Indiana Sportsbooks Launch into New Year with $170 Million January, According to PlayIndiana.com Analysts

"Indiana has built an impressive infrastructure that continues to maximize the market's potential," said Dustin Gouker, lead analyst for PlayIndiana.com. "That should help keep the state a step ahead of its competition as neighboring states, such Michigan, prepare for their own launches."

Indiana's $170.8 million handle in January was up 9.5% from the then-record $161.8 million in December, according to official reporting released Monday. Adjusted gross revenue from those bets was $12.9 million, up 9.3% from $12 million. That yielded $1.2 million in tax revenue for the state.

Interest in basketball was a catalyst in January, which also featured the NFL Playoffs and college football's national championship game. Basketball boomed with $59.8 million in bets, or 35% of the state's handle. Football drew $36.7 million.

Online sportsbooks generated $123.4 million in bets in January. Online betting represented 72.2% of January's handle, up from 69.5% in December. And more growth should come. PointsBet, BetIndiana, and BetMGM are all set for a February launch, bringing Indiana's number of approved online sportsbook licensees to seven.

Indiana's embrace of online betting, its near-monopoly of the Midwest, and close proximity to major out-of-state markets such as Chicago, have helped Indiana quickly position itself as the fourth-largest legal sports betting market in the U.S.

"Indiana has been remarkably progressive in the way it has managed its sports betting industry, rivaling New Jersey as the most forward-thinking legal jurisdiction," Gouker said. "Early adoption of online betting, which has been atypical among states with legal sports betting, has been an enormous boost. And innovations such as allowing prop bets for the Super Bowl and opening the door to Oscars betting show Indiana is willing to take risks in opening new markets, which will serve the state well."

The newcomers have a long way to catch market leader DraftKings, which operates under Ameristar Casino's license. DraftKings posted a $66 million handle in January, down slightly from $66.7 million in December. That generated $4.6 million in gross receipts, down from $5 million. But FanDuel/Blue Chip Casino inched closer with a $49.5 million handle in January, up from $36 million.

Horseshoe Hammond's proximity to Chicago continued to be a winner, leading the retail market with a $13.7 million January handle, up from $13.4 million in December. Those bets generated $1.8 million in gross receipts, up from $1.1 million.

"Proximity to Chicago is still a critical advantage in the retail market, but that could change when Illinois launches retail betting, which could happen as early as March," Gouker said. "FanDuel has made progress in the online market, but it can't quite overcome DraftKings' head start. But with new operators coming, the online market could be shaken up, too."