Are Slot Machines a No-Win Proposition?
Are Slot Machines a No-Win Proposition? The real money gambling industry is big business to the tune of billions of dollars in revenue all across the globe. Whether we are talking about land-based casinos or online gambling sites, slot machines command the biggest piece of the pie when it comes to total revenue.
In a recent post, the topic of how slot machines actually work is addressed along with the idea that gamblers should actually think twice before playing them. According to this report, the US gaming industry alone generates $240 billion a year in revenue which translates to $38 billion in taxes. This industry also contributes 17 million jobs across the country.
Are Slot Machines Really A No-Win Proposition?
The bulk of that revenue comes from slot machine play. It is estimated that certain states such as Iowa and South Dakota derive as much as 89 percent of its gambling revenue from slot machines, video poker and otherelectronic gaming devices.
Slot machines also contribute heavily to the overall profit picture for most land-based casinos well ahead of popular table games such as blackjack and roulette. The profit that is generated from slot machine play is twofold; volume and design. The volume aspect is self-evident, but the design feature leans far more heavily in the house’s favor than most of the other forms of real money gambling a casino offers.
House advantage is how any casino makes money. If you talk in terms of a 10 percent house advantage on slots, that refers to the house making 10 percent in gross profit on all the money it takes in on these machines. Different forms of gambling have slightly different house percentages, but casinos focus on the big picture with an overall revenue goal.
Individual gamblers rarely take into consideration a casino’s overall house edge. Instead, the players tend to focus on the amount of every bet they place. If they lose $100, that is the direct loss to their bankroll. They are not overly concerned about the $10 the casino just made. A typical gambler is not all that concerned about the long-term advantage the house has over all of its patrons.
Only 3 outcomes when someone plays slot machines?
There are basically three outcomes when someone plays slot machines. The first is a loss of their entire stake. The average gambler has some idea of how much they plan to spend. If a bankroll is set at $100 and the player loses $100, it is a total loss. The second scenario is some sort of break-even figure that might be slight higher or slightly lower than the initial stake. Maybe they walk away with $70 left from the original $100 bankroll. Maybe they walk away with a little extra cash in their pocket. The final scenario is a sizable gain on their slot machine play from doubling their original stake to a massive six or seven figure jackpot.
Most gamblers focus on the latter scenario, but in reality, a total loss is a much more common outcome. If the house is taking in 10 percent of the money spent playing slots, over the long haul, the average gambler will lose 10 percent of the money they spend playing these machines.
So, Are Slot Machines a No-Win Proposition? No, there are tons of people that play slot machines for fun, not to make money. Also, there is a happy medium of folks that want to win big playing electric gambling games and also want to have a good time too. Having said that, if your goal is to have a good time, slot machines are not a no-no proposition.