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Evidence of Skill and Strategy in Daily Fantasy Basketball
Brent A Evans1, Justin Roush2, Joshua D Pitts3
1Department of Economics and Finance, Georgia College & State University, 402 Atkinson Hall, Milledgeville, GA, 31061, USA. brentandrewevans@gmail.com.
Journal of Gambling Studies
|March 29, 2018
Summary
Skill is crucial for winning in daily fantasy basketball (DFB). Winning players draft more rookies and international players, and entering more lineups increases profitability, suggesting skill is a key factor.
Area of Science:
- Sports Analytics
- Behavioral Economics
- Data Science
Background:
- Daily Fantasy Basketball (DFB) is a growing but controversial segment of the fantasy sports industry.
- Limited academic research exists on DFB strategies and success factors.
Purpose of the Study:
- To conduct the first thorough examination of player strategies in DFB.
- To determine if skill is a necessary component for success in DFB.
- To identify strategic differences between winning and losing DFB participants.
Main Methods:
- Analysis of hand-collected data from thousands of participants on DraftKings.com.
- Econometric analysis to identify significant factors influencing DFB outcomes.
- Examination of draft selection patterns and lineup entry strategies.
Main Results:
- DFB requires skill for success, differentiating it from games of pure chance.
- Winning participants disproportionately select NBA rookies and international players.
- Entering a higher number of lineups correlates with increased profitability, serving as a proxy for skill.
Conclusions:
- DFB success is linked to specific player selection strategies and strategic investment in multiple lineups.
- This study contributes empirical evidence to the understanding of skill in daily fantasy sports.
- Findings offer insights into the burgeoning DFB market and its associated controversies.
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