Tech

Leveraging Big Data for Wagering Insights

November 8, 202336

Sports leagues and media companies worldwide use big data to enhance live broadcasts and increase fan engagement. Fantasy sports acted as a precursor to the boom in sports betting in 2018 in the U.S.

With fantasy leagues, individuals choose players and teams based on statistical data from records and trends.

Before the start of the 2023-2024 NFL season, star players like Justin Jefferson (WR – MIN), Ja’Marr Chase (WR – CIN), and Christian McCaffery (RB – SF) topped the fantasy football draft rankings.

Based on previous performances, these players showcased tremendous potential for being valuable additions to a fantasy sports team and scoring in NFL games.

Valued worldwide at nearly $195 billion in 2021, the sports betting and lottery market size grew into a formidable industry on top of fantasy sports.

Here’s how gambling companies and sports bettors leverage big data for wagering insights.

Table of Contents

What is Big Data?

The concepts associated with big data contributed to the rise of the internet and the proliferation of digital devices. Significant increases in data on computers, laptops, and eventually smartphones created a new industry.

Traditional data processing couldn’t handle extensive data sets. Digital storage grew from analog to flash drives, portable hard disks, CDs, DVDs, and computer servers.

Electronic data processing significantly transformed banking, finance, travel, and sports. Automation and big data software analytics helped reduce human errors and increase efficiency.

Data analytics brought new wagering insights to live sports. It revolutionized how teams scouted talent and even refined safety measures by enhancing protective equipment.

How does big data improve betting strategies?

How Does Big Data Apply to Online Wagering?

Sportsbooks and casinos generally relied on professional bettors and random number generators (RNGs) for developing odds and tweaking slot machines to generate repeat customers.

Online sportsbooks today use databases and analytics to set odds based on probabilities. With software built into sports betting platforms, gambling companies create lines that attract equal action for any wager.

For example, the Philadelphia Eagles play at the Washington Commanders in Week 8.

The point spread looks like this:

PHI Eagles (-6.5) -115

WAS Commanders (+6.5) -105

The Commanders get +6.5 points at home because the Eagles are three games ahead in first place in the NFC East. The teams played each other in Philadelphia in Week 4. That game resulted in a 34-31 overtime win for the Eagles.

Oddsmakers set a Week 8 point spread with -115 odds (53.49%) that the Eagles cover the spread. The -105 odds (51.22%) for the Commanders to cover the point spread show only a minor difference between either wager.

That point spread exemplifies how sportsbooks use big data to set power ratings after analyzing things like injuries and home-field advantage.

Online betting platforms automatically adjust odds based on volume to generate the most action on both sides.

What about online casinos?

How Do Online Casinos Use Big Data?

The use of big data at online casinos is essential to stay competitive. Analyzing user experience helps create the best online platforms and mobile apps.

Online casinos use data analytics to learn which bonuses and promotions to offer. New players might get a generous welcome bonus at a reputable $10 deposit casino.

Big data at online casinos also identifies the most popular games among players. Gambling companies use automated algorithms to recommend similar titles.

Like oddsmakers setting lines that attract the most action, online casinos use big data to develop new games to entice new players.

Loyalty programs help to retain players by offering them rewards based on the time they spend playing at the casino.

What is the Best Wagering Strategy?

Big data at online casinos and sportsbooks allows gambling companies to study their players’ demographics, betting habits, and personal preferences. That information comes in handy for creating entertaining experiences for users.

Online casinos offer games with favorable odds for players, like blackjack, roulette, baccarat, and slots. Software developers of those games provide information on return-to-player (RTP) percentages.

Choosing games with a 95% or better RTP would be best—to get the most out of your bankroll. That means over an extended number of hands, rounds, or spins, you may win back $95 for every $100 you spend.

The best online slots offer RTP ranging from 96% or better.

Those percentages come from developers testing RNGs over thousands or even millions of spins. Again, they’ll want to create games that give players a chance to win some of their money back—with the casino turning a profit.

Online sports bettors should learn how to read odds with the help of a betting calculator. Typical bets include the spread, total (over/under), and moneyline. You can also check out various proposition bets or wagers based on individual players.

Big data helped to revolutionize prop bets and live in-game betting. Automation via machine learning algorithms and artificial intelligence delivers lightning-fast odds that benefit bettors and gambling companies.

How to Profit from Wagering Insights

Professional sports bettors tend to win at least 55% of their bets. That helps to cover the vig from placing wagers on favorites. (Sportsbooks generate a profit by charging vig on specific bets.)

One important strategy to consider is to place your bets early. Industry leaders in sports betting set the lines for games as quickly as possible by utilizing big data.

Smart bettors take advantage of any weaknesses they might see in opening lines.

For example, a weekly injury report or shifting weather patterns might change the odds of any game or match.

If you can make accurate predictions based on prior knowledge, then you know how to leverage data and make a profit from your wagering insights.