The iPoker online poker network has opted to merge its two-tier system to form a single liquidity pool in an effort to increase licensee revenue, player experience and boost the overall performance of B2B poker.
Powered by Playtech, iPoker in September 2012 announced it would split into two tiers to create more incentives to promote its product and attract more customers.
However, following the successful introduction of a Source-Based Rake (SBR) in February of this year, iPoker took the decision to consult with licensees to revert back to a single-tier system.
In a statement, iPoker said the SBR formula changes the way individual player value is calculated, basing it on a player’s net contribution to overall network liquidity rather than looking at how much gross rake and fee a player generates.
iPoker said this helps ensure losing players are worth more to licensees, while also addressing the drain of players’ balances from a licensee with mostly losing players to another with mainly winning players.
This in turn means a portion of revenue generated by winning players is traced back to the losing player and attributed to them, rather than the winning player.
Joerg Nottebaum, head of iPoker at Playtech, said: “Since its introduction in February we’ve been very pleased with the new player valuation formula.
“It successfully addresses previous network concerns, opens the door for licensees to grow their poker revenues and invest in poker once again.
“The network today is far healthier with licensees focusing on generating genuine revenues with their own recreational player base instead of fighting each other on small margins for the biggest winning players.
“This is good news for our licensees and their players who will enjoy the benefits of a larger poker liquidity pool and, as a result, a wider variety and richer choice of poker variants.”
source : www.igamingbusiness.com
