Massachusetts Sports Betting Revenue Insights and Analysis

In its first full year (2023), the Massachusetts Gaming Commission reported a sports betting handle of $4.97 billion, generating $483.67 million in Gross Gaming Revenue (GGR) with an 8.47% hold rate. Taxes collected for the year totaled $93.88 million.

Between January and September 2024, the market continued to grow. The total handle reached $5.09 billion, already surpassing the previous year’s total. Gross sports wagering revenue stood at $478.36 million, with an average hold rate of 9.4%. Tax revenue totaled $93.39 million, matching 2023’s full-year total within nine months.

2024 Highlights:

• Highest Monthly Handle: September, with $678.75 million
• Highest Monthly Revenue: September, generating $75.35 million
• Highest Monthly Tax Revenue: September, contributing $14.63 million to state programs

Massachusetts distributes tax revenue generated from sports wagering to five state funds:

• General Fund (45%)
  The largest share of sports wagering tax revenue is allocated to the General Fund, which supports state services, including education, public safety, and infrastructure projects.
• Gaming Local Aid Fund (27.5%)
  The Gaming Local Aid Fund provides financial assistance to cities and towns across Massachusetts. This helps municipalities fund community programs and services.
• Workforce Investment Trust Fund (17.5%)
  This includes job training programs, skills development, and employment opportunities focused on gaming and hospitality.
• Public Health Trust Fund (9%)
  Dedicated to addressing problem gambling and promoting responsible gaming, this fund supports public health initiatives, addiction prevention programs, and treatment services for those affected by gambling disorders.
• Youth Development and Achievement Fund (1%)
  A smaller allocation is set aside to support programs that promote youth development, achievement, and education in Massachusetts.

Massachusetts has become a major sports betting market in the United States, with both mobile and retail options. Since the market's launch in 2023, it has shown consistent growth and economic benefits for the state.

2023

Massachusetts entered the sports betting sector with a strong first year. The state recorded a total handle of $4.97 billion, generating $483.67 million in gross gaming revenue (GGR). Tax contributions reached $93.88 million, with an average hold percentage of 8.47%. These figures demonstrated a high level of engagement among residents, particularly during major sporting events like the NFL playoffs and March Madness.

2024

Massachusetts’s sports betting market has continued to grow throughout 2024. From January to September, the state reported a total handle of $5.09 billion, passing 2023 totals in just nine months. Gross gaming revenue for the period reached $478.36 million, while tax revenue contributions totaled $93.39 million.

Key Growth Factors

Massachusetts’s retail and mobile sports betting model has provided accessibility for all residents. Retail sportsbooks at Encore Boston Harbor, MGM Springfield, and Plainridge Park Casino have complemented mobile platforms operated by brands like DraftKings, BetMGM, and FanDuel, creating a competitive market.

Massachusetts is home to iconic sports teams, and with the legalization of sports betting, many have partnered with top sportsbooks. These collaborations offer in-stadium promotions, exclusive content, and unique betting experiences for fans while solidifying sportsbooks' presence in the state.

• Boston Bruins (NHL): In March 2023, the Bruins have a multiyear partnership with FanDuel, which is their official sports betting partner. This agreement includes FanDuel's branding at TD Garden and content on the Bruins' digital platforms. (Flutter Entertainment, 2023)
• Boston Red Sox (MLB): The Red Sox partnered with BetMGM, giving the sportsbook branding opportunities at Fenway Park, including on the Green Monster and a BetMGM suite within the stadium. (MLB.com, 2023)
• New England Patriots (NFL): The Patriots are partnered with a casino platform (Aristocrat Gaming) that gives them branding opportunities within Gillette Stadium. (Aristocrat Gaming, 2023)
• Boston Celtics (NBA): The Celtics have a daily fantasy sports partnership with DraftKings, involving promotions on the team's social media platforms and web-based content. (DraftKings, 2023)
• New England Revolution (MLS): The Revolution is part of the Youth Sports Betting Safety Coalition, a public-private partnership aimed at addressing the harms of youth gambling in sports.

Massachusetts has implemented a detailed framework for sports betting to ensure fairness, compliance, and consumer protection. Below are the key rules governing sports wagering in the state:

Collegiate Sports Betting Restrictions

• Wagering on collegiate teams in Massachusetts is prohibited unless the team participates in a tournament. This includes NCAA championships (March Madness) or other approved multi-team events.

Prohibited Sports and Events

• Wagers on any sports or sporting events overseen by Russian or Belarusian governing bodies, leagues, events, or players are strictly prohibited.
• Betting on Summer and Winter Olympic competitions, including trials and similar judged events such as the Commonwealth Games, X Games, World Athletic Championships, and other international athletic or skiing competitions, is not allowed when the outcome is primarily based on evaluation or assessment by judges.

Allowed Events and Drafts

• Wagering is permitted on awards and special approved events.
• Bets on drafts, such as the NFL Draft or NBA Draft, are allowed for all approved leagues.
  Massachusetts Sportsbooks and Operators

The Massachusetts market features seven online sportsbooks:

• Bally Bet
• BetMGM
• Caesars
• DraftKings
• ESPN BET
• Fanatics
• FanDuel

Retail sportsbooks are available at:

• Encore Boston Harbor (Boston, MA)
• MGM Springfield (Springfield, MA)
• Plainridge Park Casino (Plainville, MA)