Buffalo Wild Wings May Opt to Use Pay Per Head Software Solutions
In a blog post offered by PricePerPlayer Friday, there was a suggestion that the world's largest sports bar chain, Buffalo Wild Wings, might opt to start its own sports book enterprise utilizing a Pay Per Head software much like the one PPP provides.
That could be a pipe dream, or maybe not.
Buffalo Wild Wings announced its intention to offer sports wagering in its sprawling restaurants as a means of boosting profit margins. The company offered no details on how the process would evolve.
The US Supreme Court has ruled that individual states can now offer sports betting provided they amend their own laws. Some have, like New Jersey, West Virginia, Mississippi, Pennsylvania and Delaware.
It has been suggested that Buffalo Wild Wings would partner with an existing (approved) gambling firm in states that have amended their laws. That borders on monopolization and unfair competition, especially when one considers that most of the gambling companies designated properties in the US will partner with are not themselves US-based firms (i.e. William Hill).
Some state laws will require sports wagering to be allowed only in desigated locations like casinos, something that would all but shut Buffalo Wild Wings and similar companies out of the market.
Price Per Head sports book solutions also are mostly based outside the US accepting bets in jurisdictions where, like in the United States, it is legal. But unlike in the US, these companies are not strong armed into paying $10 million licensing fees (a la Pennsylvania).
Buffalo Wild Wings have not shared how they would integrate sports betting into their chain of bar and restaurants, PricePerPlayer noted. The Pay Per Head model is interesting in that they claim not to be in the business of gambling but rather act as a call center and software provider. The difference between a Pay Per Head and sports book: The Pay Per Head doesn't handle customer (player) funds.
Buffalo Wild Wings can conceivably have customers make picks on games via a website like PricePerPlayer.com and receive rewards when their chosen team covers the spread (i.e. free meal, not including alcohol, when accompanied by another paying customer their next visit).
They can also opt to offer season long contests where individuals compete for bragging rights with other Buffalo Wild Wings customers across the country. With a little imagination, there are probably ways to offer cash prizes as well.
The Pay Per Head wins by licensing its software solution. Buffalo Wild Wings wins by offering another incentive to attract customers and keep them coming back more regularly. Millennials, in particular, should be attracted to such a concept.
- Aaron Goldstein, Gambling911.com
