Pinnacle operate a unique model in the world of bookmaking. They work within small margins and rely on volume to ensure their profitability. One other significant difference between Pinnacle and their rivals is their stance on promotional sign up offers, free bets and bonuses – they do not do them. Instead, they offer a ‘bonus for life‘, or in other words, the best odds, most often, for the lifetime of the account.
The Pinnacle model of low margin, high volume betting is beginning to see a fundamental shift in bookmaking, similar to the revolution caused by betting exchanges a decade ago. Low margins (or a small ‘over round’ percentages) translate directly into better odds most often for punters. It is this selling point that Pinnacle refer to as their ‘Bonus for life‘. Most online bookmakers will offer some form of sign up incentive, but Pinnacle argue that ‘free bets’ are anything but, once the terms and conditions are considered. Over the lifetime of an account, the better prices on offer at Pinnacle far outweigh any short term gimmicks.
As well as superior prices, Pinnacle are also vocal about not limiting bet size, and not penalising successful players. They are tackling the exchanges head on, and for once, the exchanges are coming off second best. Once commission is taken into account, exchanges no longer offer bigger prices, particularly where larger bets are concerned – and this is exactly where Pinnacle are targeting their rivals. Due to restrictions around the liquidity within a market, advertised prices may not actually be available for those wishing to put a significant stake on. For example, an exchange might appear ‘best price’ using odds comparison sites, but on closer inspection, there may only be a few pounds available at that level. Bets of £20 or £50 may only be matched at prices way below the advertised price. Pinnacle display the maximum bet size available alongside their prices – meaning bettors know exactly how much they can get on.
It is also true that successful players ultimately find themselves charged more commission on exchanges, via so-called ‘Premium charges‘. These increased commission levels can reach a staggering level. Pinnacle are looking to attract these disgruntled players, promising never to turn away winning accounts – a business model based on volume needs as much ‘action’ as possible, and the firm also suggest that profitable players assist them in “sharpening their odds”.
The clear, stripped back approach of Pinnacle is aimed squarely at bettors who want to take their betting seriously, fun punters are likely to stay with the flashing lights and short term offers of their current bookie. The best odds, clear pricing and serious approach mean that Pinnacle are now the brand that other bookmakers refer to, study and importantly, fear. The ball is firmly in the court of the betting exchanges – they are now second best.