The speed of payments is crucial in the gambling industry, but it can also increase the risk of fraud. While DraftKings paid out $2.68 million to one bettor who made a hefty wager on the Chiefs’ victory, the sportsbook still enjoyed big wins for the big game. Additionally, customers who churn are more likely to be casual, and retained customers tend to be more frequent players.” They also tend to naturally grow their discretionary entertainment budget as they age and their income increases.

“Customers are trying new bet types, new sports and new games. “When a customer has stayed with us, that customer’s level of play has typically increased due to more frequent engagement and higher average bet size,” Park told investors. Per its newly released fourth quarter 2022 results, DraftKings ended the year with 2.6 million monthly users, a 31% increase compared to the year prior. The dynamic is such that we have seen the biggest churn in the first year, and then once a customer stays with us for a year they are very likely to stay with us for multiple years.” “Over a 4-year period from customer acquisition, our average annual retention rate has been 87%. “We have retained our customers very well,” said Park. Read More: DraftKings Bets on Instant Payments to Drive Growth of Sports Betting Nearly one in five (19%) of American adults bet on sports in the past year. “We see many years of innovation that will drive growth in our consumer wallet share,” added Robins.įootball fans bet a record $16 billion on Super Bowl LVII, the first to be held in a state where sports gambling is legal.Ĭompany executives noted that compared to the Super Bowl, while the recent World Cup was “great,” it only represented a “low single digits percentage of revenue.”

start with the customer, find the product that the customer wants and ideally construct those products in a way that benefits those customers and also creates attractive economics for the company.” “It helps with retention as it keeps getting stronger. “Customers love the parlay product,” DraftKing’s Chief Financial Officer Jason Park said on the call. That’s according to the sports betting company’s latest earnings call, where DraftKings’ Chief Executive Officer and Co-founder Jason Robins told investors that his gambling platform continues to find “big wins” on the product front. 1 most downloaded sportsbook during Super Bowl LVII.

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