Fanatics Sportsbook plans to include Canada in its international expansion efforts.

Fanatics Betting & Gaming Eyes Canadian Expansion After a Milestone 2024

Fanatics Betting & Gaming has made waves in the U.S. sports betting market throughout 2024. Could Canada be its next destination?

“We definitely want to be in Canada,” said Chief Operating Officer Scot McClintic in an interview with Canadian Gaming Business this month. “Will we be in Canada? Yes. It’s all just a timing question.”

Timing has been pivotal to Fanatics’ achievements. McClintic, who transitioned to COO in October after serving as chief product officer, highlighted the deliberate approach the company took to perfect its platform before scaling operations in the U.S. He and his team meticulously iterated on the product, ensuring it appealed to a broad audience, including sports fans, casual bettors, and seasoned wagering enthusiasts.

That strategy paid off.

Following its $225 million USD ($322 million CAD) acquisition of PointsBet’s U.S. business, Fanatics completed what it calls the fastest state-by-state rollout in U.S. online sports betting history. Within just two years, the platform has become available in 23 jurisdictions, covering 95% of the addressable U.S. online wagering market. Its market share surged from 0.5% to around 5% in under a year, earning recognition from experts like Eilers & Krejcik Gaming as “a challenger brand capable of disrupting the U.S. duopoly” of FanDuel and DraftKings.

Consolidation Before Expansion

While its innovative product is central to its success, Fanatics’ reputation as a leading sports merchandise brand has also played a key role.

As the “first true sports brand” to enter the betting space, Fanatics leveraged its extensive online merchandise presence to gain insights into user behavior that competitors in gaming lacked. Its unique features, such as the FanCash loyalty program, allow users to earn rewards not just for bets but also for merchandise, autographed memorabilia, and more—setting it apart in the industry.

This approach positions Fanatics well for Canadian expansion. The company already has strong ties in Canada as an official partner of the Toronto Raptors, the nation’s only NBA team. Additionally, Fanatics-branded apparel is a staple for Canadian pro sports fans.

A Product-Driven Expansion Strategy

With McClintic at the helm, product innovation remains the top priority as the company looks toward 2025. Whether exploring licensing opportunities in Ontario or the potential of a regulated market in Alberta, McClintic emphasized the importance of entering new markets with a refined offering.

“We’ve got to balance expanding with continuing to develop the product in our current markets,” he said. “In the first half of next year, we’re laser-focused on enhancing our product. Then, we’ll reach a point where we can simultaneously advance the product and expand internationally.”

He stressed that entering new markets, particularly international ones, requires careful preparation due to differences in currencies, terminology, and regulations.

“Canada is definitely on our roadmap, but it’s not happening in the first six months of next year,” McClintic confirmed. “We’re committed to getting everything right before we take that step.”

For Fanatics, the focus remains clear: perfect the platform, expand strategically, and bring its unique offering to new audiences—Canada included.