Some players are attracted to the theme of a slot game, while others are drawn in by the number of features. But for hardcore players, RTP is the determining factor for whether they click on a game or not.
Attracting players boils down to providing them with more of what they want. And players want a game with a high RTP. But what is RTP exactly, and is it beneficial for your casino in the long run? We’re going to explain what RTP is, why it’s such an important feature in any modern online slot game and how it’s calculated.
What is RTP (return to player)?
The house edge is the slot machine’s RTP subtracted from 100%. If a slot machine has an RTP of 95%, the house edge would be 5%. It is the house edge that provides casinos with the mathematical advantage needed to make a profit over the long term. Players will often gravitate towards games that offer a high RTP, as it promises better return value. However, in the long run, the house always wins.
RTP does not indicate how often a player is likely to win. For instance, two games can both have an RTP of 95% however one might pay out more frequently but in smaller amounts whilst the other pays out less frequently but in higher amounts.
Keep in mind that the rate at which a slot game pays out is determined by random number generators. The RTP is a theoretical statistical calculation, it is only an average estimation. This ensures that players will not be able to know in advance when they will win or lose. These random number generators ensure that a player’s chance of winning is exactly the same every time they play.
Why is RTP important?
How is RTP calculated for slots?
When a game offers advanced features and multiple paylines, the process of calculating RTP becomes significantly more complex. However, a game is programmed to give back the percentage of the total money which goes into it. Another way of putting it is that a slot machine with an RTP of 95% is programmed to keep 5% of all money spent in it. While 5% might not sound like a lot, when you consider how much money players spend on an exciting and thrilling game, the numbers quickly add up!
Variance vs RTP
Let’s go back to our earlier example of two slot games, each with an RTP of 95%. One game might pay out more frequently but in smaller amounts, and the other pays out less frequently but in higher amounts. They both have an RTP of 95% as it is calculated over 1 million spins. The first slot machine would pay out €9500 out of €10000 more frequently but in smaller amounts, say €95 a 100 times. While the other would pay out €9500 out of €10000 less frequently but in higher amounts say €950 but only 10 times.
However, this is all theoretical. No online slot game will ever pay out at regular intervals. A game that pays back exactly €95 back after a hundred spins would not be exciting. Instead, the random number generator ensures that anything can happen for each spin. It is this random number generator, as well as the myriad of features and paylines unique to each game, that keeps slots exciting and thrilling.