Can the Casinos Tighten or Loosen the Payout Frequencies on Demand?

Sorry if this is a duplicate question, as I’m relatively new to your column. As a frequent visitor, I’ve often heard others complain that “they’ve tightened down the machines again,” referring to the slots and VP not “paying well.” Do the casinos have the ability to “tighten or loosen” the payout frequencies on demand?

We tackled this question a year or so ago, but it's a common one, so we'll take it on again here.

The answer is yes, the casinos most certainly can change the payout schedules on slot machines at their convenience or, as you say, on demand. But there is some effort involved.

With server-based slots (SBS), slot managers could change a slot machine's hold percentage remotely via software with some keystrokes. However, for a number of reasons, SBS never caught on with the casinos.

In olden times, the machine program came on an actual computer chip, which had to be physically replaced to change the payback percentage, but nowadays, machines come ready and loaded with several different return percentages from which the slot director can choose.

An easy way to understand this is by using a video poker machine as an example. Say the machine has the basic Jacks or Better game. It's already programmed to pay back 9/6 (9 on the full house and 6 on the flush), as well as 9/5, 8/5, 7/5, and 6/5. The slot director selects the return percentage and that, until further notice, is what the machine pays.

Once the program is selected, it tends to stay in place. As mentioned, some time and effort are involved in changing it out and a fair amount of paperwork has to be attended to, in order that the slot department can record and track the results of the machine from before, and then after, it's reconfigured.

Even with the server-based (and similar server-supported) systems, the machines have to be taken out of service according to gaming regulations.

So though the casinos can change the payouts "on demand," they can't on the fly, at least without the player noticing, and changing a return percentage from, say, 95% to 92% is fairly labor intensive, so it's not, according to our understanding, done regularly.

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Comments

rett98 Nov-11-2022

Are you sure??

While I understand your response I feel it does not answer the question correctly....If you watch the "Cowboy Slots" videos on You Tube the presenter explains how slots can be changed. (He is an ex slot technician) and casinos cannot adjust the % of a machine without a lot of paperwork with the authorities (NGB) and a lot of time. So in other words they cannot change the slots overnight without official approval.

Nov-11-2022

Is that still true?

I ran across some guy on YouTube called Professor Slots and his take on this is that with a SBS the percentages CAN be changed quickly and ARE changed quickly to even out hold percentages to their desired monthly amount. He gives strategies on when the payouts will be lowered and when they are raised. Doesn't see that if all the paperwork you claim has to be done for this to happen is correct then his whole theory can't really be accurate.. hmmmm. I wonder who is right?

Dave_Miller_DJTB Nov-11-2022

Bad assumptions

@rett98
The answer DID refer to some of the things you mentioned, although it glossed over them while you were more to the point.

——

On the other hand, as mentioned, all slot machines, including video poker can have a variety of pay tables. Video poker makes it easy to compare. And the house edge of the various pay tables are easy to find on the internet.

It's also possible (and happens often) that two video poker machines next to each other have different pay tables.

If a player plays a good paytable one day, then plays a worse paytable another day, they could easily, if incorrectly, conclude that the casino has 'tightened up' without realizing that they are merely playing a different machine. Or merely a different game on the same machine.

John Hearn Nov-11-2022

Is that still true?

If I had to bet between the LVA's deep resources and a guy called "Professor Slots," that's not a close call. LVA all the way.

O2bnVegas Nov-11-2022

always a secret

Ditto John Hearn's comment, except to add that this is likely one of those closely guarded pieces of information never fully disclosed.

I don't even want to think about it.

Candy

Nov-11-2022

The call is closer than you think...

@John Hearn
"Professor Slots" is worth a look. He is a former aerospace engineer so he is not just some guy with a funny name. He is big in to statistics and some (not all) of his theories about slots seem legit but some do kind of contradict with what was written in today's QOD so I was hoping QOD had seen his work and had an opinion on it.

Question of the Day - 11 November 2022

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