Last updated on March 5th, 2024 at 07:19 am
It has been 6 years since sports betting became legal in the U.S. and Sportsbooks are thriving. In addition, the sports betting industry keeps expanding every year and is showing no sign of letting up. Therefore, many gambling experts believe it is a good idea to Start a Sportsbook in 2024.
According to the latest statistics, the U.S. sports betting handle was around $130 billion in 2023. In addition, 73.5 million American where betting on the NFL which makes up 19% of the adult U.S. population. While 2023 was a record-breaking year for the sports wagering industry, experts believe this is just the beginning.
Why 2024 is the Year to Open a Sportsbook –Betting Industry Stats and Predictions
Over the last 5 years, US sportsbook have made about $220 billion in revenue from sports betting alone. The majority of sports wagers made are between $10 to $25. However, 30% of US players are placing bets of $50 or more while 10% of those are above $250.
While it is true that the number of bettors is increasing every year, so is the amount of money they are risking.
According to sports gambling projections, the U.S. sports betting market was $7.5 billion in 2022. This is 75 percent higher than what it was in 2021. Thus, gambling analysts expect the U.S. Sports Betting market to reach $40 billion by 2030. In addition, more states like North Carolina and Florida now have legal sports betting and more are to come in 2024.
If that was not enough reasons to Open a sportsbook, the global sports betting market will be even bigger. In 2022, the global sports betting market was worth $83.65 billion. According to Grand View Research, we can expect a 10.3% CAGR (Compound Annual Growth Rate) from 2023 thru 2030.
Most Popular Sports to Bet on in the US
Interestingly enough, the most popular sports to bet on the in the US is not Football. Instead, basketball is the most popular sport to bet on with 53% of bettors betting on it. Shockingly enough, 51% of gamblers bet on soccer while 46% of bettors bet on football.
As to baseball, America’s National Pastime comes in fourth place with 22% of gamblers betting on it. In fifth place is tennis at 21% with horse betting at 20%, golf at 17%, and hockey at 11%.
On the other hand, most sportsbook profits come from betting on the NFL and College football. This is why bookies are always looking forward to the football season and is seen as the high season.
How to Start a Sportsbook in 2024
Therea are several ways to open a sportsbook and the difficulty level of it will depend on how you proceed. To make it easier on future sportsbook owners, we have broken down the methods to open a sportsbook.
Building a Sportsbook from the Ground-Up
This is by far the toughest method as it means exactly that. It means creating and buying a sportsbook software and sports betting platform which usually cost between $250,000 to $500,000.
In addition, it also involves creating the sportsbook infrastructure. If you decide on an online sportsbook, it is much simpler. This is because you do not to worry about having a physical sports betting venue. However, the costs are still high as you still have to hire a lines manager, customer service staff, server and much more.
The advantage of it is that you control everything and can handle a large number of players. If you intend on running a large sportsbook, in the end the expenses will be worth it in the end. On the other hand, it is expensive and need a certain number of players before you can break even.
Opening a Sportsbook with a White Label Solution
A White label sportsbook is similar to a franchise except that you can rebrand it as your own. One of the main advantages of it is that it comes with a betting license, betting platform and payment processing. However, the costs is high ranging from $20,000 to $70,000. Furthermore, you also have to pay around 40% of your revenue to the white label company.
Opening a Sportsbook with a Pay Per Head Solution
The last option is the sportsbook pay per head method which is the easiest and cheapest method. In simple terms, a PPH is a turnkey solution that lets you create a sportsbook in a matter of minutes. Furthermore, with a Pay Per Head, the cost is very low in comparison to what you get. This is because a good PPH provides bookies with sports betting, live betting, casino, live casino and racebook platforms.
Furthermore, it comes complete with management tools and report to easily manage your players and business.
The Pay Per Head cost with PricePerPlayer.com is only $5 or less per active players each week. Needless to say, this is a great deal as it also includes customer service for players along with lines management.
Open a Sportsbook with PricePerPlayer.com for $5 or Less Per Player
Call us at 1-866-500-4934 or email us at [email protected] for more details
Here is an informational video with more details on how to open a sportsbook