During the past two decades, sports betting has undergone a drastic change. Thanks to the introduction of the Internet, traditional sportsbooks have seen a rise in competition from online betting exchanges, pushing bookies to reconsider their means of operation in an attempt to keep their customers happy and gambling. Because of this, many bookmakers are looking to price per head sites as the preferred alternative for advancing their enterprises.
On today’s landscape, bookies really only have three options when it comes to deciding how they want to handle their business: stand pat, grow what they are currently doing or try something new. Each direction has its advantages, but only one is able to offer the best combination of profitability and expansion.
Maintaining the current course means attempting to continue in the same approach that has led the sportsbook to its present state. The bookie knows how to handle the business, since it is the method he has been using for months, years or decades.
This is a low-cost alternative, but it has the least potential for growth. If they bookmaker is handling his own customer service, setting his own lines, taking phone calls and managing his bookkeeping and collections, he has little or no time to grow the business. This can be a cost-effective choice, but it virtually eliminates the chance of expanding the business, limiting its future growth potential.
This leaves the bookie to face a dilemma, choosing between alternatives like taking on a partner or conceding the chance to grow the business. While doing this may put extra money in the bookmaker’s pocket in the short term, it can affect future profits.
A partnership puts the bookie in a position to give up a huge stake in the company for hopes of turning the cash infusion into some positive gains. While this sometimes works, it can also leave him with less if it does not go well.
Opening a per head site online is the alternative method for expending a traditional sportsbook. By paying a low monthly fee, the bookmaker can get his website created, have help migrating players and have a staff ready to take wagers and provide answers to customers’ questions. Because of the powerful bookie software that is provided, the owner can get away from handling the clerical tasks, leaving those to the per head while he works to expand the operation.
Running the business like this is extremely efficient, affording the bookmaker the chance to make more money while doing less work. Because customer service is handled by the per head company, phone calls are answered, bets are recorded and the site’s data is protected 24-hours a day.
As more gamblers look forward to betting online, traditional bookmakers are faced with tough choices. Making the wrong decision is not an option for a successful business, and it can affect the bottom line. Switching to a price per head company is the bookie’s smartest option, allowing him to operate the enterprise more efficiently and cost effectively.
Michael Hill is an avid sports fan and a sports writer who has been in the betting and price per head industry for years. Michael writes about his experience and offers tips for other aspiring entrepreneurs who wish to make a living with sports bookmaking.