Within the industry, a lot of talk that we are hearing from Clubs is that gaming machine (GM) turnover is increasing, which is great, but retention is decreasing.
In response, we have performed an analysis of our Clubs' gaming machine results for the last three years.
Results prove that gaming machine turnover has continued to increase whilst gaming machine retention rates have definitely decreased on average.
This average has decreased from 9.18% three years ago to 8.76%. Trend lines in the graph below indicates these changes.
Retention rates have been decreasing mainly with the increase in jackpots on club gaming floors as well as startup amounts of jackpots increasing.
Clubs need to consider this decreasing return when setting budgets and considering strategic planning.
Be aware of the impact of the decrease in retention for those Clubs that rely heavily on the gaming machine revenue and have minimal other revenue sources.
As always, if you would like discuss this article further, our team would be happy to help.
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