The career of a betting tipster consists of ups and downs and involves a lot of hard work. While there’s been some controversy about collaborations between tipsters and bookmakers, betting at sportsbooks remains an enjoyable activity for punters. As we proceed further in this article, we will explore just exactly how betting tipsters make their money.
Who Is A Betting Tipster?
So basically, a betting tipster is anyone who offers expert betting tips to punters, usually for a set fee. Reputable tipsters are, by default, expected to provide only tips that are well-researched and have high probabilities of earning. The profits could be small for the most part or require a large wager from bettors to make it worthwhile.
Either way, the reputation of betting tipsters hangs on correctly predicted games that offer some returns on investment. With the evolution of sports betting, however, enhancing prediction accuracy with artificial intelligence can make the job of tipsters simpler. Highlighted below are some ways betting tipsters are known to make their money.
How Tipsters Make Money
There are several ways a betting tipster can earn money from predictions. Whether it’s getting paid by bookmakers or charging punters a subscription, tipsters score some change. It should be noted that each method has its benefits and drawbacks, and we’ll touch on every aspect.
Running a subscription service is something that some very well-established betting tipsters engage in. Being able to amass a large following of bettors who trust the credibility of a tipster doesn’t start easy, though. It involves offering many free winning tips, as hardly anyone willingly pays for a service that’s no good.
Usually, after a period of providing free tips, betting tipsters known for their reliability could quickly start a subscription service. Options are typically available on a weekly, monthly, or yearly subscription basis, depending on the bettors’ preference. So, as long as the tipster’s predictions generate money for bettors, they, too, can make a profit from consistent subscribers.
One significant advantage of using this money-making model is the high-level motivation that comes with it. Having many subscribers can inadvertently motivate betting tipsters to continuously make winning predictions that interest punters. The drawback, however, is that a string of failed tips can lead to a sudden loss of subscribers.
Earning From Bookmakers
Sometimes, running a subscription service reaches a point where the time invested in making predictions doesn’t result in earnings. This is a disappointment for many tipsters, who then explore the alternative of entering a deal with sportsbook operators. Typically, the most common type of business relationship between bookmakers and tipsters in this regard is affiliate marketing.
Betting tipsters with a website or social media platform could easily display affiliate links to partner bookmakers. Through these links, users can become registered members of bookmakers partnering with the tipsters. So, as expected in affiliate marketing, the betting tipster earns a commission from the bookmakers for every successfully registered user.
This business partnership could also be extended further in some cases. Several bookmakers are known to offer tipsters a commission of any losses accrued by bettors they initially recommended. Most of the time, this commission starts at 20% or could be as much as 40%.
Earning From Bets
From our research, many betting tipsters don’t earn their highest incomes through subscriptions or from bookmakers. They do this by placing value bets and making money from the profits of these bets. Value betting is a profitable smart-betting strategy usually employed by betting tipsters.
The picks are generally based on overpriced outcomes or odds much higher than the actual possibility of winning them. If a betting tipster’s profit is based on earnings from value bets, it is not a scam. In all honesty, it does not appear easy to be a profitable tipster without manipulating bets.
Conclusion – Knowing Which Betting Tipsters To Trust
Firstly, take a look at the tipster’s information on parameters like average profit, return on investment, and strike rates. Strike rates tell the percentage of bets a tipster wins, while the average profit is displayed for the period covered. The ROI can be calculated by dividing total earnings by the amount invested and then computed into a percentage.