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HOW TO MAKE MONEY FROM NEW CUSTOMER OFFERS

What you’ll learn in this guide:

  • The difference between backing and laying
  •  How liability works when placing a lay bet
  • The maths behind matched betting – simplified
  • The process you’ll use to profit from free bets
Backing VS Laying

Back bets are placed at the bookmaker when you want to back an outcome, such as England to win. With a back bet you are betting on what you think will happen.

Lay bets are placed at the betting exchange and are the opposite of back bets. You are essentially betting against an outcome. If you lay England to win then you’re saying that you don’t think that will happen – instead you expect them to lose or draw (not win).

Lay Bets and Liability

When laying a bet (i.e. England not to win), you are essentially acting as the bookmaker. You are offering the winnings of a bet (England to win), also known as the liability, to the person backing a bet (England to win). This is probably one of the hardest things to grasp when starting out matched betting.

The liability of a lay bet depends on the odds taken when you place the bet. You’ll find an example of how much a liability is in the example in the next section. The formula for liability is:

liability = (decimal odds - 1) x stake

If your lay bet wins (i.e. England do not win) you will win the stake offered to the backer. If your lay bet loses (i.e. England do win) you will lose the liability you offered to the backer. In other words you are paying out their winnings.

TRIGGER BETS - BACK, LAY, UNLOCK FREE BET

Let’s use a theoretical example to understand the difference between backing and laying:

Bet £10, get a £20 free bet. In this example, the trigger bet is “bet £10”, as this is the bet we need to place to unlock the free bet.

Kevin backs England to win at an online bookmaker. He places a bet of £10 at odds of 2/1 (3 in decimals). 

If his bet wins (England win) he will receive a return of £30, of which £20 is profit. If his bet loses he will lose the £10 stake and end up £10 down.

Kevin also places a lay bet against England (i.e. they draw or lose) at a betting exchange. He places a lay bet of £10 at odds of 3, meaning that he has a liability of £20 associated to this bet. 

(decimal odds – 1) x stake = liability

(3 – 1) x £10 = £20

If his lay bet wins (i.e. England draw or lose) then he will gain £10 (minus a small % commission that the betting exchange keeps). If his lay bet loses, he will lose the liability of his bet resulting in a loss of £20.

Bring these two outcomes together and you will see that Kevin has broken even as he has cancelled out his back bet and his lay bet.

ResultBack Bet ProfitLay Bet ProfitOverall Profit
England win+£20-£20£0
England do not win-£10+£10£0
FREE BETS - BACK, LAY, PROFIT

Kevin’s now unlocked a free bet. He can back and lay again as before, except this time he will guarantee around 75% profit of the value of his free bet. To maximise the profit we can make from a free bet we need to use higher back and lay odds, that are close together, such as 3/1 (4 in decimal odds).

Kevin now places a back bet using his £20 free bet on England to win again. This time the back odds are 4, as are the lay odds.

If his bet wins (England win) he will receive a return of £60, all of which is profit. The reason it’s not £80 is because the stake is not returned with the winnings. If his bet loses he will lose the £10 free bet and therefore end up with no winnings. 

By using our calculator, Kevin finds the perfect lay bet to ensure he wins the same amount of money, no matter the result.

Kevin places a lay bet against England (i.e. they draw or lose) at a betting exchange to maximise his profit. He places a lay bet of £15 at odds of 4, meaning that he has a liability of £45 associated to this bet. 

(decimal odds – 1) x stake = liability

(4 – 1) x £15 = £45

If his lay bet wins (i.e. England draw or lose) then he will gain £15 (minus a small % commission that the betting exchange keeps). If his lay bet loses, he will lose the liability of his bet resulting in a loss of £45.

Bring these two outcomes together and you will see that Kevin has made £15, and he didn’t even need to worry about whether England were going to win, lose or draw.

ResultBack Bet ProfitLay Bet ProfitOverall Profit
England win+£60-£45£15
England do not win-£0+£15£15
NEW CUSTOMER OFFERS - THE PROCESS
  1. Find your Welcome Offer
  2. Sign up to Bookmaker
  3. Sign up to Betting Exchange
  4. Place Trigger Bet (Back Bet) at the Bookmaker
  5. Lay the Same Event at the Exchange
  6. Unlock Your Free Bet
  7. Use Your Free Bet
  8. Lay the Same Event
  9. Enjoy Your Profits
  10. Go Back to Step 1
FINDING OFFERS

Oink Odds will take you through all of the available sign-up offers, step-by-step. 

Ready to make some money?