4 million as the market matured and mobile betting became more popular with Indiana bettors.

The growth continued in 2021, with GGR reaching $308.3 million, a 126% increase since the previous year. That slowed slightly in 2022 and 2023, with GGR reaching $386.9 million and $404.4 million, respectively.

In 2024, Indiana continued its strong performance in the sports betting market, recording $467.81 million in GGR between January and November. This year-to-date total highlights the market's consistent strength. Monthly GGR reached a high of $54.6 million in January and a low of $29.4 million in August, marking the second straight month of lower revenue during the summer slowdown. Despite this, Indiana’s sportsbooks quickly rebounded, recording $52.9 million in winnings for November.

The total handle from January through November 2024 reached an impressive $4.59 billion, maintaining Indiana's third-place ranking nationally in terms of betting figures. The monthly handle peaked at $537.9 million in November, marking a straight month of record-breaking activity as bettors placed their wagers during the football season.

The state’s average monthly hold percentage for 2024 was 9.57%, resulting in steady operator revenue and demonstrating Indiana's reliability as a lucrative sports betting market. Compared to last year, these figures show how Indiana's market has matured while continuing to deliver strong returns.

Tax revenue for 2024 year-to-date reached $41.95 million, further cementing sports betting as a significant source of money for Indiana's economy. This consistent tax revenue has helped fund various state initiatives, showcasing the economic benefits of a well-regulated market.

As the market grows, Indiana bettors continue to show strong engagement. From GGR to total handle, Indiana remains a benchmark for other states, with 2024 setting the stage for even greater performance in the coming years.

• May 2019: Indiana enacted a state gambling law, HB 1015, which established a comprehensive framework for online sports betting and land-based gambling in Indiana, creating a solid legal and administrative foundation for sports wagering. (LegiScan, 2019)
• September 2019: First retail sportsbooks open.
• October 2019: Online sports betting officially begins.
• December 31, 2020: Indiana completes its first year with a sports betting handle exceeding $1 billion.
• December 31, 2023: Indiana demonstrates remarkable growth with its first year with over $4 billion in bets.
• July 10, 2024: The state gambling industry is rocked by scandal as state Rep. Sean Eberhart is sentenced to 12 months and a day in federal prison in a casino corruption case. (IndyStar, 2024)

Since legalization, the state has seen significant jumps in (GGR) and tax revenue. Below, you will find a brief summary of its trajectory from 2019 to 2023:

2019

Indiana's first-year GGR was $41.6 million, and its tax revenue was $3.9 million, demonstrating significant market potential.

2020

Year-over-year growth picked up in 2020, with GGR more than tripling to $136.4 million and tax revenue of $13.2 million. This growth weathered the initial pandemic disruption.

2021

The market grew significantly in 2021, with a GGR of $308.3 million, a 126% increase from the previous year, and the sports betting handle increased by over $2 billion.

2022

In 2022, growth slowed as the Indiana sports betting market matured. GGR was $386.9 million, 25.4% up from 2021. Tax revenue was $36.8 million, up $7.7 million from 2021. The slowdown was due to a combination of factors: increased market saturation, a pandemic wagering dip, and neighboring states offering similar products.

2023

Indiana's market continued to mature in 2023 with a GGR of $404.4 million and tax revenue of $38.4 million. Another year of relative stability suggested the operators may have tapped into most of the state's growth potential.

• Since 2019, Indiana's market has expanded quickly, from $41.6 million of GGR in its first year to $404.4 million in 2023, nearly 10x growth.
• Between 2019 and 2021, the state experienced explosive year-over-year growth, with 2020 tripling 2019 by gaming revenue, handle, and taxes yielded, while 2021 doubled by those three metrics compared to 2020.
• The market stabilized in 2022 and 2023. Growth slowed, but the market remained on a stable upward trajectory. During the same period, GGR rose by over $17 million.

Indiana's market has grown from a tiny, newly legal market to one of the biggest in the Midwest. That growth has gone from rapid to steady as it approaches its ceiling.