Famous as the ultimate sports apparel and Fan Gear Store, Fanatics currently has a strong presence in the sports merchandise and collectibles landscape. Still, for quite some time, the company has been preparing its entry into sports betting.
The first such effort involved Fanatics’ first retail sports betting location launch. The company’s retail betting services are currently live in one retail location at FedExField in Maryland. Yet, plans for a statewide expansion and entry into multiple sports betting jurisdictions across the United States remain a top priority for the company.
The debut of Fanatics’ online sports betting app has never been closer, considering that a new report by the Wall Street Journal reveals that the company plans to roll out its app in two US states. This launch is expected as early as next week and sports fans in Tennessee and Ohio may be the first ones to experience the new sports betting app.
Back in December, Fanatics raised $700 million in capital after an investment round. As a result, it was valued at $31 billion. This reaffirmed Fanatics’ potential and undoubtedly gave the company confidence that it can enter the competitive sports betting race.
The Company Is Prepared to Face the Competition
Now, considering the planned launch, the company will be up against established industry giants including BetMGM, FanDuel as well as DraftKings. The aforementioned trio currently holds approximately 80% of the sports betting market in the country. But Fanatics enters the sports betting market with a competitive advantage. This is Fanatics’ “FanCash” customer loyalty program.
Coinciding with the launch in Tennessee and Ohio, the company may introduce its innovative loyalty program, SportsHandle suggests. The unique program is expected to drive customer retention and engagement by allowing sports bettors to access merchandise and other perks by exchanging FanCash. Undoubtedly this is one competitive advantage the company may have in the race with its competitors.
The announcement comes after recently, Fanatics’ CEO, Michael Rubin, hinted that the company anticipates expansion to 12 or even 15 US states. At the time, he explained that the Fanatics’ sportsbook app may be live in 12 or 15 US states by the start of the 2023 football season. Fanatics’ plan for a statewide expansion within the betting vertical comes as no surprise, considering the strong presence of its sports collectibles and merchandise businesses.