Sports betting apps are more than just digital sportsbooks; they are financial systems. If you’re planning to build one, knowing how these apps generate revenue is just as important as picking features or user flows. For those seeking top-tier sports betting app development, understanding these models is the first step toward long-term profitability.
This blog breaks down the monetization models used by top sports game betting apps worldwide, with real examples from DraftKings, Bet365, Sportsbet, and Bwin. Whether you’re a startup, an operator, or working with sports betting app developers, this will help you shape your business model from day one.
If you’re planning to build a revenue-focused betting platform, working with a trusted sports betting app development company in US gives you a competitive edge. At Vrinsoft, we deliver monetization-ready solutions tailored for US, UK, Europe, and Australian markets, helping businesses build scalable, compliant, and profitable betting apps from day one.
How Do Sports Betting Apps Works?
At the core, betting apps earn by taking a cut from player activity. But relying only on wager volume is risky. Leading apps combine house advantage with recurring revenue streams, ad partnerships, and layered pricing to stabilize cash flow.
Key income comes from:
- Commission on losing bets (the “house edge”)
- Paid subscriptions and VIP access
- In-app currency or tokens
- Real-time ads and brand partnerships
- Affiliate programs and referral bonuses
- Data licensing and fantasy sports integration
Platforms that integrate these models early, during betting platform development, consistently outperform those that treat monetization as an afterthought. From in-play logic to real-time data integrations, every layer of a sports betting app must be optimized for scale. Our broader sports industry development experience helps ensure your app is built with a deep understanding of how sports platforms operate at global scale.
Primary Monetization Models in Sports Betting Apps
1. House Edge on Wagers
This is the backbone of every sportsbook. The app earns from the margin built into each bet, also known as the vig or juice. Instead of relying on player wins or losses, it ensures profitability by adjusting payout odds slightly below true probability. This is a model often requested when businesses hire a sports betting app developer or betting software developers.
Core Features:
- Region-based odds margin configuration
- Dynamic odds generator tied to live feeds
- Real-time adjustments based on betting volume
- Admin dashboard for margin control by sport/league
Real-World Use Case: Bet365 maintains an average margin of 5–7% depending on the sport, while FanDuel uses dynamic odds adjustments to balance volume and profitability without impacting player retention.
2. In-App Currency and Token Packs
Using virtual currency instead of cash gives operators more flexibility with pricing, promotions, and regulatory structures. These token systems are often paired with loyalty programs or entry barriers in fantasy sports game betting apps.
Core Features:
- Prepaid token packs with custom pricing
- Currency-to-credit exchange rate logic
- Bonus credits on purchase milestones
- Region-specific pricing logic for tokens
Real-World Use Case: DraftKings rewards users with “Crowns” and Boost Tokens tied to account activity. These in-app currencies are used for contests and wagers, driving engagement while reducing real-money handling friction and that’s how fantasy sports apps make money.
3. VIP Tiers and Subscription Plans
Subscription-based access gives users premium experiences like exclusive odds, early bets, or waived fees. For high-frequency bettors, this builds loyalty and monthly recurring revenue while segmenting user value. Popular in apps similar to FanDuel.
Core Features:
- Tiered access based on usage or spend
- Recurring billing via in-app purchases
- Exclusive events and faster payouts
- Analytics dashboard for churn and upgrade behavior
Real-World Use Case: Bwin Club offers monthly membership rewards and cashback tiers, while DraftKings VIP drives retention with points, invites, and lower rake. Sportsbet Gold in Australia pushes premium odds access and early market alerts.
4. Real-Time Ad Revenue
When users aren’t actively placing bets, monetizing idle screen time through non-disruptive ads is a strong play. Placement matters, ad inventory is typically placed in pre-bet or post-bet flows.
Core Features:
- Banner/video ad placements between bets
- Sponsored analysis or prediction tools
- Cross-promotion with fantasy or casino verticals
- CPM/CPC tracking inside admin console
Real-World Use Case: Betway integrates sportswear campaigns during EPL games, while PointsBet runs tie-ins during major soccer events. FanDuel in the US links ads to fantasy sports pages to remain compliant and profitable.
5. Affiliate & Partner Revenue
How do sports betting companies make money beyond wagers? Many earn by cross-promoting other platforms and earning commissions per referral. This includes casinos, sportsbooks, and third-party betting odds engines, an important model when planning AI sports betting apps.
Core Features:
- Affiliate link system with unique tracking
- Shared wallet or ID system across verticals
- Monthly reporting and revenue splits
- Partner management module in admin backend
Real-World Use Case: William Hill and Unibet use affiliate-driven growth by linking across betting, poker, and bingo apps with a shared user ID and wallet, increasing revenue per customer without increasing acquisition cost.
Add-On Revenue Models for Sports Betting App That Scale
1. Branded Sponsorships
Apps partner with sports leagues, clubs, or influencers to launch co-branded campaigns. These generate awareness, traffic, and exclusive in-app experiences.
Core Features:
- Co-branded bet slip templates
- Sponsored match listings or “featured” bets
- Promo codes tied to brand activations
- Landing page builder for in-app campaigns
Real-World Use Case: Bwin sponsors La Liga and UEFA Europa League, offering custom bets during those matches. Sportsbet in Australia collaborates with AFL teams for branded bet markets and fan contests.
2. Fantasy Sports & Live Game Integration
Integrating fantasy sports allows users to engage even when live betting is paused due to regulation. These options are popular in hybrid sports game betting apps.
Core Features:
- Daily/weekly fantasy leagues with entry fees
- Player stats API for scoring
- Reward pool logic tied to token or cash
- Integration with live sports streams
Real-World Use Case: DraftKings uses fantasy gameplay to attract users who aren’t full-time bettors. Their Daily Fantasy Sports (DFS) mode generates millions in entry fees and cross-sells users into their sportsbook platform. If you’re wondering how do fantasy sports apps make money, this model is a prime example.
3. Data Licensing
For apps that generate or aggregate odds, anonymized usage data can be licensed to analysts, trading desks, or sports tech firms. Common in EU markets, and often integrated during betting software development.
Core Features:
- Real-time data exports in standard formats
- Access-controlled API endpoints for buyers
- User behavior analytics for odds providers
- Consent-based anonymization tools
Real-World Use Case: Bet-at-home and Tipico in Europe generate revenue from usage-based insights shared with B2B analytics partners, especially during international tournaments and high-traffic betting windows.
How Top Sports Betting Apps Generate Revenue: Real-World Performance Benchmarks
Note: The revenue and market share figures listed below are based on publicly available reports, investor data, and industry research from reliable sources. Actual financial performance may vary depending on market conditions, regulatory factors, app features, user acquisition strategy, and regional compliance.
| Platform | Revenue & Growth | Monetization Strategies Used | International Scope |
|---|---|---|---|
| BetMGM | Net revenue up 34% YoY in Q1 2025; full-year forecast raised to $2.6 billion. | Sportsbook + iGaming; licensing revenue model; high-margin online gaming | US-wide, joint venture of MGM (US) and Entain (UK) |
| DraftKings | Q1 2025 revenue: $1.41 billion (+20% YoY); FY 2025 forecast $6.2–$6.4 billion | Fantasy + sportsbook hybrids, VIP loyalty programs, subscription/premium features | Primarily US-focused with potential expansion |
| FanDuel | Accounted for ~70% of US market share during Super Bowl 2024; ~$1.39 billion in bets | Promotions tied to major events; VIP host systems; aggressive marketing | US-centric; market leader during peak sports events |
| Bet365 | Annual revenue: £2.8 billion (2020–21) and £470 million profit | Market-leading odds, in-play betting, global licensing, brand sponsorships | UK-based; expanded to US (NJ, CO), Canada (ON), Europe |
| PointsBet | High-margin spread betting; public listing reflects growth in in-play high-frequency betting | Tiered wallet, spread bets, dynamic odds, ad targeting | Australia-centric; expanding into US and Canada |
Why Licensing and Compliance Shape Revenue for Sports Betting App?
Legal boundaries define how much and where you can monetize.
Key Regulatory Factors:
- USA: State-specific licenses (e.g., New Jersey, Colorado), KYC and geolocation mandatory
- UK & Europe: Licensed under UKGC or Malta Gaming Authority, known for strict anti-fraud frameworks
- Australia: Licensed under state-based regulators like the Northern Territory Racing Commission
Apps that embed age-gating, responsible gaming tools, and secure payment logic during sports betting app development see higher approval rates and app store rankings.
Building a Soccer Betting App with Scalable Architecture
At Vrinsoft, we’ve worked on soccer-centric betting platforms tailored for live matches, league-based pools, and predictive wagering. Though project details are confidential, our role involved implementing features like real-time odds integration, match-level data sync, wallet-to-bet conversion flows, and compliance-ready KYC modules.
The app was structured to support users across the UK, Europe, and Australia, with custom rulesets aligned with regional gaming laws.
Building monetization layers is only effective if your platform is ready to support them. If you’re in the planning or early development phase, this guide on sports betting app development steps and legal considerations can help you get the groundwork right.
Conclusion: Sports Betting App Monetization Strategy That Pays Off
A betting app isn’t profitable by default. Real income comes from combining commission models, in-app purchases, advertising, and affiliate partnerships, all built with regulatory boundaries in mind.
Whether you’re launching in New Jersey, London, Berlin, or Sydney, the fundamentals remain the same: plan your monetization logic before your first line of code.
Looking for a sports betting app development company with real-world experience in high-compliance markets?
Our sports betting app developers have helped clients build custom platforms with revenue-ready modules, admin dashboards, and real-time compliance tools. We understand what goes into building apps like FanDuel and what makes them profitable.
Talk to us today about building a scalable, regulation-ready betting app that delivers results, not just downloads.
sales@vrinsofts.com