It is known that sport gives us the opportunity not only to cheer for our beloved athlete or team, but also to make decent money on it. Bookmakers daily accept hundreds of bets and only a few of them become more or less profitable. So how do you get the most out of your bet? This will help the ability to use and calculate the betting odds. You can find out what it means and how to calculate it from this article.
What does the bookmaker do?
The bookmaker is a commercial organization whose activity is to accept bets on sports and entertainment events. That is, the bookmaker provides an opportunity for everyone to earn on the correctly predicted outcome of the bet.
The activities of the bookmaker are reminiscent of the conclusion of a kind of monetary dispute between a player and an organization. The two main outcomes are either winning or losing. Therefore, before you understand the concept of “betting odds”, you need to find out what bookmakers specialize in. Their main areas are football, hockey, handball, biathlon, etc. That is, all sporting events, especially international ones.
With the advent of the Internet, bookmakers went beyond the boundaries of small dark rooms and began to accept bets online. It has also become profitable for the players, as the comparison of the betting odds of different organizations can now be done without leaving your home.
What is a bookmaker odds?
To bet on the victory of your favorite team you need to figure out what is the probability of winning it. The betting coefficient is a ratio that shows how likely a particular event will happen, according to the bookmaker. Therefore, the winning amount is calculated by multiplying the bet amount by a coefficient.
When calculating the coefficient, bookmakers take into account the following factors:
- the result of a previous meeting of competing teams;
- place of a team or athlete in the world ranking;
- team training level;
- status and scope of the event;
- event location etc.
Moreover, this coefficient may change before the start of a match or competition due to the announcement of new, previously unknown circumstances. For example, a player’s injury, a change in location, etc.
Types of betting odds
Due to the fact that the bookmaking activity is popular all over the world, the history of betting odds is quite wide. But as practice shows, the most accurate are only three calculation methods. The main types of betting odds:
- English;
- European;
- American.
And already based on its type, the calculation of betting odds. Each of them will be described in a little more detail.
English odds
It is generally accepted that the bookmakers come from England. Therefore, there is nothing strange that they have their own idea of how betting odds are calculated. English odds are also used outside of foggy Albion because of their convenience and ease of calculation.
The English bookmaker odds are written in fractional format, for example, 30/5. The first number indicates the actual amount of the win, and the second - the amount of the bet. That is, betting $ 5 to win your favorite team, you can win $ 30 with a successful outcome of the game. Also, the fractional coefficient can be converted into a probability formula. It looks like this:
% Probability = (Denominator / (Numerator + Denominator)) * 100%.
With our coefficient, the percentage of probability will be equal to:
(5 / (30 + 5)) * 100% = 14.3%.
European odds
The European odds or decimal is most popular among bookmakers. They are considered the simplest, which is why they are so widespread. Today, the European betting odds can be seen in bookmakers around the world, and in many of them it is the only one.
The European coefficient is written in decimal form, for example, 1.74. The winning amount is calculated by multiplying the bet by a coefficient. Let's say the bet was $ 10, which means that the win with a coefficient of 1.74 will be equal to $ 17.4. Consequently, the net profit will be 7.4 dollars (17.4-10). In order to immediately calculate the amount of net profit, it is enough to subtract 1 from the betting odds and multiply the resulting value by the size of the bet. You can also find the percentage of probability using the betting odds. The probability formula has the form:
% Probability = (1 / coefficient) * 100%.
In our case, the percentage of probability is:
(1 / 1.74) * 100% = 57.5%.
American odds
Of the three main types, the American coefficient is the most difficult to perceive. Most often it can be found in the United States of America. Its main difference is the placement of the signs “+/-” in front of a numerical indicator. With these signs, American bookmakers mark the favorite team. If the odds are preceded by a “-” sign, then the team has a favorite status.
To understand the confusing American system of calculation, you need to make a clear example. Suppose given:
- A positive coefficient is +170 for a draw and +200 for a win.
- Negative - - 130.
This means that when you bet on a positive coefficient, the player must bet $ 100 to get $ 170 or $ 200 in net profit.
When betting on a negative coefficient, the player must bet $ 130 to get a profit of $ 100.
The American betting odds, like English and European, can be converted into a probability formula.
Formula for a positive coefficient:
% Probabilities = 100% * ((- (negative coefficient)) / (- (negative coefficient) +100))
100% * (- (- 130) / - (- 130) +100) = 100% * (130/230) = 56.5%.
Formula for a negative coefficient:
% Probabilities = 100% * 100 / ((positive coefficient) +100)
100% * 100/170 + 100 = 37%.
Comparison of betting odds
Today, there are a huge number of bookmakers, in which the odds can vary significantly. In order to extract maximum profit from a bet, a player can use online services to compare betting odds. As a rule, they do not require a separate fee for the services provided. All the user needs to do is go through the simple registration process.
Advantages of using betting odds comparison services:
- The ability to bet on the maximum coefficient and, accordingly, to extract the maximum profit.
- Save time due to the lack of the need to independently compare the coefficient lines.
- A convenient and safe way to find forks.
It is best to choose a service that scans the largest number of bookmakers and has a high response rate to changes in current coefficients.