Betting odds are a crucial element in the world of sports betting. Understanding how odds work allows punters to properly assess risks and potential winnings, as well as make more informed bets.
What are betting odds?
Betting odds are a numerical expression of the probability of the outcome of a sporting event, which also indicates a player’s potential winnings if the prediction is correct. Odds show how much you can win for each amount of money bet. Odds are usually expressed in three basic forms:
- Decimal odds (e.g. 2.50) – this is the most popular form in Europe, Canada and Australia;
- Fractional ratios (e.g., 5/2) – widely used in the UK;
- American odds (e.g. +150 or -200) – popular in the USA.
All these types of odds allow you to understand the same thing: the probability of an event and the possible winnings.
How sports betting odds work?
To make informed bets, it is important to understand how betting odds work. At the heart of all odds is the idea of probability – the higher the probability of an outcome, the lower the odds, and vice versa:
- High odds indicate a low probability of an outcome, but the potential winnings are greater;
- Low odds indicate a high probability, but the winnings will be smaller.
For example, if a team is the favorite in a match, the odds of its victory will be lower because of the high probability of success. At the same time, betting on an outsider, with a lower chance of winning, is accompanied by higher odds.
How to find the best odds in sports betting
To maximize your chances of success, it’s important to look for the best odds. Even a small difference in odds can make a big difference to your winnings in the long run. Here are some tips on how to find the best odds:
- Compare odds on different platforms. Different bookmakers may offer different odds for the same event. Using specialized sites to compare odds will help you choose the most favorable options;
- Use betting exchanges. Betting exchanges allow punters to offer their own odds and accept bets from other participants, which can sometimes offer more favorable terms than traditional bookmakers;
- Keep an eye on odds changes. Odds can change as the event approaches. For example, if a key player gets injured in the last minutes before a match, this can affect the probability of the outcome and change the odds.
How to use odds for betting strategies
Experienced punters use a variety of strategies to manage their bets and choose the right odds. Some of them include:
- Betting on favorites. This strategy involves betting on teams or players with low odds that are considered favorites. Although the winnings may be small, the probability of success is high;
- Underdog betting. A riskier strategy in which a bet is placed on a team with high odds that is considered an underdog. If successful, this strategy can bring a significant profit;
- Combination bets. This strategy involves combining several outcomes into one bet. Although the risk is increased, the potential winnings can be much greater;
- Bankroll Management. This is a key strategy for any successful bettor. Knowing how to manage your funds and not putting all your money on one bet helps minimize risk and increase your chances of long-term success.
How to calculate betting odd?
Calculating odds and winnings is important for making informed decisions. Knowing this process will help you better understand how much you can win and how risky a bet is.
✅Calculating winnings on decimal odds
To calculate the possible winnings at decimal odds, simply multiply the amount of the bet by the odds. For example, if you bet 500 USD on odds of 3.00, the possible winnings will be 1500 USD, of which 1000 USD is the net profit.
✅Calculating winnings at fractional odds
For fractional odds you need to multiply the bet amount by the fractional part. For example, if you bet 1000 USD on odds of 7/4, your net winnings will be 1750 USD and your total winnings will be 2750 USD.
✅Calculating winnings at American odds
If the odds are positive, for example +200, then if you bet 1000 USD your winnings will be 2000 USD. If the odds are negative, for example -150, you need to bet 150 USD to win 100 USD.