4 ms·
Not sure he "drove billions in sales". Initial projections were to capture 15% or more of the US sports betting market but reality was somewhere around 3-5%. Ma
by listenallyall 3y ago
Not sure he "drove billions in sales". Initial projections were to capture 15% or more of the US sports betting market but reality was somewhere around 3-5%. Major underperformer. There were certainly many problems with the product besides simply the brand but there's little evidence the brand was a net positive.
Great for Portnoy, he got the proceeds from a major "exit" (a few hundred million dollars) and he still owns the company.
- anonu 3y ago> Penn’s “interactive” segment — consisting largely though not exclusively of its “online sports betting and casino app called Barstool Sportsbook and Casino” and its in-casino Barstool-branded retail sportsbooks — went from $121 million in revenue in 2020 to $663 million in 2022, and was up another 66% year-over-year in the first half of 2023, for a run rate of almost $1 billion. Capturing market share != driving billions in sales. Especially in a highly competitive market. Source: https://www.bloomberg.com/opinion/articles/2023-08-09/barstool-sold-high-and-bought-low https://www.bloomberg.com/opinion/articles/2023-08-09/barsto...
- listenallyall 3y agoYou are attributing all of Penn's sports wagering revenue to Barstool. Penn owns more than a dozen casinos. Given the severe underperformance of the reality vs projections, many in the industry believed that the Barstool brand was a net negative to Penn's efforts. If anybody believed that the Barstool brand was successfully bringing in revenue, some other bidder would have bought it from Penn. The fact that they abandoned it for nothing kind of tells you how much value Penn believed that it had.