How to Set Odds

Correctly pricing a match is the best way to ensure the profitability of your bookie business in the long run. For a beginner, it is essential to know how to set odds, even if the sportsbook pay per head software does it for you automatically.

The good news is that bookies have the advantage when it comes to sports betting. They already have a built-in margin on any sporting event. For instance, bookies markup Premier League games as much as 107 percent if they know all the variables and expect balanced betting action.

If there are unknown variables, the price up will be around 120 percent to provide some protection from insider information. Although a handicapper is not always perfect, the built-in margin will ensure profitability in the long term.

Set Odds Like A Pro

When becoming a bookie, you have the right to limit the size of wagers players lay. The sports betting software has player management tools that allow you to limit risks and liabilities.

The first step is to price up the real odds at 100 percent. Then change the odds to incorporate the built-in margin for the match.

For instance, take a friendly match between the United States and China. The handicapper believes that the following odds are the probabilities of a team winning or getting a draw:

US – 60%
Draw – 21%
China – 19 %
Total Probabilities of Odds = 100%

If you want the prices to have a margin of 107 percent:
US – 64.2% or odds of 1.56
Draw – 22.5% or odds of 4.44
China – 20.3% or odds of 4.48
Total Probabilities of Odds – 107%

Although a US win is a clear choice and will get the most support, you are comfortable in knowing that the bets are at the right price. Over time, you’ll be able to earn a profit, and that’s how to be a bookie with a successful sportsbook in the long run.