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South Dakota may be new to the sports betting industry, but as a whole, its gaming revenue is up over 3% from the previous year.
According to data from the Deadwood Gaming Association, the total gaming handle sits at over $134 million, up 3.21% from the same period last year.
As for tax revenue, in March, the state collected $1.2 million in gaming tax revenue.
South Dakota gambling is up but sports betting is down
Unfortunately, those anticipating big numbers from South Dakota sports betting will be surprised to learn the industry is down more than 5%.
In February, SD lawmakers decided not to move forward with legislation to legalize online sports betting. Such a move could be a reason why betting numbers are down.
However, despite sports betting being down, Mike Rodman, executive director of the Deadwood gaming association, said the state is still on pace for a record year. Speaking with Black Hills FOX, Rodman, said:
“March numbers were up, and that puts at almost two percent up for the year over last year, which was very close to a record year. And so right now we’re on pace to have a record gaming year if the trend continues.”
South Dakota March 2023 gaming numbers YTD
- Slot machines: $333,006,363 (up 1.94%)
- Table games: $21,314,940 (up 1.06%)
- Sports betting: $2,551,352 (up 2.21%)
- Total handle: $356,872,656 (up 1.89%)
South Dakota per person gambling revenue is higher than in Nevada
One of the more interesting takeaways is the annual revenue generated per person in Mount Rushmore State.
According to Forbes, in 2021, Nevada generated $13.4 billion in gambling with a population of over 3 million. As a result, the annual revenue per person was around $2.35.
By comparison, South Dakota recorded $1.5 million from gambling in 2021, with a population of less than 900,000. Using the same formula, the annual revenue per person in South Dakota was $5.96.
“That’s a surprising statistic to me, and I think that’s probably based on both Deadwood and Nevada being tourism destinations,” said Rodman. “I think it’s more of a correlation between the number of outside of South Dakota visitors that come in than anything else.”
