Massachusetts Betting Handle Revenue Projections

Ohio sportsbooks launched on January 1, 2023, at the top of the new year, making Ohio the 30th state to introduce legal sports betting in one form or another. When it comes to the next state to legalize sports betting, Massachusetts looks to be next in line.

While retail sports betting in Massachusetts is slated to go live ahead of mobile sports betting, expect sports betting to launch in one shape or form in the Bay State in early 2023. With that in mind, here are some early Massachusetts betting handle revenue projections to consider.

Massachusetts residents can now engage in online sports betting as of early March, providing them with the ability to place bets on their mobile devices. One of the benefits of signing up for a new account is the availability of welcome bonuses, which can help jump-start your online wagering experience.

If you're a new player, you can immediately take advantage of a variety of Massachusetts sports betting promos offered by six different sportsbooks, which can result in thousands of dollars in welcome offers.

For example, BetMGM Massachusetts provides new players with a generous welcome bonus when they redeem the BetMGM Massachusetts bonus code. This offer previously gave sports bettors $200 in bonus bets before the launch of online sports betting in Massachusetts, and now provides them with a first bet offer worth up to $1,000 since its launch.

Bettors in Massachusetts can also take advantage of the Caesars Sportsbook Massachusetts promo code and receive a first bet on Caesars worth up to $1,500. This is currently the best offer available for sports bettors in the Bay State, as Caesars Massachusetts seeks to establish itself in New England with a bang.

How Massachusetts Compares To Other States Where Mobile Sports Betting Is Already Legal

One of the best ways to go about projecting a state's sports betting handle is by identifying states with similar populations and comparing them.

When it comes to the size of the state of Massachusetts, it is the 15th largest state in terms of population with an estimated 7 million people. This ranking pits Massachusetts one state behind 14th-ranked Arizona when it comes to the population by roughly 100,000 people. It also slates Massachusetts above 16th-ranked Tennessee by roughly 100,000 people.

Since both Arizona and Tennessee offer legal sports betting, we can base our projections for Massachusetts on those states. 

Expected Betting Handle Revenue In Massachusetts

Legal sports betting in Massachusetts is expected to launch at some point in the early portion of 2023. Per the Boston Globe, retail sports betting will go live on January 31, 2023, with mobile sports betting to launch shortly thereafter. Be mindful that there is no official launch date set for legal online sports betting in Massachusetts, however. 

Since February 2023 will mark the first official month of legal sports betting in Massachusetts, we will use how Arizona sports betting and Tennessee sports betting fared in the first February that both states were live.

Using the chart above, you can see that there is a massive difference in the sports betting handles of both Arizona and Tennessee in each state's first February that they had legal sports betting. 

Population-wise, these states are fairly close, with just shy of 300,000 people separating them in size. So what's the difference? The first February that Tennessee had sports betting was its fourth overall month that the state had it, whereas the first February that Arizona had legal sports betting was its sixth month. 

Now we will take a look at how the legal sports betting handle fared in both Arizona and Tennessee's first year. 

Regardless of the vast difference in each state's first February, they are much closer when it comes to the handle in their first year, which is to be expected.

If Massachusetts sports betting was live for a year with both retail and online operations, we would project its first year's handle to fall between $532.7 million (Arizona) and $538.6 million (Tennessee). It's being projected that Massachusetts sports betting tax review will be roughly $20-$30 million in its inaugural year with that number likely surpassing $60 million by year five. 

Massachusetts Sports Betting Handle Reasons For Revenue Projection

Massachusetts has 15 online sports betting licenses up for grabs, while eight of them must be tied to a land-based casino. The remaining seven are up for bid. Furthermore, every retail casino and horse racing track in the state will also get its own sports betting license.

As you can see, there will be a lot of competition once legal sports betting in Massachusetts goes live. This should correlate to a large number of sports bets being taken, and the projected handle referenced above.

What will also help grow the Massachusetts sports betting handle is the state's local fanbase. Massachusetts is the home of some of the most storied franchises in all of professional sports, including the Boston Celtics, Boston Bruins, and New England Patriots.

And while you won't be able to bet on in-state college programs like Boston College, betting on all other collegiate sports markets is permitted. There is one exception when it comes to betting on in-state college sports. Massachusetts bettors will be allowed to wager on in-state programs that are involved in tournament play like NCAA March Madness.

This article is part of our Massachusetts Betting News series.