What is Dropping Odds?
Dropping odds means a fluctuation in a betting market, with the price of a popular market changing as it attracts more bettors, and betting on dropping odds means seeking the most favorable price for that bet at a bookmaker who has not yet adjusted their prices in accordance with the current market. Many gamblers consider dropping odds as an important factor when deciding where to place their bet.
Dropping Odds Explained
If a gambler refers to ‘dropping odds’ (or conversely, ‘rising odds’) they are talking about the fluctuations in the betting market that occur in the build-up to a sports event. As each side of a sportsbook attracts activity, bookmakers have to keep the flow of bets balanced to ensure their profit, so they will adjust their prices up to and during the match or race. Players usually buy their bet at the fixed odds given when they purchase and their bet pays on this price, regardless of subsequent changes to the market.
Sometimes a bookmaker will be slow to adjust their price when there is a significant shift in the market, running their own bet with increased odds – which presents an opportunity for the savvy bettor. However, hunting out dropping odds advantages has become much more difficult due to technological advancements in the gambling industry. Bookmakers can analyze and update their odds in real time and have access to all of their competitors’ prices too, so discrepancies in price can be shut down quickly.
Some gamblers believe that dropping odds can signify some piece of insider information, suggesting one side is a sure bet for the win. However, it is more likely that the odds have dropped because one side of the book became extremely popular and the bookmaker needed to secure more bets for the other side.