Secrets of sports betting Sport

One platform works for all

Written by Pai Yao

This article first appeared in the Nov/Dec 2013 issue of World Gaming magazine.

We all have our favorite sportsbooks, yet you might be surprised to learn that it isn’t the sportsbooks themselves but the platform providers they employ who are responsible for the odds you scroll through when looking for the best value. In Asia, the leading platform provider is ONEworks and you would be amazed at the lengths they go to in order to provide the widest ranging and most accurate markets.

Have you ever wondered what happens to your cash when you place a bet with an online sportsbook, or how they generate their odds? And how do they stay on top of all those live odds across the hundreds of sporting contests in play at any one time?

Truth be told, most of us take these details for granted but behind the scenes there is more going on than meets the eye. Let’s start with the mechanics of a sportsbook website.

We all have one or two sportsbooks we prefer to use, either because we find their interface more user-friendly or perhaps they simply offer the most appealing deals. WilliamHill, bet365, Mansion, Bodog, Sportingbet – these are all examples of popular and widely respected sportsbooks.

But beyond the basics of their websites and smartphone apps – the layout, cashier and customer service aspects of the business – you might be surprised to learn the core aspects of sportsbook sites are actually outsourced to specialized companies known as platform providers. These platform providers are responsible for providing all of the odds and betting options that make sportsbooks what they are. In other words, all you really need to start up your own sportsbook is a functioning website. Your chosen platform provider will do the rest.

So which platform provider to choose? That depends on a number of factors, such as what services you wish to provide and what part of the world you’re looking to target, but in the booming Asian market – which continues to lure more and more sportsbooks in pursuit of their piece of the pie – the market leader is ONEworks.

Having begun 10 years ago as the platform provider to a single licensee, they have rapidly expanded over the past four years and now provide their services to some of Asia’s most popular sportsbooks including one of its biggest: IBCbet

What sets ONEworks apart from the competition is that while other platform providers use algorithms and programs to gather averages when it comes to calculating their odds, ONEworks employs its own traders to provide the most accurate price – a full 700 of them!

WHAT IS A TRADER?

A trader is a person who sets the prices on any given sporting event or betting contest based on information gathered from the wider sports betting market. Their role includes constantly monitoring bets in order to adjust prices and reacting immediately to breaking news such as notable injuries both before and during a game. They are required to know their particular sport like the back of their hand, be statistically minded and perhaps most importantly be able to act in an instant on whatever information comes their way.

With 700 traders on their books, ONEworks has specialized traders for every single game and in some cases for each individual bet type if it is a popular event such as the NBA Finals or a significant EPL game such as games between the top clubs.

This gives ONEworks’ licensees a big advantage over those using other platform providers, because if you’re gathering averages rather than using specialized traders there can be a delay in updating prices which can be exploited by savvy punters.

There is simply no software or algorithms sophisticated e nough to replace the human trader under all circumstances.

WHY ASIA IS DIFFERENT

One of the main reasons for ONEworks’ popularity among sportsbooks operating in Asia is their in-depth knowledge of the Asian market. ONEworks is the leading platform provider in Asia.

So how do Asian punters differ from, for example, their European counterparts? For starters, Asian sports bettors tend to be more price sensitive. As a result of this they prefer bet types such as Asian handicaps and over/under bets in which there are only two outcomes. This represents much better value than the 1×2 bet in which there are three possible outcomes (Team A/draw/Team B). This can also make live betting more exciting because no matter what the score, the game is basically starting from scratch as far as that particular live bet is concerned.

By comparison, Western punters have traditionally tended to be more emotional. They will often take the 1×2 bet, most likely on their favorite team, and will regularly base their decisions on a “gut feeling”. Unlike most Asian punters who will look at the odds on offer rather than the team itself, Western punters will look at price second and who is playing first. Westerners also enjoy bets such as “Fernando Torres to score and Chelsea to win”.

For these reasons it is vital for any sportsbook platform operator to understand the market they are operating in and the product that is required. Price is very important to Asians players, who tend to view their sports betting in a very business-like manner. This is one reason why ONEworks has enjoyed so much success in Asia.

THE IMPORTANCE OF PRICE IN ASIA

Whenever a sporting contest is approaching, the market will usually open somewhere between one and two weeks before the game. Due to the uncertainties and somewhat limited information available, the spread at this stage tends to be a little wider. As kick off draws closer and more information is revealed such as injuries or team changes, the spread narrows and prices become more accurate. The spread is generally at its narrowest about two hours before the start of a game and it is from this point onwards that the majority of turnover starts to take place. In Asia, where live betting reigns supreme, around 70 percent of turnover happens in-play and in some cases this can be as high as 80 percent, with just 20 percent wagered pre-game.

ONEbook – THE ONEworks SPORTSBOOK SOLUTION

ONEworks offers up to 18,000 different events in a single month during the regular season, out of which 5,000 are offered in-play with the highest recorded concurrent in-play events numbering around 100.

With all these events, backed by an average 150,000 concurrent customers at any one time, ONEworks enjoys one of the highest liquidities of all the providers. They are phenomenal numbers and with so many variables influencing the outcome of any sporting event it comes as no surprise that using a platform provider offering human traded prices is the sensible way to go.

The idea is to ensure accurate real time market prices, something which is crucial to an operator in order to attract customers. Get the prices right and the customers will place their bets. If the prices are derived by averages or even worse methods that are out there any delay or wrong prices can be exploited by the savvy, price sensitive Asian punters. Of course, this is good for the punters themselves but not for the long-term future of the sportsbook!

The great advantage of using a platform provider such as ONEworks is that rather than having to invest significant funds running a sportsbook trading operation, licensees can instead acquire a sportsbook platform with all the multiple events and traded prices essential to the Asian market.

The next time you open up your favourite sportsbook and examine your betting options, take some time to ponder the time and effort that has gone into setting the prices you see. You might be surprised how quickly your thinking changes once you understand where all of those odds came from!