NASCAR has formed an industry group to craft its approach toward legalized sports gambling, and most executives think the sport is likely to take a lenient approach toward the topic.
The federal legalization of sports wagering in the U.S. earlier this year set off a rush by those eager to capitalize on the move. That is no different in the NASCAR garage, where many see this as a way to increase revenue and halt declines in key performance indicators.
The NASCAR industry group has yet to send out a formal declaration. Sources said the group includes executives representing tracks and the sanctioning body, and that the group will report its findings to top team executives, tracks and drivers. The existence of the industry group had not previously been reported.
Sponsorships in the sport are now limited to casinos, as deals with online gambling websites are off limits.South Point Casino, Hotel & Spa
NASCAR declined comment, but the Race Team Alliance confirmed it is interested in exploring the topic.
“The teams are very interested in understanding the opportunities and risks in the rapidly developing area of legalized sports gaming,” Rob Kauffman, chairman of the RTA and co-owner of Chip Ganassi Racing, wrote in a statement provided to Sports Business Journal. “There are a number of conversations underway amongst the various industry participants to help formulate a coordinated approach to this exciting potential area.”
Stakeholders already have several separate deals with casinos, but none with online gambling websites, which a source familiar with the sanctioning body confirmed are now forbidden as sponsors.
Executives throughout the sport largely feel that this is likely to change because of the opportunity to raise revenue and because the stat-filled sport matches up nicely with wagering. Sources say that multiple entrepreneurs in and around the sport are already crafting plans for how wagering can interact with NASCAR, such as at-track wagering. The one track that is already set up to have NASCAR wagering done on-site during race weekends is Dover International Speedway, which is connected by common ownership to the adjoining Dover Downs Hotel & Casino.
Ryan Growney, general manager of the South Point Casino, Hotel & Spa in Las Vegas, which will be title sponsor of the fall NASCAR premier series race at Las Vegas Motor Speedway, said that betting increases engagement with and viewership for a sport. Growney said that at South Point’s sports book, which has been offering NASCAR lines for years, betting on the sport is growing but the handle is always going to be significantly smaller than the most popular stick-and-ball sports since NASCAR only runs one race per series each week.
“Betting helps all sports viewership,” Growney said, “just because it gives you another reason to watch.”
