Betting Odds explained

What are odds?

Odds represent the likelihood of an event occurring and the potential payout if it does happen. They are an essential component of betting, and understanding them is critical for successful wagering.

Different forms of odds are used in betting, including fractional, decimal, American, and percentage odds. Here's a breakdown of each type:

Decimal odds

These are the most common odds format and are used by many betting exchanges like Betfair. The odds are represented as a decimal, indicating the potential payout per unit staked. For example, odds of 11.0 mean that for every £1 you bet, you'll receive £11 if your bet is successful.

Fractional odds

These odds are shown as A/B or A-B, with A representing the potential payout, and B representing the amount you need to bet. For example, odds of 3-1 mean that for every £1 you bet, you'll win £3 if your bet is successful.

American odds

These odds are displayed as a positive or negative number, indicating how much you need to bet to win £100 (negative odds) or how much you'll win if you bet £100 (positive odds). For example, odds of -140 mean that you need to bet £140 to win £100, while odds of +110 mean you'll win £110 if you bet £100.

Percentage odds

Percentage odds represent the probability of an event occurring. In casinos, they are used to show the odds of individual bets and the overall payout rate for the casino. The closer the payout rate is to 100%, the more likely you are to win.

At Betfair, the odds are determined by the market, not the bookmaker. Bettors can back or lay on an event, meaning that they can either bet on the outcome happening or not happening. This system can be profitable if you know what you're doing, and Betfair offers a £25 free bet to help you get started.

Understanding odds is crucial to successful betting. Whether you prefer fractional, decimal, American, or percentage odds, make sure to choose the format that works best for you and your betting strategy.