Betfair is by some way the world's largest betting exchange and, has over 2 million members betting each month from all over the world.
A betting exchange is a bookie which uses technology to make sure the customer gets a better price. It does that by reducing its risk, which means it doesn't have to build in extra margin as a safety cushion. The effect is that punters bet on the price they want and not the price they're told they can have.
This means that you typically get up to 20% better odds than at a traditional bookie. This is because you are betting directly against other members so there are no bookies margins.
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