Return to Player: A Crucial Metric To Know When Gambling

If you’re a casino game lover, you need to know about the concept of Return to Player or RTP. This statistic is key to understanding how likely you are to win money in a particular game. RTP is calculated by comparing the amount of money put in by players against the actual winnings.

It’s also important to understand the volatility of a game, as this determines how often you’ll win and how big the prizes will be. Keep reading for more information on RTP and how it affects your chances of winning!

What is RTP in Casino Games?

RTP is a percentage that indicates how much of the wagered money will be paid back to the player over time as they play a casino game. It’s important to remember that RTP is a long-term average and by no means a guarantee.

For example, if a slot has an RTP of 96%, the player can expect an average of $96 back in winnings for every $100 wagered.

The other $4 goes to the casino as profit. RTP is one factor that determines how profitable a game will be for a casino, but it’s not the only one.

It’s also important to note that the RTP in a casino game does not indicate how often a player will win or how much they will win in a single session. Instead, it’s a way of measuring the overall payouts of a game over time.

What is Game Volatility?

Volatility is another important feature that should be considered when looking for a casino game you want to play. It shows how often a single slot machine pays out to the player.

Volatility and RTP are connected, but you cannot immediately predict the volatility of a game based on knowing only its RTP.

Two games with the same RTP might pay out differently, and the payout difference will depend on how volatile or variable the game is. We say a game has low volatility if it pays out more often but for smaller amounts. On the other hand, a game with high volatility is meant to pay out less often but has bigger prizes to offer when you win.

For example, high RTP online slots with low volatility pay out frequently, but the prizes are small and, most of the time, just enough to keep you going and enjoying the game. Conversely, a slot machine with a high RTP and high volatility will pay out much less often but with much more valuable prizes.

What is Hit Frequency?

Besides volatility and RTP, games also have a “hit frequency” or “winning hit frequency.” It describes how often a casino machine gives out a winning combination. A game with a hit frequency of 20% will give out winning combinations 20% of the time.

However, slot machines involve multiple pay lines, and you can be winning on one while losing on all the others. This can give you the false impression that you’re on a winning streak, while in reality, there are many more losing combinations than those that will bring a payout.

Some games, such as video poker or blackjack, have a considerable hit frequency, but the winnings are not that great.

Therefore, “hit frequency” will not be as helpful for players as knowing the game’s RTP or variance. It can tell you something about the dynamics of a particular game but will often be misleading.

How to Calculate RTP for Casino Games?

To calculate the RTP, you have to divide the amount of money paid out by the total amount of money wagered. Although this looks simple, the information needed for this calculation is not available to everyone.

The designers who set the machines go through thousands of simulations so they can collect the data on which they base the RTP. Even though you can’t get these numbers yourself, there are several methods you can use to find out a slot machine’s RTP, and some casinos will have the RTP information available on their website.

To understand this better, we should explain the basics of how slots work. Slots are essentially a Random Number Generator (RNG) game. Although each pull is random, the average return to player value can be determined over time. This preset setting will not change over time, but the actual payout will vary from what is advertised.

Some games will be played more than others, and there will be a deviation in the payout based on this. A game played 100,000 times can have a variation of 3.47% from the mean and still be considered true to the designed RTP.

As the number of plays increases, the actual RTP will get closer to the designed value. A slot machine that’s been played 1,000,000 times will have a deviation of just around 1% from the mean.

RTP and Player Winnings – Volatility and Variance

Now that we know how slots work and how RTP and variance affect the game, we can propose a strategy for those looking to gamble and beat the system.

If you’re playing a high-variance game, you should look for one with a progressive jackpot, which means the prize increases every time the game is played without a payout. With a game like this, you should keep your patience and not expect to hit the prizes often.

Virtual slot games with the highest RTP are designed with low volatility, so the money will often return to the player in small amounts, and they can keep on playing for longer. This will undoubtedly be fun but don’t expect huge prizes from these games.

Also, online slot games will most likely offer a demo version you can use to your advantage. Play the demo version until you learn the game’s features. Get to know the RTP and the variance of the game. If the prizes are frequent but unremarkable, then it is a low-variance game, and if there is a big jackpot attached, it is likely to be a game with higher volatility.

Online vs. Land-based Casino RTP – Are There Differences?

When deciding where to gamble, the RTP will be the primary statistic to help you choose the right game and casino.

If you’re looking at land-based casinos, they will often have RTPs available on their sites, and there are also actual payout stats that you can find online before you go to play.

Online casinos will offer slot machines with a high RTP designed to attract many players. There will be a large variety of online games, and if your goal is to have fun and play on machines that offer low volatility, you can find them online easily.

They also allow you to make wagers using cryptocurrencies. When you gamble that way online, make sure to choose the casinos that use provably fair technology. This blockchain technology will protect your crypto wallet and winnings from potential scammers.

The RTP for land-based casinos rarely goes over 92%. Online slot machines win percentage is a fair bit higher, though, with RTPs under 94% being considered low. Some games even reach RTPs of 98% or 99%.

Higher RTPs give you more chances of making a profit. However, in the long run, the house will always have the edge over the player, which is how casinos make their money.

RTP for Other Casino Games

RTP can help you determine your odds at other casino games, such as video poker, blackjack, or baccarat. These games also have a built-in RTP as part of the game’s design. However, the variance on these games will be different than with slot machines.

With slot machines, the RTP tells you the odds based on the design of the machine. And the designed RTP will differ from the actual percentage paid out to the players based on variance and how often the game is played.

Games like poker, blackjack, and baccarat are still games of chance, but they also require and reward skill. So, the actual payout and the designed RTP of the game will differ not because of the number of spins played (as is the case with slot machines) but because the gamblers themselves could be playing their hands in a better or worse fashion.

Therefore, you cannot rely on RTP for these games in the same way you would for slot machines.

Bottom Line

There is an almost overwhelming number of slot machines and other games of chance you can play these days, both offline and online. When it comes to gambling, RTP is the most crucial stat that can help improve your odds of getting your money back and potentially making a profit.

It represents the percentage of the money returned to the players through prizes over time. Slot machines have a preset value that comes with the game’s design to ensure that the games are fair for the gamblers.

Ultimately, the game you choose to play will depend on the type of prizes you are looking for. Some games will give you a chance to have fun and play longer, while others come with a higher risk but an opportunity to win bigger prizes.