MGM CEO Bill Hornbuckle told investors that BetMGM holds a 23% share of the combined US iGaming and sports betting market

BetMGM Hopes To Be Able To Offer Its Online Casino Product To New Yorkers Soon

BetMGM Sportsbook hasn’t yet taken its first bet in New York, but one of the company leaders is already talking about having an online casino presence there some day.

“We dominate in iGaming,” noted Bill Hornbuckle, president and CEO of MGM Resorts International.

He spoke yesterday during the Q3 MGM earnings call about the Empire State future of BetMGM, which is the online casino and sports betting joint venture between MGM and Entain.

Hornbuckle explained that MGM operates as an omnichannel brand and, although everyone’s excited about what the New York Post described on Nov. 2 as an expected pre-Super Bowl launch for online sports betting in the state, he noted that BetMGM’s US online gambling strength is in online casino. BetMGM is No. 1 in the nation in iGaming, with 32% of the market share, he said.

Plus, Hornbuckle said, all of the other elements are expected to be in place for MGM’s omnichannel brand strategy for a possible New York BetMGM Casino.

That strategy in New York includes offline, online and database channels.

BetMGM Sportsbook will be in New York soon

Empire City Casino in Yonkers provides MGM with a retail casino presence in the state. BetMGM New York will launch on the day the market opens and New York “is the largest market we will launch in to-date with M Life database,” according to Hornbuckle.

M Life Rewards is the BetMGM and MGM Resorts loyalty program, which provides treats to members in return for their app play and casino visits. It also contains customer data that enables brand and product marketing.

The MGM CEO provided insight into the BetMGM plans for New York yesterday during the MGM earnings call:

“Again, for us, it’s an omnichannel play. It’s a brand play. And we’re going to have a huge presence there. And hopefully someday, we get to online, iCasino. But that’s something for well down the road.”

BetMGM Casino is already available in:

  • Michigan
  • New Jersey
  • Pennsylvania
  • West Virginia

BetMGM is a national market leader

BetMGM’s share of the US iGaming and sports betting market was 23% during Q3 2021, Hornbuckle said.

During that same quarter, BetMGM Sportsbook launched in:

  • Arizona
  • South Dakota
  • Wyoming

Hornbuckle said BetMGM is live in 16 markets, on its way to 20 locations by Q1 2022. He expects its full-year 2021 net revenue to exceed $800 million.

“We’ll be there Day 1, which is also critical,” Hornbuckle said of New York. “So I think we’ll get off to a great start.”

BetMGM is focusing on stability, employing “ROI-positive” marketing spend, he said.

Hornbuckle laughed while responding to a tax rate question from Thomas Allen, a managing director of equity research at Morgan Stanley.

“I can assure you we weren’t one of the 62% crowd,” Hornbuckle said.

BetMGM will likely be paying New York a tax rate more akin to 50%, he predicted. “I think that’s what we’re all contemplating,” he said.

Hornbuckle concluded:

“BetMGM is here to stay. It’ll be a dominant player in the space.”

- Heather Fletcher is the lead writer with OnlinePokerReport. She's a career journalist, with bylines in The New York Times, Adweek and other publications. Reach her at [email protected]
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