Where sports betting used to be illegal across the United States, it has now become mandated and regulated in 21 states after an old Supreme Court precedent was overruled in May 2018. Several other states have sports betting legislation pending, intending to tap into a billion-dollar market that would add much-needed tax revenue to coffers that need replenishing.
How will tribal casinos incorporate sports betting into their offerings now that it is legal?
A tribal casino history
The establishment and opening of tribal casinos followed the Indian Reservation Gaming Act, which allowed Native American tribes to commence casino operations. The idea behind it was to create a way for tribes to generate revenue to spend on much-needed infrastructure projects, including roads, schools, healthcare facilities, and community centers, and plow money into local economies, creating jobs in areas with high unemployment rates. Dozens of tribal casinos have opened across America and have become popular among residents and visitors alike.
Many tribal casinos have embraced online gambling in the handful of states that have legalized it. The Great Lakes State is the most recent, and gamblers can now place bets on a Michigan online sportsbook.
Collaborate or go it alone?
This question is one that many tribal casinos have considered as they introduced sportsbooks to their offerings. The consensus is that collaborating with existing sportsbook operators allows casinos to launch this aspect of their business quickly. Collaborating with a partner with an established, reputable track record immediately gives the sportsbook legitimacy, making bettors more inclined to use it.
Like all trading platforms, sports betting requires a great deal of infrastructure and technology. Attempting this as individual casinos seems futile when current operators are happy to form mutually beneficial partnerships.
The way forward
Some tribal casinos have found success using the business-to-customer (B2C) model, allowing the sportsbook operator direct access to customers using its own brand. Others opt for a business-to-business (B2B) model where the casino continues with brand-building activities to attract customers to use the sportsbook operator.
Either way, tribal casinos looking to make money online explore partnership options that provide a smooth transition into the digital casino and sports betting age. Established sports betting operators’ proven technology and customer service track record make them an attractive option for tribal casinos wanting to sink their teeth into the betting business without delay.