Do Vanna White and Howie Mandel receive compensation for allowing their images to be used in Wheel of Fortune & Deal or no Deal slot machines?
As a generalization, we'd say they do. But as you'll see, there's an important variable involved.
First, a little background. The Wheel of Fortune slot machine launched a veritable feeding frenzy among slot manufacturers for licensing deals for celebrities, TV shows and movies, and other intellectual properties.
The Wheel of Fortune machine appeared in casinos for the first time in 1996. Not only was it based almost entirely on the wildly popular game show, with the soundtrack regularly repeating ''Wheel! Of! Fortune!'' but it also featured a spinning-wheel bonus round. The popularity of the TV show immediately translated into adoration for the gambling device.
We couldn’t find any numbers about Pat and Vanna’s cut of the proceeds from the bandits, but we did come up with other interesting dollar amounts.
As far back as 2003, a former (unnamed) IGT executive admitted that each Wheel of Fortune machine generated an average daily win of at least $300. Multiplied by roughly 12,000 Wheel slots on casino floors at the time, that added up to profits of at least $3.6 million a day or $1.3 billion a year. And that was 15 years ago. The Wheel machines have demonstrated staying power greater than any other slot machine, ever.
Given the response from players, slot manufacturers started pursuing other TV show licenses. Initially, they were looking to appeal to the 40- to 60-year-old slot players with shows like “I Love Lucy,” “Gilligan’s Island,” and “Happy Days.”
In those early days, the rights holders to the shows (creators, networks, production companies, or syndication agencies) received advances in the $100,000 range, then were paid $500 to $1,000 per machine (after the advance had earned out). As for the celebrities, depending on their contracts with the producers, they might be entitled to a percentage of those royalties, and probably are if their faces or voices are used for the machines' displays.
The old-time stars, at first, were reluctant to be associated with slot machines and licensing agreements were a tough sell for slot manufacturers. Wheel of Fortune succeeded in part because it was created by Merv Griffin, who’d been in the casino business (in Atlantic City and the Bahamas) for years. But then two things happened.
First, the slot manufacturers started raising the stakes. For example, when they tried to buy the rights to “I Love Lucy” from the families of Lucille Ball and Desi Arnaz, they offered $10 million. That got everyone’s attention. Even Frank Sinatra's family cut a slot deal only six months after his death.
Second, gambling became increasingly less controversial and stigmatized and slots were infused with much more sophistication than when they were just a mechanical box with handles and spinning reels.
A third thing that happened was that the stars received increased brand awareness on the casino floors — especially those who had a direct Vegas connection, such as Céline, Britney, Cirque du Soleil, and others.
Today, licensed slots are big business, with IGT and other manufacturers spending up to $200 million every year for the rights to popular brands and celebrities. Madonna’s licensing agreement with Aristocrat Technologies alone is reportedly worth more than $10 million. And it’s rumored that licenses for current brands (“The Big Bang Theory” and “The Simpsons”) are approaching $20 million.
So it’s not a stretch to assume that Vanna and Pat have done quite nicely for themselves over the past 22 years since their game show morphed into a slot machine.
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