DraftKings has entered into another sports partnership, agreeing to an exclusive deal with the New York Giants, the online betting company said on Wednesday.
The deal makes DraftKings the official sports betting and daily fantasy sports betting partner of the Giants, allowing the company access to the team’s brands and logos as it seeks to continue to grow its brand on the front line. Game.
Financial terms of the deal were not provided.
In an interview with CNBC on Tuesday, DraftKings commercial director Ezra Kucharz described the deal as a “crossover relationship.” The company will also have exclusive digital playing rights and access to the team’s virtual sports lounge at MetLife Stadium on match day once fans are allowed to return to the stadiums.
“These are all products,” Kucharz said. “We try to serve sports fans, sports betting and [daily fantasy sports] are important to us and we will create many opportunities for fans to have fun. “
DraftKings will also benefit from increased brand visibility through the agreement. The company said it was getting “premier brand integration into MetLife Stadium during Giants’ home games” in addition to a presence “in all media controlled by the team, including radio and television and digital and social networks “.
“It’s about engaging the supporters and doing what’s right for the person who unfortunately can’t get into a stadium right now and has to be home but wants to be there,” Kucharz said.
This is the latest initiative from DraftKings to gain more market share on the sports betting front. Shares of the company rose on Monday after an agreement was announced with ESPN that will see DraftKings content integrated into the Disney-owned network.
DraftKings also announced an equity deal with sports icon Michael Jordan and secured their first Major League Baseball partnership with the Chicago Cubs on September 3.
The company also has daily fantasy sports deals with the NFL’s Dallas Cowboys and New England Patriots (team owners Robert Craft and Jerry Jones are capital partners of DraftKings).
DraftKings also has daily sports and sports betting deals with three National Basketball Association teams. An industry source told CNBC that another deal is underway with the Detroit Pistons.
New York Giants commercial director Pete Guelli (left) pictured with DraftKings commercial director Ezra Kucharz.
Source: Giants of New York
“Our enhanced agreement with DraftKings offers innovative opportunities as we seek to deliver the best-in-class experience for fans,” Pete Guelli, Giants commercial director said in a statement. “DraftKings is the preeminent leader in daily sports betting and fantasy sports, and we are delighted to be the first NFL team to have an exclusive integrated deal in this category.”
“We are trying to partner with the best sports organizations,” Kucharz said. “We will continue to find these partnerships which are great for us.”
Dan Etna, co-chairman of New York sports law firm Herrick, Feinstein, called the deals “brilliant for DraftKings to put them above the competition or at least create some sort of mental recognition of name or name. ‘association’ for fans looking for sports betting.
“They are looking for a way to stand out and become the Nike [of sports gambling] – so when you think of sports betting, it’s DraftKings, ”said Etna, whose clients include the Cubs, New York Yankees and Brooklyn Nets.
“It’s a different twist of what DraftKings has done in the past; increase brand awareness and make it the brand you think of when you want to place a bet,” he said.
The digital gambling component could be essential for DraftKings as legalized sports betting spreads across the country for states seeking additional tax revenue. According to research firm Global Market Insights, the online gaming market is expected to reach $ 160 billion by 2026.
In addition, the emergence of the micro-betting market could fuel sports betting. This is an area where DraftKings’ Fan Duel competitor has already started testing the waters.
“If this is done, it will only increase the value of these companies,” Etna said.
“I think the industry will continue to experience a rise,” Etna added. “When is it going to flatten out? I haven’t done the math, but I would still say it’s a growing industry.”
Disclosure: Comcast and NBC Sports, CNBC’s parent company, invest in FanDuel.
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