LPGA Tabs BetMGM as First Official Sportsbook Sponsor

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Danielle Kang of the United States plays a tee shot on the fourth hole during the first round of the LPGA LOTTE Championship

Sponsorship deals between sportsbook providers and global sports leagues have become a common occurrence. On Wednesday, the LPGA Tour joined the sponsorship fray with the announcement of a multi-year Official Betting Partnership deal with one of the true legal sports betting Heavyweights, BetMGM. It is the first such partnership deal for women’s golf.

“As a leading sports and entertainment company and already a supporter of women’s golf, BetMGM is uniquely positioned to join the LPGA family as an Official Betting Operator,” said Brian Carroll, senior vice president of global media distribution for the LPGA. “Sports betting and digital gaming are key elements of the future of sports, and BetMGM is on the forefront of both opportunities. We are happy to partner with them as we look to provide more opportunities for our fans to interact with the LPGA and learn about our incredible athletes.”

Under the Terms…

BetMGM will feature LPGA odds in their extensive betting menu and will give the women’s Tour equal billing with the PGA, European Tour and other sports betting leagues around the world.

The LPGA Tour gets the exposure and the promotional opportunities that had been sadly lacking for the league while BetMGM gains the right to use LPGA marks and logos and official LPGA data on its sports betting products. BetMGM also gets valuable brand recognition that seems necessary in today’s market, on TV and with all of the league’s digital and media outlets.

BetMGM will also get the opportunity to build on existing relationships that MGM Resorts has with a few top-tier LPGA members like Natalie Gulbis, Danielle Kang, Cristie Kerr, Alison Lee, Anna Nordqvist and Michelle Wie West.

Furthering the Commitment

MGM Resorts has been active in developing a relationship with the LPGA, making the announced sponsorship deal a logical next step in the progression. Earlier this year, MGM Resorts and the LPGA teamed up to bring us the Bank of Hope LPGA Match-Play Hosted by Shadow Creek.

“MGM Resorts’ commitment to golf is unparalleled and is further strengthened by our new partnership with the LPGA Tour,” says Lance Evans, MGM Resorts’ senior vice president for sports and sponsorships. “The LPGA features some of the world’s greatest athletes, several of whom are MGM Resorts golf ambassadors. In collaboration with BetMGM, we look forward to creating engaging content and experiences for sports fans and our guests.”

The Power of BetMGM

BetMGM has not been shy about their desire to become the market-leader in the US legal sports betting scene. After acting on a commitment to build their brand, the company now has more than 35 million members in the MGM Resorts database which they hope to flip to the online sports betting brand.

The BetMGM app is available in 12 heavy-hitting legal sports betting states with the goal of 20 states by the end of 2021. In those 12 states, it is estimated that BetMGM has gained a respectable 22% market share.

The company has apparently come out of the coronavirus crisis on decent financial footing, which has allowed for the aggressive moves that we have seen BetMGM make as of late. Recently the company reported $163 million in revenues for the first three months of this year which amounts to about 90% of the profits they made in the entire 2020 fiscal year.

Paving the Way

As it stands, BetMGM will have exclusive rights to the LPGA marks but as we have seen with other leagues around the world, other providers could get in on what the LPGA has to offer.

BetMGM gets in on the ground floor in this case and it is not necessarily surprising to those who follow the progress of the exploding US legal sports betting industry. There aren’t many corners of the North American sporting scene that hasn’t been touched by sports betting or BetMGM the last year or so.

So, the legal sports betting gold rush continues in the US with little reason to think any sort of slowdown is imminent. Leagues will continue to take advantage, as will top-tier providers whose interest is best served by aligning themselves with elite leagues and Tours across the globe.