What to Make of Exchange Betting?

re: What to Make of Exchange Betting?

Jeffrey Bowden — Sat, 14 Nov 2009 18:29:24 GMT

Billions of dollars are bet through Betfair's betting exchange each year. Betfair continues to grow and expand. European horse racing is doing just fine. Can anyone kindly prove otherwise?

Exchange betting will allow a marginal player to finally show a viable profit. This is achievable through fixed odds that actually favor a particular player's win ratio. Good players can only do better by entering the high-risk arena of laying odds, in addition to betting on favorable fixed odds.

U.S. horse racing will survive and even thrive by adding exchange betting to its betting options. More players will have the opportunity to make a viable profit. All players will have the opportunity to make the most of their handicapping skills.

re: What to Make of Exchange Betting?

Brian Appleton — Thu, 29 Oct 2009 03:33:14 GMT

I don't really have an opinion on exchange betting. I do however think the NTRA is focusing too much on betting interests as the means for which to build the sport back up to the level it used to be at. The vast majority of people I know that go to the racetrack only bet small win bets or trifectas and exactas to the tune of $2-$5. They do it for fun, hoping to get some extra cash, but mostly they are there for the atmosphere. If people want to bet they can go online nowdays, we need to focus on how to get them to the tracks. Few people that go to the track dislike it, and many can't wait to return. Tracks like Saratoga make lasting impressions just by thier nostalgic attmosphere, classy service and full race cards.

re: What to Make of Exchange Betting?

C Bea — Wed, 28 Oct 2009 23:31:30 GMT

Why are the financial terms of the Betfair deal not disclosed? Do US Owners and Breeders not have a right to know how much our product has just been sold for? Only in understanding the terms can we put the value of Exchange wagering and the "sweet perfume" of Betfair into proper big picture context.

Exchange wagering and pari-mutuel can coexist. This does not mean that Betfair is the only game in the Exchange wagering model nor does it mean that we should happily bow in gratitude for the meager crumbs that Betfair offers.

re: What to Make of Exchange Betting?

Drangen — Wed, 28 Oct 2009 21:30:17 GMT

I like that betting exchanges give me the horse player another way to express an opinion by laying odds. If, for example, I really think Zenyatta has no chance at all in the Breeders Cup Classic, I can offer her at an enticing price (say, 15-1), take only as much as I want in bets, and profit if my opinion is right. Parimutuel wagering doesn't allow for this.

re: What to Make of Exchange Betting?

tholl — Wed, 28 Oct 2009 20:02:50 GMT

Right now the big push should be to legalize exchanges. I see this as the only way racing will compete with other forms of gambling and will be the only way to attract the much needed younger crowd. Right now Kentucky needs slots but for racing, long term, relying on slots is not the answer.

Betfair has proved the popularity of exchanges and those that think it promotes illegal practises should realise that skullduggery has been going on for as long as horse racing has existed. Only with exchanges the purportrators can now be identified.

re: What to Make of Exchange Betting?

emmanuelroussel — Wed, 28 Oct 2009 18:59:42 GMT

There are two ways to look at it. As a gambler, it is great fun and you get a good price. As a horseman, you have to have concerns about the sports integrity and the industry's funding.

America has got what it takes to get the best of it. Continental Europeans don't.

As a whole united country, US could set the rules and dictate the amount of the takeout. But racing has to control the game. It is basically peer-to-peer pari-mutuel. As long as the industry controls it - would the government let that happen though ? - it could also check out the suspicious bets and name the cheaters. Whereas a scheme made with cash on OTBs could be more difficult to trace.

Isn't there a word saying :"If you can't beat them, join them" ?

I am French and it is more difficult for one single European country to rule that way because the neighbouring countries might think otherwise and ignore your laws.

re: What to Make of Exchange Betting?

Jeff True — Wed, 28 Oct 2009 18:16:10 GMT

Alex

I applaud the effort by BC and Betfair to make the racing product available to a new set of customers, even if their betting system differs. I am eagerly awaiting the results of the side by side comparison of the two systems.

As for the future, I am convinced that there is a structural, organizational limitation to US racing that, unless seriously addressed, will prevent any significant progress or improvement. I know that is not a new idea or thought, but my point is that there is no one solution to solving our overpriced, almost incoherent product placement in terms of public appeal or consumption.

Exchange betting has some promise as part of larger plan to re-organize and re-sturcture the pattern of US racing to focus the public on what matters and what is bettable. With some work we can adjust pricing, volume and even types of betting systems more succinctly. Exchange and parimuutel are not the only choices.

Globalization of exotic pools is a must (and is happening) and will be a truss supporting our complex business structure going forward.

I am hopeful that some serious thought and effort is being considered by stakeholders to a long term structural change that maximizes horse racing's best attributes and markets.

Good luck.

re: What to Make of Exchange Betting?

Craig — Wed, 28 Oct 2009 16:29:51 GMT

Alex,

I don't have a solid opinion one way or the other on exchange betting, right now. However, I do hold a strong opinion that very little about the decisions made for U.S. racing, has been done with extreme caution and careful planning ( synthetics, drug policy, discipline for known cheaters etc... ). I certainly don't expect, that suddenly, the industry will discover prudence in their decision making.