Ads for parlay bets are pervasive on sports television. And, not surprisingly, they have become quite popular. How do these bets work, why are they so popular and what risks do they hold, particularly for problem gamblers?
In sports betting, a parlay bet is when a bettor makes two or more bets and combines them into one wager. Depending on the sportsbook or the region, these bets may be called “accumulators” or “multis.”
The gambler must win every small bet to win the parlay bet, and losing just one of the smaller bets loses the parlay. A sportsbook typically provides larger payouts as more games are added to each parlay. Parlay bets are riskier since they comprise many individual chances but give a bigger payout if all individual wagers win.
As an example, someone might bet on the Minnesota Vikings and Chicago Bears to win and the Green Bay Packers to lose on a given weekend. All three of these things must happen for the gambler to win money.
Bettors like parlays because they can generally risk less and win more. This is because they perceive less risk. The more legs of a parlay you add, the higher the payout but the more difficult it is to win the parlay.
Many people enjoy the high-risk, high-reward wager and may believe one big parlay win can change everything. This is particularly concerning for problem gamblers chasing losses who think that one bet will allow them to recoup their losses and repay any debt they’ve accumulated.
Same game parlays (SGPs) are a type of parlay that allows the bettor to combine multiple outcomes from the same game. For example, an SGP allows gamblers to bet on a quarterback’s passing yards, a receiver’s receiving yards and total points allowed by a team’s defense.
One advantage from a bettor’s perspective is that they need only watch a single game to see how their wager is faring rather than having to monitor multiple games.
As SGPs have exploded in popularity, almost all large sportsbooks have added them to their offerings. Thanks to heavy advertising before and after national games, SGPs have become more popular than any other betting type.
Given the odds and structures of SGP bets, a bettor is hard pressed to come out ahead over the long term. For bettors at risk for problem gambling, it can be tempting to bet on more and more parlays over time, which can be very dangerous.
Dr. Timothy Fong, a clinical professor of psychiatry at UCLA’s Institute for Neuroscience and Human Behavior, notes particular concerns with SGPs. “From what I understand, the same game parlay now is the dominant form of sports betting wager. In my mind that is like a slot machine bet. It’s not like a single bet on a winner or loser.”
The marketing of parlays by sportsbooks, particularly same game parlays, has increased as they are especially profitable. Popular sportsbooks place pre-built SGPs and parlays on their home pages, often suggesting parlays that relate to the home team, a popular athlete or recognizable sports personality.
Unfortunately, less sophisticated bettors don’t appreciate or understand the edge that’s baked into the odds for sportsbooks. Sports gamblers, as well as those who work with problem gamblers, should understand the danger of these types of bets.