Tighter slot machines might be hurting revenue
By J.D. Morris, Las Vegas Sun
Casino markets in many states have tightened their slot machines over the years, and that could be hurting revenues, according to recent industry-backed research.
The Association of Gaming Equipment Manufacturers on Wednesday announced the results of a report it asked Las Vegas-based Applied Analysis to conduct on the nation’s slot machine industry. Applied Analysis found that, in general, slot hold percentages — which reflect how much of gamblers’ money the machines keep — have reached “all-time highs,” even as slot revenue and wagers remain well below their peaks from before the recession.
In other words, customers don’t gamble as much on slots as they once did, and casinos make less money from the machines but take a greater share of the wagers.
Nevada’s 6.4 percent slot hold last year was higher than it was when slot revenue peaked in 2007, but it was still the lowest of any state examined in the report.