A low takeout show pool wager offered for on-track fans at Oaklawn Park continues to hit the mark as part of the Hot Springs, Ark., track’s efforts to market horse racing as affordable sports entertainment for families.
The easiest wager in racing continues to prove popular with the fans that show up each day at Oaklawn, which compared with other tracks enjoys a demographic that includes more families, young people, and new racing fans. By offering a 10% takeout for show wagers made on-track—as opposed to the 17% rake off-track—Oaklawn rewards patrons who show up in person for the racing with higher show pool payouts. Those fans know a bargain when they see one.
Through the first 38 days of the 2024-25 meeting, on-track handle at Oaklawn reached $14,322,812 for an average of $376,916. Of that on-track total, $2,773,637 was wagered in the show pool; good for $72,990 daily while accounting for 19.4% of the pools.
The more novice crowd that turns out for the track’s biggest days supports the show pool even more. The Feb. 23 card that featured top 3-year-olds in the $1.25 million Rebel Stakes (G2) saw more than $220,000 wagered on-track in the show pool. More than $206,000 was wagered into the show pool March 8 when Horse of the Year Thorpedo Anna won the Azeri Stakes (G2). That latter total accounted for nearly 25% of the track’s on-track handle.
It’s a study in what is seemingly a lost art in racing: churn. And, the wager offers a fun way to be introduced to the sport as opposed to a complicated Pick 5 or something of that sort. Oaklawn, in turn, has taken the approach of giving the customer what they want.
“Our fans have always enjoyed cashing tickets more often than trying to pick exotics and getting the big windfall,” said Oaklawn Park president Louis Cella. “Our per capita wagering is lower than just about every track, but when you look at the pools, you see that they are $2 show bet players. But those fans are coming out in droves. They love it because it’s entertainment.”
As part of that approach, Oaklawn has tried to keep concession prices low as well.
“Our secret sauce is always to be fan friendly and give them opportunities to enjoy the day,” Cella said. “It’s entertainment. It’s not gambling. It’s entertainment; it’s the sport of horse racing. Any more you go to a track, they’re focused on the gambling dollar and not on the sport of racing and the entertainment value of it. That’s the whole purpose of it.
“That’s why we’ve subsidized our food and beverage. You’ll never find a $12 beer or a $15 beer—or a $16 beer which you saw at the SEC (men’s basketball) championship. A friend of mine was there and took a picture of it at the concession stand. So there’s a reason we do this. It’s that we’re fan friendly, and it all starts with little things like food and beverage, a free gate, an inexpensive program, and the show bet bonus.”
Racing at Oaklawn Park
Cella sees this approach as key in developing new fans.
“We want to reward our on-track fan. And I’ve talked to many, many tracks, and I don’t understand why other tracks don’t do this,” Cella said. “It works. The show bet bonus works. We have younger fans, more fans. They’re all cashing tickets. We’re growing the sport in Arkansas, and you can’t say that really in any other jurisdiction. We are growing the sport of horse racing.”
Cella believes there is a market for this level of sports entertainment and racing can find fan support in this space.
“We encourage families to come out with their kids, go to the infield, and buy a $2 hot dog and a Coke and just enjoy horse racing, because we know our job is to sell the sport. We know when those kids grow up, they’re going to come back to Oaklawn, because they had a great experience,” Cella said.
A report I referenced in this column Feb. 19 prepared for the Iowa Racing and Gaming Commission suggested Prairie Meadows offer lower takeout (bigger winning payouts) for on-track and in-state customers as a way to develop fans. Oaklawn’s experience suggests this approach can pay dividends.
At Oaklawn fans line up outside the track a half-hour or more before the doors open for the race day. When the track launched its show pool bonus in 2017, average daily attendance had fallen to 9,483. But it returned to a five-figure average in 2021-22 and reached 11,385 last year. Fans have embraced the on-track experience.
“Well, who has the highest attendance for a 65-day race meet and a younger demographic?,” Cella said of Oaklawn, where last year’s show pool accounted for just over 20% of on-track handle. “The proof’s in the pudding. There is not a racing jurisdiction in the country that is half that. Nationally it’s usually between 6%-9% in any jurisdiction.”
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