Sport is made for betting

Ladbrokes have joined the list of UK firms avoiding setting up in France under the current unviable licensing structure. Several firms have simply decided not to waste their time and money in a market which will deliver nothing for several years, and only if/after the French government water down the current prohibitive licensing and taxation structure. The last straw for Ladbrokes was when the French govt decided on top of extortionate turnover tax and sports rights levies, they would also have to pay VAT as well. Unibet however, who have a similar model to Bwin, of taking vast numbers of low-stake bets, are pressing on. The Betfair IPO is off to a good start. Conditional trading has the shares trading at around £15.30, after the initial valuation of £13. Tomorrow is the acid test for them though, when they become available to the public. Betsson is going from strength to strength as live betting pushes their revenues higher. Bwin, Hills and Sportingbet have released similarly h...

This is a great blog from a former Aussie colleague of mine who now makes a living punting professionally on Australian harness racing, particularly from his home state of Tasmania. UK punters won't have the slightest idea about that form of racing, but that's irrelevant, read his analysis of bet types and the logic behind how he trades.... Minimising losses and maximising returns Its easy to preach that punters should never bet more than they can afford to lose or that staking levels should remain consistent to balance out the peaks and troughs but that is easier said than done for a lot of people and I find the easiest way is to minimise losses and maximise returns. Its especially hard to get your head around mentally so I thought I might share a few strategies that assist me in doing this. Read the whole article, he knows his stuff as being able to make a living purely betting on totes (takeout at least 16%) is a very challenging task.

Haven't got the motivation for a long post, so here are some brief items about what's going on in the world.... Much of my traffic comes from other bloggers - do you fancy getting a free makeover for your blog? Most of us don't have the design skills to do it, but this guy does, and he has some brilliant culinary tips as well - ZestyCook Mark Davies, MD and one of the originals at Betfair, has a laugh about how bookie CEOs just don't get it and keep on giving Betfair free publicity at every opportunity. The Tasmanian government have reacted to Betfair Aus's idle threats about moving interstate (or was it rumours of other govts luring them) by offering more tax breaks to sustain employment in the Apple Isle. Leading Australian jockey Danny Nikolic could be deep in the brown stuff if the latest stewards investigation into suspicious betting activities on Betfair uncovers any concrete evidence. I'm a big fan of Nikolic, there is no Australian jockey I'd rath...

This was always going to happen - maybe not this particular change, but like any negotiations, you start with a ridiculous offer, then gradually become more realistic. Betting operators in France will no longer have to close down all French accounts from the time the law is voted until the licences are awarded, but they will have to transfer them all to the .fr site once approved and operating in France. A pain in the arse maybe, but not the end of the world, after all, that's what Betfair did with accounts in Australia & NZ when they got the Tasmanian licence. Operators in France escape player account shut downs And to counter their position, they've decided to increase penalties on firms not seeking French licences. Yeah, can really see that one working....

In Australia, the three main zones for corporate bookmakers are the Northern Territory (home of Centrebet, Sportsbet, Sportingbet, IASBet and numerous others), Tasmania (home of Betfair Aus) and the ACT (home of Sportsalive). When I say home, it's at least where their servers are based and a handful of staff - most have marketing and other departments based in Melbourne or Sydney. These three regions, two territories and Australia's smallest state, have little industry to speak of and need businesses in their region for employment, taxes etc. And they also have no deep-seated allegiance to TABs like the bigger states such as Victoria and New South Wales. Internet bookmakers in NT welcome tax change Tasmania recently threw the cat amongst the pigeons by scrapping the local tax on corporate bookmakers and adopting a $250k annual flat fee, a very attractive prospect for major firms turning over hundreds of millions per year. This was brought on by Betfair's five-year licence b...

Betfair, Ladbrokes, TABCorp and others have all pulled out or had offers rejected. What happens now? The price did seem a bit rich given the current economic climate, and particularly the changing wagering landscape in Australia. Tote Tasmania's sale plan in turmoil The Tasmanian Government may float the state’s Tote on the stock market after failing to find a buyer during a protracted bidding process. In a statement, Treasurer Michael Aird said two binding formal bids received when the window for formal tenders closed last week did not value Tote Tasmania at a “fair and reasonable” price. However, he insisted the sales process would continue on the open market and could possibly involve a public float. He said abandoning the private bidding process after months of haggling sent a message that the Tote would not be sold cheaply. Do they hold their cards, hoping that changing legislation works in their favour so they can achieve that sale price eventually, or do they...

Interesting times in Tasmania. Not only did they break ranks and license Betfair, much to the annoyance of all the Aus mainland states, now they have the Tas Tote up for sale and are looking at completely restructuring the tax regime in order to create more jobs. Tasmania has quite high unemployment and faces an exodus of youth each year as teenagers finish school and head to Melbourne or Sydney usually to study or find work. Tote Tasmania Sale Looks To Raise Over A$200m The government has also suggested the ending of wagering taxes on pari-mutuel and fixed-odds betting. Like Betfair, Tote Tasmania will now run under the aegis of the Tasmanian Gaming Commission. Coleman said the new regime would ensure the growth and profitability of Tote Tasmania while providing a secure future for the Tasmanian racing industry. “The legislative package released today shows that Tasmania supports business and offers an innovative and well-regulated environment in which to operate a successful business...

This week Betfair has purchased a US racing network and tote pool company for just £35m. The Tasmanian TAB, a small but innovative tote monopoly, is up for sale with estimates being between AU$30 and $80 million (£13-35m). Let's look at the UK tote. It's not a monopoly. Day-to-day race pools (win, place, exacta, trifecta) are pitiful, the only popular products are the Placepot and Scoop6. The Tote has a lot of shops, some of which are rather dated or closing down. It has a bookmaking arm, but who doesn't these days, and how many of these customers are genuinely loyal without accts elsewhere? The Tote now links in with most UK bookies, which means big pools but gives away most of their margin as well. The technology is outdated and frequently breaks down. A tote should be able to show approximate dividends the instant the horses cross the line. A recent bet of mine at Ascot, a winning trifecta, took 20 minutes to display a dividend. How do they calculate the divs - with pen ...

While the UK Tote can't find a buyer, mostly because of the ridiculous price they were expecting, TOTE Tasmania is being put up for sale by the Tasmanian government. Who's in the market to buy? Betfair, TABCorp, Tattersall's or perhaps a foreign company. Tas govt press release If I was framing a market, I'd mark Tattersall's as favourite, followed by Betfair as both companies already have strong relationships in Tasmania.

Rather than moaning like the mainland TABs, the Tas Tote gets on with it, sponsors a track and links in with Asian night racing. Night Racing For Tasmania Tuesday, 2 December 2008: TOTE Tasmania will fund a $6 million lighting project that will enable the Tasmanian Turf Club to stage night racing next year. The funding was announced by Racing Minister Michael Aird at the official opening of the new all-weather StrathAyr track in Launceston on Sunday. RacingandSports article Meanwhile other states can't see the forest for the trees...

Excellent article by Australian industry commentator Bill Saunders. Two More Bricks In Betfair's Wall Interstate TABs, huge opponents to Betfair, are now under the pump as the renegade/enterprising state of Tasmania stole their thunder.