Poor Tote Turnover

In the interview with Nairac on Tellytrack the poor tote in the W Cape was discussed.Was 34% of gross down to 30% and the bookmakers open bet is blamed.
This may be part of the problem but the real problem is that the % big yards control racing in CT where their winning percentage is over 45% of all races.
The other centres Gauteng and KZN are less than 20% for the 5 top yards.
Result the couplings kill the exotics and therefore the turnover.
Maybe dirty premises etc are also part of the problem.
Competition is what makes interest in all business.

Good points Geri .... perhaps the big knobs in GC should actually visit the local totes, and rub shoulders with the okes at the coal face. When granting a TAB franchise there should be minimum standards laid down, and then officials empowered to check and enforce these standards.

Cat please help me understand "Hollywood utilizes official tab forms for the exotics for gods sakes."

Must say found it strange that P did not win the case?
I remember I used to take a fixed bet with a bookie on the lottery numbers, and when I asked why he stopped? he informed me that it was the intellectual rights of the lotto operator and was told he could not use.

For what it's worth, I find a begging your customers to play with you for the 'good of the game' a bit distasteful.

I see that Shoprite have posted excellent returns, and I expect Pick 'n Pay to respond with a blitz of advertising and specials or whatever it is they do. I don't expect them to grovel.

People have a reason for playing how and where they do.

In fact, I would really like to challenge anyone who disagrees to post up what the take-out of the open bet amounts to in reality. The Gambling Board will know what was layed as they get copies of every bet placed with bookmakers, and exactly what has been taken back by bookmakers. The figures are available to the exact cent and then the operators will know too.

The problem in the Cape is simple. Outlets.

Thanks for the answer Cat - I am still missing something though. Bookies price up on the official card too dont they?

Problem, as I see it, is results. Cape pools are always smaller. Punters are weary of taking a hiding on dodgy results and therefore refrain from taking bets where 6/10 go missing from everything - Trust me I have lost a few P6 bets, bankering the 6/10 in the Cape.

Its not rocket science think about what the mug punters are thinking and feeling and what is being whispered in the totes.

If the operators are really concerned about turnover they would be doing market research by asking questions in the totes."Why do you not punt Cape races?" would be a start.

P lost the case because the legislation specifically permits bookmakers to offer open bets. P tried to argue the case based on IP but (rightly or wrongly) the court didn't buy it.

It's pretty interesting that the open bet is so successful - when you think about it, the theoretical take out is 25% because that's what the tote takes out before declaring the dividend. But an open bet is treated as a fixed odds bet, so the bookies have to pay the punter tax out of their pocket to keep it competitive with the tote.

So the bookie is looking at a 20.5% theoretical margin - the same as pricing up at 120.5% (if his book is filled in exactly the same proportion as the tote), and unlike the tote he carries the risk of an unexpected result. Compare that to the fixed odds book, which is priced up north of 130% so should in theory be half as profitable again. I am reliably informed that in practice the open bet earns bookies more than fixed odds bets.

The difference must be that the tote dividend represents a proper market, where the weight of punters' money predicts every horse's chance more accurately than the bookmaker who prices up the fixed odds market himself. Even building in a 30% profit, the bookmakers still can't do better than a couple of hundred okes putting a few bucks through the TAB.

Perhaps its time for all concerned, from a betting operations point of view, to sit around a table and come up with something unique, where everyone gets there fair share of the pie.

I have heard many say, that SA people form opposite sides seemed to do well enough in devising one of the best and most liberal constitutions in the world. It all happened right here in SA without interferemce or following the rest of the world. Why cant the SA horse racing operators and bookies come up with something truly unique that will benefit all. Do we really need to follow what the rest of the world does?

it's already truly unique, Al.

the fact is the SA horse racing operators and the bookies don't want the current structure to change because it protects them. those that might want it to change have little idea what they want it to change to, and no leverage to initiate it. those in government that could implement or impose any change are coached and educated by P.

IMHO i dont think Phum and the RA can dare to make to much waves.
You see most of the totes is in bookies rooms and what if...........

imho I think we have a fair balance between tote & private.

I don't think I would like a completely tote monopoly like USA (boring), or bookie dominated like UK (unfriendly and hardcore).

Our biggest problem is we have not managed to have any growth in interest in the sport of horseracing (in fact negative growth), and also the switch from the gambling monopoly we had - has been lost to casinos. We went from 100%, to 20% racing - 80% casino less than 120 months.

Like the stuck record I am, Nairac confirmed that there is no shortage of owners or horses, but a huge shortage of gamblers. We have everything else, oversupply of horses, apparently enough facilities that we can sell them off, lots of good industry professionals, racing everyday except Xmas...just no turnover (with sooo many crap handicaps where we have to stop betting so poor owners can make money on crap).

But most industry veterans complain that someone has backed their horse...they wish!