DraftKings set to integrate new prediction market into super app

Following a challenging earnings call last month marred by continued declines on equity markets, DraftKings turned to a new product at this week’s investor day as a potential catalyst to reverse its stock woes.

Later this month, DraftKings intends to launch a new “super app” that will enable users to access its online sportsbook and prediction markets segments on the same platform. The company will rebrand DraftKings Sportsbook & Casino, its largest app, to simply DraftKings Sports & Casino, reflecting the new prediction markets division. Based on the fragmentation of disparate state regulations, the user experience will vary per jurisdiction, according to DraftKings CEO Jason Robins.

Robins believes the expanded app will enable DraftKings to scale its brand nationwide, rather than a subset of certain states. Moreover, he views the app as a vehicle for integrating DraftKings Predicts with other products, providing new cross-selling opportunities with divisions such as the company’s online casino brand.

DraftKings made the announcement on 2 March during the company’s annual Investor Day presentation. The response on Wall Street, however, was muted as DraftKings closed the session relatively flat. Clobbered by the rapid expansion of prediction markets, several online sports betting stocks are down 35%+ over the last year.

A proprietary model

After Robins gave his introductory remarks, he turned the call over to Jeanine Hightower-Sellitto, who serves as DraftKings’ general manager of its predictions unit. The company, she explained, spent years building a pricing and trading stack on the sportsbook side. By utilising the same sports data modelling, trading and risk infrastructure that powers its sportsbook to predictions, DraftKings intends to offer “broader market availability” and deeper content, she indicated.

At the same time, Hightower-Sellitto emphasised that liquidity will be central to the user experience. DraftKings hopes to drive customer retention through tight, two-way spreads and quick updates on the platform, she said.

For the most part, Wall Street analysts agree that some prediction market wrinkles still need to be ironed out. On the marketing side, DraftKings acknowledged that with the introduction of prediction markets, there will be an incremental investment in the coming months. If DraftKings is not hitting initial revenue targets, the company can respond by paring back advertising and promotions on the local level.

One advantage of launching prediction markets in non-sports betting states is that the rollout could prepare certain jurisdictions for the eventual legalisation of online sports betting, Truist Securities analyst Barry Jonas wrote. The launch of the single app may also prompt DraftKings to pursue the goal of a single wallet, he added.

Citizens analyst Jordan Bender noted that the super app will support more efficient marketing for DraftKings, as the company leverages national broadcasting rights through media partners such as ESPN.

As of Friday afternoon, DraftKings traded at $25 a share, down 1.8% on the session. DraftKings is up nearly 15% since the company hosted its 2025 fourth-quarter earnings call last month.

Matt Rybaltowski

Matt is primarily responsible for long-form feature coverage on complex sports betting scandals. He also provides coverage on finance, M&A and other technological developments.