Re: Why is SNG rake so high?
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I like how you guys are so confident that your analysis of the PS business model is vastly superior to their own. Do you think they've put zero thought into this? We aren't dealing with Party Poker here.
It's very easy to say "you will get a lot more volume on high buyin SNGs if you lower the rake" when you aren't the one who has to deal with the fallout if it doesn't work. What if it doesn't increase traffic, or just a little bit? Now their revenue is down and they have to consider raising the rake back up. How well do you think that will go over?
Maybe when they lower the rake FTP will have to lower theirs. Now if they raise it back up more people will bolt to FTP. But then they can come to DCJ311 and ryanghall and say "Hey guys, you told us this would work. So now how are you going to get us out of this mess?" Right?
Now if you want to say "we don't care about your business model, we think the rake is too high and we're pissed" that's fine. I just think the idea that we somehow know more than they do about how to run their business is ludicrous.
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The very large buyin sngs hardly run at all now and is likely making stars very little money. If they lowered the rake and money earned didn't go up then it would be easy to switch back and it wouldn't hurt anyone.
That being said many people will play the <$60turbos for months before they realize they can't beat the rake and once they leave new idiots follow. That is why there is no incentive on those tables.
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