The majority of people the land over will waltz into a bookmakers and stick a bet on the Favourite in the next race.
So how are you likely to end up financially if you bet every favourite or random ones? Well regardless of how you do it over the long term you will have a 32% strike rate, which isn’t bad, however you will lose 3% ROI (return on investment), simply put, for every £100 you bet, regardless of how many winners you have, over the long term you will lose £3. Ouch!!!
Ah …. brainwave … so if that is correct you can surely lay them all on Betfair and make a nice 3% profit! Wrong. That would also result in a 3% loss!!!
So how come 3% loss whether you back or lay? Well when laying you have to include the overbet, that is the odds the betting exchanges offer over SP, as well as the commission you pay, which starts at 5% on Betfair.