How does pokerstrategy.com make money?

    • garyk5846
      garyk5846
      Bronze
      Joined: 10.07.2010 Posts: 60
      On full tilt, paying us 27 percent rake back, FTP must be paying them at least 50 percent of our rakeback? Just wondering how they can afford to give such generous prizes etc..
  • 5 replies
    • HannesZ
      HannesZ
      Headadmin
      Headadmin
      Joined: 30.06.2010 Posts: 16,314
      Indeed the margin at Full Tilt Poker is quite low, because we pay the full rakeback.

      This is the reason why you receive just 2 StrategyPoints per $ rake on Full Tilt Poker. On some sites you get 4 points per rake.

      Best regards,
      Hannes
    • MrMardyBum
      MrMardyBum
      Gold
      Joined: 14.03.2009 Posts: 2,235
      $2,844,950.62 average per day is what Full Tilt turnover, before costs.
    • EagleStar88
      EagleStar88
      Bronze
      Joined: 06.10.2008 Posts: 7,359
      Hi garyk5846,

      The full details are contained in the following link:


      The actual % will ofc be a commercially sensitive secret and wouldn't be made public, but I wouldn't be surprised if it was less than you think.

      The intial costs of signing new members up is huge. Take the free $50 for every member for example, add to this the TAF payout (if arrived via this route). A significant number of new members would probabably lose the $50 if they didn't follow the strategy material carefully and would then perhaps just give up.

      Then as you've pointed out there is the tremendous investment that PokerStrategy make in terms of educational, coaching, etc. and ofc the regular rakeraces, freerolls and other adhoc promotions.

      What PokerStrategy rely on is the small steady income stream from each active member and obviously those from it's VIP Diamond & Black members.
      It's then this that is reinvested into the educational side and marketing to attract new members who hopefully add to the income stream and so on.

      Hope this helps,


      Bart
    • Minniemoe87
      Minniemoe87
      Basic
      Joined: 31.07.2010 Posts: 17
      Hm... interesting thread!
    • kranck777
      kranck777
      Bronze
      Joined: 02.08.2010 Posts: 12
      This is great . 20% is actually very low if you concider that big start up of 50$ . I will follow the bankroll guide to the tee and hopefully be rich ! (a dude can dream right?) :)