utilising the overround<\/a>. If you have three possible outcomes, say, Team A winning, Team B winning and a draw, then all the odds when converted should come to 100%. That\u2019s because 100% means certain, and one of these outcomes must logically occur.<\/p>\n\n\n However, when you do so they will inevitably come to over 100%. This amount above 100% is the overround or the bookmakers' margin – it is the edge the bookmaker has over the bettor. This is not unreasonable; it is how they remain profitable in a business, which is by nature hard to predict.<\/p>\n\n
\n Still, there is a limit to what can be considered reasonable. We would say that anything below 110% can be considered reasonable, and the closer to 100%, the better. Do note that some markets, like esports, have higher odds than some more established markets, like football. You can also find out more about odds in general with our ultimate guide on betting odds.<\/p>\n\n
How Do Bookmakers Determine Their Best Betting Odds?<\/h2>\n \n\n
\n You may think that the process of coming up with their best betting odds for the bookmaker is rather simple, and rather like your own. And yes, there is a little bit of truth to that. On one hand, the bookmaker is essentially making a prediction.<\/strong> The odds represent an implied value which can be converted into a percentage, as discussed in the previous section. It may be a bit more mathematical than the individual approach, but it is a prediction.<\/p>\n\n\n In terms of whether they are the best betting odds then, it comes down to how correct that prediction is as well as the generosity of the bookmaker. In essence, it\u2019s largely your prediction vs theirs, right?<\/p>\n\n
\n Well, not quite.<\/strong><\/p>\n\n\n Bookmakers<\/strong> actually have little freedom in terms of the odds they produce,<\/strong> as there\u2019s several factors tying them down quite tightly to a narrow field of odds. For starters, they don\u2019t base their prediction solely on what they think will happen, but also on how to minimise risk.<\/strong> This means that if there is a lot of betting activity on one market, it will have an impact on the layout of odds as bookmakers scramble to ensure they aren\u2019t vulnerable to a big loss on one side. This can sometimes provide A best betting odds opportunity, as this sway does not always reflect reality.<\/p>\n\n\n In addition, they also need to remain competitive with other bookmakers<\/strong> and that means that not only does the market dictate the odds, but their competitors do as well. This is why our look at the best betting odds were incredibly closely matched, even identical at times. They can\u2019t simply ignore<\/strong> the tide<\/strong> and provide odds which represent wildly different predictions because that would provide opportunistic bettors to take advantage of this odds discrepancy and play the different bookmaker odds off against each other. This is a technique known as arbitrage betting<\/strong><\/a>.<\/p>\n\n