BetFair Sports Exchange - Not Your Traditional Sports Book

by kane posted Apr 27th 2010 at 04:18AM

http://digg.com/submit?phase=2&url=http://www.pokeraffiliateworld.com/news/betfair-sports-exchange-not-your-traditional-sports-book&title=BetFair Sports Exchange - Not Your Traditional Sports Book

BetFair is one of the newest members of the Poker Affiliate World Network and being a Sports Exchange differs from book makers.

Apart from explaining the differences between a traditional bookmaker and a Sports Exchange such as BetFair, this article will provide examples that will give you a full understanding of how a Sports Exchange works and how your earnings potential increases.

How it works:
The Sports Exchange offered by BetFair allows punters to bet against each other as opposed to placing bets against odds supplied by the book maker. BetFair therefore does not accept the bets themselves but instead provides a forum for punters on either side of a wager.

Differences between BetFair and other bookmakers:

BetFair’s customers do not bet directly with BetFair. BetFair simply connects punters with differing points of view on the outcome of a sporting event. A bet can only be accepted if it is matched by another punter and bets are matched instantaneously through BetFair’s software.
BetFair is classified as a “no risk” bookmaker. This is because Betfair takes a commission from every winner’s net winnings. As there is always a winning punter for every bet, affiliates earnings potential is increased. BetFair’s commission will vary between 2% and 5%
BetFair customers can choose to “lay” - back a loss or “back” – back a win
Betfair's odds are expressed in decimal terms (eg 4.1) 4.1 means that for every pound staked the punter receives a return of £4.10 which includes the initial pound that was staked.
Betfair's market is a free market and the prices are not controlled by the bookmaker.
A traditional betting shop sets its own odds and the customer has to shop around among bookmakers to find better value but Betfair allows customers to bet against odds set by other gamblers. Therefore a punter can place odds on the site and see if any other punters are attracted to the wager.
BetFair guarantees anonymity so even though punters are betting against each other; they will never know the identity of the person they are betting against.
BetFair offers betting on various sports such as Football, Boxing, Athletics, Darts and many others including horse racing but they are also known for taking wagers on miscellaneous events such as elections and reality TV show winners.

How Betting Exchanges and Bookmakers Differ
1_420

High Street bookmaker offers odds of 3-1
Punter Jim places a £1 bet on at 3-1
If he wins Jim gets a total of £4 (£3 plus his £1 stake back)

Jim thinks Tottenham will win against Arsenal and is prepared to bet £1
Steve thinks Tottenham will lose and offers odds of 4.0 (3-1). He is effectively risking £4
Betfair automatically matches punters who want to strike a wager. Jim's bet is accepted and matched with Steve's bet
Whoever wins, money is transferred from one account to the other. Betfair earns commission from the winner's takings

By promoting BetFair Sports Exchange through PAW you are increasing your earnings potential as in every wager, there will be a winner. As an affiliate, your will earn a massive 25% MGR on all your players winnings after the BetFair commission has been deducted, alternatively, affiliates can earn a $5 CPA but with such value offered on MGR, the choice is simple.