Learn all you need about Players to Make Money
For entrepreneurs, the odds are always against their favor. As you may know, 22% of small businesses fail within the first year, that’s why you should focus on your Players. On the other hand, 62% of US billionaires are self-made. With the right tutoring, the bookie business can be profitable and successful.
First of all, the goal of every bookie will be to get even action on both sides of a chart. This means that if New England is playing against the NY Giants and the spread is -7-110. It’s the bookie’s main interest to get action on both sides. He can relax and watch the game without any sweat and make the vig or vigorish. Some people call it the juice. In a perfect world the spread will be -7 even money. Bookies charge a percentage or the juice, so if the action is the same, meaning an amount of 2000 dollars on each side, giants and pats, the bookie will make 200 dollars regardless of who wins.
Nothing is for free, so that’s why bookies make money in the long run. The best scenario will be to have the ideal customer, somebody that will lose 52 weeks a year. Let’s face it, there’s no perfect world. Every dog has its day. Players can have a few winning weeks, if they are recreational bettors, but in the long run they will lose.
The pph site will work as your confidant and go to guy when in doubt. We understand how hard it is to start a business, that’s why we offer a 4 week free trial to get you going. There’s no entry fee to get started, that will relieve the agent to start off with a plus and to get to know the software and its capabilities.
Besides that there’s no initial investment required, the agent will need to have sufficient bankroll to cover whatever the players win. There’s a lot of uncertainty regarding this matter, because that varies depending on the credit limit that your customers might have. There’s no cap on what they can win, but with the correct settings, this can be limited. So for example, if you have 5 customers of at least 500 dollars as their credit limit, have around 8k (k is used to talk about thousands) to cover your first month of bookmaking.
Follow us on the next part of this lecture, to continue exploring the ins and outs of becoming an agent.
Building your clientele will be the key for your success. Not all players should be part of your package, but it’s always key to have enough. When you have a big package, it’s easier to manage and calculate your revenue and possible exposure on certain games. With the agent site that we offer you, you can keep track of the betting trends and analytics behind every player.
Depending if you want to setup your package for post-up or credit, treating your customers right is the name of the game. It’s definitely better to have them post-up, while you build a relationship with the customers. Money up front is the key of the game. Once that you have built a relationship, credit lines can be established. There has to be a recognition that you cannot give a customer too much of a credit line so they can bury himself or destroy you.
Most agents give out a credit line with a max wager proportional to what they can bet. For example, if you give a customer a 1000 credit line, the max wager should be 10% of that amount which will be 100 dollars. The reason behind this is to avoid him losing more than he can afford. The more wagers he needs to place, the more juice he is going to lay.
Paying on time should be another aspect of the equation. It’s better to have customers that only play what they lose so the balance can reset. If the closing of the week happens on Sunday, give time to the player so they can square up, some agents have Tuesdays as the paying date. If they lose a big chunk, take something first and try to work a payment plan.
Most players have the habit to bet for entertainment. Others feel the urge and can become an issue. Try to take that into consideration. The relationship has to work both ways.
To start, try to spread the word and build from the ground up. A good number will be to have 10 customers. Referral free plays can be given to maintain the clientele’s expectation to have an earn when they recommend somebody.
If the weekly volume is around 20.000 dollars, in a good sportsbook with solid lines you can hold over 5% of that risk amount. This will generate a profit of approximately 1000 dollars.
Of course, if you have more customers there’s a discount on the cost when you get to 30 active players and on.
People seem to have forgotten the importance of the line of credit. It is probably the most crucial part of your business but somehow it has lost its meaning. The line of credit is an agreement between the agent and each of his clients. You can learn more on lesson two of our second course which is dedicated to limits.
Bookies win and lose money based on the action they take in. The bookie doesn’t automatically lose if the favorite wins.
We’ll open up with a quick example:
Neil Magny is a -235 favorite to defeat Robbie Lawler (+195) in the UFC. You end up with three players betting on Lawler to win, but Magny wins. You end up profiting off the Magny bets.
So, as you can see, even though the favorite won, you didn’t lose, as your players bet the underdog.
Bookies actually like it when bettors wager on favorites and here’s why. Your players will need to win a higher percentage of their wagers just to break even when betting on favorites.
When a player bets at -110 odds, the break even percentage is 52.38%.
However, when a player bets at -150 odds the break even percentage jumps to 60.0% and if a player bets at average odds of -200, the break even percentage increases to 66.67%.
Now favorites are expected to win and that’s priced into the odds, but moneyline odds are primarily derived from public perception (popularity) rather than the actual likelihood of a favorite winning.
Your Players Need to Win More Consistently When Betting Favorites
If a player places ten bets at -150 odds, they’ll have $1500 in total bets. If six of those bets win, you need to payout $1500 and you’ll break even. If five or fewer of the bets win, you’ll profit.
It becomes even tougher for a player to beat you when they’re betting big favorites.
If a player places ten bets at -200 odds, they’ll have $2000 in total bets. If six of those bets win, you end up paying $1800 to the player, which means you’ll profit $200 off the ten bets.
One of the biggest problems associated with losing bettors is that they bet big favorites too often.
This is great news for a bookie. If your players are betting big favorites and winning, don’t worry too much, as things will work out and the player will most likely lose everything they’ve won back.
Players that bet big favorites are more streaky than other players, though. Make sure you have a bankroll to payout winners when required to keep everything running smoothly.
Point Spreads Even Tougher to Beat
Even expert sports handicappers struggle to maintain a 55%+ win percentage of point spread bets.
Point spread bets (ATS bets) are tough for the player to win long-term. Whether the player is betting on favorites or underdogs, it doesn’t matter, as the spread makes the game more of a 50/50 chance.
You shouldn’t worry about whether your players are betting favorites ATS. They’ll win some, but most players will lose a lot more often than they win, which is how you make money.
Balance Your Book and Work on Volume of Players
We come back to these two topics in our lessons frequently because they’re the most important.
If you balance your book as best you can and work on increasing volume, things will work their way out and you’ll be on the path to becoming a successful and more importantly, profitable bookie.
If you have even action on all sides of a market, you can’t lose.
However, we want to be clear here. You don’t lose if the favorite wins as a bookie. In some cases, you may lose money, but it’s all dependent upon the action you’ve taken from your players.
Now that we have the tools to make money, what we need to concentrate on is how to recruit players. Most people reach out to people they know or probably co-workers that can get you to accomplish your financial goals.
The bookie business is booming. What can I offer that others can’t? Basically it will be the way to pamper a player and offer what they are looking for. Believe me, it’s tough to please everybody. Evaluate your options and provide a real bookie experience to your customers.
It comes down to making people recruit other people. Giving incentives to get something back when you recommend somebody is something that needs to be done. Some agents give out free plays when there is a referral. This would be the best way to recruit guys. With a free play, the player will get only the winning amount. As you may know, bookies are skeptical about being visible for the average customer.
Some bookies get a customized website from a Pay Per Head service. This opens the possibility of marketing your brand name through social media. Agents request funds up front if it’s somebody that you don’t know. There has to be a building relationship between bookie and the betting customer.
Another point of advice is to have players that have enough volume so it’s worth paying for an active player. This is the best of part of it all, you can hand pick your clientele. The agent has the power to turn away any customer that doesn’t satisfy their needs.
Players are looking for a solid bookie that will pay on time and will give them options. Have a structured way to pay, that will build your reputation. No hiccups and of course be careful to keep that a priority. Have total control of the package and if you have subs, have a short leash so you can be aware of what’s going on.
There has to be a good way to communicate when is payday and when it’s expected to receive the payments. The trust relationship is paramount to have a good clientele. If by any chance, the agent is not in town. Communicate with the players so they know what do. Some might carry over the balance to next week. It’s a two way street and remember that nothing is 100 percent but if somebody is falling behind try to find a breaking point.
The considerations while evaluating the credit limits is essential. Nobody is willing to gamble away their entire earnings. Make a responsible decision and think about the risk factor involved.
When dealing with the max wager allowed. Some experienced bookies recommend to be 10% of what the credit limit is. For example if the credit limit is $500 dollars, the max wager should be 50 dollars. There has to be correlation between the credit limit and the max wager.
Word of mouth will be the best way to get your bookie experience across. Try to payout and exemplify this with the customers so they expect the same way.
There are certain things that never change. Those will be the types of bets you offer your customers. The most basic type of bet is the straight bet. The player has to chose the winning team if it’s a money line, over or under on the amount of points in a game, or a handicap line were the spread is offered so they can lay or take points. For straight bets, there are always a charge or a vig involved. Most non-recreational players will relay on the straight bet to make a living. There’s an account analysis that takes place to detect somebody like that.
People cherish the straight bet because they depend on only one team. It’s plain and simple. The other one will be the parlay. In this case the player has to pick from 2 or more teams to win the bet. As you may know, the more teams the odds are against the player. This is why it can be adjusted once you make the first deposit. There are some sports that is recommended not to offer parlays and there are some given restrictions. For example, in football whenever the spread is higher than 3 times the spread, it’s called a correlated game. The argument behind this is that if you cover the spread, most likely you are going to cover the total of the same game.
Teasers are offered for football and basketball. These types of bets are a fan favorite. They have to pick 2 or more teams with a price starting at -110, both teams need to cover. Most settings have ties as losers. The more teams the player adds, the payouts and odds are against their favor. If there’s one loss, the whole thing is a loss. Hold percentage can be a key regarding this type of bets.
Conditional bets are another option they can have. Consensus is to call them if-bets. If one team wins, the player has action on the second team selected. There are if win only or if win or tie. It’s up to the player to select which option suits them best. The other variation will be to make reverses, in this case they are if bets that works both ways. From team A to B and back from B to A.
Once you have made the first deposit with the pay per head site, these settings can be modified to suit your sheet.
A bookie should offer all types of bets. The flexibility is given to adjust to the needs of the bookie. Teasers have been part of this big change. The bookie can customize these types of bets to suit their interests and to be ahead of the curve.
There are certain tools that will give the agent the insight to make studied rationalized decisions. A bookie will need this information to be informed and to make changes accordingly.
Here’s a list of the most common bet types:
● Straight bet