BETDAQ's Alan Casey outlines how customer Growth is fuelling success for the exchange and its commercial partners.
“Some exchanges have different models where they increase business by trading directly with customers & turning up the internal bots. This isn’t a game we want to play. Our growth is acquisition-based.”
EGR Intel (EGR): Betdaq has reported significant Y-o-Y liquidity growth. To what do you attribute the success and what is the importance of boosting this?
Alan Casey (AC): Increased trading is helping to significantly boost liquidity on Betdaq, with the positive numbers following the introduction of our 2% commission structure in January 2018, and the high-profile #ChangingForTheBettor marketing campaign to promote the changes.
This has markedly grown the customer base, which has driven the business. Some exchanges have different models where they increase business by trading directly with customers and turning up the internal bots. This isn’t a game we want to play – our growth is acquisition-based.
We also put attractive liquidity deals in place for key partners and other factors include a considerable increase in commercial trading, where the introduction of a new streaming API service for B2B partners automatically provides instant pricing information across an increased range of markets.
EGR: What are the USPs and benefits of the API feed?
AC: The Betdaq price is the sharpest price in the industry. We have the smartest players competing for business, we then charge them less than elsewhere, which means they don’t have to add as much margin, which leads to our prices to being the most competitive.
The API feed gives partners instant price access. They can build it into their own pricing models, they can use it as a guide, they can hedge in, or bet at any of the prices they want, and can do it all automatically.
We recently implemented a streaming API service that automatically provides immediate pricing information across an increased range of markets, with the always-on system constantly streaming a tailored selection of updates on price movements and available volumes.
This, added to Light-Weight Pricing (LWP), is a compelling proposition, with Betdaq the only exchange to offer both services.
LWP is well-established on financial exchanges and lets market makers securely place a large range of offers without needing significant account funds as all open bets remain active until a set exposure limit is reached.
Instead of having the balance to cover the liability of each and every order, it allows users to place expressions of interest in prices they are willing to trade at. These appear on the Betdaq site and if a customer wants to bet at that price, the LWP price will become an order. It is only at this matching stage that the offer counts towards an agreed exposure. This essentially lets market makers put up millions of offers without needing millions in their balance.
EGR: How do you plan to continue to improve the service and product suite?
As our bold marketing campaign states, we are committed to constantly #ChangingForTheBettor. This applies to all areas of the business.
It includes a drive to acquire customers and partners, grow liquidity, and continually improve our price, all of which are a clear focus for the commercial team.
Anyone able to provide liquidity is going to be looked on favourably at Betdaq and we plan to continue to incentivise our liquidity partners to do more while trying to on-board new ones, while the marketing team will keep acquiring retail players to complement this overall growth.
EGR: Tell us about your role and that of the wider commercial team.
AC: The commercial team is responsible for getting market makers trading on BETDAQ by acquiring new customers and working towards implementing win-win terms. We then handle onboarding and maintain the relationship. Our small team works relentlessly to cover every point of the customer journey, including championing site and product improvements that our customers want.
Alan Casey is commercial manager at BETDAQ the exchange arm of the GVC group. He’s been with the company six years and his primary focus is looking after and acquiring large clients while driving revenue.