The latest report from Eilers & Krejeck Gaming (EKG) indicates that new players are primed to disrupt the online gaming industry. The report examines the potential impact of companies like Fanatics and Jackpocket, who have recently entered the iGaming market. These newcomers are set to rival established players such as BetMGM, DraftKings, and FanDuel, catering to the casual bettor.
Jackpocket, known for its online lottery roots, has launched its internet casino offering in New Jersey, while Fanatics, a sports merchandise powerhouse, has ventured into the iGaming platform in West Virginia. Despite the Jackpocket Casino app being labeled as closer to the minimum viable product, EKG acknowledges its potential, emphasizing the importance of user-friendly applications in the competitive iGaming space.
The report also points out that iGaming is currently legal in only six states, leaving ample room for industry growth. There is optimism that 2024 might see positive legislative developments in more states, creating a larger playing field that could favor upstarts like Fanatics and Jackpocket.
EKG highlights the crucial role of mobile application quality in the US iGaming market, which is relatively homogeneous from a technological standpoint. The research firm predicts that while market leaders will enhance their product advantages, smaller brands can still make a significant impact. Analysts and operators are enthusiastic about the outlook for internet casinos, as the extended runway for state-level legalization bodes well for the industry.
However, not all industry giants are seamlessly transitioning into the iGaming realm. Penn Entertainment, despite the success of its ESPN Bet sports wagering mobile app, faces challenges with its new Hollywood Casino offering. EKG advises caution in interpreting early results and notes that innovative technologies and superior mobile applications will be key factors in determining which players can capitalize on the vast opportunities presented by the evolving industry.