Horse racing, like many other sports, is full of abbreviations and terms that can provoke confusion and intrigue from the outside. But, as is usually the case, when you’re up to speed, knowing the terminology can actually help. SP is a prime example. It’s a term seen regularly, and those on the outside looking in are probably asking what it means and what’s its purpose.
SP is often seen next to the odds offered for a horse, so punters will naturally see it when they’re looking through the declared runners for a race.
In short, SP is an abbreviation for Starting Price. And by starting price, this refers to the odds offered for a horse to win the race it’s in at the start of the race. So, a horse could be priced at 3/1 in our horse racing odds but actually begin the race at 5/1, and if someone took the SP, their bet would be at odds of 5/1 rather than at 3/1, even though that was the price when the bet was struck.
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How Is The SP Calculated?
Many things are considered when calculating a horse’s odds as standard, but this doesn’t apply to the SP because the odds are already set. The starting price is basically a fluctuation of that benchmark, and it’s determined by the amount of money wagered on the horse in the run-up to the race starting. The more bets and the more money placed on a runner will see the SP fall, whereas if the bets and money are going elsewhere, the SP will rise.
If a punter decides to take the starting price when placing a bet on a horse, they’re letting their odds be determined in real-time based on the above, and that’s key. The odds are always liable to change, but where the SP is concerned, the odds change in real-time, and then the bettor takes the very last price offered just before the action begins.
When deciding on the starting price, it’s typically calculated in the same way by most: to take the median odds offered by bookmakers at the racecourse just before the action gets underway. The median price will become the official SP. However, suppose there are no on-site bookmakers at a racecourse. In that case, the Starting Price Regulatory Commission (SPRC) will determine the SP by analysing the odds offered up by online bookmakers before the race begins.
Why Is The SP Important?
Some will suggest that the SP is important to both bookmakers and bettors. The former will use it when calculating bets such as forecasts and tricasts. At the same time, the latter can use it when determining a runner’s expectation based on previous starting prices, for example. It’s also a tool often put to work when multi-leg bets are being formed.
However, it is fair to say that the SP isn’t as useful or as powerful as it once was, and this is largely because of how betting has changed over the years. Nowadays, it’s becoming more common for bettors to be offered the best odds, regardless of the price they initially take and when. If they take up such a deal and place a bet on a horse to win at 3/1, but it runs and wins at 5/1, they will be paid out at 5/1. And in the same breath, if they back a horse at 5/1 and it wins at 3/1, they will be paid out at 5/1.
When To Use The SP
Making use of the SP is still something that many bettors will do, and there are reasons why it can prove to be the right decision. If, for example, the odds for a race haven’t been offered when coming to place a bet, there’s the option to take the starting price. Whilst the best odds may be offered for bigger races like Cheltenham festival odds or Grand National odds, there will also be times when the best odds promotion isn’t available. And because the SP is calculated by taking the median, it can sometimes serve to offer favourable odds.
Using the SP is also great for flexibility in the eyes of some. They may want to keep their options open and may even feel there’s a chance for money and bets to be placed elsewhere based on trends, which will naturally positively impact the SP. The starting price or SP may not be as integral or popular as it once was, but it’s still readily available and regularly used.
