Two Plus Two Older Archives  

Go Back   Two Plus Two Older Archives > Internet Gambling > Internet Gambling

Reply
 
Thread Tools Display Modes
  #61  
Old 10-12-2005, 05:21 PM
Guest
 
Posts: n/a
Default Re: Hey Dikshit

[ QUOTE ]
Unquotable name guy, I think your point is an interesting one, but largely semantic.

Sure, I can buy that in a hypothetical player pool with a limited number of profitable players, that the unprofitable ones, are effectively paying all the rake, as by definition profitable players will take unprofitable players money in excess of the rake taken from profitable players pots. However, I don't think this models real life very well.

Let's say for the sake of argument that multi-tablers seeking rake back do account for 10% of the player base and 70% of the rake contributed (where rake contributed indicates the share of total raked hands played).

10,000 players- 1,000 MT 9,000 fish

scenario 1: MT's leave. Fish play each other at the same rate. 9,000 fish play in 900 cash ring games generating x rake per hour.

scenario 2: MT's stay. 3,000 cash ring games run (MT's account for 70% of action). 7 MT's and 3 fish at each table generating 3.33x rake per hour.

Scenario 2 is clearly superior if the games can be maintained, that is if these limited number of fish are somewhat inelastic in their demand for poker, and are willing to lose at a quicker pace. If a fish is going to play however many hours he's going to play, is somewhat insensitive to his long term results, and is willing to replenish his poker account with his income, that satisfies the above conditions.

It is silly to assume that all fish are 100% like this, but it is also silly to assume that a losing player makes a one time buy in of say 500 dollars and decides that this is all he is ever willing to lose for life. It seems to me that for many losing players, the limiting factor is time. The losing player enjoys playing poker, and even if he will eventually give the game up, he is willing to spend 5 hours a week for 2 months playing.

Also, scenario 1 isn't really accurate, as new winning players would emerge from the weak competition. Certainly, it would be in a poker room's interest to have a game where all players were of exactly equal skill so no money left the system. I don't see how this is even remotely possible.

[/ QUOTE ]

I think this is the key, and what people are missing in the argument. Of course in the short term everyone contributes to the rake. And if the supply of fish is endless, Party would not care how many winners and losers there are. But the fish already lose paying rake and are losing to the sharks even more money. So my guess is that it's a balance between scenarios 1 + 2 that Party needs to maintain. My feeling is that balance has a lot to do with Party's decision though. They found that a big portion of there players were taking advantage of the fish, but not paying rake to Party. So they are getting the worst of both worlds, as the fish are getting depleted and they are not getting compensated enough for it.
Reply With Quote
  #62  
Old 10-12-2005, 05:30 PM
Dave D Dave D is offline
Member
 
Join Date: Dec 2004
Location: Wake Forest University
Posts: 66
Default Re: Hey Dikshit

The idea that party (and online poker) has saturated the market is rediculous. See my above post. There's no way even close to all the people that could play online have even heard of online poker. 9 Million (assuming that doesn't count duplicate accounts, which we know exist) is like 3% of the US, nevermind the rest of the world. We're not even CLOSE to market saturation. The issue for party is *definatly* one of marketing/getting the word out/exposing as many people as possible to online poker.

Alienating your base of pro players is bad because it kills your marketing. See my above post.
Reply With Quote
Reply

Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off

Forum Jump


All times are GMT -4. The time now is 07:56 AM.


Powered by vBulletin® Version 3.8.11
Copyright ©2000 - 2024, vBulletin Solutions Inc.