- Strip slot hold on a trailing twelve-month basis has risen from 5.6% to 7.5% over the past 15 years, pretty much on a straight line.
- Operators are keeping a larger share of coin-in due to game mix and inferior odds provided to the players. In other words, operators have been raising pricing.
- We think the higher hold has masked even worse demand. Operators won’t have as much “pricing power” going forward given unfavorable demographics.
Takeaway: Operators have been consistently offering worse odds to slot players