The 19th NJ Sportsbook Is Here, But Can It Compete In A Crowded Market?

Tipico Sportsbook’s arrival in the NJ market means having 20 sports betting apps in the state before 2020 ends is much more likely.

There is something slightly different regarding NJ sports betting.

For those who haven’t noticed it, the Garden State now has 19 sports betting apps, as Tipico Sportsbook is in its soft-launch period.

Do we hear 20 NJ sportsbook apps?

The scenario is certainly a realistic possibility for 2020.

Tipico, operating via a land-based partnership with Ocean Casino Resort, started its soft launch as mandated by the New Jersey Division of Gaming Enforcement (DGE) last week. The full launch is expected soon.

And it seems Tipico is excited about having skin in the game.

Tipico a late arrival to NJ sports betting

Since launching in August 2018, the NJ mobile sports betting market has expanded at a rapid rate. A total of nine apps launched during those first five months. The options have more than doubled in size, with some rebranding along the way.

But 2020 as a whole has been relatively quiet in terms of new apps. Wynn Sports is the only other newcomer following its early August launch.

Meanwhile, market leaders FanDuel Sportsbook and DraftKings Sportsbook are in their third season of NFL betting. Looking at September NJ sports betting revenue, the two brands are clearly leading the pack.

Meadowlands Racetrack (FanDuel and PointsBet NJ) claimed a 63% market shareResorts Digital (DraftKings, Fox Bet and Resorts) finished an extremely distant second with a 12% slice of the pie.

Ocean Casino, on the other hand, and its partner William Hill, came in at a tad below 6%.

Gaining traction this late in the game and eight weeks into the NFL season presents its share of challenges.

At the same time, launching in New Jersey makes perfect sense for any mobile operator looking to get a piece of US legal sports betting.

For one, it’s hard to ignore the $750 million in bets that NJ reported for September. This is the highest total ever reported by a US jurisdiction, Nevada included. And 90% of those wagers came via NJ sportsbook apps.

After Tipico received DGE approval last month, Adrian Vella, managing director, US business, commented on why New Jersey makes sense.

“At Tipico, we knew that New Jersey would be the perfect state for us to kick-start our business in the US because of its sophisticated mobile sports betting audience and mature regulatory and licensing environment,” said Vella.

“With an incredible pool of local talent in the New York metro area, we’re thrilled to establish our headquarters in Hoboken and continue expanding our team. We’ve dedicated significant time and energy to build a long-term foundation for the US market, and today marks an important milestone in that journey for Tipico.”

Who in the world is Tipico Sportsbook?

The key to the Tipico team is introducing its brand to New Jersey customers.

Bettors who are doing NFL odds shopping may not take Tipico into consideration, since it’s an unknown entity.

European-based Tipico, which was founded in 2004, is Germany’s leading sports betting provider. So it’s no surprise that the operator is offering Bundesliga (the top German soccer league) odds.

Here is a list of the American sports available via the app:

  • MLB
  • NFL 
  • NCAA Football 
  • Soccer
  • Tennis

Judging by the Tipico Twitter feed, the operator is trying to introduce itself to NFL bettors.

Closing in on 20 NJ sportsbook apps

Tipico is the newest app to the NJ market, but more are coming.

Each license holder can have up to three online skins. And in the case of Ocean, there is room for one more.

Then there is Freehold Raceway, which launched its business in September. There is no doubt mobile apps will be launching under its license in the very near future. This is the most likely path for Barstool Sportsbook’s NJ launch.

And once Twin River Worldwide Holdings completes the purchase of Bally’s AC, expect to see three more apps there.

So having 20 NJ sportsbook apps by the end of 2020 is now considered what bettors refer to as a “lock.”

Setting the over/under line for NJ sportsbook apps at 25 suddenly looks like a realistic possibility for 2021.

PHOTO BY ASSOCIATED PRESS 

Tipico Tiptoes Its Way Into New Jersey With Sports Betting, Online Casino Plans

Via a partnership with Ocean Casino, Tipico will soon be an online casino and sports betting product in New Jersey, but its plans are still in flux.

Another European online gambling brand has set up operations in North America. And once again, New Jersey is the preferred market for its emergence. Tipico US will soon be an online casino and sports betting choice for NJ residents and visitors.

Although a timeline for its sportsbook-casino app is still unknown, Tipico wants to have its sportsbook up and running this fall.

That may depend on circumstances beyond its control, however.

The details on Tipico and its NJ sportsbook launch

Tipico has secured market access through a partnership with Ocean Casino Resort. For now, its primary focus is getting its NJ online sports betting platform to market.

Tipico is the most popular sportsbook in Germany. Its retail footprint in that country is large, with more than 1,200 brick-and-mortar sports betting shops.

In the US, however, the focus is all online.

William Hill operates Ocean’s physical sportsbook, but that’s a small part of the overall pie in NJ. Nearly 83% of handle in the state in 2019 came via online wagers.

The operator agreement between Ocean and Tipico is still under review from the NJ Division of Gaming Enforcement. Assuming everything goes according to plan, Tipico wants to time its NJ online launch to sync with the beginning of the 2020 NFL season.

The details on the launch of Tipico’s online casino vertical are fuzzier. The company has recently made a move to prepare itself, however.

Tipico plans for an NJ online casino, too

While the German giant runs its sportsbook on its own software, it doesn’t have an online casino product of its own.

Instead of building out a platform from scratch, Tipico has taken advantage of someone else’s expertise.

Scientific Games is a gambling platform provider for several US brands, such as multiple state lotteries and US sportsbooks like Betfred.

Its OpenGaming platform is a well-known entity in NJ, too, operating the Caesars Casino & Sports app.

Reports have a Tipico online casino under Ocean’s license also coming to NJ this fall, but neither company has yet confirmed that.

In any case, a Tipico online casino and sportsbook would follow in the footsteps of other online brands in NJ. The dual power of both a sports betting site and a complementary casino app can be seen in DraftKings.

DraftKings Sportsbook started with just a sportsbook back in 2018 but has since added a multitude of online slots, table games and exclusive games to its new DK online casino. The result is higher revenues.

Circumstances, however, may make the online casino the more successful product later this year.

The fragile situation surrounding the NFL

The state of professional sports amid the COVID-19 pandemic is still tentative. That applies to NJ-based teams as much as anyone else.

As a matter of fact, NJ Gov. Phil Murphy has already dictated that the New York Giants and Jets won’t be able to play in front of spectators until further notice. That’s if they do actually play home games as normal.

NFL franchises recently began mandatory team activities. With that came required coronavirus testing. The first round of tests that teams conducted produced 59 positive results.

Should that number climb as team activities intensify, it could result in cancelations if not postponements of regular-season contests. The NFL has reportedly canceled its entire preseason schedule.

If the 2020-21 NFL season is limited or does not take place at all, that will, obviously, alter Tipico’s NJ sportsbook launch plans.

Instead of offering registration bonuses on NFL game lines in September, it might delay the launch or focus its initial marketing on sporting events taking place elsewhere, such as the MLB and NBA. Both of those sports seasons will still be in action come September.

But another alternative is to invest its resources into promoting its NJ online casino product instead. If there are is no NFL betting this fall, that might be an obvious choice.