CREATIVIDADES BLOG (81)

How to choose sportsbook provider? Ep.1: Data analysis and odds

How to Choose the Best Sportsbook Provider for Your Online Casino

The online sports betting market has been growing for years, and it is expected to continue in this direction. In Latin America, the global GGR for sports betting is expected to reach $3.4 billion by 2025, representing a 261.5% increase compared to the $1.3 billion in 2020.

Choosing a sports betting provider that ensures the smooth operation of this vertical in your casino is crucial. This includes offering the best odds combinations, front-end adaptation, streaming, in-house trading teams, risk management, live betting options, etc.

The list of ways in which sportsbook providers differentiate themselves and add value is extensive. That’s why we’ve divided this section into episodes. In this first episode, we’ll discuss how raw

data providers conduct odds analysis and comparisons to develop effective sports betting strategies tailored to the operators’ risk levels.

Wich is the role of data feeds?

This is the first link in the value chain of a sports betting strategy. Providers like Sportradar, Betgenius, Sporting Solutions, Ls Sports, IMG, etc., are positioned here. Sportsbook providers like Kambi or Altenar contract with these companies for databases, analytics, odds comparisons, and more.

Data providers are responsible for collecting information from various sources, ranging from live broadcasts to sensors, tracking devices, official match records,

manual observations, and more. The combination of these sources provides a comprehensive view of performance and outcomes, which is crucial for analysis and creating competitive odds.

How data feeds collect the information?

Live broadcasts are often one of the main sources of data, providing specific information about the event. Depending on the sport, these specific actions will vary, and statistics must be collected to help create odds and assign probabilities.

Moreover, in sports like soccer, basketball, rugby, or hockey, sensors and tracking devices are increasingly being incorporated to collect real-time data on players and ball movement. These devices may include accelerometers, gyroscopes, RFID chips, GPS, etc. All of this provides precise data on multiple actions that are extremely useful for sports analysts.

On the other hand, in events where this advanced technology is not available, analysts and observers can be used to record all the information in real time. They can be present at the stadium or watch the event through live broadcasts, manually recording specific data about the game and player performance.

 

Odds calculation and comparasion

Using the collected data, a statistical analysis is performed to evaluate the performance and likelihood of success of each player, team, etc. This includes calculating averages, medians, deviations, and any statistical indicator that helps summarize and understand the data distribution.

Predictive models are also used to calculate the probabilities of outcomes that result in odds. These models may use machine learning techniques and data mining to predict results with greater accuracy.

In addition to the statistical data obtained, external factors that can influence the results of an event, such as player injuries, roster changes, weather conditions, statements from experts or coaches, etc., should also be considered.

With all the collected data, probabilities are determined for each action available for betting, leading to the creation of odds. Let’s consider a fictional match between Real Madrid and PSG with the following odds.

This means that the sportsbook has assigned the following probabilities:

 

With a quick calculation, we can see that the sum of the probabilities is greater than 100%. Otherwise, it would mean that the bettor could win by betting on all three possibilities. The closer this sum is to 100%, the more competitive the odds will be, but the greater the risk for the sportsbook.

The role of a sportsbook provider

En este primer episodio puede parecer que toda la responsabilidad esta en manos del proveedor de datos, pero realmente un proveedor de sportsbook profesional tiene mucho que aportar en estas verticales también para gestionar la estrategia de manera profesional.

Colocación de contenidos, manejo del front-end, gestión de riesgos, precios y herramientas de afiliados, widgets, etc. Hablaremos de todos aspectos en capítulos posteriores.

Trends and future challenges

One of the key challenges for providers is real-time data integration. With the growing demand for instant information, providers need to be able to collect, process, and distribute real-time data from all the sources we’ve explained above.

On the other hand, artificial intelligence and automation are enabling data providers to optimize analysis processes and offer more personalized and efficient services to clients.

Create your rules

In future episodes, we will discuss other variables that are of great importance in the sportsbook value chain, such as streaming offerings, probability consulting, model automation, risk management, front-end handling, and more.

If you want to gain an in-depth understanding of this sector of the industry and implement an effective and competitive sports betting strategy, don’t miss our upcoming installments.

 

 

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