If you’re up to speed with what is going on in the gambling industry you’re probably well aware that slot machines are the main source of revenue for casinos, whether they are land-based or online. Over the years casinos of both types have slowly but surely tightened their slot machines.
The results of a report which asked Las Vegas based casinos a couple of questions found out that this practice might actually be hurting their revenues. It would seem that the slot hold percentages (which reflect how much money the machines keep from the gamblers) are at all-time high, while slot revenues and wagers are well below their peak from before the recession.
What this means basically is that people don’t gamble as much on slots like they did before and the casinos are making less money from slot machines but taking a bigger share out of the wagers. The report emphasizes the fact that the slot market has been hurt quite a lot by the recession and its impact on consumer spending habits. On the other hand, tighter machines it would seem are definitely not helping.
“While Statistical correlations on a state-by-state basis vary due to any number of factors, the broader, aggregate trends would suggest a rising hold percentage has not translated into incremental gaming revenue for operators during the post-recession era. In fact, they very well may be contributing to its decline,” is the final conclusion of this report.