BetMGM, Gannett Unveil Long-Term Partnership

Posted on: September 17, 2024, 12:22h. 

Last updated on: September 17, 2024, 02:16h.

Todd Shriber @etfgodfather Read More
Expertise: Financial, Gaming Business, Mergers and Acquisitions.

BetMGM said it reached a long-term agreement with USA Today publisher Gannett under which the gaming company will be the official online sportsbook operator of USA Today Sports.

Michigan iGaming sports betting online casino
Actor Jamie Foxx appears on a BetMGM billboard. The operator announced an agreement with Gannett. (Image: Detroit News)

Financial terms of the accord weren’t disclosed. BetMGM’s data and odds will be published across the USA Today network, which includes more than 300 online news sites spanning over 200 markets in 43 states. That’s more than the 38 (and Washington, DC) that currently permit some form of sports wagering.

The agreement incorporates BetMGM sports betting odds into stories and content sharing betting odds, moneylines, spreads and over/unders for games as well as a BetMGM “Bet Now” feature. BetMGM Sportsbook and BetMGM Casino will be listed as a partner on website footers across all USA TODAY Network publications,” according to a statement.

The arrangement with Gannett expands BetMGM’s media footprint. Earlier this year, the gaming company became the official odds provider for the Associated Press and inked a partnership with social media platform X (formerly Twitter).

BetMGM, Gannett Deal Arrives in Time for Football Season

News of the pact between BetMGM and Gannett arrived just after the conclusion of the second week of the 2024 NFL season, indicating the companies have ample time to leverage the new partnership to capitalize on the most-wagered on sport in the US.

The announcement was also delivered amid signs that BetMGM is accruing some momentum early this football season. In a new report, Jefferies analyst James Wheatcroft estimated that BetMGM’s handle during Week One of the NFL campaign surged 54% year over year in New York. He said the operator’s revenue jumped 24% during that week.

It remains to be seen if the Gannett deal is additive to BetMGM’s market share, but there’s optimism the agreement will bear fruit for both companies.

“We believe BetMGM complements our existing portfolio of partners and will enable us to drive further audience growth and engagement,” said Gannett CEO Michael Reed in the press release. “We anticipate this collaboration will immediately lead to an increase in the overall monetization of our content platform.”

Football Betting Could Top Expectations

Before the start of the season, the American Gaming Association (AGA) estimated US bettors would wager $35 billion on the NFL this year with regulated sportsbook operators. Just two weeks into the campaign, that forecast was already upped by one analyst.

In a note to clients on Tuesday, Macquarie analyst Chad Beynon forecast that North American operators will generate $37 billion in NFL bets this season, representing 34% year-over-year growth.

“Based on our proprietary hold model, we calculate NFL market hold of 16% for the week of Sept 9–15, above our long-term average of 9%. We estimate total sports betting market hold of 12% for the week of Sept 9–15, assuming NFL hold of 16% and 9% hold for other sports,” observed Beynon. “New York reported sports betting hold of 7% for the week of Sept 2-8, below the long-term average of 9% and directionally in line with our estimate of 8%. Handle grew 14% YoY vs the same week last year.”