Similarities and Differences Between Daily Fantasy Sports Users and Traditional Fantasy Sports Users & Recommendations for the Industry

The multibillion dollar fantasy sports industry is comprised of two main groups: traditional fantasy sports (TFS) and daily fantasy sports (DFS). TFS users play in season­long leagues while DFS users play in one­day contests. In November 2015, New York Attorney General Eric T. Schneiderman opened an investigation into the DFS businesses FanDuel and DraftKings following allegations of “insider trading” by employees who may have had access to information that was not available to the public. Schneiderman’s investigation generated questions about DFS and how they differed from TFS. It was also the first instance of the differentiation between the two. This study looks at how TFS users and DFS users are similar and different in their motivations to play.
Our study surveyed 43 DFS users to determine how they began playing DFS, what they like about DFS, and what they dislike about DFS. From the data collected, it was determined that TFS and DFS users are similar in their competitive nature, in their increased levels of sports consumption and investment, and in their increased favoritism towards individual players over teams. The main differences between TFS and DFS users were how each felt they were at a disadvantage, the levels of camaraderie within the sport, and their stance on gambling. TFS users felt their disadvantages came from lackluster commissioners while DFS users felt that the companies themselves were setting them at a disadvantage. TFS users placed more value on the camaraderie and social sport while DFS users placed more value on profit and excitement. TFS users felt that TFS was not gambling and that DFS was, while DFS users accepted DFS as gambling.