Understanding How Bookies Make Money from Sports Betting is essential to both the gambler and the bookie agent. This is because It is important to sports bettors because it allows them to look for bettor sports betting odds. On the other hand, Bookie agents must understand how they make money to ensure a profit.
Even though opening a sportsbook does not require an in-depth knowledge of sports, it does require basic math. In addition, to mathematics, knowing statistics and the different types of sports bets is also essential to a profitable sportsbook.
Please note that today’s modern bookie does not solely rely on sports betting to make a profit. This is because the majority of bookie agents use a Bookie Pay Per Head to operate their business. Therefore, they also make money from other gambling options like poker, online casino and horse betting.
However, in this tutorial we will focus on the sports betting aspect of the business. Later on, we will go into how modern bookies make money from other types of gambling.
How Bookies Make Money from Sports Betting – Creating Betting Odds
They first part of understanding how Bookie make money from sports betting is to understand sports betting. A bookie makes a living from accepting sports bets from gamblers and charging a percentage for his service. This is known as the vig or vigorish.
However, if it was left solely to chance, it would only be luck whether a bookie makes money or not. This is because most people will want to bet on the favorite team to win. Thus, if everyone bets on the favorite, the bookie will probably lose money most of the time.
Therefore, in order for a bookie to make money, he must have gamblers bet on both teams equally. Thus, he creates sports betting odds to make the wagers equal in terms of money. If all goes right, then he will make his commission no matter which team wins the match.
These odds are made to decide which team will probably win the match. Using that information, a bookie sets the odds by giving teams a handicap to equalize the bets. Therefore, if Team A is the favorite, then the odds are set so that a bettor will bet more to win less.
In short, sports betting odds are what allows a bookie to profit from accepting wagers.
Make Money from Sports Betting with a Bookie Pay Per Head Service
Now that we know how a bookie makes money, how does a successful bookie make money from sports betting? There are of course, several methods and one of them is because they use a Bookie Pay Per Head company.
By using the PricePerPlayer.com PPH service, bookies are able to focus more on their players and less on betting odds. This is because they have a team of lines setters and managers to ensure you always have profitable odds.
In addition, PricePerPlayer.com uses one of the best sportsbook software in the industry. Thus, bookies are able to offer more sports betting options to increase their gambling handle.
Learn more with our How do Bookies Make Money article