Advisers
Learn
Newsletter
Offers
Podcast
About
  Back
~
2
min read
· Posted on
February 21, 2024

PointsBet goes on the Shaq-attack to own the US betting market but it's not quite a slam dunk... yet

The move over to the US has cost PointsBet a pretty penny, but it's not backing out from its strategy anytime soon.

What's the key learning?

  • The move over to the US has cost PointsBet a lot, having made a loss of over $267 million over the last financial year
  • Pointsbet is adamant that all the spending for the licensing costs, setup costs, and major marketing costs is needed
  • Goldman Sachs reckons the size of the US sports betting market will rise to $US39 billion by 2033

👉 Background: PointsBet is an Aussie betting company that was launched back in February 2017. While it originally made a play for the Aussie betting market, it ducked over to the US pretty shortly after.

👉 What happened: The move over to the US has cost PointsBet a pretty penny. In fact, over the last financial year, PointsBet made a loss of over $267 million.

👉 What else: But PointsBet is adamant that all this spending needs to be done in order to win in a new, significant market.

What's the key learning?

💡Legalising a previously deregulated industry is like drawing moths to a flame. And it's a pretty sizey market.

💡Goldman Sachs reckons the size of the US sports betting market will rise to $US39 billion by 2033. So it's no surprise that more than 40 betting companies have taken the bait to compete in the US market.

💡But it ain't cheap - you've got the licensing costs, the setup costs AND of course the major marketing costs (*cough* Shaq). So now PointsBet is hoping it can withstand the pressure.

Ready to win at money?

Sign up for Flux and join 100,000 members of the Flux family

Sign Up
A button to App StoreGoogle Play store button
Excellent  4.9 out of 5
Star rating
© 2024 Flux Technologies Pty Ltd and Flux Media Pty Ltd
All rights reserved.
Explore
HomeLearnPodcastAboutNewsletterFlux at WorkAdvisers
Offers
Home LoansSavings AccountsBank AccountsShare TradingCar LoansCredit Cards
Support
CareersContact usPrivacy PolicyTerms of Use
Disclaimer: Flux Technologies Pty Ltd (ABN 86 634 507 172) is an authorised representative (Representative No. 1283166) of Mozo Pty Ltd who is the holder of AFSL No. 328141. We also provide general advice on credit products under our own Australian Credit Licence No. 530103. The product information presented does not constitute an offer and we are not recommending or suggesting any particular product. Any product advice presented is of a general nature only, and is not to be taken as any sort of advice as it has not taken into account your personal circumstances, objectives, financial situation or needs. Flux may not cover all products available to you. Check out our Credit Guide and Financial Services Guide for more information.

All information contained in the Flux app, www.flux.finance, www.joinflux.com, app.flux.finance and any podcast of Flux Media Pty Ltd (ABN 27 639 804 345) is for education and entertainment purposes only. It is not intended as a substitute for professional financial, legal or tax advice. Flux Media Pty Ltd is the owner of the registered trade mark, 'What the Flux'. While we do our best to provide accurate information on the podcast, we accept no responsibility for any inaccuracies that may be communicated.
No items found.