Prediction Markets Will Be Few and In Between Compared to Sportsbooks
Prediction market platforms are already crowding the space, argues the boss of a a fairly new creative marketing production agency, adding that this sector could not see as many bidding players as does, say, traditional sports betting. It’s Not About Being Seen – It’s About Being Remembered “That’s…
Prediction market platforms are already crowding the space, argues the boss of a a fairly new creative marketing production agency, adding that this sector could not see as many bidding players as does, say, traditional sports betting. It’s Not About Being Seen – It’s About Being Remembered “That’s not a competitive market. That’s a queue for the exit,” argues Colormatic CEO Chris Marcus, cited by several media outlets. According to Marcus, the number of operators is growing at a pace that the market cannot supported. In his estimate, there will be 50 operators by year’s end in the United States alone, but the reality is that only five-to-eight brands may be supported locally. There will simply not be any room left for the rest. Who survives, argues Marcus, may come down not to scale (or as he points out ESPN Bet would have survived) but rather who “gets remembered” and not just “seen.” Therefore, Colormetrics believes that it should all come down to the same thing – not how much attention you can buy, but rather what would-be consumers take away after seeing the message or making their first visit to such a platform. Awareness is never the issue, argues Marcus, who puts it simple enough: “Everyone will get seen. The question is whose name someone says when a friend asks which app they use.” At the same time, businesses have enough reason to try and venture into prediction market scene, as getting a foothold has never been easier. However, the competition could be brutal and given the limited space for successful operators, the established native platforms, such as Kalshi and Polymarket, and the fact that FanDuel and DraftKings, traditional sportsbooks with massive capital, will spare no resource to ensure that they are also dominating the space. Potential runner-ups such as PrizePicks, Fanatics, and more will also contest in the space, at a time when both Kalshi and Polymarket are moving forward with the sector’s expansion and adding parlay-style bets.