Specific areas of the racing industry have spearheaded the rise of betting platforms all over the globe. In fact, this success occurred long before the internet reshaped the fabric of the industry, when some of the most popular horse racing courses throughout the UK, Ireland and the rest of Europe all had bustling stalls where the most prominent sports betting companies would offer markets on live events.
This approach moved effortlessly online in the early 2000s, and spread further across the racing industry. Instead of sports betting platforms referring to horse racing as their primary racing market, motorsports started to benefit immensely from the global connectivity emerging as part of the rise of online gambling.
In the modern market, this influence is unavoidable, with all racing markets, especially motorsports, operating hand in hand with some of the world’s highest-rated gambling platforms and growing into the burgeoning US market.
The American sports betting powerhouse
It wasn’t until 2018 that a landmark ruling allowed sports betting companies to operate in the US market. Since then, there has been a colossal rise in the number of sports betting companies operating throughout the North American continent – but the bulk of this market has been in the US, where some states have rewritten their legislation to allow online sports betting companies to operate within their state lines.
It has been an enormous shift in attitude from a country that, aside from a handful of states, was always against the idea of legalizing the sports betting market. However, now that the sector generates tens of billions of dollars in tax revenue annually, this hardline approach has softened considerably, resulting in this growth.
When betting market analysts and economists try to find out how betting on motorsport has become so popular in Pennsylvania, they only need to look at the broader impact of the wider market.
Pennsylvania is one of the biggest sports states in the US, so while the change in legislation helped to turn it into a hub for motorsports betting, it simply channeled the market that has existed online for quite some time. It’s just that regulators got on top of it, started to tax it, and allowed these companies to operate.
Sponsorships
Sports betting companies and elite professional teams have longstanding ties throughout Western culture. Although the US was slightly slower in picking up on this trend than the UK, where dozens of sports betting companies sponsor leading teams, the racing industry is now one of the frontrunners in this budding partnership.
It’s only since the beginning of this decade that we have seen betting sponsors enter the world of American motorsports en masse. Other global motorsports organizations have had these ties in place for quite some time. For instance, Formula One has worked with almost every prime corporation you can think of, over the years.
While motorsports and betting companies historically had limited ties in the US, this whole landscape changed in the 2020s. So, although this isn’t an entirely new factor, it has transformed the US market, particularly since the beginning of this decade.
A growing interest in niche motorsports
Aside from the glitz and sparkling wealth of F1 and NASCAR, dozens of smaller organizations have been able to build their brands over the last decade. The internet has brought these communities together online and made it easier to access streams and services that broadcast the smaller races within motorsports.
Formula E, for instance, was a brand that didn’t have much traction when it first launched in 2014. However, as more people started to purchase electric cars, debated the best types of EV chargers and noted the environmental impact of F1 and NASCAR, the popularity of Formula E surged.
Betting companies have picked up on this interest and have adjusted their markets accordingly. Putting these markets alongside some of the world’s most renowned motorsports has helped create a new level of interest in these niche markets. While they still might not have the visibility or notoriety of more established organizations, betting markets have helped introduce them to a broader international audience.
In-play action
It’s not just motorsports where betting has resulted in the rise and development of in-play markets; it’s the exponential rise in the number of people who use their mobile phones as their primary source of accessing gambling markets.
Ultimately, this gave rise to and legitimized the existence of 24/7 betting markets – obviously, this meant that sportsbooks were leaving no stone unturned when it came to finding new markets that did not exist prior to the rise of this innovative technology.
There are now more eyes on these in-play markets, and with motorsports markets now offering other components, such as cashing out during a race, accumulator betting across different motorsports, and betting on the fastest laps and the teams with the highest points at the end of the race, interest in the market has soared to dizzying new heights.
Conclusion
Many of the changes in racing and betting industries can be attributed to the rise of online devices and mobile apps. Not only do they provide an avenue for people to keep updated with the latest motorsports news 24/7, but they have created a whole new stream of income for sports betting companies that are exploring ways to tap into this vast market.
Sure, the change in legislation, particularly in the US, has seen a number of new sportsbook sponsorships and drivers aligning themselves with different companies via affiliate marketing. However, they have been able to achieve new heights because of the interconnectivity and the ease with which we can access content about motorsports and simultaneously explore the latest betting markets.
Betting continues to adapt to new technological changes. Although Formula One has always been a global sport, social media and the internet have made it much easier and cheaper to stay connected to relevant news about the world’s dominant motorsports. The same applies to NASCAR and other offshoots of motorsports leagues that have a smaller audience.
