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Juice or Vigorish or Vig for that matter are common terminologies used in modern online bookie business.
If you are new in the pay per head industry, you might not know these terms unless you dig deeper. Upon knowing, you will be in a safe position in the use of pay per head betting software or at least; you will understand what it means when you hear someone use these words.
Vig
Vig or Vigorish, is the online profit bookmakers get when a gambler places a bet through their bookie software. Most online bookies set a fixed rate of 10% profit on every bet. For instance, suppose a gambler placed $100 on a favorite sport, and he ends up losing the bet, he will be required to pay $110. Remember that $10 is a vig from this gambler.
It is also important to note that a vig is only earned when a gambler loses a bet. Otherwise, if he wins, he takes everything.
Pay per head software helps bookmakers to make many vigs per day thanks to its versatility and many games on the software.
Importance Of Juice
Just as profit is important to business, so is the juice or vig to an online bookmaker. Remember that bookmaking is a service industry. It is a platform that gives clients an opportunity to place their bets on games they love.
They are paid by betting companies that sponsor the wagers and not by the bookmaker whose role is to provide the elaborate platform and get a $10 juice.
How It Works
Let us use the example of two teams playing, and the bookmaker has given them lines of $110 each. The teams are A and B.
In support of team A, 100 bettors have placed their money making it a total of $11, 000. The same number of clients places a bet on team B making it another $11, 000. At the end of the day, the bookmaker has $22, 000 from bets.
One side wins and the bookmaker pays out $10, 000 remaining with a juice of $1,000. If there are ten games or let us say it happens ten or so times in a day. Do you see how much 'juice’ an online bookie pockets in a single day? It is $1, 000 for one game of 200 bettors for both sides multiply by 10 or so times in a single day or night. That would lead you to a whopping $10, 000. What juice!
You can repeat that on a daily basis. Do not forget special events, and peaks such as March Madness when people are 'mad’ about gambling and holiday seasons when people are free to spend as they want.
