A wall of big-screen televisions, with couches and plush chairs set up just feet away. Beer bottles clanking. The smell of buffalo wings. And above the din, cheers for random NFL games bounced around the corners.
No, it’s not a sportsbook in Las Vegas. It’s Pilsener Haus & Biergarten in Hoboken, where DraftKings threw a party on the first football Sunday of the fall. With the recent legalization of sports betting in New Jersey, hundreds of people were on their phones placing money on everything from futures to very specific in-game wagers.
Like Sidney Mandel, a 32-year-old from North Jersey, who put a couple bucks on the Colts to beat the Bengals — and he did it 10 minutes into the first quarter. As the game went on, there was a buyout number for his bet that fluctuated with each play.
It is a new age of sports gambling, indeed.
“I never thought I’d see the day it was legal,” said Mandel, who was clad in his beat-up Jets jersey and set up with his laptop and phone on a table like a small work station. Before New Jersey passed the new law in June, Mandel placed sports bets like many others — with a shady, offshore account that he said once walked away with $15,000 of his money. But now, everything is a lot easier and a lot safer.
“The fact that it’s legal is a big deal,” Mandel said. “With DraftKings, they’re reasonable, thankfully, and they can be held accountable.”
Somewhat surprisingly, DraftKings got out in front of this new market, segueing from a daily fantasy program to a full-on sports book. The app rolled out just over a month ago and has GPS positioning to within 30 feet of your location, meaning if someone is in a state where sports betting isn’t legal — like across the Hudson River in New York — then the bet can’t go through.
But thus far, even in the sporting lull that is late summer, the company said it has received more than 1 million sports bets — not including daily fantasy — with no slowdown in sight.
“We’re excited about the promise of it,” DraftKings chief business officer, Ezra Kucharz, said about the possibility of being in front of the market for the time when it might become legal on the federal level. “We are cautiously optimistic. But for now, it’s on a state-by-state basis.”
Nick Mangold (left) is interviewed by DraftKings host Adam KaufmanRobert SaboThere are nine states that still have not cleared sports betting, but it sure seems like once they see the success — as in tax revenue — in states like New Jersey, they all will fall in line. West Virginia, for one, is allowing reciprocity from those with a gambling license in New Jersey, watching to see how much revenue it can bring.
Being in Hoboken on Sunday — with people also drawn to special guests Brandon Jacobs, Nick Mangold and Mike Francesa — it was clear the revenue pool is very deep. Anthony Schneider, a 25-year-old from Butler, N.J., had only dabbled in the new app, but was looking forward to the NFL season to get rolling.
“It’s beautiful,” Schneider said. “I just get more enjoyment out of sports betting on them because it makes every game more interesting. If it’s $1 or $1,000, it’s immediately more interesting.”
Of course, lawmakers are clearly worried about the addictive nature of gambling, and the in-game bets can happen almost every minute. In baseball, for example, you can bet if each pitch is going to be a strike or a ball, or the over-under on how many hits in an inning.
“Have you ever sat through 162 games, nine innings each?” Schneider said. “I’ll absolutely bet $2 on a pitch.”
The daily fantasy is still a big part of DraftKings business, and it has created so many games each day which helps churn the money and give the DraftKings its cut. With the separate sports book app, the business has already expanded exponentially. Eventually, others are going to try to cut a big chunk out of the market, including MGM, the huge casino company. But the market as a whole is certainly on the upswing.
“As of now,” Kucharz said, “it is exceeding our initial expectations.”



