To properly understand sports betting, you need to understand
odds. They are an integral part of any sports wager, and they are used
to determine whether a wager is worth making or not. The
potential payout of any wager you place is calculated using a
combination of the relevant odds and your stake.
Once a game is scheduled and it’s odds are posted, the bets are going to start coming in. Now, it’s in the sports book’s best interest to keep the bets as even as possible. This is why oddsmakers give you a pay out at -110. Understanding the Vig or Juice. That’s a $110 dollar bet to win $100. Take the favorite and give the points. Understanding betting odds is key to successful betting. If you do not understand betting odds and the probabilities that they imply, you will struggle to succeed in betting on sports long term. There are over and under betting odds for pretty much every sport including baseball, football, hockey, UFC, Basketball, Horse racing, and much more. A lot of what we cover here is explained in more detail elsewhere in our sports betting guide. That’s because this article was created for complete beginners, and we left some of the more complicated details out. We start by explaining what fixed odds betting is, as this is the most common form of sports betting. The act of placing a bet or having an active wager on a sporting event.
On this page, we explain about odds in some detail. We define
exactly what they are and the role they play. We also look at
the three different formats in which they can be expressed, and
explain why odds on the same outcome can vary with different
bookmakers.
What Are Odds?
In sports betting terms, odds basically serve two purposes.
First, they are used to calculate the payouts of winning wagers.
Every time you place a bet with a bookmaker, you’ll be offered
odds at the time, which impact how much you can win. The higher
they are, the more you stand to win relative to your stake.
Second, odds also reflect the likelihood of any particular
outcome happening. The more likely an outcome, the lower they
will be. This makes perfect sense, as you would expect to win
less when betting on an outcome that’s likely than when betting
on an outcome that is unlikely.
Imagine a tennis match where the player ranked number one in
the world is pitted against the player ranked 137th. It stands
to reason that the best player in the world is going to be
considered more likely to win than his opponent. Therefore, a
wager on his winning would have very low odds; a wager on his
opponent winning would have much higher odds.
This is a somewhat simplified explanation, but it gives a
general idea of the role of odds in sports betting.
Different Odds Formats
As you can see, the fundamental principle behind odds is
really quite straightforward. Things are slightly complicated by
the fact that there are three different formats of odds as
follows:
- Moneyline/American Odds
- Decimal Odds
- Fractional Odds
Chances are, at some point, you’ll encounter each of these
formats. For this reason, it pays to be familiar with each one.
They all work in essentially the same way–basically just
different ways of expressing the actual odds for any particular
wager.
Moneyline or American Odds
Moneyline odds are also known as American odds, and this is
the format most commonly used in the United States. They can be
displayed as either a positive or a negative number. A positive
number expresses how much a correct wager of $100 would win,
while a negative number expresses how much you would need to
stake in order to win $100.
If you saw odds of +150, you would know that a $100 bet could
return $150 in winnings, plus the initial stake of $100. If you
saw -150, you would know you need to stake $150 to return $100
in winnings, plus the initial stake of $150. An even money wager
(where you stand to win an amount equal to your stake) is
expressed as +100.
Decimal Odds
Decimal odds used to be associated mostly with mainland
Europe, Canada, and Australia. However, they have now largely
become the standard at most online bookmakers with the exception
of some US betting sites. This is because they are the most
straightforward of the three formats and are expressed simply as
a single positive number, typically to two decimal places.
The number shows how much the total payout will be, including
the original stake per unit staked. For example, a winning bet
at 1.5 would return a total of $1.50 for every $1 staked. A
winning bet at 2.25 would return a total of $2.25 for every $1
staked. An even money bet is expressed as 2.00.
Fractional Odds
Fractional odds are the traditional format used in the United
Kingdom, although decimal odds are slowly taking over.
Calculating potential profits and payouts with this format can
be a little tricky, certainly to start with, but the basic
principle isn’t as complicated as it might seem. As with
moneyline odds, fractional odds show how much potential profit
you can make. To calculate the total potential payout, you have
to add your original stake.
As the name suggests, these odds are displayed as a fraction.
A simple example is 3/1, which is said as “three to one”. 5/1 is
said as “five to one”, and so on. With 3/1, you can win three
units for every one unit staked, and with 5/1 you can win five
units for every one unit staked. 1/1 is even money, so you can
win one unit for every unit staked. As you can see, this is
quite straightforward so far.
Things get slightly more complicated, because this format also
includes examples such as 6/4, 11/10, and 5/2. The math involved
is thus not always so simple. With 6/4, you can win six units
for every four units staked, which is equal to 1.5 units per
unit staked. With 11/10, you can win eleven units for every ten
units staked, or 1.1 units per unit staked.
Whenever the first number is larger than the second, this is
said to be “odds against.” These are basically the equivalent of
positive moneyline odds in that the potential profit is greater
than the amount staked. Things get even more complicated as
there are also “odds on” odds. These are the equivalent of
negative moneyline odds in that the potential profit is less
than the amount staked.
An example of odds on is 1/4 is said as “four to one on”. 4/7
is “seven to four on”, and so on. With 1/4, you can win one unit
for every four units staked, and with 4/7 you can win four units
for every seven units staked.
Converting Odds Formats
If you ever want to convert odds from one format to another,
there are some reasonably straightforward calculations you can
do. We can save you the bother, however, as we offer a useful
tool which will automatically convert any odds from one format
to another. You can find this tool on the following page.
Why Odds Vary on the Same Outcome
For a lot of wagers on sporting events, you’ll see that
different bookmakers offer different odds. For example, one
might have a football team at +130 to win a match, while another
might have the same team to win the same match at +120. To
explain this, we expand on a statement made earlier.
When we said that odds reflect the likelihood of a particular
outcome happening, it would have been more accurate to say that
they reflect how likely a particular outcome will happen in the
view of the bookmaker. Predicting how likely any outcome is in a
sporting event isn’t an exact science, and it essentially comes
down to a matter of opinion.
This is why the odds in sports betting are variable, because not
all bookmakers will have exactly the same view on how likely a
particular outcome is. Odds can also be affected by other
factors, such as the amount of money a bookmaker has taken on a
particular market. What this means is that the odds that a
bookmaker sets for a wager aren’t always an accurate reflection
of the true likelihood of the relevant outcome happening.
Therefore, it’s possible to put the odds in your favor when
betting on sports. If you’re able to correctly predict the
outcome of sporting events often enough, you can consistently
turn a profit. It’s not easy, but if you can combine your sports
knowledge with an understanding of certain key aspects of
betting, it can definitely be done.
Odds are one of those key aspects, and you hopefully now
understand how they work and why they vary. You should also
understand why the use of odds is the main reason why bookmakers
make money, which we explain in the next article.
Before May 14, 2018, all sports betting outside of the state of Nevada had been illegal. The explosion of betting markets since then has been nothing short of remarkable.
Americans love to gamble. In 2016, we spent over 100 billion dollars on all types of gambling, from horse races to nickel slots. The online betting market handles billions of dollars on a monthly basis.
Although this is all exciting and we want in, it can be easy to get lost with all the terms getting thrown around. Read ahead for our crash course in understanding sports betting and how to get started.
Our Fascination With Sports Betting
The next time someone tries to give you an attitude about your betting, politely remind them that you are simply taking part in an ancient tradition.
That’s right. We know the Ancient Greeks were betting on sports and other competitions more than 2,000 years ago. Later, the Romans were placing bets on gladiator fights.
Over the years, different rulers have tried to make it illegal. Others realized that if you can’t beat them you should join and created legal gambling institutions.
From Underground to Mainstream
Sports betting continued to thrive across the world. Betting on horse races became very popular in England and moved to the United States.
There was a certain posh about going to the tracks. It was something that brought communities together and provided lots of entertainment.
Of course, there was no shortage of people trying to profit off of it.
The Emergence of Bookies
Bookmakers or bookies as most people call them, accept bets and pays them off. During different periods of history, bookmaking has been banned in various countries.
Depending on the place, bookies can work out in the open. They are a common site at casinos and horse tracks.
However, there was a time when they had to operate in the shadows to avoid trouble with the law and the IRS. Otherwise, Americans often placed bets through bookies overseas in places like the Caribbean and Costa Rica, where they could operate legally.
Understanding Sports Betting
If you have been around people talking about sports betting, you’ve certainly heard a bunch of funny words getting thrown around that may have gone over your head.
Sports betting has its own culture and, with that, comes its own language.
Here are some important terms to get you started.
Dog
Short for the underdog, the dog is the team or player that is less likely to win. However, that doesn’t mean they always lose.
Betting on the dog sets you up to win big if you can correctly predict an upset.
Who doesn’t love a great underdog story?
Odds On Favorite
This is basically the opposite of the dog. The favorite is the team that projected to win. Generally speaking, betting on the favorite is safer but the cashout is smaller.
Some people always bet on the favorite regardless. However, the favorite isn’t guaranteed to win so don’t say we didn’t warn you.
Point Spread
This is an important concept called spread betting. You simply pick a winner of a certain game but keeping in mind that the underdog will have a certain advantage.
For example, if New York has a spread of +6.0 points over the underdogs, Miami, then they have to win by at least 6 points in order for those who pick them to win the bet. If you think New York will win but only by 3 points, then you should actually pick Miami given the point spread.
Parlay
A parlay is when you bet on two or more consecutive games. In a three-team parlay, for example, all three teams that you selected must win.
This is an extremely exciting way to play. Imagine the excitement as your teams keep winning and you get ever closer to hitting that big score.
Over/Under
You can bet on more than the outcome of a game in terms of winning or losing. You can also try to guess the total combined score of both teams.
You can be on whether the combined score will be greater and or less than a certain number.
For example, if the over/under for football game is 25 and you pick ‘under’. You are hoping that it is a relatively low scoring game, without worry about who wins.
How To Get Involved
It’s never too late to get involved with sports betting. Since it has become legalized, there are tons of options in the sports betting market depending on what suits you.
You can hit an online betting market if you’re the type who prefers staying at home. Gone are the days when it was necessary to meet up with your friendly neighborhood bookie at Waffle House to place your bets and get paid.
Don’t feel pressured to make big bets on things you don’t really understand. Take your time with some smaller bets to get a feel for how it works.
How Much Many Can I Make?
Truly, there is no limit to how much money you can make off sports betting. However, you need to bet more to make more.
In large part, it depends on your bankroll and how much you willing to bet. However, there are plenty of people who make a living on sports betting. However, always remember that you shouldn’t bet more than you can afford to lose.
Some people do it for fun and some people make hundreds of thousands of dollars.
Becoming a Bookie
It doesn’t stop there. You can become a bookie and help others place bets. No, you don’t have to be a wiseguy or wear a trench coat.
The fact is, becoming a bookmaker is a surefire way to make money. The more people you bring in, the more you get paid regardless of the outcomes of their bets.
Check out this article to learn you can become a bookmaker. Work on your own time and as much or as little as you want.
Getting the Most out of Sports Betting
Sports betting adds a massive degree of emotion and excitement to any competition, even if its division III college volleyball.
And of course, there is a lot of money to be made. However, understanding sports betting is crucial in order to get the most out of it.
Keep researching and practicing your new hobby. The money is good and the time is right. Start your bookie business today, with the best pay per head software, www.AcePerHead.com.
3 Good Books About Starting Out
When you start out better, you should dive into some books for strategies and more. It’ll help you in the long run. We’ve gathered our favorite titles together.
In 2019, sports bettors wagered $150 billion in 2019, according to Morningstar. That figure is set to surge in the future as more states legalize gambling and establish sportsbooks.
How To Read Betting Odds
But the world of sports betting has its own lingo that people can find intimidating. Also, although most people are betting for entertainment, no one wants to waste their money on something they don’t fully understand.
However, there are many books out there that can help shed some light on sports betting. If you are a novice, these books will help you gain invaluable basic knowledge. And if you have the experience, these titles could help fine-tune your betting prowess.
In the following article, we’ll suggest three excellent books on sports betting that will not only educate but entertain.
1) ‘Sharp Sports Betting’ Leads Our Books
This book is considered by many as the “Bettor’s Bible.” The book is authored by Stanford Wong, a pioneer in gambling publications. The first work he authored, “Professional Blackjack,” is also considered a classic.
Wong’s legendary prowess on the blackjack tables and his gambling knowledge has allowed him to create a lucrative cottage industry.
Wong, born in Georgia in 1943, was fascinated by games as a child. In several interviews, Wong took to blackjack and counting cards after reading Ed Thorpe’s “Beat the Dealer.” He was so successful at the game that legend has it that at age 21, he was able to start putting himself through school with his winnings.
“Sharp Sports Betting” came about after Wong realized that there were no credible books on the topic out there. His book stays away from evaluating teams and players and sticks to the math involved to win at sports betting.
Wong covers the basics in clear language: money lines, spreads, parlays, and teasers. He also spends a good amount of time exploring Poisson distribution — or the probability of X-number of events happening in a fixed interval. The charts and statistical analysis Wong offers is a must-read.
2) ‘Fixed-Odds Sports Betting’
Joseph Buchdal is a bettor extraordinaire with a passion for sportsbook and soccer, or football as they call in his home in the United Kingdom. He’s a contributor to advise sites and has written several other betting books.
Buchdal’s book “fixed-Odds Sports Betting” is considered one of the best books about gambling. It holds wit and wisdom for the newbie and the experienced bettor alike. He emphasizes the practice of value betting, where you need to isolate that thing that is likely to happen, but oddsmakers are not favoring it to happen.
He tells how to isolate factors to maximize value betting strategies and hopefully come out ahead over time in his book.
3) ‘The Signal and the Noise’
If you want a good read on predicting events, including sports, but would enjoy a wider focus, an excellent choice is Nate Silver’s “The Signal and the Noise.” Silver is best known for his political predictions and his blog FiveThirtyEight.com.
Silver developed his forecasting prowess by calculating reams of baseball statistics over long airplane flights. His Pecota system was then successfully used to predict the first Obama election in all 50 states.
His clear, explanatory writing illuminates many mathematical, political, and cultural touchstones, which gives the reader a larger sense of the forecasting world.
Get In the Game
While we picked three books to get your sports betting reading list started, there are hundreds of titles to choose from. Wong’s pioneering idea to explore the world of betting in ways that make sense to the novice and hardened better alike has sparked a major industry of sports betting publications.
With all that is out there to read, you are sure to find a book that suits your interests.
How To Understand Odds Betting
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