Michigan iGaming Revenue Hits Record High for Months in A Row
By Space Coast Daily // July 12, 2021
After a long wait, Michigan finally rolled out its online sports betting and gambling on January 22, 2021. Michigan’s iGaming sector completed its 4th solid month of business in May 2021. The month was good news to iGaming in Michigan because it was the fourth month of consistent increase in revenue to the Michigan online casinos.
The average monthly revenue in Michigan has stood at $89 million and it’s projected to surpass $1 billion by December 2021.
More revenue to Michigan State
The January 2021 rollout was good news to gamblers who were waiting for Play Gun Lake to go live and a large number of Michigan residents began betting immediately. The Michigan online casino operators were thankful to the large number of bettors who showed their support to iGaming in the state.
In total, the State of Michigan collected a whopping $18.7 million in tax income from online gaming. The bulk of this sum stemmed from online betting. Since online gambling was launched in Michigan in January, the state has collected a total of $72 in tax income.
Sports betting handle versus revenue
Handle represents all bets placed at online sportsbooks in a single month, while revenue is the total revenue the sportsbooks win. The total handle received from mobile apps betting was $237.5 million. This is the total received from online sportsbooks wagering handle in May 2021.
The summer fun didn’t disappoint in terms of online sports betting because sports betting apps made $9.8 million in May 2021 only.
A further benefit to local government and institutions
There are now almost no restrictions for people going out in Michigan and this means they can go to work and find income opportunities. Some of that income is used in online betting and the income earned by the online casinos benefits many institutions.
The city of Detroit prepares a budget each year and casinos contribute 17 percent to the budget. Another portion of income earned from online gaming goes to support Detroit’s local government.
It is not just the local government that benefits, but other institutions like schools, charitable organizations, and hospitals also profit from the revenues collected. This is proving on how important the iGaming industry is to Michigan’s economy.
The NCAA Tournament effect
The NCAA Tournament was played in March 2021, slightly about two months after online betting rolled out in Michigan. The tournament was a game-changer in Michigan online betting because sportsbooks betting recorded stunning results.
Online handle reached $359 million and this accounts for a 19 percent increase from February. In terms of lifetime betting, Michigan is now nearing the $1 billion target and this is a highly impressive performance.
