Betting companies always make a profit from bets made by bettors. And this fact does not depend at all on what kind of sport, specific competition we are talking about. Making a profit by a betting company does not even depend on what the outcome of the match will be in the end. How do betting operators make money then? Due to competent manipulation of odds, namely, their regulation to attract bets in the right ratios. Therefore, the opinion that the bookmaker’s income is formed from the losing bets of players is incorrect. By and large, the office does not care whether the player’s bet played or not.

To understand how it works, let’s understand one of the basic concepts of betting. Yes, we are talking about the term “margin”. **The bookmaker’s margin** is the operator’s commission in the betting market. That is, this is the part of the funds that the office receives from each bet made, regardless of the outcome. In other words, the margin is the difference between the real probabilities of the outcomes of events and the probabilities that the company sets in its line.

## How to Calculate the Margin of a Betting Company

Let’s consider the calculation of the bookmaker’s margin on a conditional example of a match, where theoretically only two outcomes are possible: the victory of Team 1 and the victory of Team 2. In this case, the chances of each team winning are 50% to 50%. Let’s think of this probability as a standard European coefficient: 100% : 50% = 2.

That is, the real probability of the team’s victory, expressed in the odds, is 2.0. If the same number of players bets on each of the outcomes, then the betting company will not earn anything. And, as we found out at the very beginning, such a situation is impossible. In order to get income from the bets made, the betting company puts its benefits in the odds. That is, the real odds in this case are 2.0, and the bookmaker’s odds can be, for example, 1.95.

## Main Types of Bookmaker Margin

There are three types of bookmakers in terms of margins:

- Fundamental (classical): margin of more than 5%.
- Medium margin: margin from 3 to 5%.
- Low-margin: margin up to 3%.

Most of the betting companies on the market are medium-margin companies.

Of course, it is most profitable to bet on the websites of low-margin interactive betting operators. But there are some nuances here. Such companies, as a rule, have almost no live, set high maximums and have a small selection of bets in the pre-match.

In addition, the size of the margin may depend on the popularity of the event on which the operator offers to bet. The more bettors bet on a particular match, the lower the margin. The less interest in the event, the higher the margin.

So, you can learn how to calculate the bookmaker’s margin on your own. Moreover, if you intend to bet on sports events regularly (or already do so regularly), such a skill is a must. Some betting companies may embellish the real values of their margins. It is important to learn how to make calculations in order to choose the most favorable conditions for yourself and be able to verify the facts stated by the office.