TL;DR
The biggest U.S. sportsbooks — DraftKings and FanDuel — each spend $1.2–1.3 billion per year on sales and marketing. Total U.S. category TV spend runs around $666M annually, but ad units are down 17% year-over-year as operators shift from land-grab acquisition to unit-economics discipline. Marketing spend is not one number: it stacks paid media, bonuses and promos, affiliate commissions, sponsorships, and CRM retention — and the affiliate channel remains the least publicly reported despite being among the most performance-accountable. This post breaks down each layer with the most current fact-checked data available.
Sportsbooks spend aggressively on growth, but “marketing spend” is not one number. It is a stack: paid media (TV and digital), promotions and bonuses, affiliate commissions, sponsorship and media partnerships, and CRM retention. This post breaks down what we can fact-check with the latest full-year data and shows how to benchmark spend realistically against operators your size and market position.
Understanding how sports betting providers allocate their marketing budgets is not just interesting — for operators building or scaling their own programs, it is a strategic benchmarking exercise. The numbers below come from audited SEC filings, Nielsen Ad Intel data commissioned by the American Gaming Association, and industry reporting. Where figures are estimates rather than filed disclosures, that is noted explicitly.
When it comes to attracting new users, sportsbooks spare no expense. They invest heavily across TV, digital, and radio advertising. TV advertising among the top players historically monopolized at least 82% of market share in every U.S. state where they operate — though that dominance is shifting as digital and performance channels mature.
As the industry evolves, sportsbooks are becoming more cost-conscious. The era of spending $1 billion to capture a new state and worry about ROI later has ended. What replaced it is a more disciplined model: tighter targeting, better retention economics, and a growing appreciation for performance channels — including affiliate — that tie spend directly to verified depositing players.
How Much Do Sportsbooks Actually Spend on Marketing? (2025–2026 Estimates)
Here is a general breakdown of estimated annual marketing spend for major operators. Note: these are blended estimates combining advertised figures, earnings disclosures, and industry reporting — not all-in audited marketing spend. See the audited operator benchmarks section below for the most defensible numbers.
| Sportsbook / Betting Company | Estimated Annual Marketing Spend | Breakdown |
|---|---|---|
| Bet365 | $450M – $550M | TV & Radio (50%), Online Advertising (25%), Sponsorships (15%), Promotions & Bonuses (10%) |
| DraftKings | $500M – $600M | Online Advertising (40%), TV (30%), Partnerships (15%), Bonuses & Incentives (15%) |
| FanDuel | $400M – $500M | TV (35%), Online (30%), Sponsorships & Partnerships (20%), Bonuses (15%) |
| William Hill | $200M – $300M | TV & Radio (45%), Online (25%), Sponsorships (20%), Bonuses (10%) |
| Betfair | $100M – $200M | Online (40%), TV & Radio (30%), Sponsorships & Events (20%), Bonuses (10%) |
| 888Sport | $50M – $100M | Online (50%), TV & Radio (25%), Events & Sponsorships (15%), Promotions (10%) |
| Unibet | $60M – $120M | Online (35%), TV (30%), Sponsorships (20%), Promotions & Bonuses (15%) |
| Paddy Power | $90M – $180M | TV & Radio (40%), Online (30%), Sponsorships (20%), Bonuses (10%) |
| BetMGM | $150M – $250M | Online (35%), TV (30%), Partnerships (20%), Promotions & Bonuses (15%) |
| Barstool Sportsbook | $70M – $140M | Online Content (40%), Promotions & Bonuses (30%), TV & Radio (20%), Events (10%) |
Looking at specific reported figures from recent years:
- FanDuel: FanDuel continues to dominate, with Flutter’s U.S. segment reporting $1.278 billion in sales and marketing for 2024 — representing 22% of U.S. segment revenue. In the period when it captured 40% of the U.S. market share, their focus was on television, digital ads, and sponsorship deals, generating a 1.2x return on user acquisition costs (Scaleo, Business2Community).
- DraftKings: DraftKings reported $1.2649 billion in sales and marketing expenses for 2024 — 26.5% of revenue. They have shifted toward more digital and programmatic ad strategies but maintain significant investments in traditional TV. They hold around 42% of the mobile betting market in New York (Business2Community).
- BetMGM: BetMGM spends approximately $300 million annually, with heavy concentration on TV, digital, and partnerships with major sports leagues. A notable portion goes toward in-venue marketing at stadiums (Scaleo).
- Caesars: After launching with a massive $1 billion marketing push, Caesars Sportsbook dialed back considerably, reporting $231 million specifically in advertising costs in 2024 — a narrower line item than total S&M (Scaleo). Their focus has shifted to digital channels and influencer partnerships.
- WynnBet: Wynn focuses primarily on social media and digital ads, with $25.6 million spent on streaming and social in 2024. They are leveraging targeted digital ads to acquire and retain users (Scaleo).
- FOX Bet: FOX Bet invested $24 million in advertising, mostly through television and radio. They are highly competitive in NFL game broadcasts (Business2Community).
- PointsBet: PointsBet ramped its U.S. marketing spend to $100 million, with a focus on digital ads and partnerships with sports influencers (Scaleo).
- Barstool Sportsbook: Leveraging Barstool’s massive social media presence, Barstool Sportsbook invested $50 million in digital and social marketing, targeting a highly engaged existing audience (Scaleo).
- Bet365: Bet365 is spending approximately $300 million globally, largely on global digital campaigns with a growing U.S. presence (Business2Community).
- BetRivers: BetRivers, with a more modest budget of approximately $75 million, focuses on localized TV and digital advertising to carve out a niche in U.S. regional markets (Business2Community).
| Criteria | Details / Statistics |
|---|---|
| Average Marketing Spend | Top sportsbooks spend between $50 million and $200 million annually on marketing alone; leading U.S. operators (DraftKings, FanDuel) exceed $1 billion in total S&M. |
| Cost Per Acquisition (CPA) | The average CPA for online sportsbooks ranges from $250 to $750, depending on competition and region. |
| Lifetime Value (LTV) of a Player | Estimated LTV for an average online sportsbook user ranges from $1,200 to $1,800 over 2–3 years. |
| Rise in Online Betting | Online sports betting has seen 40–50% year-over-year growth in some regions, driving increased marketing budgets. |
| Role of Bonuses & Promotions | Around 20–30% of marketing spend is attributable to promotional offers, bonuses, and incentives — higher in early-state launches. |
| Effectiveness of Advertising | Approximately 70% of new players cite advertising as the reason they joined. Roughly 25% of those become long-term users. |
| Projected Return on Marketing Spend | For every $1 million spent on marketing, the expected return is approximately $4 to $7 million over 2–3 years in established markets. |
| Market Saturation & Competition | In highly competitive markets, marketing spend can increase by 10–20% annually — especially at new-state launch periods. |
| Impact of Regulatory Changes | In regions introducing new regulations, marketing budgets can spike by 50% or more as sportsbooks compete for early market share. |
Historical Marketing Spend by Year (2018–2022)
The data below traces how individual operators built their marketing programs from the early post-PASPA legalization years through the peak land-grab period. It provides important context for understanding the current shift toward efficiency.
| Sportsbook | Year | Marketing Spend (USD) | Marketing Channel Focus | Market Share (%) | Additional Info | Source |
|---|---|---|---|---|---|---|
| FanDuel | 2022 | $1 billion | TV, Digital, Sponsorships | 40 | Largest U.S. sportsbook; 1.2x ROI on user acquisition costs. | Flutter |
| DraftKings | 2022 | $197.5 million | TV, Digital, Radio | 25 | Spent $197.5M in Q2 2022 alone. | Company |
| Caesars | 2022 | $1 billion | TV, Digital | 20 | Spent $1B on marketing in 2022; had to cut spending due to ROI issues. | Scaleo |
| BetMGM | 2022 | $300 million | TV, Digital, Sponsorships | 15 | Spent $75M in Q2 2022. | Scaleo |
| FOX Bet | 2021 | $24 million | TV, Radio | 10 | Spent heavily on TV ads during NFL games. | Forbes |
| WynnBet | 2022 | $25.6 million | Digital, Social Media | 5 | Spent primarily on social media and digital. | MarketingBrew |
| PointsBet | 2022 | $100 million | Digital, Sponsorships | 5 | Focused on acquiring U.S. customers. | Scaleo |
| Barstool Sportsbook | 2021 | $50 million | TV, Digital, Social | 7 | Relied heavily on Barstool’s existing media channels. | Scaleo |
| BetRivers | 2021 | $75 million | TV, Digital | 5 | Invested primarily in U.S. expansion marketing. | Scaleo |
| Bally Bet | 2021 | $60 million | TV, Digital | 3 | Spent big on traditional media for brand awareness. | Scaleo |
| 888 Holdings | 2022 | $150 million | TV, Digital | 8 | Marketing Brew | iGaming Business |
| Bet365 | 2022 | $300 million | Digital, TV | 12 | Known for massive digital ad campaigns. | iGaming Business |
| FanDuel | 2021 | $500 million | TV, Digital | 40 | Increased ad spend during NFL season. | Forbes |
| William Hill | 2022 | $150 million | TV, Digital | 5 | Focused on European markets with significant TV spending. | iGaming Business |
| DraftKings | 2021 | $500 million | TV, Digital, Radio | 20 | Spent heavily on national TV ads. | iSpot.tv |
| BetMGM | 2021 | $200 million | TV, Digital, Sponsorships | 15 | Spent heavily on partnerships with sports leagues. | iSpot.tv |
| WynnBet | 2021 | $50 million | Digital, Social Media | 3 | Invested primarily in digital ads and user acquisition. | Pathmatics |
| FanDuel | 2020 | $500 million | TV, Digital | 35 | Focused heavily on U.S. sports markets. | Pathmatics |
| DraftKings | 2020 | $300 million | TV, Digital, Radio | 20 | Spent $100 million on TV ads alone. | Forbes |
| Bet365 | 2021 | $400 million | Digital, TV | 10 | Focused heavily on digital ads. | iGaming Business |
| William Hill | 2021 | $200 million | TV, Digital | 6 | Focused on the U.K. market. | Forbes |
| Betway | 2021 | $50 million | Digital, TV | 5 | Focused on European market expansion. | iGaming Business |
| DraftKings | 2019 | $200 million | TV, Digital | 15 | Increased digital marketing ahead of new state legalizations. | Marketing Brew |
| FanDuel | 2019 | $250 million | TV, Digital | 30 | Spent heavily on user acquisition in new markets. | Marketing Brew |
| Caesars | 2019 | $300 million | TV, Digital | 10 | Focused heavily on mobile user acquisition. | iSpot.tv |
| BetMGM | 2020 | $100 million | Digital, Sponsorships | 8 | Concentrated on the U.S. market post-acquisition. | iSpot.tv |
| FOX Bet | 2019 | $75 million | TV, Radio | 5 | Partnered with the NBA and MLB for digital ads. | iSpot.tv |
| PointsBet | 2020 | $50 million | Digital, Sponsorships | 3 | Expanded marketing efforts in the U.S. | Pathmatics |
| Barstool Sportsbook | 2020 | $40 million | TV, Digital, Social | 4 | Used Barstool’s social media presence. | Pathmatics |
| BetRivers | 2020 | $30 million | TV, Digital | 3 | Focused on local advertising in key U.S. states. | Pathmatics |
| Bally Bet | 2020 | $20 million | TV, Digital | 2 | Spent on traditional media campaigns for launch. | iSpot.tv |
| William Hill | 2020 | $100 million | TV, Digital | 5 | Focused on national TV ads during the NFL season. | Forbes |
| Bet365 | 2019 | $150 million | Digital, TV | 8 | Expanded global digital advertising efforts. | iGaming Business |
| WynnBet | 2020 | $20 million | Digital, Social Media | 2 | Spent heavily on social media targeting younger users. | Marketing Brew |
| FanDuel | 2018 | $300 million | TV, Digital | 25 | Focused on mobile user acquisition in key states. | iSpot.tv |
| DraftKings | 2018 | $200 million | TV, Digital | 15 | Spent heavily on fantasy sports advertising. | iSpot.tv |
| Caesars | 2018 | $150 million | TV, Digital | 10 | Focused on sports betting and casino products. | iSpot.tv |
| BetMGM | 2018 | $100 million | Digital, Sponsorships | 8 | Focused on major U.S. sports leagues partnerships. | Pathmatics |
| FOX Bet | 2018 | $50 million | TV, Radio | 5 | Focused on new markets following U.S. legalization. | Forbes |
| PointsBet | 2018 | $30 million | Digital, Sponsorships | 3 | Focused on sports sponsorships in Australia and U.S. | Pathmatics |
| Barstool Sportsbook | 2018 | $20 million | TV, Digital, Social | 4 | Built on Barstool’s existing media presence. | Marketing Brew |
| BetRivers | 2018 | $15 million | TV, Digital | 2 | Invested heavily in the U.S. market post-acquisition. | Pathmatics |
| Bally Bet | 2018 | $10 million | TV, Digital | 2 | Spent on launch campaigns in key states. | iSpot.tv |
| William Hill | 2018 | $80 million | TV, Digital | 6 | Expanded heavily into U.K. markets. | Forbes |
| Bet365 | 2018 | $200 million | Digital, TV | 12 | Focused on global expansion. | iGaming Business |
| WynnBet | 2018 | $15 million | Digital, Social Media | 3 | Targeted younger users through social media. | Marketing Brew |
Most Recent Fact-Checked Snapshot (U.S., 2024–2025)
These figures come from a Nielsen Ad Intel study commissioned by the American Gaming Association (AGA) and industry reporting. They represent the most defensible TV-specific data available and reveal a market that has matured significantly from the 2021–2022 blitz period.
| Metric (U.S.) | 2024 Value | Why It Matters | Source |
|---|---|---|---|
| Sports betting share of total TV ad volume | 0.4% | Reality check vs. “it’s everywhere” narratives — the industry is louder culturally than its actual TV footprint suggests | Nielsen Ad Intel / AGA (TV ad volume) |
| Sports betting share of national TV ad spend | <1% (flat, second consecutive year) | Spend is not growing as a share of national TV — efficiency is replacing raw volume growth | Nielsen Ad Intel / AGA (TV ad spend) |
| TV ad units year-over-year | −17% | Fewer ads shown than 2023, even as budgets held flat — operators are being more selective about placements | Nielsen Ad Intel / AGA (TV ad units) |
| TV ad spend year-over-year | +1% | Pricing and inventory can rise even when ad count drops — the market is paying more for better placements | Nielsen Ad Intel / AGA (TV ad spend) |
| Estimated U.S. sports betting TV ad spend | ~$666M | The concrete “order of magnitude” for TV specifically in a mature market year | Industry reporting citing iSpot estimates |
| Ad clutter comparison (TV) | For every 1 sports betting ad: >4 telecom/wireless, 38 pharma | Reveals who actually dominates TV inventory — sports betting is visible in sports content but minor in total TV | Nielsen Ad Intel / AGA |
What “Sportsbook Marketing Spend” Actually Includes — The Full Stack
One reason benchmarking this category is difficult: “marketing spend” means different things in different earnings disclosures, analyst reports, and industry coverage. The table below maps each spend bucket so you can compare apples to apples when evaluating operator figures.
| Spend Bucket | What It Includes | Common Synonyms / Semantic Keywords | Where It Shows Up in Real Data |
|---|---|---|---|
| Paid media | TV, streaming, display, paid social, paid search, audio, out-of-home | advertising spend, media spend, TV ad spend, digital ad spend | Nielsen Ad Intel / iSpot / ad tracking firms (category and brand level) |
| Promotions & incentives | Bonus bets, deposit matches, odds boosts, retention offers | promo spend, bonus cost, promotional credits, reinvestment rate | Sometimes disclosed in earnings calls; often blended into cost lines |
| Affiliate & partner acquisition | RevShare/CPA deals, media partners, odds integration referrals | affiliate marketing, CPA, revshare, partner marketing, referral acquisition | Rarely itemized publicly; visible via affiliate ecosystem and partner announcements |
| Sponsorships & rights | Teams and leagues, stadium presence, broadcast integrations | sponsorship spend, naming rights, media partnerships, brand partnerships | Press releases and sometimes referenced in filings — not always one line item |
| CRM & lifecycle | Email/SMS, loyalty programs, personalization, retention nudges | retention marketing, CRM, lifecycle marketing, loyalty, player reactivation | Usually included inside “sales and marketing” or operating expense buckets |
| Compliance overlay | Age-gating, geo targeting, state-by-state restrictions, responsible gambling messaging | responsible gambling marketing, regulated advertising, compliant targeting | Policy-driven; not a spend bucket per se, but significantly changes channel mix and creative |
Publicly Reported Operator Benchmarks — Audited 2024 Figures
These are the most defensible numbers available because they come from SEC filings and official segment disclosures. Important caveat: “Sales and marketing” is broader than advertising alone — it typically includes staff compensation, promotional credit costs, partner fees, and more. Use these as benchmark ranges for total S&M intensity, not as pure “ad spend” proxies.
| Company | Geography / Scope | Metric | 2024 Amount | Marketing Intensity | Notes |
|---|---|---|---|---|---|
| DraftKings | Company-wide | Sales & marketing expense | $1.2649B | 26.5% of revenue | Includes more than advertising (standard S&M definition). Audited financial statement line item. |
| Flutter (FanDuel — U.S. segment) | U.S. segment | Sales & marketing expense | $1.278B | 22.0% of segment revenue | Segment disclosure: useful for FanDuel-led U.S. footprint benchmarking specifically. |
| Caesars | Company-wide | Advertising costs | $231M | N/A (narrower than full S&M) | “Advertising costs” expensed when the advertising runs — narrower than total S&M and more comparable to pure media spend. |
The Honest Summary: How Much Do Sportsbooks Spend on Marketing?
If you want a defensible answer, you give a range by spend layer — because no single number captures the full picture:
- TV advertising (U.S., 2024): approximately $666M in category spend on TV, with ad units down 17% but spend up 1% versus 2023. The trend is fewer, better-placed ads rather than saturation.
- All-in “Sales and Marketing” (operator-level, 2024): for the top U.S. operators, audited benchmarks land around $1.2B–$1.3B per year for the largest players (DraftKings company-wide; Flutter U.S. segment). This is all-in S&M, not just advertising.
- Promotions and bonuses: can rival or exceed paid media in early-state launches or during peak sports seasons, but are not consistently disclosed as a standalone line item. Treat promo intensity as state and season dependent rather than as a fixed budget line.
- Affiliate and partnerships: often the least transparent publicly — rarely broken out in filings — but strategically significant because it converts brand awareness into measurable depositing players with verified, performance-tied economics.
Why the Strategy Shifted After the Land-Grab Era
The early legalization years (2018–2022) rewarded “share of voice at any cost.” Operators spent freely on TV, bonuses, and sponsorships to secure market position before competitors could establish a foothold. Caesars spent $1 billion to launch. DraftKings and FanDuel each crossed $500 million in annual marketing at peak. The goal was eyeballs and first deposits — profitability was secondary.
Mature years reward unit economics. Better hold percentages, smarter promo reinvestment, tighter targeting, fewer wasted impressions, and heavier investment in CRM and retention. The data supports this transition: ad volume can drop 17% while spend stays flat — because pricing per impression rises and operators are selecting for better inventory rather than maximum coverage. The biggest operators now report S&M as a disciplined percentage of revenue (22–26.5%) rather than an open-ended acquisition budget.
For operators building programs in 2026, this shift has a direct implication: the affiliate channel — which was underweighted in the land-grab era because operators wanted brand blitz over performance accountability — is gaining relative importance as operators prioritize verified depositors over raw impression volume. A performance channel that only pays on confirmed FTDs has a fundamentally better cost structure in a mature market than a TV campaign that reaches millions of impressions and attributes a fraction of resulting deposits.
Channel Mix: What Each Channel Is Actually Good For
| Channel | Best For | Typical KPI | Common Pitfalls |
|---|---|---|---|
| TV + streaming | Fast brand scale, big-event surges (NFL, playoffs, March Madness) | Share of voice, reach, branded search lift | Expensive CPMs, weak incrementality if not measured rigorously |
| Paid search | High-intent capture — people already comparing sportsbooks | CAC/CPA, FTD rate, payback period | Auction inflation in mature markets, brand cannibalization risk |
| Paid social | Reactivation, lookalike audiences, promo-driven campaigns | ROAS, CAC, retention cohorts | Promo-driven bonus hunters, compliance constraints by state |
| Affiliates | Performance acquisition with trackable, verifiable outcomes | Effective CPA, LTV/CAC, net gaming revenue per acquisition | Attribution conflicts without S2S tracking, fraud risk without behavioral scoring controls |
| Sponsorships | Trust transfer, long-tail brand presence, contextual relevance | Brand lift, direct traffic, sign-ups attributed to partner inventory | Hard attribution without disciplined measurement framework |
| CRM retention | Protecting profitability — keeping good players longer | Churn rate, ARPU, repeat deposit rate, NGR per active player | Overbonusing high-churn segments, weak behavioral segmentation |
Frequently Asked Questions
How much do sportsbooks spend on marketing per year?
The largest U.S. sportsbooks — DraftKings and FanDuel — each report approximately $1.2–1.3 billion in total sales and marketing annually based on 2024 audited filings. This includes advertising, promotional credits, partner fees, and CRM costs — not just paid media. Pure TV advertising for the U.S. sports betting category runs approximately $666 million annually as a total category figure. Smaller operators sit in the $50–300 million range depending on their market footprint and competitive position.
What is the average cost per acquisition (CPA) for a sports betting player?
The average CPA for online sportsbooks ranges from $250 to $750, with significant variation by market competitiveness and acquisition channel. Mature, competitive markets like New York or New Jersey sit at the high end. Newer or less competitive markets can see CPAs below $250. Affiliate-acquired players typically carry a more favorable long-term NGR profile than players acquired through general digital advertising, which partially justifies higher affiliate CPA rates — you are paying for verified depositors rather than impressions.
Why did sportsbook marketing spend drop after 2022?
The 2021–2022 peak marketing period coincided with the land-grab phase of U.S. sports betting legalization, when operators prioritized market share at any cost. Caesars and DraftKings each crossed $1 billion in marketing in 2022. As market positions stabilized and investor expectations shifted toward profitability, operators dramatically cut back on spend-for-volume strategies. Caesars specifically cut its marketing budget by more than 75% after its initial launch blitz. The industry moved from maximizing awareness to optimizing unit economics — lower marketing intensity as a percentage of revenue, with better hold percentages and stronger CRM retention replacing raw acquisition volume.
How much of sportsbook marketing spend goes to affiliates?
Affiliate and partner acquisition costs are almost never disclosed as a standalone line item in operator filings — they are absorbed into broader “sales and marketing” or “partner fees” categories. Industry estimates suggest affiliates account for 10–20% of total acquisition spend at operators who run structured affiliate programs, though this varies significantly by operator strategy. As performance accountability becomes more central to marketing strategy in 2025–2026, affiliate spend is growing as a share of the mix — because it ties cost directly to verified depositing players rather than reach metrics.
What is the return on marketing investment for sportsbooks?
Industry benchmarks suggest that for every $1 million spent on marketing in an established market, the expected return over a 2–3 year player lifetime is approximately $4–7 million — a 4x–7x return on spend. This return depends heavily on player LTV (estimated at $1,200–$1,800 for an average sportsbook user over 2–3 years), the CPA paid to acquire them, and the retention rate beyond the first deposit. New-state launches carry much lower initial ROI due to high acquisition costs and uncertain retention, which explains the disciplined pullback in marketing intensity as markets mature.
Every major online betting company now operates a structured marketing function — and the performance data supports continued investment when spend is allocated across channels with clear attribution. The strategy has shifted from mass acquisition to disciplined unit economics. The operators who win in 2026 are those who measure marketing spend at the channel level, attribute FTDs reliably, and weight their mix toward channels where the cost per verified depositing player is lowest relative to that player’s lifetime value.
The affiliate channel is increasingly central to that equation — performance acquisition where you pay only on confirmed FTDs, with NGR data available to verify the quality of what you paid for.
See how Scaleo powers performance-attributed affiliate programs for sportsbooks and casino operators — tracking from click to FTD to lifetime NGR, with the fraud controls and commission transparency that top affiliates require to commit their best traffic to your program.
