Horse racing is seeking to maintain its relevance and increase wagering revenue by adopting fixed-odds wagering, the popular format used in mainstream sports betting, which saw $149 billion wagered in the U.S. last year. Introducing fixed-odds betting alongside traditional pari-mutuel pools could help horse racing compete on the same platforms as other sports, attracting new bettors who find pari-mutuel wagering confusing. Recent legislative moves in West Virginia and Louisiana signal progress, though some industry stakeholders worry about potential losses in pari-mutuel handle. Panelists at The Racing and Gaming Conference highlighted Australia’s success, where fixed-odds wagering now accounts for 85% of betting and has coincided with a doubling of purse money over the past decade.

Experts emphasize a cautious, data-driven rollout of fixed-odds wagering in the U.S., with the potential for it to coexist and even complement pari-mutuel betting by drawing in new bettors who may then engage with exotic and multi-race wagers. Major race days like the Kentucky Derby and Breeders’ Cup remain crucial for attracting interest, but expanding fixed-odds options on sportsbook apps during these marquee events could help horse racing capture casual sports bettors’ attention year-round. The goal is to leverage fixed-odds betting to grow the overall betting pool and sustain the sport’s economic viability in a competitive sports wagering market.