DraftKings Leads as Bettors Favor Sportsbooks Over Markets

A fresh industry survey suggests that traditional online sportsbooks continue to have a stronger appeal than prediction market platforms in regions where both options are available to consumers.

Kalshi Gains Ground in States Without Legal Sportsbooks

According to research conducted by Truist Securities, users tend to gravitate toward DraftKings when given a choice between conventional sports wagering and event-based trading platforms such as Kalshi. The findings show that DraftKings was identified by one-fifth of respondents as the most attractive product overall, with Kalshi right behind.

Participants cited a range of reasons for their preferences. Many pointed to the overall user experience as the deciding factor, while others highlighted performance, interface design, and incentive structures as having an influence on their decisions. Despite this, the scene shifts when the focus narrows to prediction markets. In that category, Kalshi emerges as the leading option, outperforming similar offerings, including those introduced by established sportsbook brands.

The results reinforce a broader trend seen across the US betting environment. In jurisdictions where online sports betting is permitted, established operators appear to maintain a competitive edge. Data referenced in the survey shows that Kalshi accounts for a small fraction of user deposits in states where DraftKings already operates a licensed sportsbook.

Study Highlights Who Uses Prediction Markets and Why

Geography has a key influence on shaping user behavior. States without legal sports betting, like California and Texas, recorded some of the highest engagement levels with prediction markets. Meanwhile, participation from New York stood out as high despite the state’s mature and competitive sportsbook environment.

Notably, many respondents indicated that they would likely transition to traditional sportsbooks if regulations in their home states were to change. This suggests that prediction markets may serve as a substitute rather than a long-term competitor in restricted regions.

The survey provides insight into who uses prediction markets. Unlike the common belief that younger people dominate this space, the data shows a more mature group. Most users are between their late twenties and late forties, with a strong presence in the 30 to 39 age range.

Furthermore, participants tend to be well-educated and stable. A significant portion reported holding university degrees, while a large share indicated household incomes above $100,000 per year. Together, the findings suggest that while prediction markets are gaining momentum, especially in underserved regions, traditional sportsbooks like DraftKings remain positioned as the preferred choice for most bettors when accessibility is not a concern.