What is Juice Betting? Why is it important in sports betting?

You might have heard the term “Juice” if you have spent any time in sports betting. It is a fact that Juice Betting is a threat to bettors and a treat to sportsbooks.

Unfortunately, you can find juice in many sports betting markets that come in different forms.

Many people enjoy juice as a healthy intake of beverages, which is quite the opposite in the case of sports betting.

As a bettor, you should consider the juice along with the odds to evaluate if a bet is worth the money you invest.

If you’re planning to participate in a sports betting contest for the first time, it is essential to know what is Juice Betting and how is it calculated to understand the potential profitability.

What is Juice Betting?

Juice Betting refers to the commission or fee a sportsbook charges from a bettor for placing a bet. It is also known as “vig”, which is the short form of the term “vigorish” which refers to the advantage a sportsbook takes over the bettors by charging on the betting lines. It has the same meaning as the juice used widely in finances, stocks, and sports betting.

By using the concept of Juice, sportsbooks make money using the bet irrespective of the outcome. The main reason why bettors fear is that the higher the juice a sportsbook earns, the higher the profit a wager has to earn. In other words, less juice is highly beneficial for gamblers in sports bettings.

The sportsbook ensures to keep the chance balanced and profitable rather than expecting an opportunity for a one-sided win.  In simpler terms, a sportsbook aims to set odds to capture equal action on both sides of a bet regardless of the outcome.

For instance, you need to place a bet of  $110 to win $100. It becomes clear that the juice on the bet is 10% ( $10), which the sportsbook keeps as a profit after setting an odd of -110.

Different sportsbook has their commission rates, and it depends upon what you’re betting.

How to calculate juice betting in sports?

The juice is calculated in sports betting using a certain formula for the negative and positive odds as shown below:

JUICE= Negative Odds / (Negative Odds + 100) × 100

You need to place a negative sign (“-”) if the odds are unfavourable.

For positive odds, the formula is the same with the (“+” ) symbol:

JUICE= Positive Odds / (Positive Odds + 100) ×  100

Here is the formula to calculate negative and positive odds:

  • Negative Odds: The break-even point is determined for a solved value
  • Positive Odds: 100- (Solved Number)

Example:

By using the above formula, we can calculate the juice betting with the below example:

Let us consider a football game with +250 on two-point spreads using the formula:

=250 / (250 + 100) × 100

=250 / (350)× 100

= 0.7143 × 100

=71.43%

The juice on football bet with positive odds of +250 is 71.43% approximately.

Example of Removed Juice Betting Calculation:

To calculate the true odds of the game without juice in sports betting, here is the following calculation based on another example:

Team A has an odds of -140 favourite over Team B at +120 underdog. Using the above formula to calculate the probability of Team A and Team B helps to determine the juice for the bookmaker:

  • Probability of Team A = -140/ (140 + 100) × 100

=-140 / (240)× 100

= 0.584 × 100

=58.4%

Here, 58.4% is the negative odds percentage of Team A 

  • Probability of Team B= +120/ (120 + 100) × 100

=+120 / (220)× 100

= 0.54 × 100

=54.5%

Positive Odds for Team B = (100-Solved Number)

       =(100-54.5)= 45.45%

Team A + Team B = (58.4 +45.45) = 103.85%

The “vig” or “Juice” a bookmaker gets is 3.85% ( 100% + extra 3.85%)

The probability of Team A winning the game is 58.48% and Team B is 45.45%. When added together, the total for juice is 103.85%. Let us determine the true probability of Team A and Team B by the removed juice betting calculation:

Team A = 58.48% / 103.85% =56.3%

Team B = 45.45% / 103.85% = 43.7%

Total= (Team A + Team B)= (56.3+43.7)%=100%

Why Juice Betting is important in sports?

You need to know the importance of juice in sports betting. There are several reasons why juice betting plays a crucial role:

  1. It represents the profit margin of a sportsbook regardless of the outcome.
  2. A balanced action minimizes the risk of sportsbooks and assures a predictable profit margin.
  3. It allows the bettor to estimate the true value of a bet by understanding the concept of juice.

Bettors can make informed decisions about where to place bets by understanding the potential profitability of their wagers, and it is crucial for effective bankroll management and risk analysis

Leave a Reply

Your email address will not be published. Required fields are marked *

CX LIVE CASINO
Bangladeshi Casino Sites
Crickex LKR
Crickex LKR

Reload Bonus up to Rs.5100

Crickex NPR
Crickex NPR

Refer Bonus up to रु.600

MostPlay
MostPlay

Casino Bonus up to ৳20,000

Crickex BDT
Crickex BDT

Refer Bonus up to ৳200

MarvelBet
MarvelBet

Sign up Bonus ৳500