Illinois Sports Betting Market Expands as Hard Rock Bet Launches Before NFL Season

More than a year after receiving their sports betting license, Hard Rock Bet announced Monday that they are launching a mobile sportsbook in Illinois. Additionally, they will have the grand opening of the Rockford Casino on Thursday. Now, Illinois residents have eight mobile sports betting apps to choose from. This is the first mobile launch since Circa Sports in September 2023. It was almost a full calendar year between mobile sportsbooks launching in the Land of Lincoln. When Illinois sports betting is thriving, it can compete with New York and New Jersey to become the largest market in the United States. Since Illinois Sportsbooks launched in March 2020, their $3.96 billion handle is the third-largest in the post-PASPA era. In 2023, total sports betting revenue was over $1 billion in Illinois. Hard Rock Digital CEO Marlon Goldstein had this to say.

“We’re thrilled to be delivering the unique Hard Rock Bet mobile experience to players throughout Illinois on our award-winning app and in-person at the new sportsbook at the amazing Hard Rock Casino Rockford.” – said Goldstein.

How will Hard Rock Bet compete with sportsbooks that have already been successful?

Hard Rock Bet is entering the sports betting market in Illinois for the second half of 2024, just ahead of the 2024 NFL season kicking off. The state’s $6.6 billion wagered through the first six months of 2024 is up 25.9% compared to their figures from 2023. Along with the handle, Illinois saw $605.9 million in adjusted gross revenue. That was up 22.5% compared to 2023. If Hard Rock Bet wants to be successful in Illinois, they’ll need to carve out a space in parlay and same-game parlay offerings. FanDuel and DraftKings are the clear-cut leaders in holding percentages for parlays and same-game parlays. During the first six months of 2024, Illinois residents wagered more than $1.8 billion worth of multi-leg bets. Parlay revenue has accounted for 59% of all operator revenue through the first six months of 2024. That’s thanks to a massive 19.6% hold.

Is the new tax rate in Illinois going to affect Hard Rock Bet?

Illinois Governor J.B. Pritzker changed the state’s flat tax rate for sports betting to 15% and made it a progressive tax. This system is based on revenue thresholds, and the largest tax would be 40%. The state’s progressive tax on sports betting has been in effect since July 1, when the new fiscal year started. Industry leaders like FanDuel and DraftKings would be the operators who are hit with the 40% tax rate.