What is RTP (Return to Player)?
RTP (Return to Player) is a key metric used in the iGaming industry to describe the percentage of total money wagered on a game that is paid back to players over time. It is usually expressed as a percentage and helps operators and players understand the long-term payout potential of a game. For example, if a slot game has an RTP of 96%, it means that for every $100 wagered, the game is expected to return $96 to players in the long run, while the remaining $4 is kept as profit by the operator.
How does RTP work?
RTP is calculated based on the total amount wagered on a game over a large number of spins or rounds. It’s important to note that RTP is a long-term measure, meaning that individual player experiences may vary widely. A player might win a large amount in one session or lose their entire balance without hitting a win, but over millions of plays, the game should return the specified RTP percentage.
RTP can be different for various game types:
- Slot games typically have an RTP ranging from 85% to 98%.
- Table games like blackjack or roulette tend to offer a higher RTP because they involve more strategy.
What is RTP used for?
RTP is essential for both players and operators. For players, it serves as an indicator of how favorable a game might be over time, helping them choose games with higher payout potentials. For operators, understanding RTP helps in structuring the house edge and balancing profitability with player retention.
A game with a higher RTP might attract more players, but it also means slimmer profit margins for the casino.
Examples of RTP usage.
- Slots: A slot machine with an RTP of 96% means that, on average, it returns 96% of the total money wagered to players over time. However, this doesn't guarantee that a player will get 96% of their money back in any given session.
- Blackjack: The RTP for blackjack can reach over 99% when played with optimal strategy, making it one of the most player-friendly games in terms of return.
- Roulette: European roulette typically has an RTP of 97.3%, while American roulette, which has an extra zero pocket, offers an RTP of around 94.7%.
Advantages of using RTP.
For players: RTP helps players make informed decisions about which games are most likely to offer better returns. Games with higher RTP percentages are generally more attractive to savvy players who prefer games with lower house edges.
For operators: Casinos can use RTP to adjust game offerings to meet different player preferences and manage profitability. By offering games with varied RTPs, operators can appeal to both casual players and high rollers.
Tips for using RTP effectively.
For iGaming industry representatives:
- Ensure transparency by clearly displaying the RTP for each game on your platform. This builds trust with players and enhances brand loyalty.
- Optimize your game portfolio by offering a mix of games with various RTP ranges to appeal to different types of players.
For players:
- Choose games with higher RTP percentages for better chances of long-term success, especially if you're playing for extended periods.
- Don't rely solely on RTP for short-term results. Understand that it’s a long-term average, and your experience may vary.