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MMA Wagering UnderGround >> REDUCED VIG WAGERING


2/3/06 10:25 PM
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Oddessa
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Edited: 03-Feb-06
Member Since: 06/08/2002
Posts: 4934
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REDUCED VIG WAGERING 
  
 By A.P. FEZZIK

For years, the industry standard in the sports betting world was for the player to bet $11 for every $10 he wanted to win. However, discounted wagering has become more and more popular.


LAS VEGAS - Pinnacle, Cascade and Hollywood, three prominent leaders in the industry, currently offer continuous discounted pricing. Certainly, other books and exchanges offer reduced pricing. However the above mentioned three are currently the premier discounters.

Under standard minus $1.10 pricing, the house has a theoretical edge of around 4.5 percent versus a random bettor. This is best understood simply by making two $110 wagers on opposite sides of a game. You will wager a total of $220 and lose $10.

The best sports books in the world realized they could make more money by lowering their house edge and increasing their volume significantly. Pursuant to that, many sports books have experimented with reduced vigorish pricing. However, only those with an experienced staff can do it and increase their bottom line.

The biggest problem with discounted pricing is that the lower you go in your discounting, the more 'advantage' gamblers you attract to your book.

Pinnacle, the original premier discounter, has minus $1.04 pricing in the NFL and minus $1.05 pricing in most major sports. This leaves its profit margins razor thin. However, Pinnacle's staff is so savvy and its systems so strong that I have no question the company will win. Pinnacle is basically gambling on positions GETTING plus money on games where it wishes to take a position.

Cascade has aggressively matched Pinnacle's minus $1.05 pricing, making it a huge player in the marketplace. There is no question Cascade will increase its volume five-fold dealing minus $1.05 pricing. The key question will be whether Cascade will be able to make more money overall with this model than it would dealing minus $1.10 to a smaller, less savvy client base.

Hollywood, with its minus $1.07 pricing is a solid third option. Since Pinnacle and Cascade often shade their numbers on games, it is not at all unusual to have the best number available at Hollywood.

Bettors with accounts at all three discounters are likely playing into a normalized minus $1.03 pricing in their wagers simply by having the PCH accounts and aggressively shopping the best line. At minus $1.03 pricing, even a 50.8 percent handicapper will make money!

Additionally, the Internet sites at all three of these locations are some of the best in the world, allowing bettors to easily and quickly make wagers without cumbersome software.
 

2/4/06 3:43 PM
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bsktrap
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Edited: 04-Feb-06
Member Since: 06/10/2002
Posts: 1196
I recently opened a Pinnacle account and I have to say that it is so much better than sportsbook.com. The lines are great in comparison, they do everything better. I was using the horsebook connected with sportsbook.com and they were giving a cheesy 3% rebate weekly, as opposed to pinnacle 7% daily. I wish they had IF BETS at pinnacle. That's the only thing I don't like.
2/4/06 4:07 PM
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Oddessa
57 The total sum of your votes up and votes down Send Private Message Add Comment To Profile

Edited: 04-Feb-06
Member Since: 06/08/2002
Posts: 4938
JoeyOddessa.com
Pinnys horse rebates are hard to pass up.  One  good thing about Sportsbook is you can often find lower priced favs in the boxing.

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