What is a Handle in Sports Betting? Navigating Handle and Revenue
Ever wondered about the significance of a handle in sports betting? This key term is essential for both bettors and sportsbooks, influencing more than just betting outcomes.
Our article breaks down the handle, enhancing your betting strategies and understanding of sportsbook operations. Ready to unlock the secrets of sports betting handles? Let’s explore how it’s calculated and why it matters across different sports.
Key Takeaways
- You’ll know how to use the handle in your favor.
- Learn to calculate a sportsbook’s handle to maximize your winnings.
Understanding Sports Betting Handle
The handle in sports betting is the total money wagered within a specific period across all games and bookies’ platforms like BetMGM.
It’s a key metric, offering a snapshot of betting activity and market liquidity, crucial for sportsbooks and bettors to understand market trends and the popularity of sports and events.
Unlike sportsbook revenue, the handle indicates the total bet amount, aiding bettors in assessing the market scale and sportsbook popularity.
Handle vs. Bets: The Difference Between Handle and Revenue
Understanding the difference between handle and revenue is essential. While revenue is what remains after winners are paid, the handle is indicative of the betting volume. This difference highlights why a high handle doesn’t necessarily equate to high profits for sportsbooks but indicates a vibrant betting ecosystem.
Getting the distinction between handle and the number of bets is one of the first steps to become a better sports bettor!
| Aspect | Handle | Number of Bets |
|---|---|---|
| Definition | The total amount of money wagered on all bets. | The total count of individual bets placed. |
| Impact | Reflects the economic scale of betting activity. | Indicates the activity level or popularity. |
| Example | Sports betting handle for the Super Bowl in an online sportsbook might be in millions, encompassing all bets. | Thousands of bets might be placed on various outcomes, including moneyline, spreads, and totals. |
| Significance for Sportsbooks | Used to measure market size and set handle percentage goals. | Helps in analyzing bet diversity and bettor engagement. |
In casino and sportsbook strategies, understanding the handle mean in sports betting versus the number of bets offers insights into bettor behavior and market trends.
For instance, a high handle with relatively fewer bets in college football or league games suggests larger average wagers, impacting how sportsbooks set odds and promotions, especially noticed in 2022.
Financial analyst, Jamie Peterson
→ This differentiation affects how sportsbooks strategize and gives sports bettors a clearer picture of where and how their money is moving in the betting ecosystem.
Calculating the Handle From A Sportsbook
Calculating the handle in sports betting involves:
- Gathering Data: Collect all wagers made for a specific event or time frame.
- Totaling Bets: Sum the values of all bets to find the total wagered amount.
For example: In an NFL game, sportsbooks calculate the handle by adding up bets from point spreads, money lines, and totals, including all bet types like singles and parlays. - Analyzing Bets: Compare the total handle to the number of bets to gauge handle versus bet percentages.
This method reveals the volume of betting activity and is crucial for bettors and sportsbooks to understand the economic impact of sports betting.
Handle in Different Sports: What Does Handle Mean in Sports Betting on NFL, NBA, MLB?
Handle variation by sport:
- NFL & College Football: Peaks during the Super Bowl and events like the Dallas Cowboys vs. Philadelphia Eagles game due to team popularity and rivalries.
- MLB: Attracts significant betting, especially during key matchups and the postseason.
- NBA: Sees large handles, with interest spiking during the playoffs and marquee events.
- Basketball: March Madness significantly boosts the handle, drawing in a wide audience.
These sports showcase the diversity in betting interest and the economic impact on sportsbooks, reflecting bettors’ varied preferences as the sports betting landscape evolves into 2024.
The Importance of Handle in Sports Betting for Bettors and Sportsbooks
The handle in sports betting, the total amount wagered at sportsbooks like FanDuel and DraftKings, is essential for assessing market activity and financial health.
The handle not only reflects the volume of bets but also affects the payout strategies of sportsbooks. A higher handle indicates more active betting, which can lead to better liquidity and potentially more favorable odds for bettors.
Insight from a financial analyst
It offers insights into betting trends and impacts sportsbooks’ payout strategies and risk management. Mastering the difference between handle (total bets) and revenue (earnings after payouts) is crucial for both bettors and sportsbooks, reflecting the betting industry’s scale and economic dynamics.
Today’s Betting Handle Insights
| Metric | Description |
|---|---|
| Total Handle | Aggregate amount wagered, rising due to high-profile events and more available betting options. |
| Revenue vs. Handle | Difference highlights, with total bets increasing and net revenue growing at a different pace. |
| Betting Platforms | Growth seen in both in-person and online, with online experiencing sharper increases due to convenience. |
This table reflects the sports betting industry’s growth, driven by legal expansions, technological advancements, and changing bettor preferences, illustrating the financial health and success of betting entities.
Legal and Ethical Considerations
Legalization of sports betting across US states raises the importance of clear laws on “handle” information for transparency and market integrity.
Legal experts stress the need for regulations on sports betting’s total wagered amounts to ensure data integrity and consumer protection. Ethical concerns also extend to promotional practices and the use of handle information for hedging bets, which is legal unless based on insider information.
Additionally, sportsbooks use handle data to show market health and encourage responsible gambling by identifying risky betting patterns, highlighting the need to balance data use with privacy protection.
Handle in Sports Betting
Recognizing the handle represents the total amount wagered reveals betting preferences and helps refine strategies by comparing the volume of bets to the money staked, leading to smarter betting choices.
Interested in using handle data to enhance your bets on big events like the NBA Finals? Complete your knowledge and find out about every aspect of sports betting thanks to our educative betting 101 section.