Published: 11:42 29/09/2014
Industry analysis by Freebets.com reveals that Winner Sports was the Enhanced Odds Bookmaker Of The Month for September 2014.
The online bookmaker has increased the volume of enhanced odds offers over recent weeks which new customers were able to enjoy in place of the standard sign-up offer and after breaking into the top three for the first time in August, Winner claimed top spot by a sizeable margin in September. Paddy Power was unable to complete a hat-trick of Enhanced Odds Bookmaker monthly accolades, but continued to be a good proposition for new customers by taking second spot, while 888Sport made a first appearance in our top three.
The Ryder Cup and the beginning of the new NFL season saw an increase in golf related offers and the first appearance of American Football since our research into price boosts began in July 2014, but accounting for over three quarters of the offers it was football that remained the dominant sport.
About Enhanced Odds Offers
Enhanced Odds offers, sometimes also known as Price Boosts, are becoming an increasingly popular means of online bookmakers acquiring new customers. Many firms now use such promotions to either accompany or replace the more traditional free bet welcome offers altogether.
Here at Freebets.com, we decided to investigate which online betting operators provided the best proposition to any customers making use of any such promotions. In order to do so we devised a formula to factor in the maximum allowed stake, enhanced odds offered and probability of the punter placing a winning bet. It is on this basis that we decide which offer is best and in turn, which offer costs the bookmaker the most money.
How Enhanced Odds Offers Work
Having priced up a particular sporting event accordingly, the bookmaker will then offer enhanced odds on a selection or a number of selections from that event. The enhancement means that the punter taking up the offer stands to win more than they would by placing the bet at normal odds, should they be successful. An example of an enhanced odds offer is shown below.
At normal odds Europe are priced at 2/1 to beat USA in the Ryder Cup, meaning a £10 stake would return £30 if they win. The bookmaker may offer enhanced odds 4/1 Europe to beat USA, which would return £50 from a £10 stake, giving a punter the potential to double their profit.
In most cases the bookmaker will put a cap on the amount a customer can stake at the enhanced odds (typically £10) any stakes above that cap have the remainder settled at the normal price. Bookmakers also tend to settle the bet at the normal price immediately before later topping up the customer’s account to reflect the enhancement, although this can vary depending on the company in question. Some firms also pay the enhancement as a free bet rather than as cash which can be withdrawn with no rollover requirements.
How We Calculate Value Of The Enhanced Offer
The value of the enhanced offer depends on the level of odds enhancement, the maximum stake and the probability of the offer being claimed. To illustrate if we use the same example as above £10 maximum stake enhanced odds offer was offering 4/1 on Europe to beat USA, and the normal odds at the time of the offer for this bet were 2/1 (equivalent to 33% probability), the expected cost to the bookmaker of someone taking up this offer would be the enhanced odds (4/1 - 2/1 = 2/1 enhancement) x £10 x 33% probability = £6.66. This is the measure we have used to calculate which offers will cost the bookmakers the most, and are really are providing the best value to the punters!
The Top 4 Findings From Freebets.com September 2014 Enhanced Odds Offers Report
1. Winner ranked September 2014 Enhanced Odds Bookmaker of the Month ahead of Paddy Power in second place and 888Sport in third
2. Betfair Sportsbook’s ‘12/1 Liverpool, Real Madrid, Juventus & Galatasaray’ offer is rated Enhanced Odds Offer Of The Month for September 2014.
3. Betfair Sportsbook offered the largest odds enhancement in September with their ‘12/1 Liverpool, Real Madrid, Juventus & Galatasaray’ offer.
4. Football saw a slight reduction in coverage, but remained responsible for the majority of enhanced odds offers in September by some distance with 79% being focused on the sport ahead of American Football with just 9%.
September 2014 Enhanced Odds Bookmaker Of The Month
Winner Sports really ramped-up their effort to acquire new customers in September and were constantly tempting in new punters with a good variety of enhanced odds offers throughout the month. Despite not appearing in the top-ten for best enhanced odds offer of the month, the firm’s sheer volume of promotions saw them climb above former monthly champions Paddy Power by an extra £82.05 when using our algorithm.
Last month Winner moved into our top three for the first time, behind Paddy Power and Titanbet. September saw the latter somewhat drop off the pace as many of their offers were paid in free bets, that allowed 888Sport into the frame for the first time, while Paddy Power kept a competitive edge in second spot. The graph below is for enhanced odds offers which were paid in cash only and shows that the firms outside the top three have a fair bit of ground to make up.
September 2014 Enhanced Odds Bookmaker Of The Month - Free Bet Payback Inclusive
When removing the filter which discounted offers where the punter received their odds enhancement paid in free bets, Betfair Sportsbook move firmly to the top of our findings. The company which also welcomes new customers with a bet £10 get £30 in free bets offer had not featured at all until factoring in free bet payback, while Titanbet and 10Bet move ahead of 888Sport when applying this formula.
The data below shows enhanced odds offers which were paid in both cash and free bets, with Betfair way out in front, while Betway also make an appearance.
Enhanced Odds Offer Of The Month
Betfair Sportsbook clinched the hat-trick, winning a third consecutive Enhanced Odds Offer Of The Month and completed the first ever clean-sweep of our top ten since research began. It is also the first time that two offers have been tied for first place, but Betfair were responsible for both and will not need to share the glory.
The ‘12/1 Liverpool, Real Madrid, Juventus & Galatasaray’ and ‘12/1 Chelsea, Bayern Munich, Barcelona & Roma’ price boosts were a great proposition for new customers with each team a heavy favourite to win their respective Champions League tie resulting in 13/8 standard odds for each Four-Fold.
Biggest Odds Enhancement Of The Month
Even when we removed the formula which cross references the size of the enhancement with the likelihood of the punter winning, Betfair’s offers were still joint top in terms of the extra returns a new customer could win. Customers backing either ‘Liverpool, Real Madrid, Juventus & Galatasaray’ or ‘Chelsea, Bayern Munich, Barcelona & Roma’ at normal odds would get £26.30 back from a £10 stake, but new Betfair customers stood to earn an extra £103.70 in free bets.
Paddy Power’s offer of ‘15/1 Arsenal, Liverpool, Chelsea, Man City & Spurs’ helped them to third place for September’s biggest enhancement with new customers able to pocket an extra £86.90 than if placing the bet at normal odds. The table below shows that Betfair and Paddy Power were the only bookies to make the top ten biggest enhancements in September.
We anticipated an increase in golf related price boosts for September with the 2014 Ryder Cup taking place and while this was the case, football once again had the most coverage.
Down 8% on the previous month, football still accounted for 79% of enhanced odds offers in September, while golf increased from 1% to 7% to make it the third most covered sport. The new NFL season saw quite a bit of interest in American Football as the sport’s popularity continues to grow in the UK and 9% of enhanced odds offers were targeted at that audience in September, making it the second most covered sport for the month.
Horse Racing dropped by 2% in September, but we could be set for an increase with the National Hunt Season soon to get underway, while other sports such as Darts are also likely to be popular as we head into the winter months.
About The Analysis
Freebets.com conducts in-depth analysis of Enhanced Odds offers promoted on the websites of leading online bookmakers every month. The list of monitored bookmakers reads; 10Bet, 188BET, 888sport, bet365, Betfair Sportsbook, Betfred, BetVictor, Betway, Boylesports, Coral, Ladbrokes, Paddy Power, Sky Bet, Sportingbet, Stan James, Titan Bet, Unibet, William Hill and Winner. The analysis focused specifically on Enhanced Odds offers and other promotions such as Money Back specials, bonuses, concessions and guarantees are not included.
In order to determine its Bookmaker of the Month for Enhanced Odds Offers, www.freebets.com uses an algorithm which takes into account the maximum permitted stake, chance of winning the bet, extra potential winnings from the enhancement and whether or not it is paid in free bets for all enhanced odds offers available that month.
The www.freebets.com team draws on over 50 years’ experience in the betting industry to attribute weightings for the various factors in the formula in order to provide comparative values to the complex array of promotions.
DISCLAIMER – whilst every effort is taken to prepare detailed and accurate information, any third party relying on this information does so entirely at their own risk.