SuperBook Sports Latest Casualty in US Sports Betting Biz

Posted on: July 19, 2024, 09:02h. 

Last updated on: July 19, 2024, 09:02h.

Todd Shriber @etfgodfather Read More
Expertise: Financial, Gaming Business, Mergers and Acquisitions.

SuperBook Sports, the sports wagering unit Westgate Resorts, said Friday it is leaving the online sports betting business outside of Nevada.

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Bettors at the Westgate SuperBook in Las Vegas. The operator is the mobile sports betting industry outside of Nevada. (Image: Getty)

In a post on X, formerly Twitter, the gaming company said that as of 8 pm Eastern time today, bettors with SuperBook mobile wagering accounts in eight states will no longer be able to place sports bets. Those patrons are free to withdraw their funds immediately.

We regret to inform you that SuperBook Sports will no longer be accepting wagers, deposits or new accounts in Colorado, New Jersey, Arizona, Tennessee, Ohio, Iowa, Maryland and Virginia effective July 19, 2024 at 8:00pm ET,” according to the social media post.

The SuperBook Nevada mobile betting app will remain operational and the famed SuperBook sportsbook at the Westgate Las Vegas Resort & Casino will remain open. The post didn’t mention the fate of the SuperBook retail location at The Lodge Casino in Black Hawk, Colo.

With SuperBook Out, Another One Bites the Dust

SuperBook Sports is the latest online sportsbook operator to throw in the towel in the US and the news arrived less than two weeks after Super Group (NYSE: SGHC), the parent company of Betway, made the same announcement.

With addition of SuperBook, the US sports wagering graveyard is populated by at least 10 companies and that doesn’t include operators such as PointsBet US and William Hill, which were acquired. Another recent addition to that list is SaharaBets Sportsbook, which said last week it was ceasing its internet sports betting operations in Arizona.

SuperBook Sports’ struggles to capture to adequate market share are a familiar refrain in the industry — one increasingly dominated by DraftKings and FanDuel. In report published earlier this week, JMP Securities estimated that in the second quarter, those two operators combined for 74.5% of US sports wagering handle. BetMGM was third at a scant 7%.

That underscores the point that even gaming companies with strong brand recognition are finding it difficult (and expensive) to compete with the pair of aforementioned behemoths.

SuperBook Brand Didn’t Catch On Outside of Vegas

For many locals and visitors to Las Vegas, the SuperBook at the Westgate is viewed as a staple on the Sin City sports wagering scene. The sportsbook there has been operational for more than 35 years and at over 35,000 square feet, is one of the largest venues of its kind in the world.

The SuperContest and winner-take-all SuperContest Gold are among the most popular annual football wagering contests and Jay Kornegay and John Murray are two of the biggest names in the business. Kornegay makes frequent media appearances and SuperBook odds are widely cited in sports media circles confirming that the SuperBook brand is recognized by those in the know in the sports betting space.

Even with those credentials, the operator wasn’t able to adequately compete with the two big names in the domestic online sports wagering industry.