Rush Street Interactive, one of the biggest sports betting operators in the country, recently announced that it expected to turn a profit in Q2 2023. According to the CEO of Rush Street Richard Schwartz, the brand’s efforts all through 2022 will ensure sustainability and profitability in 2023.
Last year, Rush Street debuted operations in 2 international betting markets, namely Mexico and Ontario. Rush Street also launched its products in 3 new markets in the country, thus extending its reach even further. During the brand’s recent fourth-quarter earnings call, Rush Street informed investors that it intended to keep converting its sports betting customers into online casino players.
The brand also reported that it planned to keep marketing costs low, which would allow Rush Street to attain profitability in the second half of this year. In particular, Rush Street plans to cut its marketing costs by approximately $800,000.
Rush Street Interactive, which is the parent company of PlaySugarHouse and BetRivers, Rush Street estimates that it will generate a positive return ranging between $630 million and $700 million, which would be an increase of between 6 and 8 percent compared to 2022’s performance.
All in all, Rush Street is doing everything possible to keep customers entertained in line with its customer retention strategy. The brand has introduced new products and has continually made considerable improvements in its interface, functionality, and features in a bid to keep customers happy. These changes have helped Rush Street greatly in its quest to retain customers.
According to Schwartz, single-game parlays on the Rush Street platform grew by 30% owing to an improved interface. Not too long ago, Rush Street announced that it would be expanding its squares game to NBA. Rush Street hopes to translate the squares game popularity to basketball punters with the NFL gambling season coming to a close.
Aside from introducing new and improved features and games, Rush Street reported a growth of 95% in the iGaming and sports betting markets that it debuted in 2020. According to Rush Street’s Q4 reports, the company’s online casino gaming and sports betting verticals grew by 33% compared to the same quarter last year.
Online casino gambling accounted for 75% of Rush Street’s revenue in its biggest markets namely West Virginia, Michigan, Pennsylvania, as well as New Jersey. This year, Rush Street also hopes to launch new operations in newly legalized markets. Not too long ago, iGaming legislation was introduced in Illinois, Indiana, Maryland, New York, as well as New Hampshire.
Rush Street also recently filed a notice of intent to start the process of obtaining market access in Massachusetts. Online sports betting debuted in Massachusetts on March 10th. Based on Swartz’s quarterly earnings presentation, Rush Street Interactive’s sports betting apps are available in 15 states and enjoy market access in 5 more.
BetRivers Michigan online casino still one of Rush Street’s highest revenue generators. As far as online casinos in Michigan are concerned, BetRivers is the 4th highest online casino in the state with an all-time revenue of $187.4 million as of January 2023.
In January, BetRivers managed to generate approximately $8.6 million in online casino revenue, which marked the 7th consecutive month that BetRivers had generated at least $8 million in iGaming revenue. The BetRivers sportsbook, on the other hand, produced a revenue of $11.4 million, which was a new record in the state.
iGaming revenue has always been a boost for Rush Street Interactive. For instance, in Michigan, West Virginia, Pennsylvania, and New Jersey, iGaming accounts for approximately 75% of the brand’s online casino revenue.
The BetRivers brand has also helped Rush Street attract more female punters. According to BetRivers, while its sports betting demographic is primarily male at 83%, its online casino audience is largely female at 53%.
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Rush Street Interactive expansion will likely continue in 2023
Last year in March, Rush Street secured a license to debut its products and services on the Ontario gambling market. Rush Street rolled out its products and services on April 4th when Ontario officially debuted its iGaming and online sports gambling market for the first time.
Before debuting its services in the Canadian province of Ontario, Rush Street Interactive was already popular among punters owing to the brand’s social gaming platform known as Casino4fun. Casino4fun is a free-to-play social gaming site that is accessible from BetRivers’ primary platform.
Today, BetRivers offers online casino and sports betting to punters in Ontario aged 19 and over. BetRivers, which is a 2-time winner of the North American Customer Service Operator of the Year award, offers punters in Ontario over 350 slot and table games, as well as a thriving online sportsbook.
Last year in November, Rush Street also launched its online and mobile book in Maryland. BetRivers launched operations in Maryland just before the start of the NFL and college football season, which kicked off during the Thanksgiving period.
Through the years, Rush Street has received several accolades including Customer Services Operator of the Year, Social Gaming Operator of the Year, as well as Operator of the Year at last year’s EGR North America awards.
Today, Rush Street offers mobile and iGaming services to punters in several states including Michigan, Louisiana, Pennsylvania, West Virginia, New Jersey, New York, Virginia, Connecticut, Indiana, Illinois, Colorado, Iowa, as well as Arizona. Last year, RSI debuted operations in Colombia and Mexico.
According to the CEO of Rush Street, its Colombian business grew by 59% thanks to its newly opened offices in Medellin and Bogota. In Mexico, Rush Street’s business is also expected to grow by several million in 2023.
Final Thoughts
Rush Street Interactive is one of the most established online gaming and sports betting companies in the world. Thus far, the Rush Street brand has established a presence in several jurisdictions including Latin America, the US, as well as Canada.
Via its brand, Rushbet, BetRivers, and PlaySugarHouse, the Rush Street brand has established itself as an early entrant in some of the most lucrative gambling markets in the world, which has ensured its continued growth over the years.
