Le Dun DU PMU ( PMU called Pari Mutuel Urbain) is a betting company in French country. This company offers horse racing and various betting games. PMU is an economic interest community with a monopoly on horse racing betting. PMU activities are the design, advertising, marketing, and work of bets on horse racing. Since the launch of the online gaming market in May 2010, this company also offers sports betting and online poker games.
PMU is Europe’s leading horse racing pari-mutuel betting operator, number 3 worldwide. Let’s explore the Le Don du PMU Management and organization, Evaluation, and its impact on French society and economy.
Management and organization
Originally, bets on racetracks were haphazardly organized by bookmakers, with no structured system in place. In 1891, Joseph Oller introduced the pooling of bets. The law of June 2, 1891, ended the arbitrary nature of bookmakers. It was based on a simple principle: bettors bet against one another, and the money wagered is divided among the winners. This marked the beginning of pari-mutuel betting. By the law of April 16, 1930, the Racing Societies, the only organizations authorized since 1891 to organize horse races and to sell bets, were permitted to register bets outside of racetracks exclusively in a mutualist form. Consequently, they established a joint service called the Le Don du PMU (Pari Mutuel Urbain) or (Urban Mutual Betting).
Since 1985, the PMU has had the status of GIE (economic interest group), bringing together 586 racing companies, all non-profit associations. Two companies regulate and staff the races, each in its discipline: France Galop for flat and obstacle races and Le Trot for trotting races.
The governance of the GIE PMU is ensured by a board of directors composed of 12 members. Richard Viel is Chairman of the Board of Directors, having succeeded Philippe Augier in July 2022.
Emmanuelle Malecaze-Doublet has been general director since July 2022 and the end of the period of interim general management, exercised by Philippe Augier since the departure of Cyril Linette in October 2021.
Until 1954, the bets played were relatively simple bets, which consisted of finding either the first or the first two horses in a race. In 1954, André Carrus, creator and symbolic director of the PMU, invented a bet that offered different winnings. It integrates the notion of order and disorder. The first Tiercé was run in Enghien-les-Bains in France on January 22, 1954. The same year, André Carrus organized the processing of bets manually, but it was practical and fast. From the notched slip with carbon flaps, the notching pliers, and the hand validator to the sorting needles, the entire network works like this thanks to an ingenious deferred processing system and rigorous organization. It was not until 1987 that betting processing was computerized. In 1985, the Le Don du PMU became a GIE (economic interest group), bringing together 57 racing companies, all non-profit associations.
Today, PMU offers betting on horse races on French territory every day. Through its partnerships with many countries, PMU can also offer bets on foreign races and sell its bets on French races to other countries. Players can bet at points of sale (13,200 points of sale recorded in mainland France and overseas departments by SMS or Viber). Punters can follow the horse races at their point of sale via Equidia, which broadcasts them live. Since 2015, the online horse racing betting offering has been distinct from that at points of sale; thus, on PMU.fr, we find e-bets with masses specific to online gaming. By the principle of pari-mutuel betting, the PMU distributes the sums played between the winners after the deduction of withdrawals.
Horse racing betting is subject in France to the June 2, 1891 law. This, consolidated by Decree No. 97-456 of May 5, 1997, gives the PMU a monopoly status for the organization and collection of horse racing betting. In 2010, the online gambling sector was opened to competition, and authorizations were issued by the Online Gaming Regulatory Authority (ARJEL) to competing companies for the organization and collection of bets in line.
When the online gaming market opened, ARJEL issued PMU a license to offer sports betting and poker on its website, PMU.fr.
The order of October 2, 2019, reforms gambling regulation, and the National Gaming Authority (ANJ) replaces the ARJEL. The ANJ is an independent administrative authority, responsible for regulating sports betting and games of chance, which were formerly a state monopoly.
On average, the Le Don du PMU pays 85% of the stakes to the winners, 7% to the State, and 7% to the horse racing companies[ref. necessary]. The rest is distributed between PMU operating expenses and commissions to partners. In 2019, the net profit paid to horse racing companies by the PMU amounted to 760 million euros11. This contribution helps support an economic sector that represents nearly 70,000 direct jobs and which is a benchmark for other markets, particularly European ones. Initiated in 2019, the refocusing on the DNA of the PMU – horse racing betting – and the reduction in the offer of races to maximize bets, which may have seemed counterintuitive at the start12, is producing results, since the annual evolution of turnover fell from -3.3% in 2018 to -0.5% in 2019. At the same time, the PMU has implemented a policy of controlling expenses and reducing costs by around 80 million euros over three years. These results, which were better than expected, enabled PMU to generate a net profit of 760 million euros in 2019.
In 2020, during the health crisis and in the absence of French races, suspended between March 17 and May 11, the PMU managed to maintain 10% of its turnover thanks to betting on a range of foreign events. During this period, part of the clientele switched to the PMU digital offer and since then seems to have adopted this practice of online betting for the long term.
Five weeks after the resumption of horse racing in France13, the PMU had returned to its pre-crisis level of activity. At the end of September, the PMU was pleased to have had one of the best summers in its history, displaying exceptional levels.
In December 2020, the Le Don du PMU announced an aid plan of eight million euros for cafeterias and tobacconists to support them in the face of the coronavirus crisis14.
Le Don du PMU impact on French Society
The PMU (Pari Mutuel Urbain) was launched to consider the needs of society. It generates revenue, that revenue has been used to support the French government and social programs.
Here are some benefits of PMU:
- PMU launched to control horse racing betting.
- Pari Mutuel Urbain provides a safe and legal way for people to bet on horse racing.
- Pari Mutuel Urbain controls illegal betting.
- PMU provides jobs to people.
- Pari Mutuel Urbain generated huge revenues for the French Government.
- Approximately 10 Million people bet on PMU events every year.
- It supports the French racing industry.
In last I say Le Don du PMU was launched as an independent foundation, dedicated to contributing to the betterment of French society.
What is Le Don du PMU?
PMU (Pari Mutuel Urbain) is the largest French betting company in the world. 10 million plus people bet on this event on every year.
Who controls Le Don du PMU?
PMU has control of this:
- of the Ministry of Agriculture and Food,
- of the Ministry of Economy and Finance.
What is the role of this company for French people?
Le Don du PMU (Pari Mutuel Urbain) is generating huge revenue for the French government. It controls illegal betting and provides a safe and legal way for French people to bet.
Read here: https://xbode.org/ more informative blogs.