Monday, May 5, 2014

Follow the Leader

In our last survey this question was asked and here were your responses:

92% of you think this is just the beginning. It's why, at 9 in 10, you've wished to withhold some or all money at CDI properties.

What's funny is that we often hear from some 'CD's takeout is still lower than track X so why aren't you upset with track X?

Because of the above. It's follow the leader.

This was exemplified this weekend at Churchill Downs.
Yes, a CD employee wanted to compare CD's 22% exotic take to California's 23.68% exotic take. "See, you are getting a good deal. Those guys are higher"

But as you all know well, California's takeout rate was raised to 23.68% from 20.68% in 2011.

They are comparing their raised takeout rate to another track's raised takeout rate.

In 1908, pari mutuel betting had a takeout of 5%. Now it's around 21%. That's exactly how you get there.

 That's why this is important, and that's why 92% of you understand the game of follow the leader.

This past week at Churchill Downs, despite perfect weather, a debuting big board and the usual fantastic Derby card, you bet less. Well over $5M less since the press release on Tuesday. On our email some of you said you were not going to bet the Derby or the Oaks (both were down from a wet 2013, and a shorter field Oaks in 2013). These events might've surprised some, but it didn't surprise us.

Now is the time where the takeout hike is most felt: With you the every day horseplayer. If that $5m reduction so far goes lower, you are speaking. You're telling tracks that they can't follow the leader anymore. You're telling Gulstream that they can't raise their takeout to "just under Churchill" on their pick 5. You're telling NYRA that because they have a super low exacta take, they can't raise it to "just under Churchill's". It's something you all believe needs to be done, and we stand with you.

1 comment:

Stillriledup said...

You have to make a stand, before its to late. You have to stand for something. If you care about the state of the game, you'll take action, even if it seems as if nobody else is really following your lead.

As Mark Twain once said, "Action speaks louder than words, but not nearly as often"