It’s safe to assume the biggest names in sports betting will eventually call Kentucky home, including DraftKings.
DraftKings Kentucky, should it acquire a license, has a chance to cement itself as one of, if not the top betting options.
The Kentucky sports betting market differs from most other states because it offers a younger legal sports betting age than most states. Additionally, it boasts one of the most rabid sports fanbases in the country despite having no major professional sports teams.
With a fanbase geared toward collegiate athletics and a younger legal betting age, DraftKings could be a major player here.
DraftKings will offer 18+ bettors in Kentucky (probably)
Last month, PlayKentucky asked DraftKings if it would allow 18-year-old customers to wager.
DraftKings responded by saying that it is “committed to following the age restrictions set forth by each individual jurisdiction.”
In other words: Yes, it will.
Because DraftKings is already live in two other markets with 18+ betting: New Hampshire and Wyoming. And it offers 18+ betting in both those markets. So there’s no reason to believe it would change for Kentucky residents.
DraftKings market share in other 18+ states
There’s no competition in New Hampshire’s market, as DraftKings is the lone sportsbook offered to customers. It is the lottery’s official online sports betting partner.
But in Wyoming, DraftKings has competition with competitors BetMGM, FanDuel and Caesars. DraftKings, however, boasted 58.6% of the total handle in May. That’s an incredible number, even if it’s in a state like Wyoming.
The next closest sportsbook was BetMGM with 28.8%. PointsBet and Barstool will launch this year in Wyoming, too, so it will be interesting to see how (if at all) they affect DraftKings’ dominance within the state.
Sportsbook customer loyalty could play a large role
Sports gamblers love their sportsbooks.
Typically, they’ll have accounts with more than one sportsbook, especially when states first launch their industries. It’s expected, as customers want to feel out the industry and find their favorites.
But the favorites quickly cement themseves within the market. And it’s the big four of DraftKings, FanDuel, Caesars and BetMGM that are the usual suspects.
“In general, Americans are loyal to the brands they love,” Boom Sports CEO Stephen Murphy told Legal Sports Report back in 2021. “Companies like FanDuel, DraftKings and Barstool have spent the greater part of the last decade building relationships with their customers and earning that loyalty.”
In that same interview, Murphy pointed out that timing plays a role, too.
DraftKings, should it choose to acquire a Kentucky sports betting license, could find itself in a great position as an early name.
“Late entrants can still win meaningful market share. But operators need to beging to establish that relationship sooner rather than later.”
A shift toward a younger demographic bodes well for DraftKings Kentucky
One study found that more sports betting in the U.S. is a popular option among college-age customers. A betting study from the NCAA found that 60% of college students (age 18-22) bet on sports. 35% of those students said they bet a few times a year — not just once.
Additionally, a study from Ipsos found that 39% of all bettors in the country are under 35.
That shift in age, combined with DraftKings’ success in the Wyoming market, provides enough evidence to hint at success in the Bluegrass State.
But that success could even come from the state’s top sportsbook.
Kentucky could be a similar market to Wyoming but on a much grander scale. There are no major professional sports teams that call both states home. Both states do, however, border states with popular pro teams.
Kentucky, though, has a much higher population. In 2021, that mark came out to 4.51 million people. Contrastly, Wyoming’s population was 578,803 in 2021 — the least-populated state in the country, according to recent census data.
If you’re an 18-year-old sports bettor in Kentucky, your first taste in the legal gambling world will likely be with DraftKings. Caesars Kentucky Sportsbook, the only operator to secure a partnership in Kentucky, will only offer 21+ gambling. FanDuel Sportsbook KY and BetMGM Kentucky Sportsbook will likely follow suit, meaning DraftKings could be the main player offering 18+ wagers in Kentucky.
There’s a real chance DraftKings won’t have competition for bettors ages 18-20 in Kentucky. And with how loyal sportsbook customers can be, the operator could find newfound success in a state itching to launch.
