Pennsylvania Fantasy Sports

Net gaming revenue in daily fantasy sports in January 2021 was $2.9 million. Consecutively, that is a dip on the previous month and quite a decline from the season peak of September 2020.

However, revenue always dips in the months outside the NFL season. Year-over-year, figures are very impressive—the market is up some 41% on January 2020, one of the best annual gains in a while.

The reason for this appears to be down to DraftKings, which reported $1.68 million in revenue last month, big gains on $1.05 million a year ago. Its competitor FanDuel, on the other hand, increased revenue year-over-year only slightly, from $960,000 to $1.17 million.

While one reason for this could be the Superbowl, which took place in the first days of January rather than in late December, as was the case in previous seasons, operators did not take in more in entry fees.

In fact, DraftKings was roughly static, at $15.2 million; FanDuel took in a notch less, from $14.5 million down to $11 million.

It seems the main difference is that, a year ago, FanDuel ran a big promotion which temporarily pushed it above its competitor in terms of revenue, but which resulted in its own margins declining. It did not repeat the same this year.

Outside the big two, Yahoo stands out last month—it generated $56,200 in revenue, its best in history. It did this with a relatively healthy 6.4% gross win margin, about in line with previous months.