BUSINESS

Betfair set to boost profits with fixed-odds sports bets

TAGs: Betfair, profts, sports betting plan

BetfairOnline betting exchange Betfair Group Plc, is set to increase profits by more than 50% with a new fixed-odds sports betting plan, according to Numis Securities.

Betfair will offer fixed-odds betting alongside its exchange bets to increase choice in April 2012. In a note to investors, analyst Ivor Jones is reported to have declared that this is hoped to help increase its dominance in commercial sports betting.

Things are looking pretty good for the world’s largest betting exchange group, who recorded a revenue increase 6.2% over their 2010 third quarter to £77.0 million, in March this year.

Jones said: “If Betfair came to dominate fixed odds sports betting, in the same way it currently dominates overall sports betting, then it has the potential to more than double group profits.” That’s right, he said double!

He added:”The calculations are highly speculative. The new system could let Betfair tap into the advantages offered by fixed-odds betting, such as greater selection, earlier bets and more multiple wagers.”

In June, Betfair said it’s developing an “integrated” sports betting product that will allow it to offer more bets during games and other wagers. For those of you who didn’t already know; Betfair’s betting exchanges allow customers to bet against each other, rather than against the house, as at traditional bookmakers such as William Hill Plc and Ladbrokes Plc.

The news comes less than a week after Betfair released an advert demonstrating to its addition of the live dealer tables, something that’s beginning to become commonplace on all gaming sites.

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