DraftKings unveils expanded growth strategy, new ‘Super App’ combining multiple verticals

DraftKings has announced an expanded growth strategy and long-term financial framework, positioning the company to capitalise on what management expects to be a $55 billion to $80 billion industry gross revenue opportunity by 2030. The roadmap includes the launch of a new "Super App", bringing together the firm's multiple verticals into a seamless experience.

The company also revealed plans to increase the use of artificial intelligence across its platform to drive efficiency and operating leverage. 

The projected 2030 market opportunity reflects ongoing state legalization of sportsbooks and online casinos, growth in existing markets, and expansion of DraftKings Predictions, the operator's new product that allows it to offer sports event contracts in states without regulated online wagering, effectively reaching nearly the entire U.S. population.

As part of its strategy, DraftKings will launch a new "Super App", DraftKings Sports & Casino, which will integrate Sportsbook, Predictions, Casino, and Lottery into a single platform with one account and wallet. Its daily fantasy products will remain separate.

The first phase of the rollout is expected by March Madness, with further upgrades planned throughout the year. The app will use DraftKings’ experience operating its top-rated Sportsbook to provide "a unified sports experience, available nationwide."

The Super App is designed to enhance DraftKings’ “lifetime value flywheel,” driving efficiency across product, technology, trust, and marketing—advantages the company says will be further amplified by AI. DraftKings expects the app to strengthen cross-selling opportunities, deepen customer engagement, and optimize unit economics across all verticals.

“We will now have a sports product everywhere for customers across the entire country,” DraftKings co-founder and CEO Jason Robins said. “Number two, it allows us to leverage our huge scale with our brand and marketing footprint. All of our national marketing now will be working across the entire country, instead of across a subset of states where we have sports betting.”

The user experience will depend on local legality. In California, for example, customers will not be able to wager on the sportsbook because sports betting is not legal there, but could use the prediction market.

Management has called the new prediction market product essential to growth. The company currently offers predictions like a vendor, as an introducing broker (IB), through partnerships with CME Group and Crypto.com. 

DraftKings purchased Railbird, a designated contract market (DCM) licensed by the Commodity Futures Trading Commission (CFTC), in October last year. However, that company has yet to launch a prediction market.

The company expects to develop “an industry-leading sports predictions experience" by the beginning of the next NFL season, according to Jeanine Hightower-Sellitto, General Manager of DraftKings Predictions. "We intend to own more of the prediction stack, so we control the end-to-end customer experience and the economics that come with it," she said.

Looking ahead, DraftKings aims to achieve at least a 30% adjusted EBITDA margin over the long term, with potential upside as scale increases.