Now that sports betting legalization is here, it seems that bookmakers from all over are coming in droves to the United States to capitalize on PASPA being overturned. The latest bookmaker to do so is the Australian-based company PointsBet who has announced they’re coming to America through a deal made with Meadowlands Racetrack and Tioga Downs.
While the FanDuel Sportsbook group will have a brick-and-mortar book at the Meadowlands and soon at Tioga Downs (NY) and soon to be online NJ sportsbook, PointsBet will offer sports betting in New Jersey via online and mobile platforms with a desire to launch as early as the “fourth quarter” of 2018.
The Tioga Downs deal, is contingent upon state legislature passing laws to allow online and skins wagering in New York next year, after failing to pass this year. However, Tioga Downs is one of four commercial casinos that are authorized for physical sports betting in New York.
Although they started just 16 months ago, PointsBet CEO Sam Swanell said that American was always on their radar, according to Adam Candee of Legal Sports Report. “It was all about America,” Swanell said. “Australia was very much proof-of-concept for us. We always had one eye on America.”
PointsBet is expected to allow traditional sports betting on their own self-branded platform, though Swanell did not close the book on a potential partnership. “There is a chance that we could do a deal with a company that has a stronger brand in the US,” Swanell said.
WHAT MAKES POINTSBET DIFFERENT?
What separates PointsBet from the competition is an interesting and innovative product that PointsBet offers called Points Betting.
Basically, the concept is this: Say you had an NFL game total of 38. You could wager $10 that it would go over by 10 points, thus making the total 48. If you were correct, you’d win 10-times your wager, winning $100. But if you were wrong and it went under at 28 total points, you’d lose $100 instead. The same concept applies to, for example, the NBA, too.
This presents a much greater risk than just betting on the Kansas City Chiefs -3, of course. In addition to that concept and the usual kind of sports betting we’re accustomed to, PointsBet also takes customer suggestions for prop bets.
PointsBet does face an obstacle when it comes to stakeholders though, due to some of their high- risk product offerings and they want to make sure they educate bettors about it.
“You do have to go through an education patch that makes sure that people don’t go overboard,” Swanell said. “But honestly, in Australia, we haven’t had any issues with anyone getting carried away.”
PointsBet appears to be proactive in that regard, though. Player’s have the ability to self-reduce their bet limits and they also have a PointsBet representative call every new customer to discuss the product.
Swanell commented on the clarity of their product saying, “It’s very clear — this is how much you can win on this bet and how much you can lose.” It should come at the surprise of no one that PointsBet wants to progress further into the United States.
Swanell has said he takes monthly trips to the U.S. now for meetings with potential partners and is involved with Request For Proposal (RFP) process across throughout the country.
In its native country of Australia, PointsBet offers horse racing, rugby and Australian football, but they do have a huge emphasis on American sports.
Jeff Gural, the chairman of Meadowlands and Tioga Downs, had some kind words about Swanell and PointsBet in a recent statement.
“We were impressed by the PointsBet team from our first meeting”, Gural said. “They have a creative approach, with their highly differentiated Points Betting product and aggressive go to market plan. I believe they are the ideal complement to our other partners and am confident they will quickly become a meaningful player in the US market.”
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