Betting On Big Data: How Startups Are Using Analytics In Sports Wagering

October 26, 2023
Betting On Big Data: How Startups Are Using Analytics In Sports Wagering

Ever since the Supreme Court overturned the Professional and Amateur Sports Protection Act in 2018 to make sports betting legal, we have seen the practice spread across the US. Among the driving factors has been lots of startups that have come up, with some even offering new forms of betting, such as micro-betting and social sports betting. But to make all this possible, they have to rely on analyzing huge chunks of data.

So how are they incorporating big data to enhance customer experience and their chances of success?

Advanced Data Collection

When it comes to big data, it all starts with the collection. We no longer live in a world where options such as NFL betting lines are provided only based on historical data and the strengths of the teams playing. Today, technology has made it possible to do a whole new level of analysis based on using innovative data sources such as tracking player movements, tracking how many times a player touches the ball, monitoring the in-game momentum periods, etc.

All this data is then brought together to create profiles that go beyond the basic stats that have been used for centuries. Startups now can factor in things such as a player’s susceptibility to injury, fatigue, and even their psychological state. When analyzed, this data is then used to create and update odds for different types of bets, not just moneyline.

Real-Time Data

Thanks to technology, bettors can also wager while watching the game in what is referred to as in-play or live betting. However, different sportsbooks provide different in-play betting experiences, especially when it comes to adjustment of the odds. Betting startups are using more advanced technology to offer users competitive odds based on what is happening on the pitch. Every second and action on the pitch is taken into consideration through analytics to ensure constant updates to odds.

But even besides the odds, sportsbooks are now providing in-game statistics to viewers, with some even offering live game streams. The stats users can access through these sites include player performance, momentum, team dynamics, and even event-specific data such as rebounds. This helps bettors form their own insights while at the same time helping the business gain a competitive edge.

Sentiment Analysis

Sports betting today goes beyond the data to extend to how fans feel about a certain game. This is because various startups have introduced sentiment analysis, something that gives deeper insight into how fans are likely to place their bets and also helps provide an even better experience. This has been made possible by the use of complex algorithms that are capable of filtering through social media. These algorithms can analyze the unstructured data and come up with the mood as well as the reasons behind shifts – news articles, injuries, commentators, etc.

This data can then be used to anticipate trends in the market before they even happen. As such, startups using such technology can adjust their odds way before the other sportsbooks respond, giving users odds that are much better.

Market Insights

The world of sports betting is quite dynamic. This means beyond using technology to understand odds better and improve customer experience, startups also use it to get ahead in the market. They can use big data to analyze various aspects, such as the popularity of different sports, where most betters are located, and even to know new markets and betting options.

The information can also be used to predict future events and even offer responsible gambling tools. It’s not just about predicting matches but understanding the entire ecosystem of betting to the benefit of both the company and betting fans.

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