Nice Ideas, but Not the Desired Results & Notes

Back in 2009, Evian Water's ad agency released a video on YouTube. The "Roller Babies" ad was quite successful, so successful in fact, it made the Guinness book of World Records as the most watched viral video for a brand of all time. With 50 million views in 2009 alone, all for the most part free advertising, it was quite the coup.

Or was it? In the same year, Evian sales went down by 25%. 

This is not uncommon. If your ad, or video, or the patrons you bring in to your establishment are not linked in some way to the product itself, the product's sales often do not follow. No link, or reminder, no sales.

This phenomenon was explored today in the TDN.  Will bands and food trucks convert into handle? Like water purchases, I just don't think so.

Flipping over to marketing the real product, Pompano Park set a handle record last night; with about 80% of the nightly betting on one race one bet.  The $202,000 Super High Five had a mandatory payout. With a negative 1.5% effective takeout, the bet was again a winner, with over $1 million of new money.

That bet and those like it are successful because they provide value, and a chance at a score. North American bettors are conditioned to take advantage of such pools, and they've been responding (it was not always like this, some tracks have tried to seed pools earlier on, to no avail). In Australia, they might have 0% rake bets that they are conditioned to bet that garner $3M pools, here we have 0% rake bets that garner big pools, too.

With so little value out there - high takeout and field size, along with ADW messes and signal fee problems - a lot of people have been chased away. I, for example, have bet four days this month - Derby Day, Oaks Day, and two days at Pimlico. The only other two bets I made were the carryover Super High Five Monday at Western Fair (-10% takeout) and the Super High Five last night. There's so little value every day (horse racing must understand that playing every day is a second job, and people don't take the time if there is no value), so like many, I just mess around when a good bet pops up. Too bad there aren't more of them.

Last up: I guess it's started. We were waiting for something to pop up in the news for the Triple Crown trail and I guess we've got it. Joe Drape examines the legal issues regarding the primary owner of American Pharoah.

Have a nice Thursday everyone.

1 comment:

Ron said...

I'm always for lower takeout. Sometimes I think that's all my Dad6cared about and that was 30 yrs ago when I was in high school, but high 5s p5s p6s don't help the small guy since its such a low percentage bet regardless of takeout. They're great bets for high bankroll high volume players. When will tracks, other than Woodbine and Hastings significantly lower takeout on higher churn bets.


Carryovers Provide Big Reach and an Immediate Return

Sinking marketing money directly into the horseplayer by seeding pools is effective, in both theory and practice In Ontario and elsewher...