December 2024 was the worst period for US thoroughbred horse racing bets since the COVID-19 pandemic in 2020. According to Equibase, the official industry database, December saw a monthly 14.44% wagering drop, the year's most significant decline. January, April, and September were the three other months with double-digit percentage decreases, each posting a 10.76%, 11.42%, and 10.96% dip, respectively.
“A dismal December for US wagering on thoroughbred horse racing put an exclamation point to the worst year for the industry since 2020, when businesses throughout the country were affected by the COVID-19 pandemic,” Ray Paulick of the Paulick Report wrote.
December’s handle fell by $115 million compared to the previous year, generating only $682.1 million compared to December 2023's $797.2 million. In total, 2024 was the third consecutive year when wagers dropped. Bettors only wagered $11.3 billion for the year, a $390 million decrease compared to the previous year, which generated a net total of $11.7 billion in bets.
Declining wagers were not the only thing to decrease this year; however, there were 2.4% fewer race days across the country at only 3,787. In addition, the total number of races also declined by 2.8% to only 30,852.
Freehold Raceway Closes After 170 Years
This news came after the announcement that the United State’s oldest horse racetrack, Freehold Raceway, closed its doors on the last weekend of December. Despite industry insiders' hopes horse racing would experience a resurgence, the raceway couldn't continue operations.
In a press release, Freehold Raceway's general manager, Howard Bruno, said, “Unfortunately, the racetrack operations cannot continue under existing conditions, and we do not see a plausible way forward.”
Declining American Viewership
In addition to horse racetracks' closures due to declining attendance, the Breeders’ Cup has fought for casual sports bettors' attention. This year, the Cup took place Nov. 1 and 2 in Del Mar, California, a popular event among horse racing fans.
But bettors' loyalties are divided because of competition from competing American sports, such as the NFL and MLB, which occur around the same time. “It is more of a core horseplayers’ event overall, because it's just hard for horse racing to make a big splash this time of year with the amount of sporting events to compete with,” said Andrew Moore, FanDuel's GM of racing.
Can Gaming Save the Horse Racing Industry?
The popularity of historical horse racing (HHR) machines has increased gamblers' interest in the market. Since lawmakers in Virginia legalized them in 2018, HHR terminals have let players wager more than $4 billion annually in the state.
Moreover, popular iGaming company Everi announced at the start of the new year it would expand into the HHR market through its TournEvent platform. Everi is set to bring cutting-edge slot technology and player-focused engagement to the market.
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