Sports betting could provide $2.3bn boost for the NFL
New AGA study points out potential windfall from sponsorships and increased fan engagement
The NFL could see a $2.3bn boost to annual revenues from legalized sports betting, according to a new study from the American Gaming Association (AGA).
The research, carried out by Nielsen, analyzed potential new revenue streams for the NFL, including operator sponsorships and increased consumption of the league’s media and merchandise.
According to Nielsen, greater fan engagement could boost revenue from media rights, sponsorships, merchandise and ticket sales by 13%, producing $1.75bn in new revenue.
The league could generate another $573m annually from spending by betting operators and data providers, including $451m in direct operator advertising, $92m in sponsorships and $30m in data fees.
The NBA, for example, already inked a multi-million dollar deal with MGM and GVC for official data feeds and branding rights.
“Legal, regulated sports betting will create huge new revenue opportunities for sports leagues – and the NFL could be the biggest winner of all,” said Sara Slane, senior vice president of public affairs for the American Gaming Association.
“Once legal sports betting expands across the country, the NFL could take in more than $2bn a year, reinforcing how much sports leagues stand to gain from increased viewership and private partnerships with sports betting operators.”
The NFL has thus far stayed relatively quiet on the expansion of betting, although it allowed its players to take casino comps up to $250.
Interesting tidbit regarding the @NFL and gambling… forever and ever amen it was against #NFL rules for players to accept any comps whatsoever from casinos. New gambling policy video just came out and now players are allowed to accept casino comps as long as its under $250
— Joe Thomas (@joethomas73) September 3, 2018
Nielsen surveyed more than 1,000 adult sports fans for the study.