wOBA is a version of on-base percentage that accounts for how a player reached base -- instead of simply considering whether a player reached base. The value for each method of reaching base is determined by how much that event is worth in relation to projected runs scored (example: a double is worth more than a single).
For instance: In 2014, a home run was worth 2.101 times on base, while a walk was worth 0.69 times on base. So a player who went 1-for-4 with a home run and a walk would have a wOBA of .558 -- (2.101 + 0.69 / 5 PAs).
Where "factor" indicates the adjusted run expectancy of a batting event in the context of the season as a whole: (unintentional BB factor x unintentional BB + HBP factor x HBP + 1B factor x 1B + 2B factor x 2B + 3B factor x 3B + HR factor x HR)/(AB + unintentional BB + SF + HBP).
Why it's useful
Unlike on-base percentage and OPS (OBP + SLG), wOBA assigns value to each method of reaching base, in terms of its impact on scoring runs.
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