Arbitrage betting, also known as “arbing” or “sure betting”, is wagering on all possible outcomes of an event at different bookmakers. Since the odds are different at each bookie, you can lock-in some profit – no matter the outcome.
Arbing is popular in various sports like football, basketball, rugby, and cricket. It’s an appealing way to bet since it offers guaranteed profit and is risk-free in theory.
What Is Arbitrage Betting?
Arbitrage sports betting is a clever strategy. You are simply taking advantage of differences in odds between bookmakers. This involves placing bets on all available outcomes in a betting market. You’ll use bets at different bookmakers. The idea is to guarantee some profit whatever the result.
Arbing opportunities arise as bookies offer slightly different odds on each event. For instance, while two bookmakers might offer England to win at different odds. When you also bet on the draw and Team B to win, the odds implied probability is under 100%. This gives you a chance for guaranteed profit.
Another term for arbitrage betting opportunities is “arbs”. You’d try to bet on these price anomalies before the bookie cuts the prices. Your profit on each arb is usually small, but after several arb bets your profits can soon add up.
How Does Arbitrage Betting Work?
First, you need to identify odds discrepancies across bookmakers. For example, a tennis match with misaligned odds. This would enable you to bet on both players to turn a profit.
The next step is to take swift action and place bets on all possible outcomes. Once you’ve placed those bets, you’ve locked in guaranteed profit regardless of the result.
If we take a tennis match as an example, where you place two separate bets: Player A to win and Player B to win. I’ve included the following odds as examples. First, you would bet a specific amount on Player A to win (1.83 odds) on bookmaker A’s website. Then, visit bookmaker B’s site to place a second bet on Player B to win (2.4 odds). Whichever tennis player wins this match, you would have guaranteed profit either way.
Types of Arbitrage Betting
You’re likely to see arbitrage bets available in various types of betting markets.
Two-way arbitrage is common in sports where one of two teams or players can win. Prime examples are tennis and basketball. This involves betting on either outcome, as there’s no draw result to consider.
Three-way arbitrage is arbing on sports events that have three possible outcomes. A great example is a football 1X2 market. This includes Team A to win, the draw, or Team B to win. It’s a more complex way of arbing and needs precise figures and quick action.
If you enjoy betting on the in-running action, live arbitrage is an interesting option. Check the in-play odds for differences, and be quick to jump on any arbing opportunities. With in-play arbing, it’s often better to wait for a break in the action.
Advantages and Disadvantages of Arbitrage Betting
- Advantages:
- Locked-in profit no matter the outcome.
- Build up steady profits.
- Bet based on maths, not relying on luck or a hunch.
- Disadvantages:
- Finding arbs is time consuming.
- Small profit margins – you need to bet large amounts to build profits.
- Possible stake limits or account closure – could limit your arb betting potential.
Tools and Strategies for Arbitrage Betting
To help maximise your arbitrage betting, consider using betting tools and strategies.
First, a betting arbitrage calculator can help you to work out the optimal stakes for each part of the arb. This is an essential tool, since manually working out the exact bet stake takes valuable time.
Another useful tool is odds comparison websites. These sites enable you to quickly compare the best odds across several bookmakers. From an odds comparison menu, you can check which bookmakers offer best odds in a betting market.
Finally, sensible bankroll management is key. Decide how much money you have available for all arbitrage bets. Then decide how much to allocate to each arbitrage opportunity.
Real-Life Example of Arbitrage Bet
Now, let’s walk through a true life example of an arbitrage bet. You have identified a football match where the bookmaker prices differ. This gives you the chance to make a small locked-in profit.
Once you’ve spotted this arb opportunity, you have £100 to bet across the three outcomes in the 1X2 market.
- Team A to win is at odds of 2.10 with bookmaker A.
- The draw is 3.30 from bookmaker B.
- Team B to win is 5.50 on bookmakers C site.
Your first bet would be £49.55 on team A. Followed by a £31.53 bet on the draw. And finally a £18.92 stake on team B to win. After these three separate bets, your profit would be £4.05 (4.05%) no matter how the match finishes.
Is Arbitrage Betting Legal?
Arbitrage betting is legal in most betting regions, since it doesn’t go against gambling laws.
Arb bettors (arbers) exploit the differences in bookies odds. Even though arbing is legal, it’s usually against bookmakers’ terms and conditions. The bookies see arbers as unprofitable customers who bet without risk. So, the bookies often limit your stakes or close your betting account for frequent arbitrage betting.
As with any form of betting, please check your local gambling regulations. Also, read each bookmaker’s terms to avoid potential problems when arbing.
Conclusion
I explored the meaning of arbitrage betting. Arbing is a risk-free opportunity to bet on all possible outcomes to profit. When you cover all betting options in an event, you can lock-in returns. Instead of relying on chance, it’s based on numbers.
While UK arbitrage betting can be profitable, it needs an organised approach. It involves quickly placing different bets at the desired odds.