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Business Operations Business Models

How Does Barstool Sports Make Money (Business and Revenue Model)

The Barstool Sports business model

Barstool Sports logo
Here’s what you should know:
  • What is Barstool Sports, and how does Barstool Sports work?
  • How does Barstool Sports make money?
  • Revenue from their Barstool Sportsbook & Casino app
  • Advertising Revenue (3 different ways)
  • Subscription Revenue (Barstool Gold)
  • Selling Merchandise (Barstool Store)
  • Barstool Sports subsidiaries, acquisitions, and exits
  • Barstool Sports profit and revenue
  • What is the Barstool Sports business and revenue model?
  • Barstool Sports funding, net worth, and valuation

How does Barstool Sports make money and how is it free to use? Well, here is a full, in depth, breakdown of their four (4) revenue streams and the different products and services they offer, as well as the Barstool Sports business and revenue model, how much Barstool Sports makes per year, and how Barstool Sports works.

What is Barstool Sports, and how does Barstool Sports work?

Barstool Sports is a digital media company focused on sports and pop-culture content.

Founded in 2003 by David Portnoy, Barstool Sports went on to later get acquired by TCG on January 8, 2016, for an undisclosed amount

Since that time, Barstool Sports now attracts millions and millions of users and traffic through all of the various products and platforms they offer.

So, how does Barstool Sports work? To get Barstool’s content or to use their Sportbook app, users can simply either just download their mobile app in the Apple App Store or Google Play store; or by visiting their website.

Some of Barstool Sports’ competitors include DraftKings, FanDuel, BetMGM, and other sports betting apps.

Barstool Sports App in Apple App Store | Barstool Sports Business Model | How Does Barstool Sports Make Money? | How Does Barstool Sports Work?
Source: Apple App Store | Barstool Sports

How does Barstool Sports make money?

Barstool Sports attracts millions and millions of users and traffic through all of the various products and platforms they offer, per reports.

So how does Barstool Sports make money off of all these users and traffic if the services they offer are free to use?

Below is a breakdown of how much money Barstool Sports makes and its revenue model. Including all revenue streams and how much they charge for their services.

Here are the 4 ways of how Barstool Sports makes money in 2022

Barstool Sports has a revenue model that makes money in four (4) ways; revenue from their Barstool Sportsbook & Casino app, ad revenue, subscription revenue, and selling merchandise.

#1. Revenue from their Barstool Sportsbook & Casino app

One of the ways Barstool Sports makes money is through their sports betting app, Barstool Sportsbook & Casino.

How does Barstool Sports make money from their Sportsbook app? Barstool Sports makes money “by setting odds that are intended to provide a built-in theoretical margin in each proposition offered to our users.” In short, they make money when their users lose bets.

Barstool Sportsbook app | Barstool Sports Business Model | How Does Barstool Sports Make Money? | How Does Barstool Sports Work?
Source: Barstool Sportsbook

#2. Advertising Revenue (3 different ways)

Barstool Sports makes money from its ad revenue in at least three (3) different ways;

  1. third party ads (through the website and in-app),

  2. Sponsored ads on their podcast, and

  3. ads on their Youtube channel video content

Here is the traffic breakdown – Barstool Sports receives an estimated 10+ million monthly visitors to their website, over 650 million total views with more than 1.2 million subscribers on their Youtube channel, as well as attracting over 8 million unique monthly listeners to their podcast.

Note: Collectively, all of Barstool Sports’ products and platforms generate millions of users and traffic. Which leads to more impressions on their ads. Resulting in more ad dollars for Barstool Sports..

#3. Subscription Revenue (Barstool Gold)

In addition to betting and adverting revenue, Barstool Sports also makes money through their subscription service, Barstool Gold.

For a subscription fee of $50 to $100 per year, members get access to exclusive episodes of their podcast, an ad-free experience, as well as other exclusive membership perks (depending on which subscription tier members sign up for).

Barstool Gold Cost:

  • $50 to $100 per year (depending on the plan)

Note: As of March 2020, Barstool Gold is now free and no longer behind a subscription paywall.

#4. Selling Merchandise (Barstool Store)

In addition to advertising and subscription revenue, Barstool Sports also makes money selling their own merchandise through its official online Barstool Store.

Here, they sell branded Barstool apparel, accessories, and more that range in price between $5 to $379+.

Barstool Sports subsidiaries, acquisitions, and exits

Aside from Barstool Sports being acquired by TCG, Barstool Sports has had its own fair share of acquisitions as well.

To date, Barstool Sports, Inc. has made a total of 2 acquisitions.

Mergers and acquisitions business model
Source: Crunchbase | Barstool Sports

Barstool Sports profit and revenue

Barstool Sports has not released any official reports in regards to company earnings.

Note: Because Barstool Sports, Inc. is a privately held company, they are not required to make their annual reporting, such as Form 10-K’s, pubic.

What is the Barstool Sports business and revenue model?

Barstool Sports makes money through a few revenue models that they combine within their company, they are:

  • Freemium business model
  • Advertising business model
  • Subscription business model
  • Transaction based business model
  • Licensing business model
  • B2B2C (partnerships) business model
  • Mergers and acquisitions (M&A) business model

Barstool Sports funding, net worth, and valuation

According to Barstool Sports’ Crunchbase profile, Barstool Sports raised $178 million over 2 rounds.

On January 8, 2016, Barstool Sports was acquired by TCG for an undisclosed amount.