PointsBet launches iGaming platform in Michigan
PointsBet has launched their very first iGaming platform this week, and for residents who live in the state of Michigan and who wish to play their online casino games, the digital door is now open to the PointsBet platform.
In January of 2021, PointsBet and their sports betting partner, the Lac Vieux Desert Tribe, were granted approval by the Michigan Gaming Control Board to launch as an online sportsbook.
This week’s launch of their new iGaming platform will not only complement their sports wagering platform but will allow PointsBet to improve their customer acquisition and customer retention while also allowing them to cross-sell products to their customer base and better compete in a very competitive online gambling space.
The Australian-based company, with US headquarters in Denver, doesn’t plan on stopping at just Michigan. Next month, PointsBet is looking to launch their proprietary iGaming platform in the state of New Jersey, and it is expected the roll-out will continue after that into other states as well.
Currently, PointsBet has the approval to operate as a sportsbook in Illinois, Iowa, Indiana, Colorado as well as New Jersey and Michigan.
Keeping things in-house
PointsBet is as much of a technology company as they are a sports betting and iGaming company. Their proprietary iGaming platform was built in-house by their own tech team. By owning their technology and building it all in-house, PointsBet has previously preached the benefits of being able to scale efficiently and quickly, giving them a competitive edge over those who still outsource their tech.
In March of 2021, PointsBet announced that it was purchasing Banach Technology in a $43m acquisition deal. Banach Technology is a B2B software company with a focus on sports betting platforms.
The purchase of Banach Technology will provide PointsBet with multiple benefits, including a focus on in-game wagering technology. It is believed that almost 50% of bets being made on sports games are in-game micro bets, and some in the industry believe that in a few years, as many as 75% of the wagers made will be in-game micro bets.
By purchasing a company like Banach Technology, PointsBet has set themselves up to provide their customer base a great user experience moving forward.
Who is PointsBet?
PointsBet was founded in 2015 and launched their first sports betting product, PointsBetting, in Australia in 2017.
PointsBet launched in the US in January of 2019 and are currently operational in six states with plans to expand all across the US as markets open up.
In August of 2020, PointsBet formed a five-year partnership with NBC Sports. The deal was referred to by many as a transformational deal and is valued at over $500m. At the time of the partnership announcement, PointsBet was considered a small player in the American iGaming industry.
Since the NBC Sports deal was formed, PointsBet grew to capture 13.5% of the lucrative New Jersey sports betting market in Q4 of 2020. It is being reported the 13.5% increase is up from a 5.9% market share from the same time period, one year earlier. Overall, PointsBet saw a 200% increase in users of their platform in New Jersey, totaling just under 70,000 users in Q4.
With their aggressive approach, the partnerships they already have in place, and their focus on owning their technology PointsBet is setting themselves up to be a major player in the US sports gambling space as legalization across the states continues to roll out.