The online casino industry is one of the most lucrative entertainment industries on the planet. Thanks to the internet, we can not only bet online on event such as the presidential elections, we can also play on exciting sports games. Perhaps the only thing that comes close to it in terms of reach and popularity in the United States is sport. Therefore, it is fitting that these two institutions of American culture have strengthened their bonds significantly in recent years. Whether it be in the NBA, NFL or MLB, more and more of the best online casinos are striking up partnerships with some of the US’s biggest sporting franchises, much to the delight of both parties.
This truly is a sports wide phenomenon. In the basketball world, the Philadelphia 76s have a deal with Caesars Entertainment which includes cross-party promotion on social media as well as prominent advertising hoardings in the Wells Fargo Centre. It’s a similar story for football with the NFL permitting their franchises to sign sponsorship deals with bookmakers and casino operators back in 2018. The Dallas Cowboys are among several teams to take advantage of this, currently enjoying a sponsorship deal with Oklahoma based Winstar Casino.
So, what explains the growth in casino operators wanting to tie up deals with American sports franchises?
First and foremost, the deals are massively advantageous to the casino companies. The sports market is massive and can provide a significant amount of exposure for their brand. Multi-billion-dollar television deals can broadcast their company name to a truly worldwide audience. This is a highly effective way to increase brand awareness and attract new customers to their sites – making many sponsorship deals profitable in the long run. In this way, partnering up for sports franchises makes perfect sense from a marketing standpoint.
Partnering with well-known US sports franchises also gives casino operators a degree of legitimacy. Historic sporting institutions such as the New England Patriots, LA Lakers or New York Yankees remain highly respected and beloved across the world. By associating their casino with these well-regarded brands, operators are trying to relieve some of the stigma that still exists around iGaming and casinos in general.
The deals also make sense from a sports franchise perspective. NBA and NFL teams in particular are able to demand huge fees from sponsorship thanks to their reach and popularity. They also have to charge this because of their long list of outgoings. An average NBA team’s annual salary bill is around $120,000,000 and that’s before all of their other costs have been factored in.
Because of these hefty prices, a significant amount of American companies has no chance of being able to secure a sponsorship deal. One of the few industries that can afford such figures is the casino industry. This means that by a process of elimination, casino operators are often the companies that end up securing sponsorship.
In summary then, the reasons for the explosion in casino operators tying up deals with American sports franchises are twofold. While sponsorship makes sense for the casinos from a marketing perspective, the franchises themselves also have a lot to gain from the increasingly common partnerships.