What Kind Of Success Can We Expect From Ohio Sports Betting

They say good things come to those who wait. If that’s the case, Ohio sports betting is going to be a smashing success. HB 29, the state’s sports betting legislation, was signed into law by Gov. Mike DeWine on December 22, 2021. After some early optimism that sports betting could launch early, the start date was ultimately pushed back to the deadline of January 1, 2023.

What kind of success can we expect from Ohio sports betting? Let’s look at some states that have had legal sports up and running for some time.

Louisiana

Similar to when betting will launch in Ohio, online sports betting in Louisiana launched late into football season on January 28, 2022. Retail betting launched three months earlier towards the end of October 2021. For the first full month of both retail and online wagers, Louisiana bettors placed over $238 million in bets in February 2022. This generated more than $2.4 million in tax revenue for the state.

It is not unreasonable to expect Ohio to crush Louisiana’s February total, as the Buckeye State more than doubles up the Pelican State in population. Ohio also has six professional teams to Louisiana’s two. Ohio could potentially have 20 online sportsbooks available at launch and even more retail options, which would trump the six mobile and 13 retail sportsbooks Louisiana had at the time.

Illinois

It’s difficult to compare Illinois’ opening sports betting numbers for two reasons. First, retail betting began in March 2020, right at the beginning of the coronavirus pandemic. Second, when online sports betting launched in June 2020, Illinois bettors were required to register for online sportsbooks in person at a retail location. That mandate wasn’t actually lifted until March 5, 2022. Unsurprisingly, Illinois set a state record for total wagers with more than $970 million for the month.

The population and professional sports teams comparisons are much closer for Illinois and Ohio than for Louisiana and Ohio. Looking at the reports available, Illinois has totaled more than $13.6 billion in wagers and over $159 million in tax revenue.

Another edge Ohio will have over Illinois is with college betting. Wagering on in-state college teams in Illinois is not allowed. Instead, Illinois residents are only permitted to place pre-live bets on in-state teams if they visit a retail sportsbook. Ohio currently does not have any restrictions when it comes to college betting.

Michigan

Ohio’s neighbors suffered a similar fate to that of Illinois, launching retail betting in March 2020. Online sports betting wasn’t available to Michigan residents until late January 2021. In February 2021, Michiganders placed more than $325 million in total wagers, with nearly 93% of that coming via online sportsbooks.

The highest monthly handle Michigan has seen was in January 2022 when $532 million in bets were placed across the state. Since its launch, Michigan has totaled north of $6.5 billion in wagers and more than $16.6 million in tax revenue for the state.

There’s no reason to believe Ohio’s wagering totals won’t be closer to what Illinois has experienced as compared to Michigan, meaning more monthly revenue for Ohio despite both states taxing operators at 10%.

No matter how you cut it, Ohio is going to be a successful sports betting state. The number of betting options available to Ohioans combined with the pervasive sports culture throughout the state makes it impossible to fail.