With the Super Bowl just six days away, Americans are expected to bet over $24 billion on the big game. Needham & Company managing director Bernie McTernan joins Asking for a Trend to discuss the sports betting platforms that stand to benefit from this big day.
McTernan calls the Super Bowl nearly “the most important day of the year” for online betting services. He notes that names such as FanDuel — owned by Flutter Entertainment (FLUT) — and DraftKings (DKNG) have ongoing promotions, each adding a $5 million dollar jackpot individuals can buy into to “get new customers into the system.”
“What we see over time is that players certainly consolidate their spend,” he explains to Yahoo Finance, noting that new individuals may use multiple sports betting apps to start but often end up using just one by the end, with FanDuel and DraftKings leading those preferences.
“It's really this flywheel effect where DraftKings and FanDuel, they have the most share. That allows them to invest the most in product and technology, which then drives more share and allows them to invest more,” he explains to Josh Lipton.
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This post was written by Angel Smith
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