Fanatics CEO: Sportsbook Marketing Could Hit $7B in 2027
Fanatics founder and CEO Michael Rubin told CNBC's Squawk Box that he expects the US sports betting industry's marketing spending to more than double next year, climbing from roughly $3 billion in 2025 to as much as $7 billion in 2027. Rubin's own company is planning for a similarly steep jump: he said Fanatics' marketing budget could rise from about $350 million this year to as much as $1 billion in 2027.
A distant third, but closing the gap
Rubin was candid about where Fanatics sits in the pecking order, calling it "a distant No. 3 in the betting and gaming business" behind FanDuel and DraftKings. Citing trailing-12-month CNBC figures, the article pegs US online sportsbook market share at roughly 34% for FanDuel, 31% for DraftKings, 8% for Hard Rock, 7% for BetMGM, and 6% for Fanatics — though Rubin separately described his company as "approaching 10%," a figure that doesn't fully square with the 6% cited elsewhere in the same report.
Why the marketing math is changing
The forecast comes as the two market leaders face a tougher stretch on Wall Street: DraftKings shares are down roughly 48% year-to-date, and Flutter Entertainment, FanDuel's parent, is down roughly 65%. Rubin pointed to rising competition from prediction market platforms as a factor squeezing the traditional sportsbook business, predicting the next couple of years "won't be a fun" period for the sector, with more competitive pressure but little consolidation expected among the largest operators.
On the product side, Rubin said Fanatics is expanding its Fair Play injury-protection feature to cover qualifying NFL and NBA bets when a player is injured at any point in the game, not just before halftime as under the prior rule. He also said Fanatics expects to issue roughly $2 billion in FanCash loyalty credit next year, with 97% to 98% typically redeemed within 12 months.
What it means for bettors
Heavier marketing spending usually shows up to bettors as more sign-up offers, odds boosts, and loyalty perks as operators compete harder for market share — but it doesn't change the underlying math of any individual bet. If the forecast holds, expect a louder promotional environment heading into 2027 across the major sportsbook apps; see our sports betting guides for how to evaluate any offer on its actual terms rather than its size.