Gambling can be Profitable, by Following Simple Rules

gambling is a 400 billion dollar industry. This means there are 400 billion dollars on the table to grab, placed by punters and bettors worldwide. That is the gambling pie. Now, grab a spoon and read how you can take a bite.

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Total global gambling market gross win from 2003 to 2015

First, let’s say a few words how the big guys work in this business.

The gambling industry is mostly made up of sports betting operators, casinos and poker rooms. These are the industry’s big winners, due to how games are stacked against players. Bookmakers make money due to vig, casinos are guaranteed to profit due to the house edge and poker rooms receive rake from every pot.

If you want to win big and constantly, you need to start a gambling business. No other way around. You cannot take a bigger cut of the gambling pie unless you are one of these companies. Even the most successful poker players and sports bettors cannot compete them in profitability.

Yet, these businesses are not one-man shows. Plenty of people work in the gambling venues, from dealers and odds compilers to marketers and public relations staff. They are real businesses with business plans that guarantee them a profit for offering a service to the public. That service is entertainment. Because that is what gambling is.

Entertainment.

For all that people to work and get paid their salaries, gambling companies need big cheques and margins. Otherwise, their business isn’t sustainable.

There are two ways to accomplish that: by either having bigger-than-average profit margins or increasing their turnover. Usually, brand new gambling companies go for the former. As they build up their customer base, they reduce their margins to attract more turnover and compete with the big guys. By the time a gambling operator generates sufficient revenue and net profit every year, their business is safe, as long as they don’t fall behind to competition.

Then, it’s a matter of how many more gamblers find their service attractive. The more they do, the bigger the cut for the company.

Either way, gambling companies are after punters’ money. Those 300 billion dollars. Gamblers are feeding the whole gambling industry. Even in poker where at first glance whales (wealthy bad players) lose to better, regular players. Note “regulars”. Eventually, those regulars will keep playing, paying rake on a daily basis, giving a portion of their winnings back to the poker room.

So, here’s how to stop feeding the gambling industry.

Stop gambling!

If you have been gambling, stop. Unless you are a winner, you need to stop. And since you are reading these lines, you have been losing money. So, stop losing money!

So simple.

Now that your bankroll stopped depleting, it’s time to understand the ins and outs of the gambling industry. That is known as the iGaming industry if you are gambling online.

Size of the online gaming market from 2003 to 2015 [Courtesy of Statista.com]

In gambling, someone has an edge. It’s either you or the man on the other side of the betting line. That usually is the house, standing for bookmakers and casinos. That edge is either predetermined (think of roulette, where you are paid 35-to-1 on a 37-number wheel) or fluctuating (think of betting odds that move up or down).

The best way to comprehend the edge is a coin toss.

Imagine you bet on a coin flip, at less than even odds. No matter your choice of heads or tails, you are going to lose money, in the long run. You are betting on a 50-50 chance but only get paid less than double your money on each coin flip! Depending on how much less you are getting paid, your bankroll will withstand a certain amount of bets.

So, if I’m offering you 1.90 (decimal odds) for each coin flip, your money will end up in my pockets after 200-300 coin flips. That’s how you have been feeding the gambling industry. And that’s what the house edge is all about.

But how do I know how big is your bankroll?

Risk management in gambling

Before you even think of beating the casinos or the bookies, you must understand risk management. Also known as bankroll or capital management, risk management will be the decisive factor in your success. No matter how much edge you gain over the gambling companies, bad risk management will make your betting bankroll evaporate.

If you are going to remember one thing from this article, note this:

Always risk 1% of your gambling capital.

That’s easy to remember, right? Set aside a specific amount of money for your gambling habit and split it into 100 parts. No matter your gambling medium, you should risk no more than one part on each bet you are placing.

That’s pretty much it!

That would also get you in a safe distance from disastrous staking plans, like martingale systems. When the time comes, you’ll move up to more advanced staking strategies than flat betting, such as the Kelly staking plan. Until then though, stick to risking 1 per cent of your bankroll and you’ll be fine.

Remember that this rule applies to small and big bankrolls alike! So, your bankroll’s size doesn’t matter when it comes to risk. Size only determines how much money you will make or lose in currency terms.

Find a gambling system

Now comes the really tedious task of creating a profitable gambling strategy. Finding an edge in the market isn’t easy, I’ll tell you that. If it were that easy, and given the simple risk management rule I explained, everyone would be a winner. But you already know that only 5% or so of gamblers can make it pay.

In order for you to make money, someone has to lose. It’s a zero-sum game, where gambling operators also get their cut. Thus, we need to exploit the market, looking for leaks and biases, like the favorite-longshot bias . The average gambler follows specific betting patterns. You mustn’t do the same. Always do something different, always think different.

Be the first to … or be the best in exploiting a known fallacy.

Oh, and if you do, don’t let the world know unless you are after fame and reputation. Otherwise, your edge will diminish as more people will imitate you, and market finds its new balance.

Finally, don’t worry if your first betting system fails!

Be disciplined, stay on your toes and avoid burnout

So, by now you should have a viable system and know how much to bet on the next game. You are on your way to becoming one of the elite professional gamblers. What can go wrong?

First, you may not be disciplined enough to follow your own rules! Wouldn’t it be pity to lose money, after all that research and study? Yet, even reputable and notable sharp bettors may lose their discipline after a long losing streak.

Don’t be that guy.

Trust your proven strategy, stick to your risk management plan and always be prepared for variance. Embrace the drawdown and never question yourself at tough times, as long as you are doing everything by the book.

By the time you experience several months or years of successful gambling, there’s a big chance you feel… bored! Yes, believe it or not, no matter how much money you are making, doing the same, dull thing every single day, will get you bored. At first, making money from gambling seems like a dream. But like in every other business, routine will take the pleasure away.

Find the missed fun, by exploiting new markets, trying something new or improve your methods.

Finally, burnout is a serious hazard in all kinds of successful gambling. Take breaks, go on holidays, and enjoy your profits and hard work. Don’t let gambling consume you, no matter how big you are winning.

Enjoy life, because in the end, isn’t that the meaning of living?

Let’s not hurry things up though. Most probably, you’re having a difficult time to break even to say the least. Winning in the long run seems too far away at the moment. Don’t despair. Stop gambling your money away, find an edge, forward test your system in paper and when you feel ready, do not risk more than 1% of your bankroll. I am sure, we’ll be hearing from you soon!

17 World Cup Facts You Probably Don’t Know find out

#1. No Sex (Especially Acrobatic Sex) During the World Cup

Many coaches ban their players from having sex during the World Cup.
Coaches from teams including Germany, Spain, Mexico and Chile have all forbidden their players from having sex during the tournament. The mangers claim sex is a distraction and a waste of the player’s energy.
Other managers, like Brazil’s Luiz Felipe Scolari, have taken a more mixed approach. When asked his stance, he stated his players can have sex but are to abstain from more “acrobatic” forms of sex. To be honest, I’m not sure what defines acrobatic sex. I’m a little disappointed in the reporters for not asking such an important follow up question…
Thankfully for our boys, USA’s coach, Jurgen Klinsmann, declared that he won’t ban players from sexual activities during the Cup.

#2. Almost 50% of the World’s 7.05 Billion People Watch the Cup

Almost 3.2 billion people worldwide, roughly 46% of the world’s population, watched more than one minute of the 2010 World Cup. According to FIFA, this makes the tournament “the world’s most widely viewed sporting event.”
While it’s amazing that 46% of the world united to watch a single event, it’s arguably more incredible that 2 billion people, or about 29% of the world, sat down to watch more than 30 minutes of the Cup.
To put things into perspective, let’s compare viewership of the 2014 Super Bowl to the final match of the 2010 World Cup. The Seahawk’s win over the Broncos was seen by 111.5 million people while Spain’s 2010 victory had over 909 million viewers.
I realize that as the Super Bowl is a predominantly US event and the World Cup is a worldwide tournament, this is somewhat comparing apples to oranges. Even still, the fact that almost a billion people watched a single soccer match is mind blowing.
For those who are curious, the viewership stats were drawn from this report by FIFA.

#3. Over 3 Million Beers Drank, Almost 400,000 Brauts Devoured

Over 750,000 liters of beer were sold in stadiums during the 2010 South Africa World Cup. That’s equivalent to 25,360,517 ounces or 3,170,064 beers!
Don’t worry, since these guys also ate 390,600 hot dogs, they won’t get too hung over.
I’m equal parts offended and impressed by this stat.

#4. $35 Million Dollar Payout for the Winner

One of the most interesting World Cup facts is how much money FIFA pays the tournament’s participants.
In addition to bragging rights, the winner of the World Cup takes home a staggering $35 million dollars. In a small attempt to offset their disappointment, FIFA awards the runner-up $25 million. I assume each and every team who placed second would trade the money for the title.
The top placing teams of most tournaments receive some sort of compensation. What’s incredible about the World Cup is that every team who participates takes home a multi-million dollar check. In fact, just competing in group play secures your team $8 million dollars.
FIFA’s generous disbursements make a little more sense when you consider how much they rake in. For the 2014 World Cup, they’re projected to make around $4 billion dollars. Not bad for a month long tournament.

#5. The Cup Causes Increased Birth Rates in Host Countries

Nine months after Germany hosted the World Cup in 2006 their country’s birthrate increased more than 10 percent.
A 10 percent increase may not seem like much, but birth rate is something that’s extremely stable. Since 2006, the European Union birthrate has only changed .07%. What’s more, Germany’s birth is one of the lowest in the EU.
So why did this happen? Well, there are two fundamental reasons:

1. Beer
2. The fun nature and excitement of the World Cup. Fun and exciting events tend to make people happier. When women are happy, it releases hormones that make it easier to get pregnant.

That last one’s a little scary huh? Just remember the sage drunken advice of your drunken friend. You know, the one about not being a fool and wrapping your tool?

#6. The Stadiums are Thousands of Miles Apart

Contrary to how it may seem, and opposite to other global events like the Olympics, the World Cup stadiums are usually spread widely across the host country.
As an example, the twelve stadiums of the 2014 World Cup are spread as far as 1,997 miles apart. That almost 2,000 mile journey, from Porto Alegre to Fortaleza, takes the teams roughly five and a half hours.
You can see the locations of the twelve stadiums below. There’s also a great video flyover of the stadiums you can watch here.

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#7. The 2014 World Cup in Brazil is the Most Expensive Put on So Far, By a LOT

Bloomberg estimates Brazil will spend more than 30 billion reals (or $14.5 billion dollars) to host the World Cup.
If this ridiculously high dollar amount doesn’t blow your mind, compare Brazil’s $14.5 billion dollar price tag to the cost of the last five tournaments combined of $15.37 billion dollars. Amazingly, Brazil spent almost as much on one tournament as the past five countries spent on the five tournaments. A breakdown of the costs can be seen below.

1994 (US) – $30 million

1998 (France) – $340 million

2002 (Japan/South Korea) – $5 billion

2006 (Germany) – $6 billion

2010 (South Africa) – $4 billion

Plenty of Brazilians are pretty mad about the large amount of money their government spent to host the tournament. While fourteen and a half billion dollars is an astronomical figure, hosting the World Cup does have its financial benefits. The same Bloomberg report linked above projects that Brazil’s GDP will increase 0.4 percent every year for the next 5 years.

#8. European Countries Have Appeared in All but Two World Cup Final Matches

Of the 19 FIFA World Cup tournaments held (excluding the current 2014 tournament in Brazil) a European team has appeared in the all but two of the final matches.
Of the 17 finals matches that they’ve appeared in, European teams have won 58.8%.

#9. Two Teams Have Won Almost 50% of the Tournaments

Brazil and Italy have a combined 9 World Cup titles. One of these two teams has won 47% of the 19 tournaments held.

Brazil has won the most titles with 5 wins, ranging from 1958 to 2002. The Brazilians have appeared in every World Cup since its inception back in 1930.
Italy has taken home 4 titles making them the second most winning country. Their victories range from 1934 to 2006.
Germany comes in third with 3 wins, followed by Argentina and Uruguay with 2 wins apiece.
Those five teams combine to a total of 15 wins. That means that of the 195 countries that the United States government recognizes as independent nations, 5 have won roughly 79% of the World Cup tournaments held.

#10-13. Most Goals Scored By:

#10: A Player in a Single Match

Russian striker Oleg Salenko holds the record for most goals scored in a single World Cup match. In 1994 during a group game versus Cameroon, Salenko knocked in five goals. His 5 goals helped Russia comfortably win the match at 6:1.

#11: A Team in a Single Match

Hungary takes the prize for most goals scored by a team in single World Cup match. In 1982, they made 10 goals to beat El Salvador in a group game 10:1.

#12: A Player in One World Cup Tournament

French striker Just “Justo” Fontaine claims the record for most goals scored in a single World Cup tournament. He knocked in an unbelievable 13 goals in just 6 goals played.
To illustrate just how amazing this was, consider Ronaldo’s and Klose’s joint record for the most goals scored in playing multiple World Cup tournaments below.

#13: A Player in Multiple World Cup Tournaments

Brazilian “phenomenon” Ronaldo and Germany’s Miraslov Klose jointly hold the record for most goals scored in multiple World Cup tournaments. Both players have manage to slip 15 goals past the keeper.
Ronaldo, who is also one of the only three players to win the FIFA World Player of the Year three or more times, was able to achieve the record a little more quickly. It took the phenomenon 19 matches in 3 World Cup tournaments while it took Klose 20 matches in 4 different tournaments.

#14-15. The Fastest Goal vs. the Quickest Red Card

In the 2002 World Cup, Turkey’s Hakan Sukur scored a goal in just 11 seconds. The goal helped the Turks defeat South Korea 3:2 and finish the tournament in 3^rd place.
At an unbelievable 11 seconds, Sukur holds the record for fastest goal scored in a World Cup match.
In what’s arguably the exact opposite end of the spectrum, Uruguayan defender Jose Batista holds the proud record of the fastest red card in World Cup History. He was sent off just 56 seconds into the match after he committed a high studded slide tackle to the back of the legs of Scottish midfielder Gordon Strachan.
Even with over 89 minutes of playing a man down, Uruguay was able to hold on and tie the match at 0:0. Check out the slide tackle below.

#16. The Organizers: FIFA

A list of world cup facts would be horribly incomplete without mentioning FIFA.
FIFA is short for the Fédération Internationale de Football Association (International Federation of Association Football in English). FIFA was founded in 1904 and is governed by Swiss law. Accordingly, the association is headquartered in Zurich.
FIFA’s claim, “For the Game. For the World,” is backed by their three pillared mission statement:

1. To develop football everywhere and for all
2. To organize inspiring tournaments
3. To care about society and the environment

With 209 member countries, FIFA is often called the “United Nations of Football.”
Their accolades and mission statement aside, their reputation is far from spotless. The organization has been called dishonest and corrupt. There are multiple scandals surrounding the organization including allegations of bribery.

#17. Does Hosting the Match Improve a Country’s Global Image?

When asked if they thought the World Cup would improve their country’s image, Brazilian citizens were divided.
In a study done by Pew Research, 39% of participants said they felt the tournament will hurt the country’s image, 35% said it would improve the image, 23% thought it wouldn’t have an impact and 3% said they didn’t know.