Does martingale player strategy work?

Roulette wheelFor sure you have heard of the martingale strategy in roulette game? You bet on even money bets and if you loose you double the bet for next round until winning. The loosing streak must end sometime for sure. And when it does you have advantage over the casino - in the height of the starting bet. Right?

Mathematical analysis of martingale strategy

In the roulette game the martingale strategy is to bet on even money bets and if you loose you double the bet for next round until winning. The “logics” behind the strategy is that the player should eventually win - no matter how long the loosing streak is. And when he does he has an advantage over the casino of 1 original bet.

Should you award actual loss of players?

Actual loss rewarding is quite a controversial topic. Some casinos and cultures consider it normal and necessary while others disagree. In any case you should use it very carefully (if at all) since it is not only prone to technology errors and player cheating but it is also problematic by mathematical definition. Let me show you an example calculation to see why is that.

Are players cheating you on your actual loss rewarding?

If you don't pay enough attention to the details, players may be cheating you at actual loss rewarding.

The casino gathers player actual loss information if players use membership cards for EGM sessions. The reward on actual loss may be either in form of cashback, freeplay or some other incentives.

Return to the player (RTP)

Although I am sure you know what return to the player (RTP) is I will repeat the definition so we are on the same page.

Return to the player (RTP) definition

The RTP is the percentage of the players bet that is returned to the player through game wins.

If for every 100 cents bet the player wins back 90 cents on average this means the game has RTP of 90%. It is important to note that the RTP is considered for every bet made not for money brought to the machine.

Game Volatility - What does it Affect

For sure you know what volatile game is like compared to a non volatile game. But do you know what exactly volatility is and how you can use it in your everyday operations?

Game Volatility

Volatility is a measure how much the game random outcomes vary. In general you get high volatility by high payouts for some results that are very unlikely to occur. On the other hand you get low volatility with low payouts for results that occur frequently.

Introduction to theCasinologist.com

I created this site because I have seen many misconceptions in the casino business. I have a good overview on wide array of topics concerning a casino operations and thus have some insights that many others lack. Sometimes I have to explain issues that seem obvious to me - and many times it is to seasoned casino professionals.