Amusement devices: games – Including means for processing electronic data – Credit/debit monitoring or manipulation
Patent
1996-08-23
1999-02-23
O'Neill, Michael
Amusement devices: games
Including means for processing electronic data
Credit/debit monitoring or manipulation
364410, A63F 922
Patent
active
058737820
DESCRIPTION:
BRIEF SUMMARY
TECHNICAL FIELD
This invention relates to a method and apparatus which provide set price and variable price betting on events on a totailsator system and in particular, a computerised totalisator system.
PRIOR ART
Totalistors have been in operation in many countries for many years. When accepting bets such as win bets, they generally function by collating the amounts bet on each competitor (e.g. horse, dog, football team) in an event such as a race or a match, collating the total amount bet, subtracting a commission (usually at a fixed percentage rate which includes a proportion for tax) and then calculating the price relating to each competitor according to the amount bet on it in accordance with one of the following formulae: ##EQU1## where the variables have the meanings given in the Appendix. The word "price", when used herein, will incorporate both the meaning of "odds" and "dividend".)
Consequently, they are called parimutuel ("mutual bet") totalisator because those who are successful divide the stake less a percentage in commission; there is no outside agency setting the market.
Often the rate of return is increased by deducting "fractions" such that the price given is truncated after the first decimal place e.g. 1.29 becomes 1.2.
The same principles can be (and usually are) extended to prices calculated for place betting and combinations of results such as quinellas (certain competitors running first and second), trifectas (certain competitors running first, second and third in a given order), fourtrellas (certain competitors winning four given events on the day) etc. The prices are calculated in much the same way, but instead of the amount bet on a given competitor to win, the relevant figure is the amount bet on a certain outcome.
But, it is a necessary consequence of the way these current totalisators operate that, not only do the prices on offer vary frequently during betting but, the punter can only be given the price as calculated after al bets have been made. As this price can be quite different from that which may have been shown earlier in betting, this can lead to much frustration on the part of the punter.
However, one of the main advantages of the current variable price system is that, no matter what the outcome of the event, the totalisator operator is virtually guaranteed of the commission at the rate specified. Another advantage is that there is no need to limit the size of any bet in order to guarantee profitability of the system.
Bookmakers on the other hand offer set prices, usually up to a certain limit, in accordance with a market as framed by them or on their behalf and, while the prices fluctuate with supply and demand, the price given to a punter at any stage in betting remains fixed.
One of the main disadvantages of the bookmakers' method of supplying set prices is that usually the rate of return is less than the commission rate would indicate. In fact, the problem can be greater than this; bookmakers can, and do, lose.
The term "commission rate" used herein means the degree to which prices (and therefore the amount available to be distributed) are reduced below the level which would return the whole pool to successful punters. There are a number of methods which can be used to allow for commission and therefore determine the commission rate. While it might be expected that the rate of return to the operator of the betting system would be equal to the commission rate and, the more prices were reduced the greater his return would be, this is not always so. The reason is that the rate of return may be affected by other factors such as the accuracy of the market and the mechanisms of the system. So, the commission rate is a theoretical rate and unless particular mechanisms are used, the rate of return will often be a lesser rate.
The term "set price" has essentially the same meaning as other commonly used terms such as "fixed price", "fixed odds", "guaranteed odds" or "set odds". The preferred term is "set price".
Hereinafter, the term "parameter" includes the meaning of a
REFERENCES:
patent: 4322612 (1982-03-01), Lange
patent: 4494197 (1985-01-01), Troy et al.
patent: 4775937 (1988-10-01), Bell
patent: 4875164 (1989-10-01), Monfort
Gormey, Automated Guaranteed Odds Bin HTA Fuasibi City Model, Jun. 1995.
Economou Vangelis
O'Neill Michael
LandOfFree
Specified return determinator does not yet have a rating. At this time, there are no reviews or comments for this patent.
If you have personal experience with Specified return determinator, we encourage you to share that experience with our LandOfFree.com community. Your opinion is very important and Specified return determinator will most certainly appreciate the feedback.
Profile ID: LFUS-PAI-O-301445