For customers willing to switch to a new sportsbook, DraftKings and FanDuel are the top choices, according to a new survey.
As North Carolina online sports betting prepares to launch in 2024, the industry leaders maintain a firm grip on the total handle in most states.
In terms of customer retention and attraction, DraftKings and FanDuel win through reliably great products.
Brand and trust more critical than promos for new sportsbook users
Earlier in 2023, J.P. Morgan surveyed more than 1,100 online sports bettors and online casino players. According to the data, 70% of respondents who planned to download a new sports betting app favored DraftKings or FanDuel.
A key finding of the research was that when a user decides to switch to a new sportsbook (or try a second app), that decision is driven less by promo offers, and more by brand and trust.
DraftKings and FanDuel outpace the competition here in the most critical metrics.
First of all, both offer the most competitive odds in the market while providing the best user interfaces around.
FanDuel, the pioneer of same-game parlay bets, consistently offers the most variety of these highly popular bets. DraftKings also offers an expansive parlay menu as well as the best daily odds boosts.
Same-game parlays drive betting in new states
The JP Morgan survey underscores the popularity of same-game parlays (and other types of parlays) in states that have recently launched sports betting.
New states see a large percentage of same-game parlay bets, says JP Morgan. That percentage of dollars wagered on a parlay is higher than in established states. This could be due to the enticing odds a parlay can offer new bettors in new jurisdictions or the decision to use promo bet money on more risky markets.
What sportsbook brand loyalty and usage mean for North Carolina launch
What could the research by JP Morgan mean for NC bettors when sports betting launches?
In states launching a new sports betting market, users are more likely to select a sportsbook based on the attractiveness of its promo offers. However, once a market matures, users tend to gravitate to brands they trust for the best odds and the smoothest user experience.
That likely means North Carolina bettors will start by downloading several apps to take advantage of all the promo offers. Once they’ve played through those promo credits, users will siphon down to favored apps.
Those apps will have staying power due to their reliability and ease of use. That is how DraftKings and FanDuel have maintained success.
DraftKings is closing in on FanDuel ahead of NC launch
At the start of the year, FanDuel sat at the number one position in total handle (total dollars of wagers accepted) in almost every state and nationwide. But that lead has shrunk this year.
According to the Earnings+More newsletter published by +More Media, FanDuel reports a smaller gap between itself and DraftKings in many states.
When North Carolina comes online sometime in 2024, it’s possible DraftKings could be the leader nationally, at least based on total betting dollars handled. In some key states, DraftKings already reports more revenue than its rival.
When North Carolina launches online sports betting, NCSharp projects that the state could see as much as $7 billion in total handle in the first year of online sports betting. Given how the pie is sliced in many other states, that could mean as much as $3.5 billion for FanDuel Sportsbook NC and DraftKings Sportsbook NC to fight over, perhaps more.
North Carolina sports betting promos should be competitive, and bettors will still have many options. Fanatics Sportsbook is poised to make a strong push into the market, including in North Carolina. Also, ESPN Bet NC will debut later this fall in several states, and once NC launches, that powerhouse brand will be available for consumers.