In the third part of SlotBeats Spotlight, we ask our experts why there isn’t a statutory minimum percentage payout for players and enquire about the possibility if there should be one in the near future.
Why isn’t there a statutory minimum percentage payout? and should there be one set?
David Little, Lightning Box: My background is in Australian land-based slots industry where there is a minimum RTP of 85 per cent. In the online word there is no RTP minimum. It is a requirement, however, to display the RTP of the game in the help file. I feel that this leads to self-regulating.
Suppliers spend hundreds of thousands of dollars to release a title to market. It would be foolish to risk it never being played at all by advertising it has the lowest RTP in the history of online gaming.
Rob Lee, Realistic Games: To answer those questions in reverse: yes, there should be a statutory minimum percentage payout. Casinos, arcades and even the slots that are available in pubs and clubs have to adhere to a minimum.
The difference online, in truth, is that almost every supplier is already delivering RTPs that are in the 90’s. For those few that are not, it is worth standardising.
Arcangelo Lonoce, Habanero: A lot of regulators do set a minimum percentage pay-out, and they are right to do so. We have recently seen the statutory minimum RTP dramatically reduced in one particular market in order to offset taxation increases.
This is short-sighted and paradoxical given that the regulator is delving into players’ pockets to avoid crushing the market via excessive taxation, ironically while being framed as part of the ‘Responsible Gambling’ rhetoric!
Ivan Kravchuk, Evoplay Entertainment: I feel this would go against the spirit of gambling – it should be all about chance and the luck of the win, after all that’s part of the fun!
Setting a statutory minimum percentage payout does not correspond to what gambling should be and given the need for profitable margins; it will likely negate the probability of ‘bet small and win big’, which players know and love.
Carl Ejlertsson, Red Tiger: There isn’t a statutory minimum because we don’t have a single governing body. Some do set minimums, such as the MGA’s 92 per cent. If all the regulatory authorities would like to get together and set a single set of gaming regulations, that would make our lives much simpler and we’d welcome it of course.
Jan Urbanec, Endorphina: The online market’s strong competition and consumer choice has pushed most suppliers to a well-balanced RTP rate. In general, slot games range from 94% to 98 per cent RTP.
If you deviate from this range as a supplier, you risk disappointing your business partners or your players. Depending on the edge you decide to cross.
To read part one, click here.
To read part two, click here.
