The NFL to gain US$2.3 billion from sports betting
The American Gaming Association revealed that the top American football league is set to be widely benefited by betting.
US.- The National Football League’s (NFL) annual revenue may increase by US$2.3 billion a year due to widely available, legal, regulated sports betting, according to a new Nielsen Sports study commissioned by the American Gaming Association (AGA).
The study analyses the revenue streams that legal sports betting could generate for the NFL – revenue as a result of spending from betting operators on advertising, data and sponsorship, and revenue generated as a result of increased consumption of the league’s media and purchasing of products.
According to Nielsen Sports, greater fan engagement and viewership could boost the NFL’s total annual revenue from media rights, sponsorships, merchandise and ticket sales by 13.4%, producing US$1.75 billion in new revenue from increased consumption of the league’s products.
Legal sports betting could help the NFL generate an additional US$573 million in revenue as a result of spending by betting operators and data providers. The study projects that gaming operators may spend US$451 million on advertising, which will directly increase the league’s rights fees by the same amount. An additional US$92 million in sponsorship revenue and US$30 million in data is also projected for the league and its teams.
“Legal, regulated sports betting will create huge new revenue opportunities for sports leagues – and the NFL could be the biggest winner of all,” said Sara Slane, senior vice president of public affairs for the American Gaming Association. “Once legal sports betting expands across the country, the NFL could take in more than $2 billion a year, reinforcing how much sports leagues stand to gain from increased viewership and private partnerships with sports betting operators.”
To quantify the value of a legal sports betting market to the NFL, Nielsen Sports surveyed more than 1,000 adult sports fans – including NFL fans – and self-identified sports bettors nationwide to model how a national, legal sports betting market would affect the sports consumption habits of non-bettors, casual bettors and avid bettors, and how this change in consumption would translate to increased revenue.
