Betfair Starting Price (BSP) Explained

If you’ve ever asked what is Betfair or wondered how does Betfair work, this guide is for you. The Betfair Starting Price (BSP) gives you a fair, market-driven price at the jump. It’s transparent, crowd-powered, and often sharper than a traditional starting price.

We’ll explain how BSP forms, compare it to fixed odds, and share strategy tips. You’ll also get quick examples, FAQs, and credible AU citations. By the end, you’ll know how to use the Betfair starting price with confidence.

What is the Betfair Starting Price (BSP)?

BSP is the price calculated at the moment a race begins. It balances money from backers and layers on the Exchange. There’s no built-in bookmaker margin; it’s a fair market outcome.

Quick tip: Switch on the “Starting Price” column in your Betfair market view. It puts the SP right beside each runner at a glance.

How does Betfair work with BSP?

On the Exchange, customers back outcomes and others lay them. At the off, Betfair uses SP bets plus available Exchange money to set a single price. The aim is a precise balance that treats both sides fairly.

Plain English version: money on “yes” meets money on “no.”
The SP sits where both sides match without a house edge. This is why BSP can be strong value in liquid markets.

BSP vs Traditional Fixed-Odds SP

Traditional SP reflects bookmaker consensus and includes margin. BSP reflects crowd demand and supply on the Exchange. That difference in method can create better odds for punters.

Quick tip: Before a big race, glance at the Exchange depth. More money usually means a tighter, more reliable BSP.

Pros and Cons at a Glance

Pros:

• Fair, market-based price with no built-in bookmaker margin.
• Transparent formation using exchange liquidity and SP orders.
• Often sharper than fixed odds in well-bet races.

Cons:

• You won’t know the exact price until the jump.
• Low-liquidity races can yield less attractive SPs.
• Commission applies to net wins; factor it in.

Strategy Tips for Aussie Punters (with examples)

1) Enable the BSP column and use it for quick comparisons

Turn on the SP column in your settings. Then compare the live back price, the Projected SP, and your target odds. If the projected figure is higher than current back odds, consider taking BSP.

Example scenario: You like a runner trading at 5.40 to back.
Projected SP shows ~5.80 with healthy volume on both sides. You choose BSP and accept the fair, market-set price at the jump.

Helpful read: For a refresher on reading and comparing prices, see How to Read Horse Racing Odds in Australia.

2) Master the two ways to use SP: Full SP vs “Take SP” on unmatched bets

• Full SP (Market-on-Close): You nominate SP; your stake matches at the jump.
• “Take SP” for unmatched bets: If your limit bet isn’t fully matched before the off, the remainder converts to SP.

Example scenario: You request 4.20 for $100, and only $60 matches.
You’ve toggled “Take SP” on the rest. At the jump, the remaining $40 fills at the final BSP, hands-free.

Pro move: Use “Take SP” to avoid missing a bet in fast-moving markets.
It’s an elegant safety net, especially close to start time.

3) Use Projected SP, Near, and Far prices as guides — not guarantees

Betfair shows Projected SP and sometimes near/far indications. These help you judge where the final BSP might land. Treat them as signals, not promises.

Example scenario: You see Projected SP 6.40, near 6.30, far 6.50.
Live back is 6.00 and lay is 6.20 with strong liquidity. You opt for BSP, expecting ~6.30–6.50.

Quick tip: If the market is thin and jump time is near, consider locking in a price.
Thin markets can shift quickly in the last minute.

4) Prioritise liquid markets for the most reliable BSP

BSP is strongest when many punters participate. Group races and Saturday metro meetings usually have deeper pools. Country maidens on a quiet weekday often don’t.

Example scenario: A Saturday Group race shows healthy matched volume and tight spreads. You expect a precise BSP and minimal slippage. On a small midweek card with thin money, you prefer fixed odds.

Level-up your form study: See How to Read a Horse Racing Form Guide.
Better form = smarter market decisions.

5) Always compare BSP to the best fixed price available

BSP often wins, but bookie boosts and promos can be sharper. Compare real-time fixed prices before committing. If a promo beats projected SP after commission, take it.

Example scenario: BSP projects ~4.80; a bookmaker offers a limited boost to 5.00.
You crunch the numbers after commission and take the boost. You can still use the Exchange for other runners or hedges.

Broader context: Read Betting Exchanges vs Bookmakers.
It outlines when the Exchange shines vs fixed-odds shops.

6) Factor in commission every time

Betfair charges commission on net winnings in a market. Your rate depends on your rewards package and market base rate. This directly affects whether BSP or a fixed price is better for you.

Example scenario: You win $300 profit at BSP.
At a 5% commission rate, you keep $285. A $280 fixed-odds profit would be inferior; a $290 fixed profit would be superior.

Bankroll smarts: Use Kelly Criterion for Horse Betting to size bets with an edge.
It helps balance growth and risk over time.

7) Respect the rules and steward oversight

Racing in NSW follows the Australian Rules of Racing plus local rules. These govern conduct, betting, and integrity matters. It’s handy context for any serious punter.

Example scenario: A suspicious late price move triggers scrutiny.
Stewards can review wagering patterns and rider tactics. Public reports help keep markets clean.

Quick tip: Know the landscape you’re betting in. Rules and transparency protect you as a punter.

Practical walk-through: should I choose BSP or fixed?

1. Check liquidity and spreads in your race.
2. Note Projected SP vs current back/lay prices.
3. Compare the best fixed odds available.
4. Run the commission math on your likely BSP win.
5. Decide: lock a fixed price now, or ride the market into BSP.

One-minute checklist:

• High liquidity? BSP likely strong.
• Projected SP > fixed odds (after commission)? Go BSP.
• Thin market or big variance? Consider fixed odds.
• Unmatched bet close to jump? Toggle “Take SP.”

FAQs

Q1) What is Betfair?
It’s a betting exchange where punters bet against each other. Prices move with supply and demand, not a bookmaker’s margin. That’s why BSP can be sharp when money flows.

Q2) How does Betfair work at the start?
At the off, Betfair calculates BSP by balancing SP bets and Exchange money. It strives for the fairest, most transparent price. You see the final number as the market suspends.

Q3) Can I see BSP before the race?
Not the final figure, but you’ll see Projected SP and indicators. They’re helpful guides, not guarantees. Always consider liquidity.

Q4) Does commission make BSP worse?
Commission reduces your net win. Sometimes a boosted fixed price will beat BSP after fees. Always do the math.

Q5) Where can I see results with BSP for comparison?
Betfair publishes results that include BSP and tote comparisons. It’s useful for reviewing your approach over time.

Q6) Any good learning resources?
Try these Horise pieces:

• How to Read Horse Racing Odds in Australia
• Betting Exchanges vs Bookmakers
• How to Read a Horse Racing Form Guide
• Kelly Criterion for Horse Betting

You now know what is Betfair, how does Betfair work, and how the Betfair starting price is built.
BSP is transparent, market-based, and often delivers value. Use the strategies above, compare to fixed odds, and factor in commission every time.

Quick next step: Revisit a recent race and simulate both choices.
Would your return be better at BSP or on a boosted fixed line? Repeat that process until it becomes second nature.

Final takeaway: BSP rewards patience, liquidity awareness, and sound staking.
Lean on the Exchange when the market is deep, and don’t ignore sharp fixed odds when they appear. That balance is how smart punters keep an edge.