Michigan Records $600 Million Sports Betting Handle in January 2024

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The Michigan Gaming Control Board recently disclosed the state’s sports betting handle of $601.6 million in Jan. 2024. The result comes at a time when mobile sportsbooks from the state rolled out a large number of promotional offers during the Detroit Lions’ run up to the 2023 NFC Championship. The board also provided insights into the state’s three licensed sportsbooks.

Jan. 2024 was the second consecutive month where the state exceeded $600 million in betting handle alone. However, the reported handle was still 1.9% lower than the $613.4 million reported in Dec. 2023. Regardless of the slight reduction in overall money wager, Michigan sports betting handle has increased significantly over the year, with its year-on-year growth standing at 22.5%.

Overall, total gross sports betting revenue was $48.2 million. The statewide hold rate for the month stands at just over 8%. Operator winnings in Michigan increased by 42.7% compared to the same period of last year. However, the sportsbooks made less overall in Jan. 2024, experiencing a 27.1% drop from the operator winnings realized in Dec. 2023.

The total deductions on the sportsbooks’ revenue amounted to $28.9 million. This figure includes promotional credits and bonuses, federal excise tax, and carried-over loss of adjusted gross revenue from the previous months. January marked the fifth consecutive month that it surpassed $20 million.

Overall, deductions to revenue were 82.6% higher than the $15.8 million recorded in January of the previous year. While the Great Lake State collected more than $1.3 million in tax for the month, the city of Detroit recorded a substantial inflow of $685,000, with mobile betting taxes contributing to $614,000 of this total.

More Pages: Michigan Sports BettingSports Betting Apps | Sportsbook Promos

NFL and College Football Results Rout Player Winnings

Sportsbooks claiming an 8% hold on gross revenue in January is an impressive feat, considering the fact that the state’s NFL and college football teams performed exactly like home fans might have hoped. The Wolverines covered narrow spreads in both their College Football Playoff games and took the first consensus national title since 1948, by beating both Alabama and Washington.

The Detroit Lions put in their best showing in 32 years by conquering the Minnesota Vikings to end the season 12-5. Unfortunately for the state’s sports fans, and fortunately for its sportsbooks, the Lions could not cover its 24–23 victory over the Los Angeles Rams in the Wild Card round.

However, bettors who believed that the Lions would cover a 7.5 underdog spread in the conference title game against the San Francisco 49ers two weeks later wagered fruitfully. Jameson Williams scored the touchdown off a pass from Jared Goff with 56 seconds left to play, putting a stamp on the finality of Detroit’s 34-41 loss in the critical stage of the playoffs.

Speculation suggests that bettors who placed parlay wagers involving the Lions helped the state’s bottom line, but it’s impossible to accurately predict to what extent. There was a significant difference in the hold between the state’s mobile and in-person retail sportsbooks. The state’s 14 mobile sportsbooks averaged out their hold to 8.3% of the $577.4 million handle, while retail sportsbooks only held 2.2% for a total of $521,000.

ESPN BET Loses Steam in Michigan

The PENN Entertainment-owned ESPN BET experienced a 5.5% decline in month-on-month handle to close the month at $52.2 million. However, these earnings were enough to place it in a comfortable fourth among the state’s online sportsbooks. It represented 9% of the overall digital handle in the state, considerably higher than its target of acquiring 7% of the market share among mobile sportsbooks.

ESPN BET had posted double-digit hold percentages in Nov. and Dec. 2023. However, its hold for January was only 2.2%, adding up to $1.1 million in gross gaming revenue. Accounting for its spending, ESPN BET finished January with an adjusted gaming revenue of $1 million. Overall, its $15.3 million in hold over the last three months still places it firmly in the red.

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About the Author
Nikhil Kalro

Nikhil Kalro

Nikhil Kalro is a sports betting writer at Gaming Today. With an interest in strategy and mathematics, applying that to sports writing was the natural progression. Nikhil’s previous experience includes working with ESPN for five years. His specializations include soccer, football, basketball, tennis, and esports betting.

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