As travel becomes more and more restrictive around the world, we’ve taken it upon ourselves to travel virtually and experience different slot landscapes across the globe.
In the latest edition of SlotBeats’ Around the World in 80 Slots, we take a trip across the pond, as the industry starts to see more players embrace online gaming within the US. We met up with Jeff Millar, commercial director – North America at Red Tiger, who guided us through the slot landscape in the US.
Millar revealed that with more US players transitioning from land-based to online as individual states regulate, games and game types that have proven to be popular on casino floors are equally so in their online equivalents. He explained: “It makes sense to have familiar touchpoints in your catalogue.
“Players will always want an element of familiarity, particularly early on in their customer journey. Providing that makes it easier to then introduce innovation and novelty in such a way that allows them to try out new products within their comfort zones.”
Moving further into detail on the differences and similarities of preferences between US and European players, Millar said: “The range of games available to US players is not yet as comprehensive as that on offer to their European counterparts at the moment, due for the most part with the time required to licence back catalogues. But that is changing quickly as more and more titles become available.
“Interestingly enough, games featuring the Megaways mechanic that have been licenced to NetEnt are proving just as popular as they are elsewhere in the world. Dive Fortune Megways is an excellent case in point, having gone down well in each licensed state since it was launched.”
With more states continuing to open up for online gambling, Millar commented on the ones that have not yet followed suit, revealing there is ‘nothing preventing’ individual US states from passing legislation to allow for online gambling.
He continued: “The challenge for legislators, however, is that they must carefully consider the wishes of their constituents as well as the existing stakeholders in the state. Stakeholders can include the state lottery, horse racing operators, land-based casinos, and others, all of whom will want to be included in the legislation.”
“creating an experience will be key to attracting new customers and retaining their loyalty.”
Expanding on the future regulations that are currently in the pipeline to make the US more accessible for slot developers, he added: “Once legislation is passed, the state regulators will open the market to suppliers, including slot developers. Accessing the market as a supplier will require a thorough investigation of the company prior to the regulator issuing the company a licence. This due diligence process maintains the integrity of the market and is unlikely to change as the US expands.”
Pressed on how the US online slot sector would look to replicate the country’s land-based equivalent, Miller highlighted that the ‘most important thing’ is to recreate that greater customer service for which the land-based industry is ‘rightly famous’ for.
Millar stated: “There are many differences between the two sectors, of course, but creating an experience will be key to attracting new customers and retaining their loyalty. We have already seen huge marketing pushes by operators hoping to corner the market.
“There are sizable war chests available to do this. But the key will be to offer a better customer experience than that of their rivals in iorder to win over the early adopters and those that then flow from the advertising and incentives.”
He further revealed the hurdles faced by NetEnt and Red Tiger, two companies at different stages of their venture within the US market, adding: “NetEnt was into the US very early, with New Jersey quickly followed by Pennsylvania, West Virginia and Michigan. Red Tiger games are available in Pennsylvania, but with fewer operators so far.
“The main hurdle, if you can call it that, is meeting the individual regulatory and compliance requirements for each market and I don’t see that changing.”
“The sheer size of the opportunity in the US is really what marks it out from other countries.”
Millar advised companies looking into entering the market to be patient and to make sure that their legal teams are on their mettle. He explained: “It is a complicated regulatory patchwork that requires careful navigation – but the rewards are undoubtedly worth it.”
Looking forward into the next five to 10 years, Millar elaborated on the advantages he sees for developers entering the US market and how he envisions it evolving from its current state.
“The sheer size of the opportunity in the US is really what marks it out from other countries. Each new state brings with it significant numbers of potential customers, many of whom have a strong connection to the land-based industry,” concluded Millar.
“The fact that it is NetEnt’s biggest market in just a few short years tells you all you need to know about the size of the opportunity. Furthermore, we’re only just scratching the surface. As we’re already seeing north of the border in Canada, the lottery holds huge potential to add to that growth, as does tribal gaming. It’s no exaggeration to say that it is currently the world’s most exciting market.”
