Commercial
Hold Percentage
Definition
GGR divided by handle, expressed as a percentage. The realized margin on sportsbook or casino activity over a period.
Why it matters
Hold percentage is the efficiency read on betting activity. For sportsbook, hold reflects the combination of pricing margin (the structural overround built into odds) and how outcomes break for the operator (favorites winning is generally good for the operator; major upsets are generally bad). Casino hold reflects the house edge embedded in game RTPs combined with volatility-related variance in any given period.
Investor and regulator scrutiny of hold percentage has increased as the sector has matured. Unusually high hold percentages can signal player-unfavorable pricing or product design that may attract regulatory attention. Unusually low hold can signal a major event outcome going against the book, or operationally a trading or risk management issue. Hold percentage normalization across markets is one of the standard diagnostics in operator performance analysis.
Frequently asked questions
What's a typical hold percentage in sports betting?
Varies dramatically by market and operator. US sports betting hold percentages have stabilized in the high single digits to low double digits in mature markets. European hold percentages on similar product are typically lower because of competitive pricing pressure.
Does hold relate to RTP in casino?
They're inversely related. RTP (Return to Player) is the long-run percentage of stakes returned to players. House edge or hold percentage is the complement. A 96% RTP slot has a 4% theoretical hold; realized hold over short periods varies with volatility.