What Does SP Mean in Betting?

When betting on sporting events, it is easy to get overwhelmed by the unique abbreviations in each market. When looking at horse racing, fans often wonder what does SP mean in betting and when is the right time to use it. We have put together a guide to help you understand what is SP and when to use it.

What Does SP Mean?

The Starting Price (SP) is available to bettors at the beginning of a race. The SP was crucial for people who bet on horse racing, as it offered an alternative to fixed odds. When betting on sporting events, you can secure fixed odds by placing a bet. However, in horse or greyhound racing, the odds can change drastically between now and the start. The SP was a fantastic way to ride the highs and lows before the “off”.

However, SP betting is not always in your best interest. Sometimes a runner’s odds can increase in the final moments before a race begins, but they can also decrease. That means the final odds offered to players could be more or less than what was previously displayed. A horse worth 20/1 could have an SP of 15/1, 25/1, or offer no change.

How is the Starting Price Calculated?

The starting price is calculated differently depending on the country you bet from, but the process remains similar. As more information about the runners becomes available, more players will place bets. The horses that receive the most backing will cause the odds to fall and overlooked runners may go up. They will calculate the SP based on this data.

To calculate the SP, the bookmakers or relevant gaming commission will take the median for each runner. Meaning they will look at the highest and lowest odds offered for each runner. The median simply refers to the middle number, meaning the bookies are looking for the number in between the highest and lowest odds offered.

During the 2020 pandemic, players transitioned from the racetrack to online, when placing their bets. This means the SP has adapted to reflect the times. Nowadays, much more information is used when determining the starting price.

Why is SP Important for Horse Racing?

As sports betting becomes more advanced, certain aspects become more or less important. The starting price for greyhound or horse races is becoming less desirable for punters. That is because some online sports betting platforms are shifting towards offering players the best odds guaranteed. 

This is where they offer players the most rewarding odds for each runner, regardless of when you place the bet. You can secure the highest odds for the favourite rather than what is currently available. Choosing SP instead of this promotion will often give you lower returns, making it a less popular choice.

Experienced punters may still rely on the SP, but it no longer has the drawing power for new players. The best odds guaranteed promotion makes the SP obsolete, as it typically secures higher returns. When players choose the SP, they could end up with less profit as horse racing markets are quite volatile.

Online Bookmakers vs On-Track Bookies

Bookmakers at a race course only see a fraction of the bets compared to their online counterparts. That means the odds they will offer to punters will be different. While the exact details around how a bookmaker prices a runner are too complex to dive into, the basics are easy to understand. 

Say the on-track bookie looks to make 10% per race. When they are close to hitting this target, they will drop the price on a horse to deter more punters from making the bet. But that’s not all. They will also increase the odds on another runner, making a wager more appealing to the public. The same process occurs online, but over much larger volumes as more players will have access to the odds.

This means an online platform will consistently offer bettors more rewarding odds. That is because the higher volume of players means more liquidity in the market. This is a fancy way of saying more people betting means better returns for all involved. Therefore, check online for a higher gross profit even if you are at the track on race day.

When Should You Use SP?

When betting at Novibet, you will have the choice of the current odds for a runner or the SP. If the best odds promotion is available, it represents an opportunity to secure the highest odds offered. This promotion is a fairly recent addition but resulted in the SP betting becoming a less popular option.

However, the SP can be an alternative if you want some flexibility with your bet. You can bet in advance of a race and benefit from a runner’s price drifting before the start of an event. Late bets on other runners will cause their odds to drop, but it may also cause the odds for your horse to rise. Choosing SP in this circumstance will give you higher returns than those advertised when placing your original bet.

We have created a list of the pros and cons of betting using the SP on horse races. You can also bet using the starting price when wagering on greyhounds and the same pros and cons apply.

As most players will avoid placing a wager on a race in advance, SP is becoming less of an important feature. At big races, like the Grand National, most odds will narrow across the board, meaning the SP will lower for most frontrunners.

Most players prefer to select the displayed odds, as you know exactly what you are getting. Being able to see your stake and returns makes betting a lot easier, especially for players looking to mitigate losses, since you can categorically determine whether a bet is worth placing purely from the returns.

Does SP Apply to Other Sports?

The SP is exclusively used in dog or horse racing. That is because of the incredible fluctuations in betting activity on horse races, often referred to as late money. Some punters make extremely high bets moments before the race begins, causing rapid drops in prices. If you expect an influx of wagers on another horse to win the race, an SP bet is a viable option, as you can secure better odds than what is currently being advertised. The starting price is not commonly used across other sports, as they rarely feature the same fluctuations.

Best Odds Guaranteed or SP?

If you are looking to bet on a horse race at Novibet and the best odds guaranteed promotion is available, that is a better option. Being able to confirm you will receive the highest odds available means you can work out your total profit easily. For SP wagers, you must wait until the race begins to find out the median.

However, this promotion will not be available for every horse or greyhound race. That means SP still has value and can be the best option. The incentive to back the starting price is beneficial if you don’t want to monitor the markets or if you think there will be a flurry of late wagers. Below is a list of pros and cons for this promotion to help you decide if this promotion is worth claiming.

In any case, it’s important when placing wagers to familiarise yourself with all the tools at your disposal. Knowing what the starting price means and when to use it is something to keep in your arsenal should the right opportunity arise.