Great odds, low investment, quick scores, and the excitement of choosing the winning pony attract players to horse race wagering.
Due to the lack of major sports, sportsbook players have turned to substitutes. Horse betting is one alternative.
Bookies can add horse race wagering to replace lost revenue. Once traditional sports betting action returns, some players won’t stop wagering on horses.
That’s a bookie win-win.
Betting on horses offers players a chance to profit from small investments
Horse racing works a lot like casino betting.
Low minimums exist just like it does in casino wagering. The lowest win bet investment on a horse race is $2.
But the payout on a $2 win bet can be much higher than even money. Low minimums with the chance to make big profits attract casual players.
Horse racing produces player betting options.
Also, horse races happen daily. Most racetracks run at least eight races per race day. Some tracks, like Gulfstream in Florida run up to twelve races.
During the weekend, a race day in the United States could produce more than sixty thoroughbred racetrack betting options. If we add horse races from the U.K. and Australia, up to one-hundred-fifty or more horse racing betting options can exist on a single Saturday.
Bookie agents must watch for these racebook risks
We started this blog by comparing horse racing to casino betting. There’s a huge difference.
There’s a house edge on all casino games except a backup pass bet or no pass line bet on craps.
In horse racing, there’s no such thing as a house edge. Horse racetracks provide a service. Tracks in the U.S. take a cut from every wager.
Personal racetrack operators don’t take a cut. Players don’t wager co-mingled dollars into their digital racebooks.
Pay per head agents make money on racebook betting
That’s not to say agents won’t make money on their racebooks. Juice doesn’t exist in horse racing.
A player can win a trifecta that pays $150. If the bettor wagered $200 to make $150, the bookie keeps the $200 and pays the $150.
Plus, horse racing betting offers better odds because it’s more challenging to win a horse race bet than a sportsbook bet.
The chances of winning a horse race wager should reflect in the odds. But horseplayers overbet favorites.
A horse that offers 2/1 to win a race should offer 3/1. A horse that offers 4/5 most likely has an 8/5 chance to win.
Overplayed favorites provide a slight house edge. Favorites win 33% of the time, though.
To alleviate real risk, bookie agents must create a mitigation plan.
Per head racebook risk mitigation plan
The plan starts by thinking of money won instead of money wagered. It’s more important to set a win limit on races than a max bet limit.
Per head agents should consider their payout maximum for each race. Here is a step-by-step process.
Use horse racing’s categorization process. Top tracks like Gulfstream, Churchill, Belmont, Aqueduct and Santa Anita are “A” Tracks. “B” tracks are race tracks like Tampa Bay Downs, Golden Gate Fields, and Turfway Park.
Set higher win limits on “A” tracks
Most horse racing action comes from “A” tracks. The handle on a Thursday at Santa Anita Park could yield over $1 million.
Set max bet limits half of your win limits
If your win limit is $1,000, make your max bet limit $500. That way, the most any player can win is $500.
On a side note, don’t try to explain horse racing to your sports bettors. Find a great article online. Then, email it to them. That gives them something they can refer to if they have questions.
Add Boss Action online racebook to your existing sportsbook and casino
On May 14, Golden Gate Fields resumes. On May 15, Santa Anita Park again starts its racing season.
Then on May 16, Churchill Downs begins their spring meet. That’s three more race tracks bookie agents can offer players.
BossAction offers bookies a digital racebook. The pay per head company has a promotion where bookies get services for free until sports return.
All sportsbook owners should take advantage of this offer. It’s also an excellent offer for players who want to explore becoming bookies.