By Full Spectrum Sports Intelligence ·
The men's major golf championships are the most prestigious tournaments in the sport. Today they are the Masters Tournament, the PGA Championship, the U.S. Open and The Open Championship, and The…
Why golf is a different kind of market
Most sports are two-sided: one team beats another. A golf major is a field event, so the main market is an outright: who wins the whole tournament. With so many entrants, even the strongest favourite has a modest chance, so winning probabilities are spread thin and the quoted prices are long. For that reason bookmakers have long offered each-way terms.
How each-way works
An each-way bet is two bets: a win bet and a place bet. The total staked is twice the unit stake. The place part pays if the selection finishes in a set number of places, at a fraction of the win odds, commonly 1/2, 1/3, 1/4 or 1/5 (Wikipedia: Each-way). The same source gives a golf example: a £5 each-way single on a 10-1 selection, paying 1/5 the odds for places one through four, costs £10. That is an illustration of the mechanism, not a current offer, and real terms vary by operator and event, so always read the terms on the day.
The analytical takeaway
An each-way price blends two outcomes, so the effective probability of a return is higher than for a win-only bet while the payout on a place is smaller. To compare prices fairly, an analyst separates the two legs, converts each to an implied probability, and notes the overround that every bookmaker builds into a market (Wikipedia: Overround).
Data considerations
- Course fit, weather and the quality of a small elite field are the usual inputs for modelling major fields.
- Withdrawals and late changes affect a field's size and, in turn, place terms.
Regulatory note
Great Britain is regulated by the Gambling Commission. In the United States, sports betting is legal only in some states, so US readers should check their own state's rules.
Sources
- Men's major golf championships (Wikipedia)
- Each-way (Wikipedia)
- Overround (Wikipedia)
- Gambling Commission