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January Tells A Story: America Loves To Gamble

“Driven in large part by the NFL playoffs, Arizona was joined by the states of Colorado, Illinois, Iowa, Nevada, New York, Tennessee, and Virginia in seeing record betting totals exchanging hands between gamblers and those licensed to provide betting services within their states.”

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As March rolled into April, the gaming commission in Arizona became the final state to release its gambling totals for the month of January. The state’s handle of $563.7 million ran the national total for the year’s opening month to a staggering $9.8 billion, a new single-month record. Nine different states set their own single-month records in the process, helping blow well past the previous national single-month record of $7.5 billion set just this past October.

Driven in large part by the NFL playoffs, Arizona was joined by the states of Colorado, Illinois, Iowa, Nevada, New York, Tennessee, and Virginia in seeing record betting totals exchanging hands between gamblers and those licensed to provide betting services within their states. DraftKings and FanDuel were without question the big winners in this windfall, with BetMGM and Caesars fighting for third and fourth most places, but the tax coffers and media outlets also shared in the spoils.

In a report released last month, BIA Advisory Services claimed they estimate sports gambling companies will spend more than $600 million on television advertisements in 2020, with an additional $150 million spent on radio buys. This represents a substantial investment over previous years as legalization begins to take hold in more states and books fight to gain an early advantage in market share.

The first three quarters of 2021 saw more than $30 million spent on radio ads, nearly tripling the money spent during that same period in 2020. If the $150 million estimate is correct, it would be exponentially more revenue for broadcasters and could lead to even more opportunities for program directors to create new partnerships and drive more on-air discussions tied to gambling. You may also see more long-term deals become commonplace between radio conglomerates and sportsbooks, such as the deal between iHeart and DraftKings. 

The spend rate went up for television as well according to reports. The first three quarters of 2020 saw $182.8 million spent on advertisement, with that amount nearly doubling to $329 million in 2021. That does not even include deals between sportsbooks and networks, such as the one between Bally Sports and BetMGM, where their broadcasts include graphics for live odds and discussion in-game of ongoing promotions for new bettors. 

January also saw not just record handles but also record television advertisement dollars. The five biggest sportsbooks at the moment–DraftKings, FanDuel, BetMGM, Caesars, and Wynn–combined to spend more than $25.6 million during the month, plus the undisclosed amount they put towards radio spots. DraftKings and FanDuel also ramped up their spending with a combined $21.5 million spent in December of 2021 and January of 2022, nearly 50% more than the same months in the previous year.

Despite the NFL season coming to an end, there are many reasons to believe the increased participation in gambling, along with the higher advertising budgets, will continue throughout the spring and into summer rather than going on hiatus. A terrific example of this can be found by looking at the numbers for Colorado, where the $573.7 million wagered in January broke their October single-month record by more than $82 million. With nearly a $20 million handle more than football, the books there took $163.5 million in action on basketball games. 

Hardcourt action was king in the state of Indiana as well, but by a more staggering margin. While Hoosiers gambled $118.3 million on football in the month of January, basketball games saw more than $192 million in wagers placed. Their January handle of more than $500 million was also 43% higher than the amount spent by gamblers in the same month of 2020, showing that even 16 months after the first bets were placed the appetite for sports betting in Indiana continues to grow. 

New York will likely be the measuring stick by which all figures are compared over the next year, with their January numbers being somewhat mind-numbing. Despite just four companies being ready to utilize their licenses in the first month of legal wagering, and less than a full month of taking bets, the state saw $1.6 billion spent just via mobile gaming apps in January. This was the most of any state in any single month, beating the $1.3 billion wagered in New Jersey in October of last year.

Many New York residents would travel to New Jersey over the past two years to place bets and drive home, but baseball was the most popular sport according to wagers placed. This could be a huge boon for Major League Baseball and books alike, especially DraftKings. Their partnership with MLB includes alternate broadcasts with information targeted towards sports bettors, and will likely see them continue to aggressively market as they look to maintain a high market share in the area. 

The biggest question will be how aggressive some of the smaller books, such as BetRivers and PointsBet, will be in their marketing strategies. With some state legislatures beginning to discuss whether they might need to take action against what some deem an overwhelming deluge of TV and radio spots, such limits could offer an opportunity to chip away at the market share of the “big four” books.

Recently, Colorado House Speaker Alec Garnett, who was a key figure in the legalization of sports betting in his state, indicated that there have been growing complaints from his constituents about the influx of ads. In addition, the director of the Colorado Division of Gaming, Dan Hartman, warned that books should re-evaluate their marketing strategies, adding, “It’s probably best that you all look at what you’re doing because you really don’t want it regulated.”

One thing is for certain, and that is the hunger for sports gambling in this country is nowhere near being satiated. The next few months should offer a lot more insight into which states will see their tax revenues bolstered the most by which sports, as well as provide a future view into how companies like DraftKings and FanDuel will manage their promotions and advertising outside of football season. This will be vital data for television and radio broadcasters to use as they look to plan out programming and topics during the spring and summer months. 

BSM Writers

The Future Is Now, Embrace Amazon Prime Video, AppleTV+

As annoying as streaming sports is and as much as I haven’t fully adapted to the habit yet, Amazon and Apple have done a magnificent job of trying to make the process as easy and simplified as possible.

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This week has been a reckoning for sports and its streaming future on Amazon Prime Video, AppleTV+, ESPN+, and more.

Amazon announced that Thursday Night Football, which averaged 13 million viewers, generated the highest number of U.S. sign ups over a three hour period in the app’s history. More people in the United States subscribed to Prime during the September 15th broadcast than they did during Black Friday, Prime Day, and Cyber Monday. It was also “the most watched night of primetime in Prime Video’s history,” according to Amazon executive Jay Marine. The NFL and sports in general have the power to move mountains even for some of the nation’s biggest and most successful brands.

This leads us to the conversation happening surrounding Aaron Judge’s chase for history. Judge has been in pursuit of former major leaguer Roger Maris’ record for the most home runs hit during one season in American League history.

The sports world has turned its attention to the Yankees causing national rights holders such as ESPN, Fox, and TBS to pick up extra games in hopes that they capture the moment history is made. Apple TV+ also happened to have a Yankees game scheduled for Friday night against the Red Sox right in the middle of this chase for glory.

Baseball fans have been wildin’ out at the prospects of missing the grand moment when Judge passes Maris or even the moments afterwards as Judge chases home run number 70 and tries to truly create monumental history of his own. The New York Post’s Andrew Marchand has even reported there were talks between YES, MLB, and Apple to bring Michael Kay into Apple’s broadcast to call the game, allow YES Network to air its own production of the game, or allow YES Network to simulcast Apple TV+’s broadcast. In my opinion, all of this hysteria is extremely bogus.

As annoying as streaming sports is and as much as I haven’t fully adapted to the habit yet, Amazon and Apple have done a magnificent job of trying to make the process as easy and simplified as possible. Amazon brought in NBC to help with production of TNF and if you watch the flow of the broadcast, the graphics of the broadcast, NBC personalities like Michael Smith, Al Michaels, and Terry McAuliffe make appearances on the telecast – it is very clear that the network’s imprint is all over the show.

NBC’s experience in conducting the broadcast has made the viewing experience much more seamless. Apple has also used MLB Network and its personalities for assistance in ensuring there’s no major difference between what you see on air vs. what you’re streaming.

Amazon and Apple have also decided to not hide their games behind a paywall. Since the beginning of the season, all of Apple’s games have been available free of charge. No subscription has ever been required. As long as you have an Apple device and can download Apple TV+, you can watch their MLB package this season.

Guess what? Friday’s game against the Red Sox is also available for free on your iPhone, your laptop, or your TV simply by downloading the AppleTV app. Amazon will also simulcast all Thursday Night Football games on Twitch for free. It may be a little harder or confusing to find the free options, but they are out there and they are legal and, once again, they are free.

Apple has invested $85 million into baseball, money that will go towards your team becoming better hypothetically. They’ve invested money towards creating a new kind of streaming experience. Why in the hell would they offer YES Network this game for free? There’s no better way for them to drive subscriptions to their product than by offering fans a chance at watching history on their platform.

A moment like this are the main reason Apple paid for rights in the first place. When Apple sees what the NFL has done for Amazon in just one week and coincidentally has the ability to broadcast one of the biggest moments in baseball history – it would be a terrible business decision to let viewers watch it outside of the Apple ecosystem and lose the ability to gain new fans.

It’s time for sports fans to grow up and face reality. Streaming is here to stay. 

MLB Network is another option

If you don’t feel like going through the hassle of watching the Yankees take on the Red Sox for free on Apple TV+, MLB Network will also air all of Judge’s at bats live as they are happening. In case the moment doesn’t happen on Apple TV+ on Friday night, Judge’s next games will air in full on MLB Network (Saturday), ESPN (Sunday), MLB Network again (Monday), TBS (Tuesday) and MLB Network for a third time on Wednesday. All of MLB Network’s games will be simulcast of YES Network’s local New York broadcast. It wouldn’t shock me to see Fox pick up another game next Thursday if the pursuit still maintains national interest.

Quick bites

  • One of the weirdest things about the experience of streaming sports is that you lose the desire to channel surf. Is that a good thing or bad thing? Brandon Ross of LightShed Ventures wonders if the difficulty that comes with going from app to app will help Amazon keep viewers on TNF the entire time no matter what the score of the game is. If it does, Amazon needs to work on developing programming to surround the games or start replaying the games, pre and post shows so that when you fall asleep and wake up you’re still on the same stream on Prime Video or so that coming to Prime Video for sports becomes just as much of a habit for fans as tuning in to ESPN is.
  • CNN has announced the launch of a new morning show with Don Lemon, Poppy Harlow and Kaitlin Collins. Variety reports, “Two people familiar with plans for the show say it is likely to use big Warner Bros. properties — a visit from the cast of HBO’s Succession or sports analysis from TNT’s NBA crew — to lure eyeballs.” It’ll be interesting to see if Turner Sports becomes a cornerstone of this broadcast. Will the NBA start doing schedule releases during the show? Will a big Taylor Rooks interview debut on this show before it appears on B/R? Will the Stanley Cup or Final Four MVP do an interview on CNN’s show the morning after winning the title? Does the show do remote broadcasts from Turner’s biggest sports events throughout the year?
  • The Clippers are back on over the air television. They announced a deal with Nexstar to broadcast games on KTLA and other Nexstar owned affiliates in California. The team hasn’t reached a deal to air games on Bally Sports SoCal or Bally Sports Plus for the upcoming season. Could the Clippers pursue a solo route and start their own OTT service in time for the season? Are they talking to Apple, Amazon, or ESPN about a local streaming deal? Is Spectrum a possible destination? I think these are all possibilities but its likely that the Clippers end up back on Bally Sports since its the status quo. I just find it interesting that it has taken so long to solidify an agreement and that it wasn’t announced in conjunction with the KTLA deal. The Clippers are finally healthy this season, moving into a new arena soon, have the technology via Second Spectrum to produce immersive game casts. Maybe something is brewing?
  • ESPN’s Monday Night Football double box was a great concept. The execution sucked. Kudos to ESPN for adjusting on the fly once complaints began to lodge across social media. I think the double box works as a separate feed. ESPN2 should’ve been the home to the double box. SVP and Stanford Steve could’ve held a watch party from ESPN’s DC studio with special guests. The double box watch party on ESPN2 could’ve been interrupted whenever SVP was giving an update on games for ESPN and ABC. It would give ESPN2 a bit of a behind the scenes look at how the magic happens similarly to what MLB Tonight did last week. Credit to ESPN and the NFL for experimenting and continuing to try and give fans unique experiences.

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BSM Writers

ESPN Shows Foresight With Monday Night Football Doubleheader Timing

ESPN is obviously testing something, and it’s worth poking around at why the network wouldn’t follow the schedule it has used for the last 16 years, scheduling kickoffs at 7 and then 10 on their primary channel.

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The Monday Night Football doubleheader was a little bit different this time around for ESPN.

First, it came in Week 2 instead of Week 1. And then, the games were staggered 75 minutes apart on two different channels, the Titans and Bills beginning on ESPN at 7:15 PM ET and the Vikings at the Eagles starting at 8:30 PM on ABC and ESPN+. This was a departure from the usual schedule in which the games kicked off at 7:00 PM ET and then 10:00 PM ET with the latter game on the West Coast.

ESPN is obviously testing something, and it’s worth poking around at why the network wouldn’t follow the schedule it has used for the last 16 years, scheduling kickoffs at 7:00 PM and then 10:00 PM ET on their primary channel. That’s the typical approach, right? The NFL is the most valuable offering in all of sports and ESPN would have at least six consecutive hours of live programming without any other game to switch to.

Instead, they staggered the starts so the second game kicked off just before the first game reached halftime. They placed the games on two different channels, which risked cannibalizing their audience. Why? Well, it’s the same reason that ESPN was so excited about the last year’s Manningcast that it’s bringing it back for 10 weeks this season. ESPN is not just recognizing the reality of how their customers behave, but they’re embracing it.

Instead of hoping with everything they have that the customer stays in one place for the duration of the game, they’re recognizing the reality that they will leave and providing another product within their portfolio to be a destination when they do.

It’s the kind of experiment everyone in broadcasting should be investigating because, for all the talk about meeting the customer where they are, we still tend to be a little bit stubborn about adapting to what they do. 

Customers have more choices than ever when it comes to media consumption. First, cable networks softened the distribution advantages of broadcast networks, and now digital offerings have eroded the distribution advantages of cable networks. It’s not quite a free-for-all, but the battle for viewership is more intense, more wide open than ever because that viewer has so many options of not just when and where but how they will consume media.

Programmers have a choice in how to react to this. On the one hand, they can hold on tighter to the existing model and try to squeeze as much out of it as they can. If ESPN was thinking this way it would stack those two Monday night games one after the other just like it always has and hope like hell for a couple of close games to juice the ratings. Why would you make it impossible for your customer to watch both of these products you’ve paid so much to televise?

I’ve heard radio programmers and hosts recite take this same approach for more than 10 years now when it comes to making shows available on-demand. Why would you give your customers the option of consuming the product in a way that’s not as remunerative or in a way that is not measured?

That thinking is outdated and it is dangerous from an economic perspective because it means you’re trying to make the customer behave in your best interest by restricting their choices. And maybe that will work. Maybe they like that program enough that they’ll consume it in the way you’d prefer or maybe they decide that’s inconvenient or annoying or they decide to try something else and now this customer who would have listened to your product in an on-demand format is choosing to listen to someone else’s product entirely.

After all, you’re the only one that is restricting that customer’s choices because you’re the only one with a desire to keep your customer where he is. Everyone else is more than happy to give your customer something else. 

There’s a danger in holding on too tightly to the existing model because the tighter you squeeze, the more customers will slip through your fingers, and if you need a physical demonstration to complete this metaphor go grab a handful of sand and squeeze it hard.

Your business model is only as good as its ability to predict the behavior of your customers, and as soon as it stops doing that, you need to adjust that business model. Don’t just recognize the reality that customers today will exercise the freedom that all these media choices provide, embrace it.

Offer more products. Experiment with more ways to deliver those products. The more you attempt to dictate the terms of your customer’s engagement with your product, the more customers you’ll lose, and by accepting this you’ll open yourself to the reality that if your customer is going to leave your main offering, it’s better to have them hopping to another one of your products as opposed to leaving your network entirely.

Think in terms of depth of engagement, and breadth of experience. That’s clearly what ESPN is doing because conventional thinking would see the Manningcast as a program that competes with the main Monday Night Football broadcast, that cannibalizes it. ESPN sees it as a complimentary experience. An addition to the main broadcast, but it also has the benefit that if the customer feels compelled to jump away from the main broadcast – for whatever reason – it has another ESPN offering that they may land on.

I’ll be watching to see what ESPN decides going forward. The network will have three Monday Night Football doubleheaders beginning next year, and the game times have not been set. Will they line them up back-to-back as they had up until this year? If they do it will be a vote of confidence that its traditional programming approach that evening is still viable. But if they overlap those games going forward, it’s another sign that less is not more when it comes to giving your customers a choice in products.

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BSM Writers

Media Noise: Sunday Ticket Has Problems, Marcellus Wiley Does Not

Demetri Ravanos




On this episode of Media Noise, Demetri is joined by Brian Noe to talk about the wild year FS1’s Marcellus Wiley has had and by Garrett Searight to discuss the tumultuous present and bright future of NFL Sunday Ticket.






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