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  • FoothillsFlash

    So the rake for most MLB GPP on FD is 13.5%, sometimes more? Even on the $25 GPPs? This is getting ridiculous!

  • 3rdDFS

    • 20

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    • Ranked #19

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      2014 FanDuel WFFC Finalist

    • 2014 FanDuel WFBC Finalist

    These sites will end up paying over 100m in legal fees, not including lost revenue due to regulation and a smaller customer base. It’s a business.

  • RTLONG

    Thank your state governments.

  • FoothillsFlash

    I’m a business owner and I’m fully aware that increases in costs get passed on to the customer. But at some point, the customer can’t absorb anymore, and you have to find other ways – renegotiate contracts, make cuts in other areas, etc… Not sure where that breaking point would be for the average DFS player – 15%? 20%?

  • deejones49

    More rake shrinks the player pool if people feel they cant beat it they quit.

  • srolleDFS

    yes. it is getting ridiculous.

  • Bighouse55

    If rake hits 15% the player pool will be nil. At that point it is back to live poker for my gambling fix.

  • JustDFSin

    A lot of dfs players couldn’t tell you what or how much rake is. Secondly, it’s an addiction for many people. People will play even if the rake hits 20 percent.

  • catmando

    i pretty much look at it now like buying a keno or lotto ticket..used to play about 1k a day now its about 1k per month..just cant fight the mass entry guys and the rake

  • tvsfrink

    I am from the future.

  • RikkiDee

    • Ranked #5

      RG Tiered Ranking

    I’m suprised its still as low as it is.

    The vast majority of people literally do not consider rake.

    I’d be shocked if either site ever saw a reduction in fill% because of a rake increase. Don’t expect this to get better.

  • tjabchs6

    then stop playing

  • Mindofigor

    just enter 5k in double ups. no need to be greedy

    easy 5k in profit for an hour worth of work

  • ComicFx

    People play lotto, that’s like setting your money on fire, average Joe don’t even know what “rake” means. I’ve found some decent raked contests on DK, ranges 9.1% to 15%, depending on price points.

    It will always be large guaranteed prize pool = largest rake and the average casual will always prefer the idea of throwing in $3 to luck box $50K or $20 for a million so the rake will rise. I expect another rake increase slipped in under the excitement of NFL.

  • PigskinaBlanket

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      2019 DraftKings FGWC Finalist

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      2016 DraftKings FGWC Finalist

    It comes straight out of my ROI – and it is something that isnt spoken about widely enough. Rake increase and decreased value of FPPS – The reduction in value is real.

  • Njsum1

    I’ve said this many times, and I’m glad I finally saw it on DK this week. The sites need to run outside advertisements. It can be a huge revenue generator that can help keep rake in check, help pay legal fees and other upcoming fees.

  • tjabchs6

    @Njsum1 said...

    I’ve said this many times, and I’m glad I finally saw it on DK this week. The sites need to run outside advertisements. It can be a huge revenue generator that can help keep rake in check, help pay legal fees and other upcoming fees.

    BINGO. especially when there’s no reason NOT to click on that PPC banner. I click it pretty much every day.

  • eom

    it’s 15-25% in horse racing

    ofc, that’s not exactly a thriving industry, but they also have more overhead

  • polarns

    While I wish the rake were less, at the end of the day we’re talking about an entertainment product. Anything you get above break-even is just gravy. DK and FD exist to make a profit, not to provide a steady stream of income to sports fans.

  • w3stcoastoff3ns3

    Meh. Rake is the least of my concern. I play every night to hit that grand prize on the small entry fee gpp $1-3. If I hit $50k tomorrow on that NBA slate do you think I give a damn how much rake FD got? Secondly if I don’t hit min cash it isn’t because rake decreased the prize pool, it’s prob bc I made a bad pick.

  • deejones49

    @w3stcoastoff3ns3 said...

    Meh. Rake is the least of my concern. I play every night to hit that grand prize on the small entry fee gpp $1-3. If I hit $50k tomorrow on that NBA slate do you think I give a damn how much rake FD got? Secondly if I don’t hit min cash it isn’t because rake decreased the prize pool, it’s prob bc I made a bad pick.

    If you dont hit the min cash it might be because of the extra 300 or more players you have to beat because of the rake increase

  • PudRatInc

    The rake is higher than 15% in fd GPPs!!!

  • PudRatInc

    The rake is 15.6% on most FD GPPs … How the hell can anyone beat this?!

  • PigskinaBlanket

    • 337

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    • Ranked #63

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    • x3

      2019 DraftKings FGWC Finalist

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      2016 DraftKings FGWC Finalist

    @polarns said...

    While I wish the rake were less, at the end of the day we’re talking about an entertainment product. Anything you get above break-even is just gravy. DK and FD exist to make a profit, not to provide a steady stream of income to sports fans.

    While they might be in business to eventually turn a profit, I promise you that they currently are in business to increase valuation. The last year has been an incredible valuation hit to these firms – the investors have taken sizable paper losses. No one wants them raising money on a down round – so they need to be cash flow positive raising valuations again to a point where they can continue to bring in more sponsors – before eventually deciding on going public or a transaction with fanduel. Just saying

  • bzsports4

    @polarns said...

    While I wish the rake were less, at the end of the day we’re talking about an entertainment product. Anything you get above break-even is just gravy.

    A big part of the entertainment is the chance to make money, if that opportunity is gone then no one will play. You honestly think people don’t play DFS to make money?

  • sethayates

    @RikkiDee said...

    I’m suprised its still as low as it is.

    The vast majority of people literally do not consider rake.

    I’d be shocked if either site ever saw a reduction in fill% because of a rake increase. Don’t expect this to get better.

    The reason the vast majority of people don’t care about rake is because it isn’t a significant expense for them. For example, let’s say FD rakes the $2 GPP at 20%. I toss in 5 entries for $10. I suppose that means I’m paying $2 in rake for the night. What do I get for that $2? Several hours of entertainment (or tilt), a chance to win big money, a very functional user interface (could be better), live scoring, customer support that responds in 24 hours or less (usually), and the site pays credit card processing fees in both directions.

    For $2 per night off my $10 that actually sounds like a really good deal. It’s way cheaper than other forms of entertainment and quite honestly more enjoyable.

    The other day I saw someone complain about rake in the Quarter Arcade. You are paying less than a nickel!

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