What is RTP in casino and how does it work?

In this blog post, we will discuss RTP Casino games. Learn how Return to Player percentages impact player retention, game popularity, and overall revenue.

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Are you looking for ways to boost player satisfaction and retention at your casino?

Understanding and leveraging RTP (Return To Player) could be it.

As an operator, mastering RTP isn’t just about compliance- it’s a tool for fine-tuning your game offerings and marketing strategies.

It can help you strike the right balance between profitability and player appeal. Finding the right white label casino software that upholds this balance is equally important.

Let’s dive into why casino RTP matters and how it can strengthen your bottom line.

What’s the History Behind RTP? 💡

It all began in the late 19th century with the invention of the first slot machine, known as, the Liberty Bell, created by Charles Fey in 1895.

Since then the payouts have drastically evolved. Early slot machines have much lower payouts, often below 70% compared to many modern machines exceeding 95%.

What is Casino RTP?

RTP or Return To Player, suggests the percentage of wagered money a game is designed to pay back to players over time.

Expressed as a percentage, Return to Player is the opposite of the House Edge.

What is House Edge? 💡

If a game’s RTP is 96%, the house edge is 4%. This means that the casino (house) expects to keep out $4 out of every $100 bet.

Return to player percentage is based on millions of plays. It doesn’t tell you what will happen in a single game or a session.

Some casino players might win big, others might lose.

Here are some ways RTP is useful for the operators:

Casino RTP helps operators understand which games are more profitable. Games with lower RTP make more money for the casino in the long run.
You can promote popular casino games with higher RTP to attract players looking for better odds.
Having games with different RTPs lets you appeal to all sorts of players.

Knowing about Return to Player helps you make smart choices about which games to offer and where to put them in your casino.

RTP Vs. Volatility: What’s The Difference?

RTP Vs. Volatility What’s The Difference

RTP in casinos is a statistical measure representing the average amount of money returned to players over an extended period.

On the other hand, Volatility aka, variance refers to the risk levels and payout frequency of a game. It describes how often a game pays out or how large those payouts are relative to the bet size.

Here are three types of Volatility:

Low volatility: Games pay out small amounts frequently. They are less risky and offer smaller wins.

Medium Volatility: It maintains a healthy balance between frequency and the size of bets.

High Volatility: It involves less frequent payouts and can be riskier. But it offers comparatively bigger rewards.

So, what’s the key difference?
Let’s have a look at it:

Return to player is a long-term measure, while volatility has more impact over long-term player experiences.
Former measures expected payback, volatility measures risks, and the frequency of reward distribution.
High-volatility games might require a larger bankroll, while low-volatility games can be played longer on a smaller budget.

Interesting Fact 💡

Think of two slot machines, both with a casino RTP of 95%. One machine is highly volatile (infrequent but massive payouts), while the other has low volatility (frequent but smaller wins. So, the two games with the same RTPs can feel very different to play even if they have different volatility levels.

How Is RTP Calculated?

The calculation of Return to player is a crucial aspect of understanding how online casino games function.

Here’s the basic formula for online casino RTP calculation:

RTP= (Total Amount Won By Players overtime/ Total Amount Wagered over time)*100

Now, let’s take a hypothetical example to understand this calculation better.

The best online slot game has the following figures:

Total Amount Wagered: $2,325,000
Total Amount Won By Players:$2,500,000

Let’s put this numerical value into the formula:

RTP= (2,325,000/2,500,000)* 100

RTP= 93%

In this example, the slot game has an RTP of 93%. This means the players can expect to get back $93 for every $100 wagered.

There are no hard and fast rules about how much money slot machines should give back to players. According to the Miami Herald, slot machines usually give back about 96 cents for every dollar put in.

Casinos need to make some money, so they always keep back less than 99.9 cents per dollar.

Did you know? 🤔

In general, casino games have the following Return to players rates:

– Slots- 93-99%

– European Slot: 97.3%

– US Roulette: 94.3%

– Blackjack: 99%

Who Can Influence The RTPs?

The Return To Player percentage is typically set by the game developers and remains fixed. Neither the player nor the operators can usually modify this setting.

While some offline slot machines might allow RTP adjustments, online games generally have fixed RTPs controlled by the online casino game provider.

This system prevents manipulation, maintains game integrity, and builds trust in both the games and the operators.

By keeping the Return to player rates under the developer’s control, players are protected from potential unfair practices.

Pro Tip 💡

Casino operators can opt for a white-label casino software to access a diverse range of games with varying Return-To-Player (RTP) rates, as they typically cannot directly influence these rates themselves.

How Can RTP Elevate Your Casino’s Game Offerings?

Tired of seeing players leaving your casino frustrated? Learn how Return to player rates can keep them coming back for more.

Attract and Retain Players

Return-to-player can be a powerful tool for attracting and retaining players for your casino platform.

A higher RTPs means players have better odds, which appeals to experienced players.

Some players may seek higher-risk games with potentially bigger payouts, while other players prefer games with more frequent, smaller wins.

By keeping a variety of high to low RTP games on your casino platform you can attract a mix of experienced and amateur players.

This boosts your overall player acquisition and retention rates.

Enhance Player Satisfaction

Higher Return to player rates can boost player satisfaction in several ways.

When a player’s money lasts longer in a game due to a higher RTP, they get more entertainment value from their visit.

This increased playtime not only gives them more enjoyment but also increases their chances of hitting big wins.

Even smaller, more frequent wins add to a positive experience, as players feel rewarded for their time and investment.

All these factors combine and create happier, more satisfied players who will now frequently visit your platform.

Increase Revenue

While it might sound impractical, offering games with higher RTPs helps increase the operator’s revenue over time.

When players’ bankrolls last longer, they tend to place more bets overall, increasing the total betting volume.

These satisfied players who enjoy their experience at your casino will be willing to spend more on your platform.

They are likely to recommend your casino platform to their friends and family, leading to positive word-of-mouth-marketing, and attracting new players.

This cycle of positively satisfied players and increased player visits boosts the casino’s overall revenue.

Stay Competitive

Offering attractive casino RTP rates can help your platform stand out from the crowd.

Though operators can not directly control these rates, they can choose to integrate games with good RTP rates on their platform.

Add games with Return to player rates that are competitive or superior to those of other casinos. This gives players compelling reasons to choose your platform over others.

A well-balanced portfolio of games with varying RTP rates shows your casino’s expertise in game selection and management.

Maximize Your Casino’s Edge With These 4 RTP Strategies

Casino’s Edge With These 4 RTP Strategies

Don’t let your competition outshine you. Learn how to maximize your casino’s edge and stay ahead of the curve.

Regular Audits

Conduct frequent, detailed audits of your casino’s RTP (Return to player) percentages across all the games.

Compare actual returns with theoretical ones and adjust game settings if necessary.

Don’t forget to audit your RNG in online casino systems to ensure fair play and regulatory compliance.

Constant monitoring helps ensure your casinos maintain fair play and optimal profitability, keeping operations running smoothly.

Transparent Communication

Be open about your casino RTP rates by clearly stating them on your website and in-game.

Explain what Return to player means in simpler terms and promptly address players’ questions about it.

This approach builds trust and attracts savvy players, setting you apart from less transparent competitors.

Diverse Game Portfolio

Offer a mix of high and low RTP casino games to cater to diverse player preferences.

High RTP games attract volume players, while low RTP games boost profits.

Try including popular game types with varying volatility to keep your profitability balanced.

A diverse selection of games keeps the players engaged, benefiting your bottom line.

RTP-Based Promotions

Design top online casino bonuses and promotions around high RTP casino games to drive traffic.

Balance these promotions with your overall profitability goals.

Smart Return to player-based marketing can boost player retention and acquisition for your casino.

Casino operators can choose between an API casino bonus engine or an all-inclusive casino platform to offer standard bonuses to their players

How Does PieGaming Work Around RTP for Maximum Profitability?

PieGaming’s smart approach to RTP can really help online casinos boost their profit. They’ve built a massive game library with a mix of low to high RTP rates.

This variety keeps things exciting- some games pay out often, while others offer bigger wins but less frequently.

It’s all about giving the players a wide array of game choices and keeping the excitement going.

PieGaming also offers clever risk management tools and a powerful bonus system. This combo helps casinos make the most out of their games while keeping things fair for everyone.

It doesn’t just focus on numbers. But it understands that keeping players happy is important. That’s why they help operators suggest games to players based on what they like and offer cool, personalized bonuses.

In the end, it’s about finding that sweet spot. PieGaming helps operators turn a profit by prioritizing features that add value to the player experience.

It’s all about striking that perfect balance between making money and keeping players coming back for more fun.

Bottom Line….

Return to player isn’t just a metric. It’s a powerful tool that can empower your casino platform to garner profits and farm userbase.

By embracing casino RTP as a cornerstone of their strategy, iGaming platforms can build trust, foster loyalty, and adapt to changing player expectations.

In the end, those who master the art of RTP management won’t just survive- they’ll grow in the ever-evolving iGaming industry.

FAQs

What is RTP in a casino?

Return to player is the percentage of total wagers a casino game returns to a player over time. It indicates potential payouts and player winnings.
How do you calculate RTP in a game?

To calculate RTP, divide the total amount won by players by the total amount wagered then multiply by 100 to express it as a percentage.

What does RTP mean in slots?

Return to player in slots means a statistical measure indicating how much of the total bets a slot machine will return to the player as winnings.
Do online slots have different RTPs compared to physical slot machines?

Yes, online slots have higher RTPs than physical slot machines. Better payouts to players are allowed because of the lower operational costs and overhead.

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What is RTP in Casino And How Does It Work?

Palak Madan

Palak Madan is a enthusiastic writer at PieGaming. With over 2+years of experience crafting engaging content and a strong literature background, Palak brings a unique perspective to the world of words. Her ability to blend creativity with strategic thinking has made her a sought-after content creator. She's eager to dive deep into the intricacies of iGaming software, uncovering the stories behind the technology and translating complex features into compelling narratives.