DraftKings and FanDuel have been ruling the U.S. online gambling market for years to constantly compete for the leading position in the developing market. In the race, the two giants have taken a 61% share of the overall online gaming and sports betting operations to continue to thrive to add more weight to their operations and balance the scales to their respective advantage. These efforts currently seem more fruitful for DraftKings as the company is now holding the highest share in the US market.
Reaching 31% Market Share:
According to Front Office Sports, the change occurred in August when DraftKings reached the 31% market share target to leave FanDuel behind with a 30% share. Since then, DraftKings has captured the largest gross gaming revenue among online gaming and sports wagering operators to take the leading position from FanDuel which had dominated the US market for years.
Overall Online Operating Result:
The figure reportedly refers to the revenues generated from both sports betting and online casino operations. Separatelly, FanDuel still leads the sports betting market with a 39.3% share, with DraftKings settling at the second position with a 34.1% market share. However, the change in the overall online leadership may represent a turning point in the U.S. wagering market that has been significantly expanding, according to the source.
”Shifting Competitive Landscape”:
Prominent research entity Eilers & Krejcik Gaming reportedly commented: “[This] is a major move that signals a shifting competitive landscape — one that we believe will continue to shift as big new brands Fanatics and ESPN Bet begin to ramp.” As far as these operators are concerned, Front Office Sports reports that ESPN Bet partners with PENN Entertainment to launch its new Sports book in November 2023, while Fanatics is set to fully integrate the recently acquired PointsBet operation.
Determined to Keep the Leading Position:
Both operators seem focused on getting fully equipped to benefit from the comprehensive sport wagering offerings. As the source reports, ESPN Bet and Fanatics may represent the greatest threat to the leading duo, but DraftKings seems determined to keep the leading position. “We enjoy the chart, but no one is anywhere close to satisfied yet at DraftKings!,” DraftKings co-founder Matt Kalish reportedly stated.
Market Share Impacts Financial Results:
The company’s stock has risen more than 144% in 2023 to stay in line with the financial result. The latest results have been boosted by the market share increase which palpable impact will be reflected in the next financial report announced to be released on November 2, 2023. As reported, Eilers & Krejcik said: “DraftKings’ ability to reel in FanDuel speaks to a company that is stepping away from squishy narratives and harnessing the power of more focused, disciplined execution.”