Churchill Downs was recently approved by the Michigan Gaming Control Board (MGCB) to provide advance deposit wagering (ADW) on horse races taking place in the state. The company can now take mobile bets on both simulcast and live pari-mutuel races, marking a huge step forward for gamblers. The ADW will be available at Northville Downs, the only facility in Michigan that is licensed to offer such services, and horse racing expert Adam Bjorn discusses why this is important to the horse racing industry.
This new way of betting is seen as a springboard to increase interest in horse racing and to provide additional funds for the industry at a time when many industries are suffering.
The MGCB approved mobile horse race betting in June and, in August, allowed horse racing and simulcast wagering to begin again after they were shut down because of the COVID-19 pandemic.
As Churchill Downs was given approval in Michigan, it experienced a large decrease in betting for Kentucky Derby, which took place about two weeks ago. The always popular race took place about four months later than normal because of the coronavirus and, with limited attendance and no general admission, gambling options were several limited. As a result, the total handle for the race came in at just over $79 million, less than half of the $165.5 million the Kentucky Derby saw last year. In addition to the lack of attendance, smaller fields for the races and prohibitive favorites also contributed to the lower gambling handle.
However, mobile betting can change all that. In states where mobile sportsbooks and wagers have been authorized, these have shown to be resilient and produce better results than in-person alternatives – even before the pandemic began. Now that Michigan has gotten onboard mobile horse race betting, better action will be seen, and this will ultimately spill over into other states that will have to upgrade their policies in order to stay competitive.
With the introduction of ADW and an additional element to wagers, it’s important to keep in mind one strategy. Do whatever it takes not to put a wager on a race you have not thought of. Whether or not you are allured by OTB, it is fine to pass on a race at any track. Stick to what you know and have the resilience to keep things under control for your races. A movement that can be valuable is to put down a theoretical bet on a race you are sitting out. Keep a log of these bets, and maybe you can take in something from the races you sit out and apply those methods to the races you wager on.
