Exchange rip off

emmemm

Does anyone else feel they are being ripped off with the exhorbitant commission charged by the two main exchanges?
Iwonder how do Betfair justify the 5% tax on their huge turnover.Surely ,if there was strong competition this could be halved.
Unfortunately punters are drawn to Betfair by the high liquidity and low spread.
For the future I can envisage,or hope for,mergers of some of the larger bookies and the formation by them of exchanges large enough to rival Betfair.
In meantime I'm off to Betdaq to increase their liquidity slightly.Just discovered you can bet as low as 50c there and maybe lower.
Betfair minimum of E4 is too high for my retrieval plans.
HNY everybody.
MM

pro_gnostic_8

I honestly don't think enough people are upset by it tbh, emmemm. Many exchange users are more concerned with the liquidity and the percent above SP.

For example, Betdaq until last September had a 3% max commission rate. When they upped it to 5 percent there wasn't a whimper of protest. In fact their market volume has subsequently increased since the increase.

There is a third exchange operating that goes 1% max rate and is doing quite well for a long time but has nowhere the liquidity of Betfair. It is secure, deposits are ring-fenced, has similar odds available to Betfair prices and is run by one of the most respected figures in the Betting Exchange industry (Ian Davies). Suitable for the up-to-fifty-quid a bet punter.

emmemm

In that case Betdaq might have to wait.
I'm hanging around various racing boards for 5 years plus and have never heard of him.Maybe he should improve the range of his advertising.
I'm off to google Ian Davies.Thanks pro g.

pro_gnostic_8

Heh heh, he is an insane poster on certain boards (TRF and FF etc) -- posting not for spamming or advertising but just because he is a keen racing enthusiast.

Anyway, in case you cannot find anything relevant on Google, I have taken the liberty of PM'ing you the name of the 1% exchange.

chump

Why don't you just name the other exchange here?

And emmemm there is a technique on Betfair to reduce the minimum below 4euro... google it or search these forums for it, I remember I wrote it up here before (i can't remem )

emmemm

pro g
Thanks for the PM .Took a quick look this morrning.First impression was the lack of liquidity.Seemed as though you had to post on the forum to entice someone to match your bet.Iactually spent an hour on betdaq this morning and got 25 bets from 60 matched,I was a bit greedy.Would be impossible on ID's site.Might try it out on some big race when liquidity should be alright.


chump
The technique you mention involves much clicking and is very fiddly.Furthermore betfair threaten suspension of accounts to anyone regularly using this method.
Fairly happy with bdaq but intend to request bfair prices be they matched or not.

pro_gnostic_8

chump wrote:

Why don't you just name the other exchange here?

Chump, I was afraid if I did so it might be construed as spamming.

Anyway, goto:

www.backandlay.com

fade2black

Anything that doesn't conflict with the interest of the boards owners and isn't blatant advertising is never a problem as far as I'm concerned. Throw it into the useful links sticky if you want Pro.g

masterK

I've had a look at the back and lay site several times myself and as has already been said liquidity seems to be the problem, although I have read on other forums that if you put up a reasonable request for a bet it will most likely be matched.

As for the betfair commission rate, if you are on average getting 15-20% better prices as opposed to bookmakers prices then 5% doesn't seem to bad. Remember also that this 5% is the upper rate and reduces the more you bet.

emmemm

masterk
It's great to get nearer to true odds as is available on the exchanges.
However,users are being ripped off because the exchanges risk nothing but still take $1 in every $20 of our winnings.

If backing odds on I would rather back with a bookie tax free at very similar odds to the exchange.At least the bookie is risking something.