As the Summer Olympics in Paris approach, betting operators are gearing up for an anticipated surge in activity. This will be the first Summer Olympics since the pandemic, attracting millions of bettors worldwide.
With many new states having launched legal betting since the last edition of the games, operators are expecting record-breaking participation. Max Bichsel, EVP of North America at Gambling.com, noted that this year, gambling and the Olympics will finally converge.
“Beach volleyball in the foreground of the Eiffel Tower and Equestrian in the Gardens at Versailles will undoubtedly be the most spectacular venues in recent years.”
— Max Bichsel, EVP NA, Gambling.com
Reflecting the UK’s optimism, US operators are eager to capitalize on the Olympics, aiming to maximize profits before the new seasons of regular leagues commence.
Jordan Bender, an analyst at Citizens JMP, told CNBC that the Summer Olympics will attract hardcore gamblers who wager on various sports, highlighting the potential for substantial revenue.
The American Gaming Association pointed out that more Americans than ever will be able to legally bet on the Summer Olympics. During the Tokyo Olympics, 97 million adults had access to legal betting. With more states now offering regulated betting markets, this figure has risen to approximately 164 million.
Smaller companies to benefit most
For the largest gambling companies like DraftKings and FanDuel, the seasonal spike in bets is less significant. FanDuel, which controls a significant share of the US betting market, confirmed that it does not expect the Olympics to have a noticeable impact on its results.
However, smaller operators stand to gain the most from the increased activity. Some states’ regulatory systems may limit operators to offering bets on medal competitions only, which could affect the range of available wagers.
Additionally, the time difference for the Tokyo Olympics led to decreased viewership, a challenge that might persist this year despite the games being held in Paris, which is only six hours ahead of the US East Coast.
Despite these concerns, experts remain confident that the Olympics will have a positive impact on the betting sector, especially given the scarcity of major sporting events during the summer months. The patriotic element of the games is also expected to drive significant betting activity.
