Daily fantasy sports sites like DraftKings and FanDuel are establishing partnerships with sports venues to open exclusive fantasy lounges as a way to attract new customers and gain market share. STAPLES Center recently opened the DraftKings Fantasy Sports Bar & Lounge, a public space featuring many screens displaying games and fantasy stats. The Minnesota Vikings are opening a more exclusive 18,000 square foot fantasy club called Club Purple for high-end season ticket holders, featuring couches, private boxes, and screens displaying real-time fantasy data. These lounges enhance the live sports viewing experience for fantasy players and help the daily fantasy sites expand their business through new marketing opportunities in physical spaces.

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FANTASY BECOMING
A REAL REVENUE
GENERATOR
Daily fantasy sports sites are in a race for market share. And part
of their marketing strategies is the sponsorship of hip, high-tech
fantasy lounges within sports and entertainment venues. These
new destinations, which are exclusive to premium patrons in some
locations, match and surpass the at-home viewing experience.
By Max Snyder, ALSD
QUICK HITS
Thetwolargestdaily
fantasysportssites,DraftKings
andFanDuel,have$1.2billion
and$1.3billionvaluations,
respectively.
TheDraftKingsFantasy
SportsBar&Lounge,with
furnishingsthatincludesmart
televisions,tablets,anda
serpentinebar,isopentoall
ticketholdersat
STAPLESCenter.
ClubPurpleatU.S.Bank
Stadium,currentlyunder
construction,isanupscale
seatingareathatoffersreal-
timefantasystatsandpremium
amenities,suchasall-inclusive
F&Bandin-seatdrinkservice.
Threatsofgovernment
regulationandrecentscandals
frameanunclearfuturefor
venuepartnershipswithdaily
fantasysites.
I
n 2015, fantasy sports are starting to feel something
quite the contrary – they feel very real. Real people,
real experiences,and real money have grabbed the at-
tention of fans and investors alike in a whirlwind of
fan experiences, driven by business competition.
While fantasy sports are not necessarily a novel notion
– form a league with a group of friends, draft a team, and
make adjustments and trades throughout a season-long
competition – the advent of daily fantasy sites like Draft-
Kings and FanDuel are now stirring the pot.
Through these sites, fans can now create fantasy teams
on a weekly or even daily basis, and win money doing it,
piquing the interest of investors, both in and out of the
sports and entertainment industry, as well as driving a
whole new economy centered around the consumption of
sports information.
As a result of the opportunity seen by investors to
capture the daily fantasy market’s value, DraftKings has
been privately funded with $426 million and holds a $1.2
billion valuation, while FanDuel possesses a $1.3 billion
valuation on $363 million in private funding,according to
the Wall Street Journal.
The past two years have seen a heavy number of adver-
tisements, as well as league and team partnerships involv-
ing both companies, as part of an effort to capture market
share and become the leader in the space.
With fantasy sports quickly becoming an experience
that can be monetized, as evidenced by these large part-
nerships, the next step seems to be bringing this experi-
ence into the physical world of sports venues through
sponsored lounges. These fantasy-themed spaces give
venues an additional fan experience and give daily fantasy
sites an opportunity to capitalize on customers’ loyalty to
the teams and venues they love.
With this knowledge in hand, several venues have
taken their own startup-like approach to some of their
newly renovated spaces, experimenting with varying ap-
proaches to what is now a growing pool of fantasy lounges
and sports bars in professional venues throughout North
America.

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A NEW CONSUMER STAPLE
One of the newest fantasy lounges is found at STAPLES
Center.The Los Angeles arena has taken its own approach
to fantasy integration by partnering with DraftKings to
build the DraftKings Fantasy Sports Bar & Lounge, a
public fantasy space in the arena open to all ticket holders,
which debuted at the LA Kings home opener on October
7th.
“It has a sports bar feel,” says Lee Zeidman, President
of STAPLES Center, Microsoft Theater, and L.A. LIVE.
“Think old ESPN Zones,Buffalo Wild Wings,and those
types of places. We’ve taken a look at those concepts, and
we believe we’ve improved on them.”
Located directly off of the main concourse, the $1.7
million renovation is a unique space outfitted with 35
Toshiba smart televisions,sixToshiba Virtuoso screens,15
Microsoft Surface tablets, and four iMacs, providing fans
with an extensive platform to participate in fantasy sports,
in addition to using their personal devices.
Furnishings consist primarily of high-top, commu-
nal tables and surrounding barstools in the center of the
4,400-square-foot space, with a serpentine bar lining
one side of the room.The venue also contains a built-out
broadcast VIP lounge open exclusively to DraftKings
VIP’s.The total capacity of the space is 246.
AEG’s Global Partnerships division,led by Nick Baker,
played a major role in negotiating the deal with Draft-
Kings that included the lounge as a part of a broader part-
nership effort.
“Think old ESPN Zones, Buffalo Wild Wings, and
those types of places. We’ve taken a look at those
concepts, and we believe we’ve improved on
them.”
– Lee Zeidman, STAPLES Center
DraftKings Fantasy Sports Bar & Lounge:The newly unveiled fantasy lounge at STAPLES Center includes 35
Toshiba smart televisions, sixToshibaVirtuoso screens, 15 Microsoft Surface tablets, and four iMacs.

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FOOD AND BEVERAGE
With the new space comes an opportunity for new food
and beverage items, something that the STAPLES Cen-
ter took advantage of by partnering with local celebrity
chef, Josiah Citrin, who conceived the concept of Dave’s
Dog House as the fare exclusive to the new space. The
menu includes four different types of hot dogs: Dave’s
Dog, the Mac and Cheese Dog, the California dog, and
the Cowboy Dog.
Additional items include three tater tot and three slider
variations, alongside a few dessert options, all served with
signature cocktails, bottled beers, and craft beer on tap.
While the food and beverage in this area can be purchased
through a normal concessions process, each table will also
have its own wait service.
ENHANCING EXPERIENCE THROUGH
PARTNERSHIP
The DraftKings Fantasy Sports Bar & Lounge was for-
merly an old merchandise store, Team LA, which has
since moved to a new location with double the capacity.
One of the main challenges associated with construct-
ing the new lounge was building the mini kitchen in a
space that did not formerly support cooking capabilities.
The arena installed IE hoods,fryers,and other equipment
that added to the scope of the build.
Guests providing their DraftKings ID’s receive dis-
counts on food and beverages and other exclusive oppor-
tunities throughout each event. Attendance at the lounge
also presents fans with a chance to receive prizes, special
offers, and even upgrade their seats to VIP seats provided
by DraftKings.
CURRENT FANTASY LOUNGES IN SPORTS AND ENTERTAINMENT VENUES
SITE/PARTNER VENUE MAJOR TEAMS AT LOCATION
Draft Ops Barclays Center Brooklyn Nets, New York Islanders
Draft Ops Verizon Center Washington Wizards, Washington Capitals
Draft Ops Honda Center Anaheim Ducks
Draft Ops TD Garden Boston Celtics, Boston Bruins
DraftKings Madison Square Garden New York Knicks, New York Rangers
DraftKings Wrigley Field Chicago Cubs
DraftKings Gillette Stadium New England Patriots
DraftKings STAPLES Center Los Angeles Lakers, Clippers, and Kings
DraftKings Arrowhead Stadium Kansas City Chiefs
DraftKings AT&T Stadium Dallas Cowboys
DraftKings Wells Fargo Center Philadelphia 76ers, Philadelphia Flyers
FanDuel FedEx Forum Memphis Grizzlies
FanDuel Amway Center Orlando Magic
FanDuel EverBank Field Jacksonville Jaguars
FanDuel FirstEnergy Stadium Cleveland Browns
FanDuel FedEx Field Washington Redskins
Yahoo Levi’s Stadium San Francisco 49ers
N/A U.S. Bank Stadium Minnesota Vikings
Source: www.legalsportsreport.com/daily-fantasy-sports-lounges
“I think we’re going to find quite a few
DraftKings players that are also season seat
holders prop themselves down in this place
as well.”
– Lee Zeidman, STAPLES Center

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In terms of the profile of a typical patron in the lounge,
Zeidman is still unsure of who will most enjoy the new
area.
“I think it’s going to be quite a few season ticket hold-
ers because this is a brand new space for them,” predicts
Zeidman. “And I think we’re going to find quite a few
DraftKings players that are also season seat holders prop
themselves down in this place as well,or the casual Draft-
Kings fantasy sports user may just buy a ticket and come
into the arena and be part of the lounge.”
THE PREMIUM FANTASY CLUB
The Minnesota Vikings will have a different take on the
fantasy space in their new build, U.S. Bank Stadium, cur-
rently under construction in downtown Minneapolis.
With the success of premium sales in advance of the sta-
dium’s opening, the team decided to create a more private
fantasy experience for its premium customers, dubbed
Club Purple.
“Club Purple will ultimately be our headquarters for
fantasy,” says J.P. Paul, Vice President of Corporate De-
velopment and Guest Relations for the Vikings. “We’re
looking at this space from a fan standpoint.If you’re in this
space,you’re going to be up-to-date on everything fantasy
that we have going on.”
In order to accommodate each fan’s desire for ample
fantasy information, the 18,000-square-foot club features
a communal lounge space with over 30 L-shaped couches
surrounded by a multitude of video boards providing real-
time fantasy stats. The club feeds into an exterior section
containing both loge boxes and club seats for those fantasy
fans who also want a premium seat experience.
“We’re looking right now at each of these couches, and
most likely the loges in these spaces,having tablets that we
can push fantasy information to,”says Paul.“If you are the
owner of that couch,you have your fantasy information at
your fingertips right there.”
The space will also contain an area for pregame televi-
CLUB PURPLE AT U.S. BANK STADIUM
The Minnesota Vikings offer four different premium seating options in their new 18,000-square-foot, fantasy-themed club space.
PRODUCT QUANTITY PRICE
Couch 33 with capacity for 6-12 people $40,000 – $72,000 per season
Loge Box 8 with capacity for 6-8 people $36,000 – $52,000 per season
Club Seat 600 $3,500 – $5,000 per season
Drink Rail Seat 22 $6,000 per season

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sion and radio fantasy broadcasts to interact with the fans,
as well as an outside deck, pending final review, that will
give individuals in the club an overarching view of down-
town Minneapolis.
FOOD AND BEVERAGE
In the center of the communal space is a rectangular bar
that serves as a primary service area.There is a smaller bar
at the south end of the space and a foodservice area on the
north end. A portable action station will also be present
to customize various options on a game-by-game basis.
Club Purple members have access to all-inclusive food
and beverage, with the exception of hard liquor.
EXPERIENCE CLUB PURPLE
Football is the substantial leader among fantasy sports,
posing some of the largest opportunities for both the
NFL, and teams like the Vikings.
“One of the biggest challenges we have in the NFL is
our product is so good onTV that we’ve got to do whatev-
er we can to get people to come to the stadium,”says Paul.
“And I think [Club Purple] is a great way to do it. You’ve
got connectivity. You’ve got food and beverage close by.
You’ve got somebody coming to bring your drinks to you.
And you’re sitting on your couch.But instead of looking at
an 80-inch TV, you’re looking at a 120-yards-long field.”
Fans in the connected, communal couch area will each
have their own TV and be surrounded by other groups
keeping track of their respective fantasy games. On each
couch, fans will be able to lay back and not miss a sec-
ond of the action, due to the club’s in-seat drink service
amenity.
“We want to allow the fans to engage with one another
as well,” says Paul. “Fans could potentially have fantasy
leagues within this space in addition to their own fantasy
leagues with their buddies from college.Every Sunday,the
guy you’re sitting next to is in your fantasy league,and you
guys can talk about your fantasy teams while watching the
Vikes play.”
At the time this article is being written, the team has
not yet solidified a sponsorship deal with a daily fantasy
site, but a deal will likely be released in the near future
that will further enhance the experiences offered in Club
Purple.
THE MARKET RESPONSE
To date, the Vikings have sold out both the couch and
loge box products,with a limited number of club seats still
available, roughly nine months in advance of U.S. Bank
“Fans could potentially have fantasy leagues within this
space… Every Sunday, the guy you’re sitting next to is in
your fantasy league, and you guys can talk about your
fantasy teams while watching the Vikes play.”
– J.P. Paul, Minnesota Vikings
Top: A rectangular bar sits in the center of Club Purple, with additional foodservice installations located throughout the
space. Club members have access to all-inclusive food and beverages, including beer and wine.
Bottom: L-shaped couches provide club patrons with a unique premium seat offering, one that rivals the at-home
viewing experience. Loge boxes, traditional club seats, and drink rail seating are also available in Club Purple.

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Stadium’s opening.
So far buyers have consisted of a mix of individuals and
smaller companies that aren’t interested in a larger suite
investment.Club Purple’s layout allows each of these par-
ties to be a part of a larger social experience, while also
owning their own private areas.
“The space is going to be very modern, hip, and trendy,
almost like a Las Vegas sportsbook feel,” says Paul. “We
envisioned it for that group of people made up of young
Millennials with a little bit of money.”
FANTASY OF THE FUTURE
To date, almost 20 fantasy lounges exist or are being built
in current and future venues. With recent controversy
invoking regulatory debates over daily fantasy sites as a
form of gambling, as well as recent scandals highlighting
insider use of daily fantasy information by daily fantasy
employees,the future of fantasy,and its place in sports and
entertainment facilities, is unclear.
“There are smart people out there that are going to
figure this out,” says Zeidman. “They certainly have got-
ten themselves funded. If you’ve watched the NFL games
[this season], you’ve seen that they’re pretty prominent
[with advertisements] throughout the entire broadcast.So
either [fantasy] is here to stay, and it’s going to be a great
concept moving forward, or who knows what happens
when the government gets involved.”#
Isyourvenueconsideringbuildingoutafantasysportslounge?
WritetoMaxatmax@alsd.com.
COMING UP NEXT:
EXPERIENCE
STARTS WITH
SAFETY
Editor’s Note: Since our editorial deadline, New York’s
Attorney General, Eric Schneiderman, sent both Draft-
Kings and FanDuel cease-and-desist notices, citing that
the daily fantasy sites constitute gambling under New
York law.
In response, both DFS companies filed lawsuits in the
New York State Supreme Court in Manhattan, claiming
that the Attorney General’s action represents “illegal in-
terference with their business operations.”
DraftKings and FanDuel also sought a restraining or-
der against the Attorney General, which was denied by
New York Supreme Court Justice, Manuel Mendez. In
response, Scheiderman memorialized his request to shut
down the DFS companies by filing an injunction in the
court.
Rest assured, the legal battle is not over. Many other
states will be watching New York for the precedent it
could set. ALSD member teams who currently have a
DFS partnership or are considering one will also want to
keep a close eye on this developing story.
Touch and Go: Smart
televisions and touchscreens
are located throughout the
DraftKings Fantasy Sports Bar
& Lounge for patrons to make
quick updates to their fantasy
sports rosters.