Your Guide to Sports Betting Handles
The term “handle” affects not only sportsbooks but also bettors, shaping the overall sports betting industry. See how understanding the handle can refine your betting strategies and enhance your insight into sportsbook operations. Discover how handle differs from revenue and find out how sportsbooks calculate their handles.
What Does “Handle” Mean in Sports Betting?
In the context of sports betting, the “handle” refers to the total amount of money wagered on sports events over a specific period across all games and platforms. It serves as a vital metric that provides a snapshot of overall betting activity and market liquidity.
For both sportsbooks and bettors, understanding the handle is crucial as it highlights market trends and the popularity of various sports and events.
Unlike sportsbook revenue, which reflects earnings after payouts, the handle represents the total sum bet, helping bettors gauge the size and popularity of the sports betting market.
Handle vs. Revenue: Understanding the Differences
In sports betting, “handle” and “revenue” are important terms that highlight different aspects of betting activity.
Sports Betting Handle
This is the total sum of all bets placed. It indicates the scale of betting activity and market enthusiasm.
For example, during the Super Bowl, a sportsbook might report a handle in the millions, reflecting high participation across various bet types like moneylines and spreads.
Handle size shows the level of interest in betting, helping sportsbooks understand the market’s size and vigor. A high handle with fewer bets may indicate larger wagers. This information can influence how sportsbooks set odds and design promotions.
Sports Betting Revenue
This refers to the money sportsbooks keep after payouts. Typically, sportsbooks retain around five percent of the handle as revenue. For instance, in 2017, Nevada’s sportsbooks reported a handle of $4.87 billion, resulting in $248.4 million in revenue—about 5.1% of the handle.
How Sportsbooks Calculate Their Handles
Calculating the handle in sports betting involves the following steps:
- Gathering Data: Collect all wagers made for a specific event or time frame.
- Totaling Bets: Adding the values of all bets to find the total wagered amount across different types of bets and sports.
- Analyzing Bets: Compare the total handle to the number of bets to gauge handle versus bet percentages.
Congratulations, You’ve Now Mastered the Concept of a Sports Betting Handle!
Understanding the concept of the handle in sports betting is essential for bettors, as it provides valuable insights into market trends and betting activity. To further enrich your sports betting education and explore other key concepts, dive into our informative Betting 101 section.