The Wild Economics of Online Gambling

This podcast analyzes the US online gambling market, focusing on the strategies of DraftKings and FanDuel. It begins by explaining the historical context of gambling regulations and the different types of gambling establishments, then examines the challenges faced by online gambling companies due to varying state regulations and high taxes. The podcast contrasts the approaches of online-only companies like DraftKings and FanDuel, which rely heavily on marketing and user acquisition, with established casinos like Wynn and MGM, which leverage their existing brands and physical locations for an omnichannel strategy. A key takeaway is the high cost of customer acquisition for online-only operators and the complex regulatory landscape impacting their profitability.