Fanatics Sportsbook will be Connecticut’s third retail and online sports betting operator. Beginning in mid-December, the Connecticut Lottery Corporation (CLC) partner will compete with DraftKings and Mohegan Sun, powered by FanDuel tech.
That means Fanatics Sportsbook will be competing against the top revenue-generating sportsbooks in the nation. That’s notable for many reasons.
Perhaps the primary item is that the Connecticut lottery sportsbook will debut months after Fanatics Holdings‘ purchase of the US businesses of PointsBet Holdings Limited. That $225 million sale became final in August.
Second, Fanatics is entering a market Rush Street Interactive (RSI) chose to leave in March. RSI (Rush Street Interactive 10,07 +0,70%) had been the CLC’s sports betting partner. However, it left just two years into a 10-year deal.
Also, the sportsbooks coupled with the Mashantucket Pequot and the Mohegan tribes can offer online casino gambling in Connecticut. They’ve been able to do so since the marketplace launched on Oct. 19, 2021. In October 2023, Connecticut online casinos generated $36.5 million in gross gaming revenue (GGR).
The tribal casinos also offer retail sportsbooks at their gaming facilities:
- Foxwoods Resort Casino in Ledyard
- Mohegan Sun in Uncasville
The state’s tribal gaming compact gives it exclusivity over Connecticut online casino gambling. So Fanatics Casino won’t be able to launch in the Nutmeg State under the CLC agreement.
However, if that ever becomes possible, Fanatics does have that capability. On Nov. 16, Fanatics launched its first US online casino app in West Virginia.
Also, DraftKings is lowering its marketing spend in mature markets. Plus, DraftKings Casino gamblers in Connecticut saw 84% less spending on promotions in January 2023.
Connecticut Lottery Sportsbook Outlook
In its Dec. 1 announcement about the CLC partnership with Fanatics Sportsbook, Fanatics Betting and Gaming (FBG) was unabashedly optimistic about becoming “the CLC’s exclusive sports betting provider for mobile and retail channels.”
Fanatics Sportsbook is an FBG brand. FBG is a subsidiary of Fanatics Holdings.
A representative of the newly crowned Connecticut lottery sportsbook had plenty to say about the upcoming Connecticut launch.
FBG CBO Ari Borod is quoted in the Dec. 1 announcement:
We are excited to be working with the CLC to bring the Fanatics Sportsbook to customers in Connecticut. We are looking forward to bringing the Fanatics experience to the ten retail locations throughout Connecticut and more importantly, adding our innovative mobile app to the online choices available in Connecticut.
In the press release, CLC President and CEO Greg Smith alluded to FBG’s parent company. Fanatics is a sports merchandise etailer.
Smith said:
Fanatics is the only true sports brand in the gaming space and has established itself as an innovator in the industry. We have been impressed with the Fanatics team, their aggressive entry into the US sports betting market, and we are excited to see how they redefine the sports betting customer experience here in Connecticut. CLC anticipates notable market share growth as a result of this partnership.
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