Freelance writer Matt Villano’s group of 12 longtime friends make their annual trip to Las Vegas this week to celebrate March Madness. The opening weekend of the NCAA Basketball tournament is a four-day festival of betting and college basketball in which the field of 64 is winnowed to the Sweet 16.
For Villano, a resident of the Northern California community of Healdsburg, the trip to Las Vegas – the 21st such trip for many in the group – isn’t just for betting on the games at the Red Rock Resort. This year’s itinerary includes a luxury suite at the off-Las Vegas Strip hotel-casino, a few nice dinners, a hike in the Red Rock Canyon recreational area, some go-carting, and catching a Vegas Golden Knights home game.
“It used to be all about the gambling as an escape. Now I could care less about that,” said Villano, who added that his betting bankroll is roughly $2,000. “I just want to sit in the sportsbook and catch up on these guy’s lives.”
Those comments will likely soothe the concerns of some Las Vegas casino bosses.
This year’s NCAA basketball tournament is the first since the legal sports betting was opened to states outside Nevada. Last May’s Supreme Court decision ended a nationwide ban; seven states have since allowed casinos and racetracks to open regulated sports wagering facilities.
As with Super Bowl weekend last month, the gaming community is curious about whether wagering in Mississippi, New Jersey and other new sports betting states will slice into Nevada’s action.
“I wouldn’t expect Nevada’s handle to slip because of increased competition,” said Eilers & Krejcik gaming analyst Chris Grove. “People don’t come to Las Vegas just because they can bet. They can already bet from virtually anywhere with little difficulty. People, in my view, use betting as an excuse to come to Las Vegas.”
For Nevada’s sports betting industry, the NCAA Tournament is easily the single largest annual sports gambling event. The Super Bowl is the largest one-day event for sports books, but the NCAA tournament covers three weekends, ending with the Final Four on April 6-8 in Minneapolis.
Vinny Magliulo, sports director, Gaughan Gaming
Vinny Magliulo, sports director for Gaughan Gaming and an executive with the Vegas Stats & Information Network (VSiN), said the sustained tournament wagering brings in “two-and-a-half times” more betting handle than the Super Bowl. This year, $146 million was wagered on Super Bowl LIII, the second highest figure ever.
The bulk of the NCAA basketball wagers will take place this week, when 48 games are contested between Thursday and Sunday.
“There is such a diverse wagering menu, considering the number of games, in-game wagering, proposition bets, that the interest has continued to grow,” Magliulo said. “It’s a major weekend for Las Vegas.”
Jason McCormick, Red Rock’s director of race and sports, said groups of friends, such as Villano’s longtime assemblage, schedule and plan their trips several months out.
“I get 20 times the requests I get for the Super Bowl,” McCormick said. “Guys want to also set up for golf, and our Station Casinos properties do tremendous business in their restaurants, as well as the casino.”
Wagering projections
So how much wagering is being projected for this year’s March Madness, now that sports betting has landed in these new markets? Based on Magliulo’s estimates, Nevada sportsbooks could take in upward of $365 million in bets during the tournament’s three weeks.
In a survey conducted for the American Gaming Association, which is being released today, Americans will wager an estimated $8.5 billion on the tournament. Just a small percentage of those bets will be placed with a legal sportsbook. The AGA estimates $4.6 billion of the wagers will come from tournament brackets.
“Unlike any other sporting events in the country, March Madness attracts millions who fill out brackets, make casual bets with friends or wager at a legal sportsbook, which Americans can now do more than ever before,” AGA CEO Bill Miller said in a statement.
London-based H2 Gambling Capital predicted $12.1 billion would be wagered on March Madness, with roughly 6.6 percent – $800 million – happening in legal sports betting facilities.
“If the Super Bowl is any indication, you’ll probably see Nevada account for over 75 percent of March Madness handle,” Grove said.
Jason McCormick, director of race and sports, Red Rock Resorts
Las Vegas is still the king, even with new wagering states
Boyd Gaming Corp. opened a FanDuel-branded sportsbook last week at the company’s recently purchased Valley Forge Casino, 20 miles outside Philadelphia. The opening’s timing had March Madness in mind, said company spokesman David Strow.
Boyd is also planning special events surrounding March Madness at its sportsbook inside the IP casino resort in Biloxi, Mississippi.
“March Madness has been a huge event in Las Vegas, and we’re optimistic the event will drive additional traffic to our other casinos,” Strow said.
McCormick has no fear that NCAA Tournament betting in other states will hurt Las Vegas.
“I think it will steal visitation from the surrounding bars and restaurants in those communities,” he said. “People will go where they can bet.”
Villano’s group of friends come from all across the country. Many reside in states that have recently legalized sports betting. But Las Vegas continues to be the draw.
“We could bet on sports in one of our home states, but for us the fun in is the tradition,” he said. “It’s in being together in the ritual.”
Howard Stutz is the executive editor of CDC Gaming Reports. He can be reached at hstutz@cdcgamingreports.com. Follow @howardstutz on Twitter
