Despite the fact Ontario’s regulator does not release operator numbers, BetMGM reportedly is the leading online gambling platform in the province.
According to recent estimates by Eilers & Krejcik Gaming, the BetMGM holds the throne as Ontario’s leading operator with a 20% share of the combined Ontario online casino and sports betting market.
The news was featured in Wednesday’s EKG Line newsletter, and validated similar claims made by BetMGM CEO Adam Greenblatt last year.
Back in December, Greenblatt said the company held a 22% market share during a routine business update presentation.
“We weren’t surprised by our performance in Ontario,” Greenblatt said. “We see Ontario as a multiproduct jurisdiction really benefitting from the strength of our offering.”
Some six months later the estimate holds firm, as BetMGM reportedly has the biggest slice of the Ontario online gambling revenue pie despite competition from more than 50 operators.
What BetMGM’s revenue totals look like at 20% market share
Since last winter’s estimation, two crucial variables have changed.
For starters, we now know that BetMGM’s market share is closer to 20% than 22%. Next, we also have a second set of numbers to draw from, as iGaming Ontario reported that total online gambling revenue for the 2023-24 fiscal year (Apr. 1, 2023 – Mar. 31, 2024) was $2.4 billion.
So, at 20% market share, BetMGM’s revenue total for FY 2023-24 was around $480 million. Reminder, the $2.4 billion does not include figures from the Ontario Lottery and Gaming Corporation, which aren’t publicly available yet.
However, if BetMGM’s 20% share does already include OLG figures, its overall revenue total will increase significantly.
For comparison’s sake, let’s see how the most recent fiscal year’s totals stack up against the previous annum.
In FY 2022-23, otherwise known as the Ontario market’s first full year of operation, total gaming revenue (sans OLG) reached $1.4 billion. By that metric, BetMGM generated $280 million in revenue at 20% market share.
When the OLG’s $561 million in digital gaming revenue is included, the overall total for FY 2022-23 climbs to $1.961 billion. Therefore, if BetMGM accounted for one-fifth of the pot, it would have tallied some $392.2 million in revenue.
Of course, the EKG rate is still an estimate, and gambling authorities round off their numbers, so the figures aren’t exact. However, this represents the closest snapshot into an operator’s data since the Ontario market launched in April 2022.
Four avenues responsible for BetMGM’s success in Ontario
What drove BetMGM to the top spot amongst Ontario’s 52 live operators? Greenblatt listed four indicators, in particular:
- The overall strength of the BetMGM brand in Canada
- An effective Android product — greater presence of Android phones across Ontario
- Notable brand ambassadors such as Connor McDavid, Jamie Foxx, and Wayne Gretzky
- An investment-forward approach out of the gate
The third and fourth points, specifically, stand out given the evolving nature of Ontario’s advertising regulations. On Feb. 28, 2024, the Alcohol and Gaming Corporation of Ontario’s new rules went into effect.
With them, operators can still feature athletes and celebrities if those famous folks are promoting responsible gambling in Canada.
This pseudo-loophole is important because it allowed BetMGM to keep megastar Connor McDavid on as a brand ambassador. As a result, the Edmonton Oilers captain was still able to appear in responsible gambling-centred advertising.
The initial thought was no operator would fork over the kind of change necessary to keep an athlete like McDavid if he can’t actively promote the platform he’s being paid to promote.
BetMGM has since decided against that theory and the move is seemingly paying dividends, even if it’s toeing the line left by the vagaries of the AGCO’s new regulations.
