FanDuel will launch a loyalty program for its US sportsbook customers before the end of June 2026, Flutter Entertainment chief executive Peter Jackson confirmed this week.
Jackson made the disclosure during a Morgan Stanley Technology, Media and Telecom Conference webinar, framing the initiative as a tool to improve customer engagement and deepen the value exchange between the platform and its users.
A Gap That Has Persisted Too Long
FanDuel holds around 41% of US online sports betting gross gaming revenue by Flutter’s own estimates, yet it remains one of the few major operators in the market without a structured rewards system for sportsbook customers.
The gap has become increasingly conspicuous. DraftKings operates a digital currency called Crowns, redeemable for merchandise, gift cards, and products from brands including Apple and Callaway. Fanatics runs a Fan Cash programme that allows bettors to earn credits toward purchases from its sporting goods catalogue. Casino-linked sportsbooks including BetMGM, Caesars, and Hard Rock have long leveraged their hospitality infrastructure to offer loyalty points redeemable for hotel stays, dining, and live entertainment.
Jackson acknowledged the importance of making customers feel more connected to the product, though specific details of FanDuel’s rewards structure were not disclosed during the event. Industry observers expect the programme to combine some form of cashback, bonus credits, exclusive promotions, and tiered earning mechanics.
Context: Slowing Handle and Prediction Market Pressure
The loyalty announcement comes at a sensitive moment for Flutter’s US operations. Q4 2025 results showed handle growth of approximately 3%, below market expectations. Management attributed the shortfall to unusually high gross revenue margins during the NFL season: as the house won more frequently, bettors had less capital to recycle into new wagers.
Flutter’s share price has been trading around half its 12-month high, weighed down by slowing US growth and investor anxiety over the rising profile of prediction markets as an alternative to traditional sports betting.
Jackson pushed back on the prediction market concern during the Morgan Stanley event, pointing to FanDuel’s performance in Missouri as evidence that bettors favour regulated sportsbooks when given the choice. He described one of the strongest customer acquisition ramps in the company’s history following Missouri’s sports betting launch.
Flutter is also investing directly in the space through FanDuel Predicts, its prediction markets platform launched in late 2025 in partnership with derivatives exchange CME Group. The company has guided that losses from this push will come in near the top of its previously indicated range for the year.
For additional context on how Flutter’s US performance trended through 2025, including the India exit impact, TGE covered the Q3 results in detail.
Financial Guidance and NFL Season Positioning
Flutter’s 2026 group guidance targets revenue of $18.4bn and adjusted EBITDA of approximately $2.97bn at midpoint. US-specific guidance calls for $7.8bn in revenue and $1.05bn in adjusted EBITDA.
The loyalty programme is timed to strengthen FanDuel’s competitive position ahead of the 2026-27 NFL season, traditionally the highest-revenue period for US sportsbooks. Management acknowledged that the company’s promotional strategy during the second half of 2024 fell short of expectations, and the rewards system forms part of a broader retention effort.
Whether it closes the competitive gap with DraftKings and Fanatics will depend on the specifics of the design. FanDuel’s scale gives it a significant distribution base to work with: a loyalty programme that moves even a fraction of its 41% GGR share toward higher engagement could generate material incremental revenue. The programme’s structure, earning rates, and redemption options will determine how quickly it resonates with a customer base that has grown accustomed to promotional incentives from rival operators.
The BetMGM loyalty infrastructure, backed by MGM Resorts’ broader rewards ecosystem, and DraftKings’ Crowns programme both serve as benchmarks FanDuel will need to match or differentiate against. With the NFL calendar as the target window, Flutter has approximately four months to design, build, and communicate a programme capable of shifting customer behaviour at scale.
FanDuel’s appointment of leadership focused on marketing and customer experience in recent months signals the organisation is aligning resources behind this push ahead of the critical autumn window.
Source: iGaming Republic
