The three major casinos in downtown Reno, other than Harrah's, are now under unified ownership. Eldorado Resorts, owner of the Eldorado and half owner of the Silver Legacy, has bought Circus Circus and half of the Silver Legacy from MGM Resorts International. Eldorado already owned half of the Silver Legacy. The deal closed in November.
The projected cost of the Silver Legacy, which opened in 1995, was $230 million. Eldorado purchased half of this 1,700 rooms plus the entire 1,572-room Circus Circus for a total of $72.5 million.
This clearly shows the strain the Reno gaming market has been under as Indian casinos in California have intercepted its customers from northern California. Another victim of this competition is the Siena Reno, a downtown hotel which was sold in May and closed its casino in June.
Of course, Reno is not alone gaming markets in suffering from increased competition. Atlantic City and the big Indian casinos in Connecticut are among others in the same boat. Foxwoods, in Connecticut, is hoping to make itself more attractive by adding an outlet mall. Atlantic City has been adjusting in large part by closing casinos.
I have no inside information, but my guess is that Eldorado resorts will close the Circus Circus casino, which should shore up business for its other two properties. Video poker pay tables at Circus Circus have been drastically downgraded, which suggests a short-term orientation toward the casino business.
What could Eldorado do with Circus Circus, which originally was built as a department store? My first thought was that the casino could be converted to a different type of attraction, such as an indoor water park. But it's possible that the property, which is near Interstate 80, a hospital and the University of Nevada - Reno, might bring in more money if used for a purposed unrelated to tourism.
Experts say that the key to revitalizing city centers is to get people to live downtown. I could see the Circus Circus site as a massive mixed-use project that could accomplish this goal for Reno. The housing element could be attractice to downtown casino workers, hospital nurses and other workers, and students and university staff.
It will be interesting to see how big Eldorado Resorts and "the biggest little city" will think in deciding on the future of Circus Circus.
Tuesday, December 29, 2015
Friday, December 18, 2015
A challenge to Sheldon Adelson
The Las Vegas Review-Journal, Nevada's largest newspaper, is now owned by Sheldon Adelson, who controls Las Vegas Sands Corp., owner of the Venetian and Palazzo on the Las Vegas Strip as well as major casinos elsewhere in the United States and in Asia.
Adelson is a major donor and therefore influence in Republican politics. In the last presidential election cycle, he backed Newt Gingrich for the GOP nomination. He is a strong supporter of Israel and in particular its current conservative government. He owns a newspaper in that country.
Locally, he has been known for his battles with the Las Vegas Convention and Visitors Bureau, which he regards as a competitor for his convention business that unfairly enjoys the advantage of access to tax revenue. Adelson has opposed organization of workers in his Las Vegas hotels by the Culinary Union, which represents employees at most other Strip properties.
He is also known for his litigiousness, having sued among other people R-J columnist John L. Smith, driving him into bankrupcy.
Adelson says, laughably, that he bought the R-J for $140 million as a business investment. His pledge that he will not interfere with thepaper's editorial operations must be viewed with skeptcisim. The R-J itself just reported on a mysterious review of the perfomance of three Clark County (Las Vegas) judges, one of whom is hearing a major case involiving Adelson, that was ordered by the former owner of the paper but may have been done at the behest of the soon-to-be owner.
It has been noted that the R-J is already a conservative, libertarian-leaning newspaper in line with Adelson's political orientation. That is true of the paper's opinion pages. But the potential problems concern the paper's newsgathering function. The independence of the paper's reporters and editors is threatened not only by Adelson's political involvements, but also by his business interests.
Las Vegas Sands is a major player in a major industry that affects the Las Vegas economy but also the economies of cities and regions throughout the country. The R-J has been a major source of news coverage of that industry. Imagine the challenges the Detroit Free Press would face if the Ford family bought that newspaper. That's about the same situation with a different industry in Las Vegas.
The big problem in judging a newspaper's performance is what then-Defense Secretary Donald Rumsfeld called "unknown unknowns." Many of the biggest shortcomings in news coverage involve not what is covered, but in what doesn't appear in the paper at all. Unbalanced or inaccurate coverage is relatively easy to spot; more difficult is imaging what the paper should be covering that it isn't. Yes, there are competing media in the Las Vegas market, but none with the resources and reach of the Review-Journal.
If Adelson is to gain the confidence of the community in spite of the obvious potential for conflicts of interest, he must not only assure the indepence of the R-J's news operation, he must appoint an indendent ombudsman and give that person absolute independence to investigate, report and comment not only on readers' issues and complaints, but also on the paper's internal operations and the news judgment of its editors.
A second thing he could do is to create a position that the general interest Las Vegas media have always needed and never really had -- that of a consunmer-oriented gaming columnist/critic, someone with the expertise to give competent advice, answer reader questions, analyze industry trends affecting gamblers and investigate possible abuses in the industry.
If Adelson can't tolerate an indendent staff, his paper will lack credibility and therefore any value to the community. Eventually the community will reject it and his "investment" will fail.
I hope Adelson rises to the occasion, but I have to say I'll be surprised if he does. The best outcome for the community probably will be if Adelson decides the hassles of owning the paper aren't worth the trouble, and sells it to someone or some company legitimately in the news business.
Adelson is a major donor and therefore influence in Republican politics. In the last presidential election cycle, he backed Newt Gingrich for the GOP nomination. He is a strong supporter of Israel and in particular its current conservative government. He owns a newspaper in that country.
Locally, he has been known for his battles with the Las Vegas Convention and Visitors Bureau, which he regards as a competitor for his convention business that unfairly enjoys the advantage of access to tax revenue. Adelson has opposed organization of workers in his Las Vegas hotels by the Culinary Union, which represents employees at most other Strip properties.
He is also known for his litigiousness, having sued among other people R-J columnist John L. Smith, driving him into bankrupcy.
Adelson says, laughably, that he bought the R-J for $140 million as a business investment. His pledge that he will not interfere with thepaper's editorial operations must be viewed with skeptcisim. The R-J itself just reported on a mysterious review of the perfomance of three Clark County (Las Vegas) judges, one of whom is hearing a major case involiving Adelson, that was ordered by the former owner of the paper but may have been done at the behest of the soon-to-be owner.
It has been noted that the R-J is already a conservative, libertarian-leaning newspaper in line with Adelson's political orientation. That is true of the paper's opinion pages. But the potential problems concern the paper's newsgathering function. The independence of the paper's reporters and editors is threatened not only by Adelson's political involvements, but also by his business interests.
Las Vegas Sands is a major player in a major industry that affects the Las Vegas economy but also the economies of cities and regions throughout the country. The R-J has been a major source of news coverage of that industry. Imagine the challenges the Detroit Free Press would face if the Ford family bought that newspaper. That's about the same situation with a different industry in Las Vegas.
The big problem in judging a newspaper's performance is what then-Defense Secretary Donald Rumsfeld called "unknown unknowns." Many of the biggest shortcomings in news coverage involve not what is covered, but in what doesn't appear in the paper at all. Unbalanced or inaccurate coverage is relatively easy to spot; more difficult is imaging what the paper should be covering that it isn't. Yes, there are competing media in the Las Vegas market, but none with the resources and reach of the Review-Journal.
If Adelson is to gain the confidence of the community in spite of the obvious potential for conflicts of interest, he must not only assure the indepence of the R-J's news operation, he must appoint an indendent ombudsman and give that person absolute independence to investigate, report and comment not only on readers' issues and complaints, but also on the paper's internal operations and the news judgment of its editors.
A second thing he could do is to create a position that the general interest Las Vegas media have always needed and never really had -- that of a consunmer-oriented gaming columnist/critic, someone with the expertise to give competent advice, answer reader questions, analyze industry trends affecting gamblers and investigate possible abuses in the industry.
If Adelson can't tolerate an indendent staff, his paper will lack credibility and therefore any value to the community. Eventually the community will reject it and his "investment" will fail.
I hope Adelson rises to the occasion, but I have to say I'll be surprised if he does. The best outcome for the community probably will be if Adelson decides the hassles of owning the paper aren't worth the trouble, and sells it to someone or some company legitimately in the news business.
Saturday, December 12, 2015
Restaurants and the rodeo
I've been meaning for some time to write about a real restaurant find, the Second Street Grille in the Fremont downtown. This small art deco style room serves some very imaginative variations of steakhouse fare, including Mongolian rack of lamb, Thai Cioppino (all right, not usually served in a steakhouse) and Paniola rib-eye steak, with a southwestern-influenced sauce. The service is excellent and there's rarely a wait to get in. The staff says very few locals ever eat there, which is a shame.
The Rio was the only casino I know of that had two completely separate buffets -- the Carnival World Buffet and the Village Seafood Buffet. Until a couple of weeks ago, they were at opposite ends of the very large casino. Now the seafood buffet has been moved to the Carnival World location. The new setup works like this: There are separate entrances for each buffet. The new seafood buffet contains only seafood items. If you pay for the seafood buffet, you also get access to entire Carnival World buffet. You can also, for less, buy access to only the Carnival World, which does include some seafood, including crab legs at dinner. This makes sense to me because it avoids the duplication of offering non-seafood items at both buffets and gives seafood customers a much wider choice of other items. The spouse and I sprung for the seafood buffet recently and were a bit disappointed. Many of the seafood items had been left out too long. Now is a good time to try the Carnival World Buffet; you can get in free by earning 50 tier credits ($500 coin-in) and swiping your player card at a special promotional kiosk outside the buffet. The ticket is good for a couple of days.
The National Finals Rodeo is in town, and South Point has been full people who may be cowboys or may be just Walgreens managers from Laramie and accountants from Boise dressed up like cowboys. One sign the rodeo is in town is the sign in front of Don Vito's, the casino's Italian restaurant, which states that it will be serving the Silverado Steakhouse menu while the cowboys are in town, due to the high demand for steak during the rodeo.
The Rio was the only casino I know of that had two completely separate buffets -- the Carnival World Buffet and the Village Seafood Buffet. Until a couple of weeks ago, they were at opposite ends of the very large casino. Now the seafood buffet has been moved to the Carnival World location. The new setup works like this: There are separate entrances for each buffet. The new seafood buffet contains only seafood items. If you pay for the seafood buffet, you also get access to entire Carnival World buffet. You can also, for less, buy access to only the Carnival World, which does include some seafood, including crab legs at dinner. This makes sense to me because it avoids the duplication of offering non-seafood items at both buffets and gives seafood customers a much wider choice of other items. The spouse and I sprung for the seafood buffet recently and were a bit disappointed. Many of the seafood items had been left out too long. Now is a good time to try the Carnival World Buffet; you can get in free by earning 50 tier credits ($500 coin-in) and swiping your player card at a special promotional kiosk outside the buffet. The ticket is good for a couple of days.
The National Finals Rodeo is in town, and South Point has been full people who may be cowboys or may be just Walgreens managers from Laramie and accountants from Boise dressed up like cowboys. One sign the rodeo is in town is the sign in front of Don Vito's, the casino's Italian restaurant, which states that it will be serving the Silverado Steakhouse menu while the cowboys are in town, due to the high demand for steak during the rodeo.
A false economy
If Las Vegas were a country, video poker would be the national pasttime. Many people play, but few know much about pay tables and strategy. I used to wonder how these "ploppies" managed to stay in the game.
Over the years I've come to the unscientific conclusion that most do it by playing for small stakes. They think that, by doing so, they are minimizing their costs (losses). But in many cases it's like always buying the smallest box of laundry detergent rather than the economy size, You pay less in the short run, but a lot more in the long run.
Actually, with video poker, it can be worse than that. The difference can be between losing money and making money.
A case in point: The Station Casinos and Fiestas all have machines labeled "up to 99.8 percent payback." These machines carry a variety of games at denominations ranging from nickels to dollars.
The key words in the labeling are "up to." Most of the games pay back less than 99.8 percent, and the lowest denomination games in particular. This makes sense because the casino wants to make a certain amount of money off each machine, and to accomplish that it has to take a larger percentage when a player is putting less money through.
I was playing "not so ugly" deuces on one of these machines yesterday, when the Stations were giving six times points on video poker. The game pays back just over 99.7 percent. With the point multiplier, it paid back 100.3 percent. I was playing for dollars.
The man next to me was playing for nickels. But the version of deuces wild he was playing was very ugly -- "Colorado deuces," which pays back 96.77 percent. At least he was playing maximum coin, which for this game was 10 coins. Had he been playing fewer coins, the return would have been even less.
He appeared to be playing at a moderate pace; let's assume 700 hands an hour. At 50 cents a hand, he was putting $350 an hour through the machine. Let's further assume, probably unrealistically, that he was playing near perfect strategy and was achieving a long-term return of 96.7 percent. (The reason it's unlikely he was playing this well is that Colorado deuces is a game nobody serious about video poker would play, let alone study and practice.)
If he was getting back 96.7 percent of his money, the house was getting the rest -- 3.3 percent. That comes to $11.55 an hour. By contrast, I was playing $5 a hand (max coin of five). Assuming the same speed of play, I was putting $3,500 through the machine. But the house was getting only 0.3 percent -- or $10.50 cents an hour! The dollar game is actually cheaper than the nickel game!
But wait, there's more. As noted, we were both earning points at the rate of 0.6 percent. That gave the nickel player $2.10 an hour, cutting his loss to $9.45 an hour. On my $3,500, the points added $21, giving me a profit of $10.50. (I actually play a bit faster than the rate in this example and therefore earn more.)
Although in this case playing for dollars is obviously better than playing for nickels, you need more money to survive the larger swings of the dollar game. I wouldn't recommend that a nickel player switch to dollars because of the larger bankroll required. But many nickel players would be comfortable moving up to the quarter deuces game on the "up to 99.8 percent payback" machines.
But even for nickels, there are much better options at Station properties and some other casinos in Las Vegas. Stations has machines with 100 percent payback games, including games for nickels. The deuces game on these machines is full pay deuces wild, which pays back 100.76 percent with optimum play. These machines are not eligible for point multipliers and points accrue at a much lower rate than on the 99.8 percent machines, but who cares? With the full pay deuces you're making money rather than losing money.
Over the years I've come to the unscientific conclusion that most do it by playing for small stakes. They think that, by doing so, they are minimizing their costs (losses). But in many cases it's like always buying the smallest box of laundry detergent rather than the economy size, You pay less in the short run, but a lot more in the long run.
Actually, with video poker, it can be worse than that. The difference can be between losing money and making money.
A case in point: The Station Casinos and Fiestas all have machines labeled "up to 99.8 percent payback." These machines carry a variety of games at denominations ranging from nickels to dollars.
The key words in the labeling are "up to." Most of the games pay back less than 99.8 percent, and the lowest denomination games in particular. This makes sense because the casino wants to make a certain amount of money off each machine, and to accomplish that it has to take a larger percentage when a player is putting less money through.
I was playing "not so ugly" deuces on one of these machines yesterday, when the Stations were giving six times points on video poker. The game pays back just over 99.7 percent. With the point multiplier, it paid back 100.3 percent. I was playing for dollars.
The man next to me was playing for nickels. But the version of deuces wild he was playing was very ugly -- "Colorado deuces," which pays back 96.77 percent. At least he was playing maximum coin, which for this game was 10 coins. Had he been playing fewer coins, the return would have been even less.
He appeared to be playing at a moderate pace; let's assume 700 hands an hour. At 50 cents a hand, he was putting $350 an hour through the machine. Let's further assume, probably unrealistically, that he was playing near perfect strategy and was achieving a long-term return of 96.7 percent. (The reason it's unlikely he was playing this well is that Colorado deuces is a game nobody serious about video poker would play, let alone study and practice.)
If he was getting back 96.7 percent of his money, the house was getting the rest -- 3.3 percent. That comes to $11.55 an hour. By contrast, I was playing $5 a hand (max coin of five). Assuming the same speed of play, I was putting $3,500 through the machine. But the house was getting only 0.3 percent -- or $10.50 cents an hour! The dollar game is actually cheaper than the nickel game!
But wait, there's more. As noted, we were both earning points at the rate of 0.6 percent. That gave the nickel player $2.10 an hour, cutting his loss to $9.45 an hour. On my $3,500, the points added $21, giving me a profit of $10.50. (I actually play a bit faster than the rate in this example and therefore earn more.)
Although in this case playing for dollars is obviously better than playing for nickels, you need more money to survive the larger swings of the dollar game. I wouldn't recommend that a nickel player switch to dollars because of the larger bankroll required. But many nickel players would be comfortable moving up to the quarter deuces game on the "up to 99.8 percent payback" machines.
But even for nickels, there are much better options at Station properties and some other casinos in Las Vegas. Stations has machines with 100 percent payback games, including games for nickels. The deuces game on these machines is full pay deuces wild, which pays back 100.76 percent with optimum play. These machines are not eligible for point multipliers and points accrue at a much lower rate than on the 99.8 percent machines, but who cares? With the full pay deuces you're making money rather than losing money.
Sunday, November 29, 2015
Breakage
I first heard the word "breakage" in the context of casino operations during a discussion with a slot manager at the Palms. Concluding a rant about the undesirablility of video poker players (as opposed to reel slot players) he said, "and there's no breakage."
What he meant, in a gross overgeneralization, is that video poker players use their players cards, take advantage of free play offers and promotions, and use all the points they earn.
Breakage occurs whenever a casino doesn't have to provide something a player has been offered or is entitled to. It's a huge source of casino profits.
Much, perhaps most, breakage is the "fault" of players. The casino sends out room offers, dining credits and free play that can be used only on certain dates. The customer can't make it to the casino while the offers are valid, so they go unused. Breakage.
But another kind of breakage is, in my opinion, manipulative at best and deceptive at worst. This occurs when casinos set things up so it's almost impossible for them to give players what they promise.
A simple example is a drawing or tournament with an advertised prize amount. But the time frame for claiming the prizes is so restrictive that the casino knows a percentage of the money will be forfeited. A few years ago, many casinos would mail prizes to guests who couldn't personally claim them after a drawing or tournament. Now it's not uncommon to require winners to claim within as little as half an hour.
Another way to create breakage is to design a drawing or promotion so that the biggest prizes do not have to be awarded. An easy want to do this is to provide more prizes than there are winners, and have each winner pick a prize. Let's say a casino advertises a drawing with 10 winners and a top prize of $10,000. But each winner has to select an envelope from a total of 20, only one of which contains $10,000. In my opinion a casino operating such a drawing should be allowed only to advertise the top prize guaranteed to be awarded as the top prize. In this case that would be the 11th-highest prize, because the 10 highest prizes might not be selected. The top potential prize ought to be allowed to be mentioned in advertising only if it is made clear that this prize might not be awarded. The usual "win up to $10,000" in a case like this is at best misleading.
There are ways to set up a promotion so that the creation of breakage is achieved with great subtlety. Let's look, for example, at the weekly seniors drawings at the Silverton.
The casino holds three drawings each Monday for players 50 and older, at 2, 4 and 6 p.m. There are 15 prizes at each drawing, ranging from $50 free play to $1,000 cash. A player can win at one, two or all three drawings each week. Tickets are earned on Mondays only based on amount of coin-in. All tickets remain in the drum for all remaining drawings that day.
But every senior is entitled to a free entry. Part of Silverton's seniors day promotion is a half-off buffet or entree at the cafe. To get this discount, players have to swipe at a kiosk. With the discount they automatically get an entry into the drawing.
Players need not be present to win, but must claim their prize within two hours of each drawing. Those who are serious about these drawings time their play on Mondays to end just before 2 p.m., wait for the results of that drawing, come back just before 6 p.m. to check the results of the 4 p.m. drawing and wait for the results of the final drawing.
How many people who come for a cheap lunch and have one ticket in the drum are going to check the results of all three drawings? Not many, I'm sure. I wouldn't. Same for casual players who might earn a few tickets. And plenty of people are going to have things to do that keep them from checking, even if they have good reason to do so.
I participate in these drawings almost every week and usually win at least a couple of times a month. Winners have to sign a sheet of paper on which all the winners' names are listed. Signing for the 4 p.m. drawing just before the end of the two hours claiming period, I often have seen that only a few of the 15 winners have shown up to get their prizes.
It's important to understand that even a promotion designed to create breakage, and even one that's deceptively advertised, can be an advantage play. And the Silverton, for example, undoubtedly would provide a much smaller prize pool on Monday if the rules provided that all prizes had to be awarded.
Nonetheless, I agree with Michael Gaughan, owner of South Point, whose philosophy is that casinos ought to give away what they say they are going to give away.
What he meant, in a gross overgeneralization, is that video poker players use their players cards, take advantage of free play offers and promotions, and use all the points they earn.
Breakage occurs whenever a casino doesn't have to provide something a player has been offered or is entitled to. It's a huge source of casino profits.
Much, perhaps most, breakage is the "fault" of players. The casino sends out room offers, dining credits and free play that can be used only on certain dates. The customer can't make it to the casino while the offers are valid, so they go unused. Breakage.
But another kind of breakage is, in my opinion, manipulative at best and deceptive at worst. This occurs when casinos set things up so it's almost impossible for them to give players what they promise.
A simple example is a drawing or tournament with an advertised prize amount. But the time frame for claiming the prizes is so restrictive that the casino knows a percentage of the money will be forfeited. A few years ago, many casinos would mail prizes to guests who couldn't personally claim them after a drawing or tournament. Now it's not uncommon to require winners to claim within as little as half an hour.
Another way to create breakage is to design a drawing or promotion so that the biggest prizes do not have to be awarded. An easy want to do this is to provide more prizes than there are winners, and have each winner pick a prize. Let's say a casino advertises a drawing with 10 winners and a top prize of $10,000. But each winner has to select an envelope from a total of 20, only one of which contains $10,000. In my opinion a casino operating such a drawing should be allowed only to advertise the top prize guaranteed to be awarded as the top prize. In this case that would be the 11th-highest prize, because the 10 highest prizes might not be selected. The top potential prize ought to be allowed to be mentioned in advertising only if it is made clear that this prize might not be awarded. The usual "win up to $10,000" in a case like this is at best misleading.
There are ways to set up a promotion so that the creation of breakage is achieved with great subtlety. Let's look, for example, at the weekly seniors drawings at the Silverton.
The casino holds three drawings each Monday for players 50 and older, at 2, 4 and 6 p.m. There are 15 prizes at each drawing, ranging from $50 free play to $1,000 cash. A player can win at one, two or all three drawings each week. Tickets are earned on Mondays only based on amount of coin-in. All tickets remain in the drum for all remaining drawings that day.
But every senior is entitled to a free entry. Part of Silverton's seniors day promotion is a half-off buffet or entree at the cafe. To get this discount, players have to swipe at a kiosk. With the discount they automatically get an entry into the drawing.
Players need not be present to win, but must claim their prize within two hours of each drawing. Those who are serious about these drawings time their play on Mondays to end just before 2 p.m., wait for the results of that drawing, come back just before 6 p.m. to check the results of the 4 p.m. drawing and wait for the results of the final drawing.
How many people who come for a cheap lunch and have one ticket in the drum are going to check the results of all three drawings? Not many, I'm sure. I wouldn't. Same for casual players who might earn a few tickets. And plenty of people are going to have things to do that keep them from checking, even if they have good reason to do so.
I participate in these drawings almost every week and usually win at least a couple of times a month. Winners have to sign a sheet of paper on which all the winners' names are listed. Signing for the 4 p.m. drawing just before the end of the two hours claiming period, I often have seen that only a few of the 15 winners have shown up to get their prizes.
It's important to understand that even a promotion designed to create breakage, and even one that's deceptively advertised, can be an advantage play. And the Silverton, for example, undoubtedly would provide a much smaller prize pool on Monday if the rules provided that all prizes had to be awarded.
Nonetheless, I agree with Michael Gaughan, owner of South Point, whose philosophy is that casinos ought to give away what they say they are going to give away.
Random thoughts ...
Pie Oh My
In Vegas, the day before Thanksgiving ought to be declared a new holiday -- Pie Day. Almost every locals casino gives away pies on that day. Typically, regular players get a free pie; others get a pie after earning a set number of points. At some places, players can get both a free pie and an earned pie. Although we got a late start and pies weren't our priority, my spouse and I managed to pick up five pies on Wednesday. If we had planned our day around pies instead of point multipliers, we easily could have gotten at least five more.
One casino, South Point, gave out turkeys before Thanksgiving instead of pies. Players had to earn 1,100 points during certain days to get a certificate good for a turkey and serving platter. Points at South Point are earned at a rate of one per dollar of coin in. The video poker at quarters through $2 is excellent, including games paying back 99.73 percent. The expected loss on $1,100 coin in on such a game is $3 and change, a pretty good price for a 13-pound turkey.
Coupon Clarity
The night before Thanksgiving, I went through my "food stamps" to see which ones could be used on Thanksgiving. Food stamps are what we call the coupons for dining credits that casinos include in their mailers are that are obtained through promotions. Often these have restrictions, such as "not valid on holidays."
It's pretty clear that Thanksgiving is a holiday, but what about Mothers Day? or Columbus Day? I've often wondered why the casinos can't list the specific dates on which these offers are not valid.
The food stamps from Caesars Entertainment are the worst in this regard. They say there may be blackout dates, inclding holidays and during conventions. Am I supposed to know when the big conventions are taking place, and which ones trigger invalidity of a dining offer? And if I call the casino or even the restaurant I want to go to, am I likely to reach an employee who can give me an accurate answer?
I understand that some offers are going to come with restrictions on when they can be used, but a guiding principle of casino management should be not to disappoint customers unnecessarily. If exclusions are stated with specificity and clarity, people are not likely to be disappointed; if they are, they have only themselves to blame for not reading the offer.
Note to Caesars management: Why not set up a Web site with accurate information on when and where customers' dining offers can be used, if they can't be stated on the actual coupon?
In Vegas, the day before Thanksgiving ought to be declared a new holiday -- Pie Day. Almost every locals casino gives away pies on that day. Typically, regular players get a free pie; others get a pie after earning a set number of points. At some places, players can get both a free pie and an earned pie. Although we got a late start and pies weren't our priority, my spouse and I managed to pick up five pies on Wednesday. If we had planned our day around pies instead of point multipliers, we easily could have gotten at least five more.
One casino, South Point, gave out turkeys before Thanksgiving instead of pies. Players had to earn 1,100 points during certain days to get a certificate good for a turkey and serving platter. Points at South Point are earned at a rate of one per dollar of coin in. The video poker at quarters through $2 is excellent, including games paying back 99.73 percent. The expected loss on $1,100 coin in on such a game is $3 and change, a pretty good price for a 13-pound turkey.
Coupon Clarity
The night before Thanksgiving, I went through my "food stamps" to see which ones could be used on Thanksgiving. Food stamps are what we call the coupons for dining credits that casinos include in their mailers are that are obtained through promotions. Often these have restrictions, such as "not valid on holidays."
It's pretty clear that Thanksgiving is a holiday, but what about Mothers Day? or Columbus Day? I've often wondered why the casinos can't list the specific dates on which these offers are not valid.
The food stamps from Caesars Entertainment are the worst in this regard. They say there may be blackout dates, inclding holidays and during conventions. Am I supposed to know when the big conventions are taking place, and which ones trigger invalidity of a dining offer? And if I call the casino or even the restaurant I want to go to, am I likely to reach an employee who can give me an accurate answer?
I understand that some offers are going to come with restrictions on when they can be used, but a guiding principle of casino management should be not to disappoint customers unnecessarily. If exclusions are stated with specificity and clarity, people are not likely to be disappointed; if they are, they have only themselves to blame for not reading the offer.
Note to Caesars management: Why not set up a Web site with accurate information on when and where customers' dining offers can be used, if they can't be stated on the actual coupon?
Sunday, November 22, 2015
Multiplier madness
Thanksgiving is approaching, and many casinos are offering point multipliers for play on the holiday, meaning it will be a very long workday for me.
Point multipliers are one of the most common casino promotions. They can be quite valuable for both the casino and for players who know how to take advantage of them.
To understand point multipliers, you first have to know what points are, and that isn't as easy as it might seem. Basically, points are a form of reward for play given by casinos. But what they can be used for and how they are earned vary considerably among casinos.
What follows is a look at the Station Casinos point system, which is very similar to the Boyd Gaming casinos system. These are the to major chains of locals casinos in the Las Vegas area.
At Station properties, which include the Fiesta and Wildfire properties, points are earned (technically) at a rate of one per dollar of coin in on most machines. I say technically because all players are entitled to three times points all the time. Chairman, president and platinum players get this multiplier automatically; gold and preferred players must swipe their player card at a kiosk to activate it. Points on 100 percent payback games are earned at a rate of $1 coin in per point. These games are inelgible for multipliers.
Points may be redeemed at a rate of 1,000 per dollar for comps, free play or cash. Players get a discount at the buffet when paying with points of up to 50 percent, depending on card level.
The video poker game I usually play at Station and Fiesta properties is "not so ugly" deuces wild, which pays back 99.7 percent. This game is basically break even with the usual three times points, which add 0.3 percent to the return.
Stations offers various point multipliers besides the every day three times. Some are available to anyone who shows up and swipes a player card; others are for invited guests only. Some are "mystery multipliers," the value of which is revealed when the the player's card is swiped at a kiosk.
In my experience, these multipliers range from four times to six times points on video poker. "Public" multipliers on reel slots range up to 10 times. I don't know what multipliers reel slot players get from their mailers, but I wouldn't be surpised if someone who plays penny slots exclusively were to get more than 10 times points. These games hold at least 10 percent of money played through, and 10 times points at Stations is worth 1 percent.
Any multiplier above the everyday three times must be activated at a kiosk. The multiplier is based on a 0.1 base, not on 0.3. So a six times multiplier is worth 0.6 percent. This makes the not so ugly deuces worth 100.3 percent instead of the usual 100 percent even.
What this is worth is dollars depends on the denomination you play and on how fast you play. Let's say you play dollars (the highest denomination of this game at Stations properties) at max coin, meaning you're betting $5 a hand. Let's further assume you play a fast 800 hands an hour, meaning you put through $4,000. Multiplying this amount by 100.3 shows that you're earning $12 an hour from this play, not counting other benefits the casino may give you, such as future free play in a mailer, gifts, food coupons, drawing entries, etc.
One good thing about Station multipliers is that there is no limit on the amount of points you can earn. The Boyd casinos, Station's main competitor, offers higher multipliers (as much as 50 times on reel slots and 30 times on video poker), but with limits. At Boyd downtown properties (the California, Fremont and Main Street Station) the limit is usually 100,000 total points, with the multiplier. At Boyd's Coast Casinos (the Gold Coast, Suncoast, Orleans and Sam's Town), the limit is usually 10,000 base points multiplied.
But the good news is that some of these properties offer games that can be positive with multipliers at much higher denominations than Stations, including not so ugly deuces at up to $5 at the Fremont and full pay jacks or better (99.5 percent payback) at up to $5 at the California, Gold Coast and Sam's Town.
At some other locals casinos, including the M, South Point and Silverton, base points are worth 0.3 percent. At these casinos, two times points is equal in value to six times points at Station and Boyd properties. South Point doesn't offer point multipliers very often, but when it does, there is no limit on points earned and there are some good games, including $2 not so ugly deuces, to earn them on. Tbe M offers very frequent multipliers of two times on video poker and, in my experience, 12 times on reels. The problem here is that the games are tight, the best return before points being 99.4 percent on Ace$ bonus poker. Silverton has not offered multipliers on video poker for some time but goes to at least 10 times on reels.
These casinos' point systems are all similar in that points can be used for cash back, free play or comps. In some other systems, points can be used only for cash back or free play, and comps are earned separately from points. Such systems are used by several downtown Las Vegas casinos, including the Golden Nugget, D and Four Queens. Also at these casinos, points are generally earned at a rate of one per $10 of coin in and redeemed at a rate of 100 points per dollar, for a rate of 0.1 percent.
Before taking up a casino's offer of a point multiplier, it's a good idea to read the fine print in your mailer or at the players club. Write down your points balance before you start playing, and the number of base points earned. Then check on the machine or a kiosk or at the players club to make sure you got the proper multiplier.
A final word of advice: Some casinos, including South Point, do not look kindly at those who play only on point muliplier days. Over the years, some who made that mistake at South Point found when they returned that their player card no longer worked.
Point multipliers are one of the most common casino promotions. They can be quite valuable for both the casino and for players who know how to take advantage of them.
To understand point multipliers, you first have to know what points are, and that isn't as easy as it might seem. Basically, points are a form of reward for play given by casinos. But what they can be used for and how they are earned vary considerably among casinos.
What follows is a look at the Station Casinos point system, which is very similar to the Boyd Gaming casinos system. These are the to major chains of locals casinos in the Las Vegas area.
At Station properties, which include the Fiesta and Wildfire properties, points are earned (technically) at a rate of one per dollar of coin in on most machines. I say technically because all players are entitled to three times points all the time. Chairman, president and platinum players get this multiplier automatically; gold and preferred players must swipe their player card at a kiosk to activate it. Points on 100 percent payback games are earned at a rate of $1 coin in per point. These games are inelgible for multipliers.
Points may be redeemed at a rate of 1,000 per dollar for comps, free play or cash. Players get a discount at the buffet when paying with points of up to 50 percent, depending on card level.
The video poker game I usually play at Station and Fiesta properties is "not so ugly" deuces wild, which pays back 99.7 percent. This game is basically break even with the usual three times points, which add 0.3 percent to the return.
Stations offers various point multipliers besides the every day three times. Some are available to anyone who shows up and swipes a player card; others are for invited guests only. Some are "mystery multipliers," the value of which is revealed when the the player's card is swiped at a kiosk.
In my experience, these multipliers range from four times to six times points on video poker. "Public" multipliers on reel slots range up to 10 times. I don't know what multipliers reel slot players get from their mailers, but I wouldn't be surpised if someone who plays penny slots exclusively were to get more than 10 times points. These games hold at least 10 percent of money played through, and 10 times points at Stations is worth 1 percent.
Any multiplier above the everyday three times must be activated at a kiosk. The multiplier is based on a 0.1 base, not on 0.3. So a six times multiplier is worth 0.6 percent. This makes the not so ugly deuces worth 100.3 percent instead of the usual 100 percent even.
What this is worth is dollars depends on the denomination you play and on how fast you play. Let's say you play dollars (the highest denomination of this game at Stations properties) at max coin, meaning you're betting $5 a hand. Let's further assume you play a fast 800 hands an hour, meaning you put through $4,000. Multiplying this amount by 100.3 shows that you're earning $12 an hour from this play, not counting other benefits the casino may give you, such as future free play in a mailer, gifts, food coupons, drawing entries, etc.
One good thing about Station multipliers is that there is no limit on the amount of points you can earn. The Boyd casinos, Station's main competitor, offers higher multipliers (as much as 50 times on reel slots and 30 times on video poker), but with limits. At Boyd downtown properties (the California, Fremont and Main Street Station) the limit is usually 100,000 total points, with the multiplier. At Boyd's Coast Casinos (the Gold Coast, Suncoast, Orleans and Sam's Town), the limit is usually 10,000 base points multiplied.
But the good news is that some of these properties offer games that can be positive with multipliers at much higher denominations than Stations, including not so ugly deuces at up to $5 at the Fremont and full pay jacks or better (99.5 percent payback) at up to $5 at the California, Gold Coast and Sam's Town.
At some other locals casinos, including the M, South Point and Silverton, base points are worth 0.3 percent. At these casinos, two times points is equal in value to six times points at Station and Boyd properties. South Point doesn't offer point multipliers very often, but when it does, there is no limit on points earned and there are some good games, including $2 not so ugly deuces, to earn them on. Tbe M offers very frequent multipliers of two times on video poker and, in my experience, 12 times on reels. The problem here is that the games are tight, the best return before points being 99.4 percent on Ace$ bonus poker. Silverton has not offered multipliers on video poker for some time but goes to at least 10 times on reels.
These casinos' point systems are all similar in that points can be used for cash back, free play or comps. In some other systems, points can be used only for cash back or free play, and comps are earned separately from points. Such systems are used by several downtown Las Vegas casinos, including the Golden Nugget, D and Four Queens. Also at these casinos, points are generally earned at a rate of one per $10 of coin in and redeemed at a rate of 100 points per dollar, for a rate of 0.1 percent.
Before taking up a casino's offer of a point multiplier, it's a good idea to read the fine print in your mailer or at the players club. Write down your points balance before you start playing, and the number of base points earned. Then check on the machine or a kiosk or at the players club to make sure you got the proper multiplier.
A final word of advice: Some casinos, including South Point, do not look kindly at those who play only on point muliplier days. Over the years, some who made that mistake at South Point found when they returned that their player card no longer worked.
Sunday, November 8, 2015
Video poker progressives: When to start playing, when to stop
Let's begin with the premise that we want to play video poker progressives to make a long-term profit. We've discussed how to determine when a progressive is at break-even, using the Video Poker Scouting Guide, the Video Poker for Winners software or Bob Dancer's rough rule of thumb. The only time we would want to play a game that's below break-even is when incentives supplied by the casino make the total return above 100 percent.
Aside from this basic rule, when to start playing is mostly a matter of personal preference that depends upon a player's answers to these questions:
1. What alternatives are available, in terms of other video poker plays, other gambling opportunities and other uses of time?
2. What is the player's long-term expectation of hourly earnings from playing progressives?
3. How fast is the meter rise of the progressive in question?
4. At what point is there a danger of being shut out of the action by other players?
The first question, I think, is pretty self-explanatory.
As to the second, here is how to figure earnings per hour from a particular play, progressive or not. First, determine the payback of the game. Let's say it's a progressive is at break even. The casino awards points at a with a value of 0.1 percent, but today is offering five times points. Playing today also earns drawing tickets and is helps satisfy the requirements for future offers. Let's guess the value of these benefits at 0.2 percent. So the total return of this game, assuming, as always, playing accurately according to the proper strategy, is 100.7 percent.
A moderately fast player plays about 700 hands an hour. Multiply that or the actual number of hands you play by the amount wagered per hand. For a dollar player, that's $5, or $300 an hour. 0.7 percent of that amount, of $21, is the long-term hourly earning expectation from playing that progressive with the jackpot at the amount upon which we figured the return of the game.
But the nature of progressives is that the jackpot grows. Question 3 refers to the rate of that growth as a percentage of the money played through. Usually, the only way to find this rate is to determine it yourself. For progressives on more than one machine, this must be done when no one else is playing. Simply keep track of how much the meter moves with, say each two hands ($10 on a dollar progressive) or eight hands ($10 on a quarter progressive) played.
The actual rate at which the meter will rise when more than one machine is inolved depends not only on the meter rise, but on how many machines are being played and how fast they are being played. But meter rise is an important factor in comparng progressives. All other things being equal, a progressive with a faster meter rise is more desirable than one with a slower meter rise.
The existence of meter rise means that, in the above example, $21 is only that starting hourly rate for playing that progressive. As it is being played, the hourly rate of return will increase steadily. So it makes sense to start playing when the hourly rate is somewhat below the average you want to make.
My final question, No. 4, can be answered only on the basis of experience with particular progressives, or with accurate information obtained from someone with such experience. Observing once or twice when a particular progressive begings to fill up might not be enough because interested players might not always learn immediately that a progressive has reached their strike point. What you want to figure out is the minimum amount on the meter that is likely to attract a crowd.
That's my basic approach to determing when to start playing. What about when to stop?
If I'm playing a progressive "early," before getting a seat is a concern, I play until I haver something better to do. But at some point, you want to make a commitment to stay until the progressive is hit or you physically can't play any longer.
When to do this is basically a matter of guesswork. The key thing to keep in mind is that there is no way to predict when a progressive will be hit. Progressives are often found at casino bars, and bartenders, trying to be helpful, have told me more than once that, based on their experience, a progressive should be about to pop or is overdue to be hit.
This is nonsense. When the royal comes is determined by a random number generator, which has no knowledge of how long it's been since the last royal flush or what amount is showing on the meter. The liklihood of a player getting a royal flush on a particular hand is exactly the same whether he or she got a royal on the previous hand or hasn't had one in months.
Often a juicy progressive will last longer than one person can stay awake. Having an arrangement to trade of with one or more other players can keep you in the game longer than going it alone. Just be sure you have a complete agreement with your teammates on all relevant terms.
Aside from this basic rule, when to start playing is mostly a matter of personal preference that depends upon a player's answers to these questions:
1. What alternatives are available, in terms of other video poker plays, other gambling opportunities and other uses of time?
2. What is the player's long-term expectation of hourly earnings from playing progressives?
3. How fast is the meter rise of the progressive in question?
4. At what point is there a danger of being shut out of the action by other players?
The first question, I think, is pretty self-explanatory.
As to the second, here is how to figure earnings per hour from a particular play, progressive or not. First, determine the payback of the game. Let's say it's a progressive is at break even. The casino awards points at a with a value of 0.1 percent, but today is offering five times points. Playing today also earns drawing tickets and is helps satisfy the requirements for future offers. Let's guess the value of these benefits at 0.2 percent. So the total return of this game, assuming, as always, playing accurately according to the proper strategy, is 100.7 percent.
A moderately fast player plays about 700 hands an hour. Multiply that or the actual number of hands you play by the amount wagered per hand. For a dollar player, that's $5, or $300 an hour. 0.7 percent of that amount, of $21, is the long-term hourly earning expectation from playing that progressive with the jackpot at the amount upon which we figured the return of the game.
But the nature of progressives is that the jackpot grows. Question 3 refers to the rate of that growth as a percentage of the money played through. Usually, the only way to find this rate is to determine it yourself. For progressives on more than one machine, this must be done when no one else is playing. Simply keep track of how much the meter moves with, say each two hands ($10 on a dollar progressive) or eight hands ($10 on a quarter progressive) played.
The actual rate at which the meter will rise when more than one machine is inolved depends not only on the meter rise, but on how many machines are being played and how fast they are being played. But meter rise is an important factor in comparng progressives. All other things being equal, a progressive with a faster meter rise is more desirable than one with a slower meter rise.
The existence of meter rise means that, in the above example, $21 is only that starting hourly rate for playing that progressive. As it is being played, the hourly rate of return will increase steadily. So it makes sense to start playing when the hourly rate is somewhat below the average you want to make.
My final question, No. 4, can be answered only on the basis of experience with particular progressives, or with accurate information obtained from someone with such experience. Observing once or twice when a particular progressive begings to fill up might not be enough because interested players might not always learn immediately that a progressive has reached their strike point. What you want to figure out is the minimum amount on the meter that is likely to attract a crowd.
That's my basic approach to determing when to start playing. What about when to stop?
If I'm playing a progressive "early," before getting a seat is a concern, I play until I haver something better to do. But at some point, you want to make a commitment to stay until the progressive is hit or you physically can't play any longer.
When to do this is basically a matter of guesswork. The key thing to keep in mind is that there is no way to predict when a progressive will be hit. Progressives are often found at casino bars, and bartenders, trying to be helpful, have told me more than once that, based on their experience, a progressive should be about to pop or is overdue to be hit.
This is nonsense. When the royal comes is determined by a random number generator, which has no knowledge of how long it's been since the last royal flush or what amount is showing on the meter. The liklihood of a player getting a royal flush on a particular hand is exactly the same whether he or she got a royal on the previous hand or hasn't had one in months.
Often a juicy progressive will last longer than one person can stay awake. Having an arrangement to trade of with one or more other players can keep you in the game longer than going it alone. Just be sure you have a complete agreement with your teammates on all relevant terms.
Tuesday, October 13, 2015
Some not-so-obvious reasons to play video poker progressives
The obvious reason to play video poker progressives is the opportunity they provide to win a jackpot not otherwise available on a game of the same denomination. The typical progressive starts at the normal amount for the full-coin royal flush and goes up from there. Although some casinos cap progressive jackpots, generally there is no limit to how big they can grow.
As we have seen, a big jackpot does not necessarily make a progressive a good long-term play. But for the casual player, it's not irrational to prefer a game that offers the possibility of a big hit even if the paytable shorts some of the smaller hands. That's why many bars have progressives -- often, but not always, with very tight pay tables. Many of the customers there are interested in playing only long enough to get a free drink.
For the player in it for the long term, the main reason to play video poker progressives is that they can offer a better expected value than any other available game. But there are other reasons:
1. Many casinos reduce the points or other benefits earned by playing their best games. This started with 100 percent payback games but at some casinos has spread to games that pay back less. A progressives may have a theoretical return of more than 100 percent as the meter rises but still offer players full points based on the pay table.
2. Similarly, theoretical return is factor in many casinos' formulas regarding mailers and other benefits. It appears that when this is the case, "theo" is based on the pay table with the royal flush at reset. Casinos do not seem to be able to track changes in the return of progresssives as they are being played. So playing a progressive may bring more future free play and other benefits than playing a game with a looser underlying pay table.
3. Advantage video poker players think in terms of the hourly value of a play. Progressives can offer not only some of the highest-value plays, but plays that last longer than other opportunities. A progressive can be attractive for days or weeks before it is hit, whereas other advantage plays, such as point multipliers, may be good only for hours or for a number of base points that can be played in a short time.
4. As a progressive jackpot grows, a sense of excitement often develops. Part of this is due to the fact that the value of playing a progressive increases as the meter rises. The value of playing a static game is always the same (except for point multipliers and other benefits provided by the casino), but each minute playing a progressive is more valuable that the prior minute, until it is hit. At least theoretically, the longer you stay, the more money you make.
It is important to keep in mind that the return of playing a progressive is a long-term concept. Most of the time when you play you are not going to hit the royal, and you are not going to come out ahead. But your results in the long term eventually will reflect the overall expected value of the games you play.
Sunday, October 11, 2015
An introduction to video poker progressives
Bob Dancer, the leading video poker authority and an active player, recently wrote a column for the Las Vegas Advisor (www.lasvegasadvisor.com) about why he does not play video poker progressives. His reasons were mostly matters of personal preference. He did not say that advantage players or other smart players should not play progressives, and many of us do. As time permits, I plan to write several blog posts about video poker and other progressives.
What is a progressive? Simply put, it's a game in which a small part of the money bet by the players goes into one or more growing jackpots. Progressives can be found in slots, video poker, keno (live and video) and table games. The concept has virtually unlimited possible applications in the casino environment.
Why would casinos allow progressives, rather than keep the money going into the jackpot for themselves? First, progressives allow casinos to offer larger than normal prizes to players. A full-coin royal flush in most 25-cent video poker games is $1,000; the royal in a quarter progressive starts at $1,000 and goes up from there, possibly to $2,000, $3,000 or more. Second, progressives, many of which have signs showing the amount of the jackpot, create excitement and attract players as they see the amount they might win growing rapidly.
Sounds like a win-win. The casino offers players more, but with the players' own money feeding the pot. But in reality, casinos often aren't willing to divert even a small percentage money wagered without making up for it -- or more than making up for it. With video poker, progressives are often found on games with substandard pay tables.
For example, a casino might offer as its best non-progressive game 9/6 (full pay) jacks or better, with a long-term maximum payback to players of 99.54 percent. A progressive game might be found on 8/5 jacks or better, with a maximum payback at reset of 97.30 percent. A big progressive jackpot can make this a good play, even a better long-term play than the 9/6 jacks, but you have to know when and how to play it. More about that later.
First, let's talk about how you find video poker progressives. Often they are advertised by electronic signs. These may be simply show dollar amounts or contain other information, such as the donomination of the game. Often these signs apply to a group of machines feeding into a single progressive jackpot. Progressives are also found on idvidual machines, in which case the only way to tell there is a progressive is to look at the pay table. The web site VPFree2 lists and gives locations for the better progressives at many casinos.
Many casinos offer progressives at their bars. Often there is a sign above the bar, or two signs if there are progressives of different denominations (typically quarters and dollars). Individual machines must be checked to see which progressives are on them (often only one denomination per machine). On multi-game machines, sometimes only one game will have the progressive, sometimes more than one or all the games will. Usually the screen that appears after you push the "more games" button will show which games have the progressive, and sometimes the jackpot amount.
At many casinos progressives can be found on the casino floor. Often there are signs, some quite elaborate, above banks of machines with progressives games. But as at the bars, you have to look at the pay tables to find some progressives.
You can go into many casinos and find several video poker progressives at popular denomiations. How can you tell which ones -- if any -- are good plays? A huge jackpot alone does not make a progressive a good play.
First, you must know that there are several versions of most popular video poker games, and that changes in pay tables can have a big effect on the payback of the game. A big factor in finding good video poker progressives is find progressives with good pay tables.
But, as noted earlier, even progressives with relatively bad pay tables, such as 8/5 jacks, can be good plays. A big progressive jackpot can make up for lower return of the underlying game. For example, the break-even point of a 25-cent 9/6 progressive -- the amount of the royal flush that brings the long-term return of the game to 100 percent -- is $1,220. The break-even amount for 8/5 jacks is a whopping $2,166.
The break-even amounts, of most versions of most video poker games can be found in the Frugal Video Poker Scouting Guide by Jean Scott and Viktor Nacht (RGE Publishing, Ltd.), which also contains almost 200 pay schedules and the maximum return for each game. The return of different games, including progressives, can also be determined using the software Video Poker for Winners, which, like the Scouting Guide, should be used by every serious video poker player.
In the field, you can estimate the return of a progressive game by adding 0.5 percent to the payback of the base game for every 1,000 coins added to the amount of the royal flush. For example, let's say you find a progressive on a $1 15/9 "pseudo not-do-ugly" deuces game with the royal at $6,000. The return on the underlying game is about just over 98.9 percent. The 2,000 coins added to the royal adds about 1 percent to the return of the game, leaving it just short of break-even, not counting the value of points and/or other icentives the casino might provide. According to the Scouting Guide, the actual break-even amount for this game is $6,244.
It's important to keep in mind that the return of any progressive is a long-term theoretical concept. You will get or exceed that return only after hitting your share of royal flushes and other rare hands. This is not likely to happen in one or a few sessions or weeks or months playing progressives. In most video poker games, a royal flush occurs very roughly once every 40,000 hands. For a fast player, that's once every 50 hours. And that's the average. You can and will go multiples of that many hours between royals if you become a serious player.
In the real world, a 9/6 jacks progressive at break-even and an 8/5 jacks progressive of the same denomination at break-even are far from equal. You will lose a lot more money between royals playing the latter than the former. That means you will need more money to play the latter, to survive the deeper negative swings. If you normally play 9/6 jacks for dollars, you might want to consider 8/5 jacks progressives only for 50 cents or less.
Another consideration is that the optimum strategies for different versions of the same games are different. If you normally play 9/6 jacks and want to play an 8/5 jacks progressive, to get even the meager return of the base game, you'll have to learn some changes from 9/6 strategy. In either version of jacks, further strategy changes are needed as the progressive jackpot grows to maximize the return of the game. (The work required to learn these strategy changes is one reason Dancer does not play progressives. He does not usually feel comfortable playing any less than perfect strategy.)
For these reasons, I tend to be very selective about the progressives I monitor and play. I usually won't play for any length of time any progressive where the underlying game pays back much less than 99 percent. I also look for progressives on games with strategies similar to those of the non-progressive games I normally play. One of my main non-progressive games is 16/10 "not so ugly" deuces wild. I'm comfortable playing progressives on 15/9 "pseudo not so ugly" deuces, which has a similar strategy. The other progressives I play most are on 16/10 deuces, 9/6 jacks and 8/5 bonus poker (with a stategy similar to that for 9/6 jacks).
There are other factors in deciding which progressives to play, and even more in deciding when to start playing. I'll discuss those in future posts.
What is a progressive? Simply put, it's a game in which a small part of the money bet by the players goes into one or more growing jackpots. Progressives can be found in slots, video poker, keno (live and video) and table games. The concept has virtually unlimited possible applications in the casino environment.
Why would casinos allow progressives, rather than keep the money going into the jackpot for themselves? First, progressives allow casinos to offer larger than normal prizes to players. A full-coin royal flush in most 25-cent video poker games is $1,000; the royal in a quarter progressive starts at $1,000 and goes up from there, possibly to $2,000, $3,000 or more. Second, progressives, many of which have signs showing the amount of the jackpot, create excitement and attract players as they see the amount they might win growing rapidly.
Sounds like a win-win. The casino offers players more, but with the players' own money feeding the pot. But in reality, casinos often aren't willing to divert even a small percentage money wagered without making up for it -- or more than making up for it. With video poker, progressives are often found on games with substandard pay tables.
For example, a casino might offer as its best non-progressive game 9/6 (full pay) jacks or better, with a long-term maximum payback to players of 99.54 percent. A progressive game might be found on 8/5 jacks or better, with a maximum payback at reset of 97.30 percent. A big progressive jackpot can make this a good play, even a better long-term play than the 9/6 jacks, but you have to know when and how to play it. More about that later.
First, let's talk about how you find video poker progressives. Often they are advertised by electronic signs. These may be simply show dollar amounts or contain other information, such as the donomination of the game. Often these signs apply to a group of machines feeding into a single progressive jackpot. Progressives are also found on idvidual machines, in which case the only way to tell there is a progressive is to look at the pay table. The web site VPFree2 lists and gives locations for the better progressives at many casinos.
Many casinos offer progressives at their bars. Often there is a sign above the bar, or two signs if there are progressives of different denominations (typically quarters and dollars). Individual machines must be checked to see which progressives are on them (often only one denomination per machine). On multi-game machines, sometimes only one game will have the progressive, sometimes more than one or all the games will. Usually the screen that appears after you push the "more games" button will show which games have the progressive, and sometimes the jackpot amount.
At many casinos progressives can be found on the casino floor. Often there are signs, some quite elaborate, above banks of machines with progressives games. But as at the bars, you have to look at the pay tables to find some progressives.
You can go into many casinos and find several video poker progressives at popular denomiations. How can you tell which ones -- if any -- are good plays? A huge jackpot alone does not make a progressive a good play.
First, you must know that there are several versions of most popular video poker games, and that changes in pay tables can have a big effect on the payback of the game. A big factor in finding good video poker progressives is find progressives with good pay tables.
But, as noted earlier, even progressives with relatively bad pay tables, such as 8/5 jacks, can be good plays. A big progressive jackpot can make up for lower return of the underlying game. For example, the break-even point of a 25-cent 9/6 progressive -- the amount of the royal flush that brings the long-term return of the game to 100 percent -- is $1,220. The break-even amount for 8/5 jacks is a whopping $2,166.
The break-even amounts, of most versions of most video poker games can be found in the Frugal Video Poker Scouting Guide by Jean Scott and Viktor Nacht (RGE Publishing, Ltd.), which also contains almost 200 pay schedules and the maximum return for each game. The return of different games, including progressives, can also be determined using the software Video Poker for Winners, which, like the Scouting Guide, should be used by every serious video poker player.
In the field, you can estimate the return of a progressive game by adding 0.5 percent to the payback of the base game for every 1,000 coins added to the amount of the royal flush. For example, let's say you find a progressive on a $1 15/9 "pseudo not-do-ugly" deuces game with the royal at $6,000. The return on the underlying game is about just over 98.9 percent. The 2,000 coins added to the royal adds about 1 percent to the return of the game, leaving it just short of break-even, not counting the value of points and/or other icentives the casino might provide. According to the Scouting Guide, the actual break-even amount for this game is $6,244.
It's important to keep in mind that the return of any progressive is a long-term theoretical concept. You will get or exceed that return only after hitting your share of royal flushes and other rare hands. This is not likely to happen in one or a few sessions or weeks or months playing progressives. In most video poker games, a royal flush occurs very roughly once every 40,000 hands. For a fast player, that's once every 50 hours. And that's the average. You can and will go multiples of that many hours between royals if you become a serious player.
In the real world, a 9/6 jacks progressive at break-even and an 8/5 jacks progressive of the same denomination at break-even are far from equal. You will lose a lot more money between royals playing the latter than the former. That means you will need more money to play the latter, to survive the deeper negative swings. If you normally play 9/6 jacks for dollars, you might want to consider 8/5 jacks progressives only for 50 cents or less.
Another consideration is that the optimum strategies for different versions of the same games are different. If you normally play 9/6 jacks and want to play an 8/5 jacks progressive, to get even the meager return of the base game, you'll have to learn some changes from 9/6 strategy. In either version of jacks, further strategy changes are needed as the progressive jackpot grows to maximize the return of the game. (The work required to learn these strategy changes is one reason Dancer does not play progressives. He does not usually feel comfortable playing any less than perfect strategy.)
For these reasons, I tend to be very selective about the progressives I monitor and play. I usually won't play for any length of time any progressive where the underlying game pays back much less than 99 percent. I also look for progressives on games with strategies similar to those of the non-progressive games I normally play. One of my main non-progressive games is 16/10 "not so ugly" deuces wild. I'm comfortable playing progressives on 15/9 "pseudo not so ugly" deuces, which has a similar strategy. The other progressives I play most are on 16/10 deuces, 9/6 jacks and 8/5 bonus poker (with a stategy similar to that for 9/6 jacks).
There are other factors in deciding which progressives to play, and even more in deciding when to start playing. I'll discuss those in future posts.
Saturday, August 22, 2015
Interesting items in gaming news
This one I literally refuse to believe. Blogger David McKee reports on the Las Vegas Advisor web site that MGM Resorts, owner of several major Las Vegas casinos, plans to convert all its remaining 3:2 blackjack games on the Strip to 6:5.
For those not familiar with blackjack, one of the basics of the game is that a player dealt a blackjack -- an ace and ten-value card -- is paid one and a half times his bet, or 3:2.
In the past decade, many casinos have reduced the payout for blackjack to 6:5, starting with single-deck games. Gradually the 6;5 curse has spread to other games, including some as bad as eight-deck shoes with no double after split.
I don't spend much time on the Strip, but unless things have changed drastically in the past year, there are still many good 3:2 games there, especially at MGM properties. Downtown and at the locals casinos, most games still pay the traditional 3:2.
It is sad but true that many ploppies will play a game that pays them $12 for a blackjack on a $10 bet instead of $15, robbing them of about $12 an hour based on the average number of blackjacks received by a player in a moderately fast game. To an extent, 6:5 games have gained acceptance by a segment of the gaming public.
But that is not to say that those who now play 3:2 games, especially for higher stakes, will acquiesce in a change to 6:5. A $100 bettor is being shortchanged $120 an hour by a 6:5 game, and it is hard to believe that that amount of damage won't soon be felt.
If MGM goes through with its horrible idea, it will present a golden opportunity for its competition to tout the availability of its full-pay blackjack games. Explaining the difference between a 3:2 game and a 6:5 game isn't that complicated and should be easily accomplished in newspaper, magazine, billboard and online advertising.
I predict that if MGM goes through with this plan, its blackjack play will drop off precipitously and it will be forced to relent. You read it here first.
The other item of interest is from Vegas Inc., also by way of Las Vegas Advisor. It's about a report commissioned by the Association of Gaming Equipment Manufacturers which suggests that the reduction in slot machine payouts in recent years has led to a decline in slot revenues. The Vegas Inc. story, including a link to the study, can be found at http://vegasinc.com/business/gaming/2015/aug/20/slot-revenue-drops-machines-get-tighter-industry/
The idea that people will play less if games return less is a subject of hot debate in the gaming industry. Some believe that variance -- the ups and downs of a game's return -- far outweigh long-term average return in most players' experience. Others argue that the effect of a reduction in return cannot be masked for very long as players experience less "time on device" for their money.
My opinion is that the first point of view made more sense when gaming was confined mostly to a few resort destination. Now that gaming is widely available, many more people are able to play more often and get a more accurate idea of how quickly their money is likely to disappear in a typical session.
Absent from both the study and the Vegas Inc. article was any mention of the growth of penny slots in recent years. These machines have become very popular despite the fact that they have the lowest payouts. So, at least to some extent, slot players have themselves to blame for the lower returns they are getting.
Both of these news items bring to mind two recurring thoughts of mine concerning the casino business. First, unlike other transactions in a market economy, all aspects of gaming are a zero-sum game. What the players get comes out of the pockets of the casinos and vice-versa. Second, except for the pathetic addicted degenerate gamblers that the industry claims it would never want as customers, no one has to gamble. Casinos are in competition not only with each other but with all other forms of entertainment. Try to take so much from the customer that the enjoyment from gambling is no longer worth the cost, and people will do other things for fun.
Perhaps the biggest threat to the future of gaming as an industry is the constant craving of Wall Street for earnings growth. In this era of gaming saturation, expansion can no longer satisfy this appetite. As the big casino companies try to increase earnings by further squeezing their customers, they will reach a point where they hurt their own bottom line. We may be near that point now.
For those not familiar with blackjack, one of the basics of the game is that a player dealt a blackjack -- an ace and ten-value card -- is paid one and a half times his bet, or 3:2.
In the past decade, many casinos have reduced the payout for blackjack to 6:5, starting with single-deck games. Gradually the 6;5 curse has spread to other games, including some as bad as eight-deck shoes with no double after split.
I don't spend much time on the Strip, but unless things have changed drastically in the past year, there are still many good 3:2 games there, especially at MGM properties. Downtown and at the locals casinos, most games still pay the traditional 3:2.
It is sad but true that many ploppies will play a game that pays them $12 for a blackjack on a $10 bet instead of $15, robbing them of about $12 an hour based on the average number of blackjacks received by a player in a moderately fast game. To an extent, 6:5 games have gained acceptance by a segment of the gaming public.
But that is not to say that those who now play 3:2 games, especially for higher stakes, will acquiesce in a change to 6:5. A $100 bettor is being shortchanged $120 an hour by a 6:5 game, and it is hard to believe that that amount of damage won't soon be felt.
If MGM goes through with its horrible idea, it will present a golden opportunity for its competition to tout the availability of its full-pay blackjack games. Explaining the difference between a 3:2 game and a 6:5 game isn't that complicated and should be easily accomplished in newspaper, magazine, billboard and online advertising.
I predict that if MGM goes through with this plan, its blackjack play will drop off precipitously and it will be forced to relent. You read it here first.
The other item of interest is from Vegas Inc., also by way of Las Vegas Advisor. It's about a report commissioned by the Association of Gaming Equipment Manufacturers which suggests that the reduction in slot machine payouts in recent years has led to a decline in slot revenues. The Vegas Inc. story, including a link to the study, can be found at http://vegasinc.com/business/gaming/2015/aug/20/slot-revenue-drops-machines-get-tighter-industry/
The idea that people will play less if games return less is a subject of hot debate in the gaming industry. Some believe that variance -- the ups and downs of a game's return -- far outweigh long-term average return in most players' experience. Others argue that the effect of a reduction in return cannot be masked for very long as players experience less "time on device" for their money.
My opinion is that the first point of view made more sense when gaming was confined mostly to a few resort destination. Now that gaming is widely available, many more people are able to play more often and get a more accurate idea of how quickly their money is likely to disappear in a typical session.
Absent from both the study and the Vegas Inc. article was any mention of the growth of penny slots in recent years. These machines have become very popular despite the fact that they have the lowest payouts. So, at least to some extent, slot players have themselves to blame for the lower returns they are getting.
Both of these news items bring to mind two recurring thoughts of mine concerning the casino business. First, unlike other transactions in a market economy, all aspects of gaming are a zero-sum game. What the players get comes out of the pockets of the casinos and vice-versa. Second, except for the pathetic addicted degenerate gamblers that the industry claims it would never want as customers, no one has to gamble. Casinos are in competition not only with each other but with all other forms of entertainment. Try to take so much from the customer that the enjoyment from gambling is no longer worth the cost, and people will do other things for fun.
Perhaps the biggest threat to the future of gaming as an industry is the constant craving of Wall Street for earnings growth. In this era of gaming saturation, expansion can no longer satisfy this appetite. As the big casino companies try to increase earnings by further squeezing their customers, they will reach a point where they hurt their own bottom line. We may be near that point now.
Tuesday, July 28, 2015
An unwelcome hand pay
To most slot and video poker players, a hand pay is usually a good thing. A hand pay, as its name implies, is a jackpot that must be paid by an employee, usually because it is $1,200 or more and must be reported to the IRS. When a player hits such a jackpot, the machine locks up and usually starts playing music. The screen will alternately flash the amount of the jackpot and the words "call attendant," although in virtually all cases the machine has electronically notified the slot attendant dispatcher of the fortuitous event. At a casino with a competently run slot floor, an employee will arrive within a couple of minutes, punch some data into the machine, ask the player for ID and a Social Security number, then go to work station to prepare the tax forms and get the money. Five minutes or so later, the player is paid, the machine reset, and life goes on as before.
So when is this a bad thing? Well, if you're betting big stakes, especially on a multi-line game (triple play, five play, ten play, fifty play or hundred play), the jackpots can constantly interrupt your play. Sometimes a casino will minimize the stoppages by stationing an employee next to a big player to record all the jackpots and add them up later, issuing one collective tax form. This is called "key to credit."
A jackpot can also be a nuisance if if you're playing a high limit, single line game, such as $5 jacks or better. A straight flush in this game (with max coin bet) pays $1,250, which feels more like upward blip in fortune than a windfall. Stopping play, waiting to be paid and dealing with employees who expect to be tipped is annoying when you don't feel as if if you've really won anything. Some casinos, such as the Rio in Las Vegas, avoid this unhappy situation by reducing the payout for the straight flush to $1.199, which benefits the player by avoiding a hand-pay situation, saves time and work for casino employees, and saves the casino $51 each occurrence. Because the straight flush is quite rare, the reduction in the payback of the game is a minuscule 0.02 percent, in my opinion an acceptable price to pay as a player.
There's one other situation in which a hand pay is a nuisance, and this is especially annoying because it is unnecessary and exploitative. Machines can be set to require a hand pay for amounts less than $1,200, and some casinos do this.
Tonight I was playing at Emerald Island, a small casino in downtown Henderson, a suburb of Las Vegas. This is an extreme low roller environment, billed as "Nevada's only all penny casino." I'm not sure exactly what the slogan means, but the game I play there is 300-coin "not so ugly" nickel deuces on a 10-play machine. So I was betting $15 a hand, three times as much as if I had been playing a $1 single-line game. Anyone who has played at this level knows that you can lose hundreds of dollars in 15 or 20 minutes, and this has often been my experience at Emerald Island.
But soon after sitting down tonight, I got lucky. I was dealt three deuces, and hit the fourth on two lines, for a total of $600. Much to my surprise, the machine locked up and started playing jackpot music.
A waited a few minutes then a few minutes more, getting annoyed that no one showed up. Eventually I tracked someone down and was paid. The employee told me that every jackpot of $400 or more at Emerald Island is a hand pay.
Why would a casino create this extra work for its employees and annoyance for its customers? The only reason I can think of is that management thinks it creates a tipping opportunity. Many customers, including me, do tip on hand pays, particularly of $1,200 or more. I have sometimes tipped on smaller jackpots ($1,000 seems to be a popular threshold) but I was not about to tip for $643 (including the wins on lines other than the two sets of deuces), especially when the service was lousy. On the other hand, to a penny or nickel player, a $400 win might seem like enough of a windfall to warrant a tip, especially in a case of good service and/or an employee known and liked by the customer.
Although I am generally opposed to making unnecessary work for the purpose of generating tips, in Emerald Island's case I understand the policy -- in most cases. But it seems to me that on machines where customers are playing at higher stakes, the jackpot trigger amount should be set higher.
So when is this a bad thing? Well, if you're betting big stakes, especially on a multi-line game (triple play, five play, ten play, fifty play or hundred play), the jackpots can constantly interrupt your play. Sometimes a casino will minimize the stoppages by stationing an employee next to a big player to record all the jackpots and add them up later, issuing one collective tax form. This is called "key to credit."
A jackpot can also be a nuisance if if you're playing a high limit, single line game, such as $5 jacks or better. A straight flush in this game (with max coin bet) pays $1,250, which feels more like upward blip in fortune than a windfall. Stopping play, waiting to be paid and dealing with employees who expect to be tipped is annoying when you don't feel as if if you've really won anything. Some casinos, such as the Rio in Las Vegas, avoid this unhappy situation by reducing the payout for the straight flush to $1.199, which benefits the player by avoiding a hand-pay situation, saves time and work for casino employees, and saves the casino $51 each occurrence. Because the straight flush is quite rare, the reduction in the payback of the game is a minuscule 0.02 percent, in my opinion an acceptable price to pay as a player.
There's one other situation in which a hand pay is a nuisance, and this is especially annoying because it is unnecessary and exploitative. Machines can be set to require a hand pay for amounts less than $1,200, and some casinos do this.
Tonight I was playing at Emerald Island, a small casino in downtown Henderson, a suburb of Las Vegas. This is an extreme low roller environment, billed as "Nevada's only all penny casino." I'm not sure exactly what the slogan means, but the game I play there is 300-coin "not so ugly" nickel deuces on a 10-play machine. So I was betting $15 a hand, three times as much as if I had been playing a $1 single-line game. Anyone who has played at this level knows that you can lose hundreds of dollars in 15 or 20 minutes, and this has often been my experience at Emerald Island.
But soon after sitting down tonight, I got lucky. I was dealt three deuces, and hit the fourth on two lines, for a total of $600. Much to my surprise, the machine locked up and started playing jackpot music.
A waited a few minutes then a few minutes more, getting annoyed that no one showed up. Eventually I tracked someone down and was paid. The employee told me that every jackpot of $400 or more at Emerald Island is a hand pay.
Why would a casino create this extra work for its employees and annoyance for its customers? The only reason I can think of is that management thinks it creates a tipping opportunity. Many customers, including me, do tip on hand pays, particularly of $1,200 or more. I have sometimes tipped on smaller jackpots ($1,000 seems to be a popular threshold) but I was not about to tip for $643 (including the wins on lines other than the two sets of deuces), especially when the service was lousy. On the other hand, to a penny or nickel player, a $400 win might seem like enough of a windfall to warrant a tip, especially in a case of good service and/or an employee known and liked by the customer.
Although I am generally opposed to making unnecessary work for the purpose of generating tips, in Emerald Island's case I understand the policy -- in most cases. But it seems to me that on machines where customers are playing at higher stakes, the jackpot trigger amount should be set higher.
Friday, June 26, 2015
A hint of desperation
It's been very hot in Las Vegas lately -- today's high, 112 degrees -- and maybe that's resulted in fewer people going out to gamble. Whatever the reason, several casinos have taken unusual steps recently to lure players in.
It's been a long time since the Palms has offered point multipliers. Instead, it allows players to earn gift cards with weekday play at a rate of 0.2 percent on video poker. That's almost equal to the point value of 0.25 percent. But the other day I got an e-mail from the Palms offering double points yesterday, a day on which play also counted toward gift cards, bringing the total value offered to 0.7 percent. The best game on which the multiplier could be earned was 16/10 "not-so-ugly" deuces, with a maximum payback of 99.73, making for a 100.4+ percent play. (On top of that, I had an American Casino Guide coupon for $50 in free play after earning 15,000 points in one day, adding 0.33 percent.) I was worried so many people would come to the Palms for the point multiplier that all the "good" machines would be taken, but that proved not to be a problem.
When I checked my e-mail last night, there was an offer for $15 in free play today or tomorrow from Station Casinos. Stations has rarely if ever made such an offer by e-mail. This offer and the Palms point multiplier seem to me to be attempts to boost coin-in totals before the end of the month, indicating that play to this point has not been up to expectations.
Another indication of desperation: A few weeks ago, the SLS, the north Strip casino that had been the Sahara, offered 10 times points on video poker. My spouse and I both went in and lost a lot of money. The other day, a host called and offered her a 5 percent rebate in free play of her loss that day. Brilliant woman that she is, she asked the host to check on my play that day to see I could get a rebate as well. Sure enough, the host called back and said I could get $150 in addition to the $350 offered my spouse.
While I was at the SLS the day of our big losses, I chatted with a host I recognized from the now-closed Riviera. She admitted the property was struggling, and was trying to attract locals. Ever helpful, I offered some free advice.
First, I will say that it's hard to attract locals to the Strip on a regular basis because of traffic and parking concerns. For those lacking comps, the restaurants and other amenities on the Strip are much more expensive than in the locals casinos or downtown. The machines, both reel slots and video poker, are generally tighter, and table game minimums are higher. To a degree this is necessary because of the higher costs of operating on the Strip.
In some respects, SLS, away from the center of the Strip, is relatively well positioned to draw locals. It's near I-15's Sahara Avenue exit and has lots of convenient garage parking, which can be entered from either the Las Vegas Boulevard or Paradise Avenue sides of the building. But the big challenge facing the SLS and other Strip and downtown properties trying to draw locals is this: What can I offer to make it worthwhile for people to drive past the Red Rock Resort, Green Valley Ranch or other major locals casinos to come to my property?
I pointed out to the host from the Riviera that the SLS's video poker pay tables are not competitive with those at the locals casinos and that when the SLS was the Sahara, it had a section called Locals Lane that featured better video poker as well as reel slots. (There was no requirement that you had to be a local to play in Locals Lane; it was open to everyone.) Bringing back Locals Lane or something like it would indicate that the SLS is willing to do something special to win their business.
Something the SLS has been doing and should build on is holding tournaments. The locals casinos don't offer many tournaments of any significant value. When what is now the Westgate was the Las Vegas Hilton, it offered monthly tournaments geared most to locals as well as larger tournaments that were open to qualifying locals. These tournaments helped build a loyal group of local customers, many of whom formed friendships not only with one another but also with casino employees. (The casino business, though largely taken over by numbers crunchers, also still is -- or should be -- a relationship business.)
Another thing the SLS might try to do is market itself as the place for locals' friends and family members to stay on the Strip. Offering locals free room nights that can be used by visitors might bring in new out-of-town customers who could be marketed to separately. The SLS is an attractive property, catering to the sensibilities of younger people. To this crowd, the resort's location away from the center of the Strip may be a disadvantage, but one that could be at least partially overcome by cooperative marketing with the Las Vegas Monorail, which stops at the property. Possibility: a free Monorail pass with every stay of more than a specified number of nights.
One thing the SLS has been doing that I don't think is likely to be effective is blitzing locals with gift offers. Although gifts have been very effective at locals casinos in getting people through the doors, I doubt they will be as good at a casino that most customers have to travel a considerable distance and/or go out of their way to reach. And then there's still the problem of getting people to play once you've gotten them in the door. If I were in management at SLS, I would consider redirecting the gift budget to dining offers. This would be in line with the overall marketing of the resort as a "foodie" destination. One thing I might to for locals is offer a discount for walking in that could be upgraded to a free meal with a certain amount of play.
Finally, Boyd Gaming has expanded its Wednesday "Young at Heart" program from the Coast locals casinos to its downtown properties, the Fremont, California and Main Street Station. This month there have been separate "Young at Heart" point multipliers -- up to 30 times points on video poker with a maximum of 100,000 multiplied points -- during the day and from 7 p.m. to midnight, as well as drawing, buffet offers and dining credits.
I think its smart for Boyd to market its downtown casinos to locals. Boyd's Coast chain has about half as many properties at Stations, its major competitor in the locals market. Two Coast properties, the Orleans and Gold Coast, are very close to each other. There is no Coast property in the northern part of the Las Vegas Valley, where Stations has Santa Fe Station, Texas Station and Fiesta Rancho.
But it's not going to be easy for Boyd to get middle-aged, middle-class residents of the outlying areas to come downtown. Panhandlers, drunken tourists, traffic hassles, parking restrictions and outdated properties are among the turn-offs. Attractive gaming offers are probably necessary but not sufficient to draw more locals. What's needed is an education effort that frankly addresses the reasons locals have for not wanting to go downtown and letting them know what Boyd has done to minimize the problems and why its worth making the trip despite the problems that can't be eliminated.
For example: The Fremont has no self-parking, only valet. Parking at other casinos along Fremont Street is no longer a good option for visitors to the Fremont who don't also want to play or eat at another casino. But, as my spouse found out only by asking, anyone with a Boyd sapphire or emerald players card can park all day for free at the California's garage, without the hassle of dealing with validation. Boyd needs to let locals know they can park downtown, in a covered garage, virtually hassle-free.
Although driving into and out of downtown is pretty easy, it's easy for those not familiar with the tangle of highways leading there to be intimidated. Any mailing aimed to get people downtown should provide maps and directions to the properties being marketed.
Of the three downtown Boyd casinos, one is right on the Fremont Street Experience and two are a short walk from it. I think this situation calls for some sophisticated marketing, especially to locals. I would try to get locals to think of one of the casinos -- Main Street Station is my choice -- as their "headquarters," with easy access to the others for those who want it as a bonus.
Main Street is the most attractive of the three properties and the farthest from the commotion of the FSE. It has a nice buffet and a brew pub, amenities that many locals should find attractive. It is connected by enclosed bridge to the Cal, where patrons can park all day in a covered garage (MSS also has its own huge surface parking lot, but that's not a competitive option for locals). The Cal itself has been established as a magnet for visitors from Hawaii, I believe its main attraction to locals would be as an annex to MSS, offering additional dining and shopping options.
The Fremont offers the most challenges in marketing to locals. As noted, it lacks self-parking. It's only a short walk from the Cal, but along unattractive streets lined by the backs of parking garages. Its main attractions are restaurants including a very popular Tony Roma's and its video poker, particularly NSU deuces at high denominations. Some locals will want to leave the MSS-Cal cocoon for the Fremont; others won't. The marketing for these properties should stress that you don't have to, but you can, and it's not difficult or dangerous to do so (maybe security escorts should be offered to those reluctant to take the walk).
Downtown attractions such as the Smith Center and Mob Museum might offer cross-marketing opportunities for Boyd, as well as additional reasons for people to come downtown.
Both the SLS and the Boyd downtown properties illustrate the need for marketers to assess the advantages and disadvantages of their properties in regard to each type of customer they hope to attract. They must also try to ascertain the reasons customers have for not coming to their properties, and do what they can to refute or at least mitigate these objections.
A final suggestion: In a still-struggling economy, most businesses -- especially those relying on discretionary spending -- compete by offering more value, not less. Since the economic crisis of 2008, many gaming companies have downgraded pay tables, tightening rules, cut comps and otherwise reduced customer value. Especially for casinos struggling to attract customers, maybe its time for a different approach.
It's been a long time since the Palms has offered point multipliers. Instead, it allows players to earn gift cards with weekday play at a rate of 0.2 percent on video poker. That's almost equal to the point value of 0.25 percent. But the other day I got an e-mail from the Palms offering double points yesterday, a day on which play also counted toward gift cards, bringing the total value offered to 0.7 percent. The best game on which the multiplier could be earned was 16/10 "not-so-ugly" deuces, with a maximum payback of 99.73, making for a 100.4+ percent play. (On top of that, I had an American Casino Guide coupon for $50 in free play after earning 15,000 points in one day, adding 0.33 percent.) I was worried so many people would come to the Palms for the point multiplier that all the "good" machines would be taken, but that proved not to be a problem.
When I checked my e-mail last night, there was an offer for $15 in free play today or tomorrow from Station Casinos. Stations has rarely if ever made such an offer by e-mail. This offer and the Palms point multiplier seem to me to be attempts to boost coin-in totals before the end of the month, indicating that play to this point has not been up to expectations.
Another indication of desperation: A few weeks ago, the SLS, the north Strip casino that had been the Sahara, offered 10 times points on video poker. My spouse and I both went in and lost a lot of money. The other day, a host called and offered her a 5 percent rebate in free play of her loss that day. Brilliant woman that she is, she asked the host to check on my play that day to see I could get a rebate as well. Sure enough, the host called back and said I could get $150 in addition to the $350 offered my spouse.
While I was at the SLS the day of our big losses, I chatted with a host I recognized from the now-closed Riviera. She admitted the property was struggling, and was trying to attract locals. Ever helpful, I offered some free advice.
First, I will say that it's hard to attract locals to the Strip on a regular basis because of traffic and parking concerns. For those lacking comps, the restaurants and other amenities on the Strip are much more expensive than in the locals casinos or downtown. The machines, both reel slots and video poker, are generally tighter, and table game minimums are higher. To a degree this is necessary because of the higher costs of operating on the Strip.
In some respects, SLS, away from the center of the Strip, is relatively well positioned to draw locals. It's near I-15's Sahara Avenue exit and has lots of convenient garage parking, which can be entered from either the Las Vegas Boulevard or Paradise Avenue sides of the building. But the big challenge facing the SLS and other Strip and downtown properties trying to draw locals is this: What can I offer to make it worthwhile for people to drive past the Red Rock Resort, Green Valley Ranch or other major locals casinos to come to my property?
I pointed out to the host from the Riviera that the SLS's video poker pay tables are not competitive with those at the locals casinos and that when the SLS was the Sahara, it had a section called Locals Lane that featured better video poker as well as reel slots. (There was no requirement that you had to be a local to play in Locals Lane; it was open to everyone.) Bringing back Locals Lane or something like it would indicate that the SLS is willing to do something special to win their business.
Something the SLS has been doing and should build on is holding tournaments. The locals casinos don't offer many tournaments of any significant value. When what is now the Westgate was the Las Vegas Hilton, it offered monthly tournaments geared most to locals as well as larger tournaments that were open to qualifying locals. These tournaments helped build a loyal group of local customers, many of whom formed friendships not only with one another but also with casino employees. (The casino business, though largely taken over by numbers crunchers, also still is -- or should be -- a relationship business.)
Another thing the SLS might try to do is market itself as the place for locals' friends and family members to stay on the Strip. Offering locals free room nights that can be used by visitors might bring in new out-of-town customers who could be marketed to separately. The SLS is an attractive property, catering to the sensibilities of younger people. To this crowd, the resort's location away from the center of the Strip may be a disadvantage, but one that could be at least partially overcome by cooperative marketing with the Las Vegas Monorail, which stops at the property. Possibility: a free Monorail pass with every stay of more than a specified number of nights.
One thing the SLS has been doing that I don't think is likely to be effective is blitzing locals with gift offers. Although gifts have been very effective at locals casinos in getting people through the doors, I doubt they will be as good at a casino that most customers have to travel a considerable distance and/or go out of their way to reach. And then there's still the problem of getting people to play once you've gotten them in the door. If I were in management at SLS, I would consider redirecting the gift budget to dining offers. This would be in line with the overall marketing of the resort as a "foodie" destination. One thing I might to for locals is offer a discount for walking in that could be upgraded to a free meal with a certain amount of play.
Finally, Boyd Gaming has expanded its Wednesday "Young at Heart" program from the Coast locals casinos to its downtown properties, the Fremont, California and Main Street Station. This month there have been separate "Young at Heart" point multipliers -- up to 30 times points on video poker with a maximum of 100,000 multiplied points -- during the day and from 7 p.m. to midnight, as well as drawing, buffet offers and dining credits.
I think its smart for Boyd to market its downtown casinos to locals. Boyd's Coast chain has about half as many properties at Stations, its major competitor in the locals market. Two Coast properties, the Orleans and Gold Coast, are very close to each other. There is no Coast property in the northern part of the Las Vegas Valley, where Stations has Santa Fe Station, Texas Station and Fiesta Rancho.
But it's not going to be easy for Boyd to get middle-aged, middle-class residents of the outlying areas to come downtown. Panhandlers, drunken tourists, traffic hassles, parking restrictions and outdated properties are among the turn-offs. Attractive gaming offers are probably necessary but not sufficient to draw more locals. What's needed is an education effort that frankly addresses the reasons locals have for not wanting to go downtown and letting them know what Boyd has done to minimize the problems and why its worth making the trip despite the problems that can't be eliminated.
For example: The Fremont has no self-parking, only valet. Parking at other casinos along Fremont Street is no longer a good option for visitors to the Fremont who don't also want to play or eat at another casino. But, as my spouse found out only by asking, anyone with a Boyd sapphire or emerald players card can park all day for free at the California's garage, without the hassle of dealing with validation. Boyd needs to let locals know they can park downtown, in a covered garage, virtually hassle-free.
Although driving into and out of downtown is pretty easy, it's easy for those not familiar with the tangle of highways leading there to be intimidated. Any mailing aimed to get people downtown should provide maps and directions to the properties being marketed.
Of the three downtown Boyd casinos, one is right on the Fremont Street Experience and two are a short walk from it. I think this situation calls for some sophisticated marketing, especially to locals. I would try to get locals to think of one of the casinos -- Main Street Station is my choice -- as their "headquarters," with easy access to the others for those who want it as a bonus.
Main Street is the most attractive of the three properties and the farthest from the commotion of the FSE. It has a nice buffet and a brew pub, amenities that many locals should find attractive. It is connected by enclosed bridge to the Cal, where patrons can park all day in a covered garage (MSS also has its own huge surface parking lot, but that's not a competitive option for locals). The Cal itself has been established as a magnet for visitors from Hawaii, I believe its main attraction to locals would be as an annex to MSS, offering additional dining and shopping options.
The Fremont offers the most challenges in marketing to locals. As noted, it lacks self-parking. It's only a short walk from the Cal, but along unattractive streets lined by the backs of parking garages. Its main attractions are restaurants including a very popular Tony Roma's and its video poker, particularly NSU deuces at high denominations. Some locals will want to leave the MSS-Cal cocoon for the Fremont; others won't. The marketing for these properties should stress that you don't have to, but you can, and it's not difficult or dangerous to do so (maybe security escorts should be offered to those reluctant to take the walk).
Downtown attractions such as the Smith Center and Mob Museum might offer cross-marketing opportunities for Boyd, as well as additional reasons for people to come downtown.
Both the SLS and the Boyd downtown properties illustrate the need for marketers to assess the advantages and disadvantages of their properties in regard to each type of customer they hope to attract. They must also try to ascertain the reasons customers have for not coming to their properties, and do what they can to refute or at least mitigate these objections.
A final suggestion: In a still-struggling economy, most businesses -- especially those relying on discretionary spending -- compete by offering more value, not less. Since the economic crisis of 2008, many gaming companies have downgraded pay tables, tightening rules, cut comps and otherwise reduced customer value. Especially for casinos struggling to attract customers, maybe its time for a different approach.
Sunday, May 17, 2015
In praise of the buffet
Let's get this out of the way: Some people are not fond of buffets. I've never had a discussion with any of these people, but I guess their objections are these:
1. When I go out to eat, I want to be waited on.
2. There's too much food; it's an incitement to gluttony.
3. The quality of the food is not that good.
I can't argue with No. 1. That's a matter of personal preference, and if you just don't like the concept of a buffet, I can respect that.
For some people, No. 2 is a legitimate concern. Some people will sometimes eat more than they should, given the opportunity. I have been known to do this myself.
No. 3 is sometimes true. It is also sometimes true for sit-down restaurants. In both cases, the problem is with the individual establishment, not the concept.
Now, here's what's great about at least some buffets, particularly those in casinos:
1. Value. Often the buffet is expected to be a loss leader whose purpose is to get people in the door. In Las Vegas, Station Casinos appears to have adopted this approach. Add to this the fact that appetizers, accompaniments, desserts and soft drinks (sometimes even beer and wine) are included for one price, and the value is hard to beat. Some very good dinner buffets can be had in Vegas in the $15 range, which won't cover a sandwich, soft drink and dessert in most cafes.
2. Discounts. At most casinos, anyone with a player's card gets a dollar or two off the price of a buffet. At many, those with higher-tier cards get bigger discounts. Coupons with substantial savings are available from various sources, including the Las Vegas Advisor and American Casino Guide. And a buffet comp is the easiest food comp to get.
3. Speed. Since you don't have to wait for your food to be prepared, you can get out quickly. Getting in can be more of a problem. If you have a VIP-level player's card, you can get right in at many casinos. Many have shorter lines for those with comps than for customers who pay directly, rather than through their casino play.
4. Variety. If you're with a group of people who are in the mood for different cuisines, a good buffet can satisfy them all. If you want to mix Italian, Chinese and Mexican food in one meal, the buffet is the place. Also, the buffet offers a no-risk opportunity to try dishes you might not want to pay for individually at a sit-down restaurant.
5. No limits. If you want the soup and the salad, go for it. If the first portion wasn't enough, take a little more.
6. Healthy choices. As my brother recently said, "The buffet can be the worst place to eat, or the best place to eat." Most have salad bars, lots of fruits and vegetables, and other healthy options. I recently decided to make a serious effort to lose weight and improve my diet. I have found that my favorite buffets allow me to do this. I have found that the Asian stations often offer tasty and healthy choices. Some buffets have Mongolian grills. My move there is to load up a bowl with vegetables and have it cooked without any meat. With a cup of brown rice, this can serve as a main course.
Buffet rules:e Take a new plate every time you go to the line. No eating while serving yourself food. No taking food out of the buffet. Certain violations to this last one are sometimes tolerated, such as eating a piece of fruit or ice cream cone on the way out. But concealing and removing food could lead to great embarrassment if you're caught, and the presence of surveillance cameras in casino buffets means you could be caught. I would not risk it.
Buffet strategy: Survey the entire buffet before taking anything, even if you've been there before, even if you've been there recently. Take only a little bit -- some things aren't as good as they look, and if it is good, you can always go back for more. Look for opportunities to combine items from different stations. Also, some types of items may be scattered, such as soups at the salad bar and ethnic stations, such as Chinese.
Odd fact: At many buffets, the station with Mexican food is labeled "International," not "Mexican." I have no idea why.
Tipping: I generally tip 10 to 15 percent, minimum of a dollar, If I take an unusually long time or use a large number of plates or otherwise make more work for the server, I'll leave a little extra. If the buffet is exceptionally cheap, I'll tip a little more. If I have something custom-made, such as a plate at the Mongolian grill or an omelet, I'll leave a dollar.
Favorite and least favorite buffets: The best -- and priciest buffets -- in Vegas are on the Strip. I haven't tried them all, but of those I have, my four favorites are the Wynn, Bellagio, Caesars Palace (Bacchanal Buffet) Aria and Mirage.
Off the Strip, one of the best -- and again, priciest -- is Studio B at the M Resort. Friday, Saturday and Sunday dinners and Saturday and Sunday brunches are $40. The good news is that you can get a free buffet by earning same-day slot or video poker points. That $40 weekend buffet requires 2,000 video poker points, which is $2,000 coin-in. On that casino's best video poker games with skillful play that's an average loss of less than $20 -- a very good deal. Weekday dinners and lunches require fewer points, and the requirements for points earned on slots are considerably less than for video poker.
For the money, I don't think you can beat the buffet at Green Valley Ranch, which also has one of the most attractive dining rooms. Dinner there is $15, more on Friday and Saturday specialty nights. Another good buffet in an attractive room is at the Silverton. Unless you are a diamond or platinum player, expect to wait on line on Mondays, when seniors get two buffets for the price of one, and on other days when similar promotions are in effect.
My favorite low-end buffet is Fiesta Henderson, where dinner every night and brunch on Saturdays and Sundays is $9. This buffets features a Mongolian grill and the best fried chicken I've had anywhere in town. My spouse says the turkey breast is exceptionally good. There's a good salad bar and usually several vegetable selections, but not much in the way of fruit.
At the higher end of the price spectrum, the Rio offers a seafood buffet that is quite good but pricey. The Rio also has a comprehensive buffet, the Carnival World. The last time I ate at the Palms buffet, not recently, it was quite good and extensive, much improved since the George Maloof days (about the only thing there improved since new management took over).
At the places I play regularly, my least favorite buffets are at South Point and the Gold Coast. (The Orleans, under the same ownership as the Gold Coast and only about a mile away, has a better buffet.) The difference between a mediocre buffet like these and a good buffet is the difference between being able to find something to eat and being overwhelmed by all the attractive choices.
Final note: A comprehensive listing of Vegas area buffets, including hours and prices, can be found at LasVegasAdvisor.com.
Friday, March 27, 2015
Yet another strike against the Palms
When George Maloof owned and ran the Palms, I was a regular customer there. The place had its annoying quirks but offered good video poker and other benefits that made it worthwhile to play there often. Since corporate management took over, many of the perks have been taken away, along with a lot of the good video poker. Moreover, as I have described in this blog, unbelievable incompetence has been on display more or less continuously for the past couple of years.
During this time I have made several attempts to return to the Palms as a regular player, but have not found it worthwhile. In recent months about all I've done there is play enough to take advantage of one of the few positive things the new management initiated. If you earned one ticket for the weekly drawing and weren't called as a winner, they would give you $10 in free play good the next day. On $1 video poker, that requires $250 coin in -- a good deal, especially since my spouse would often play it for me. (The Palms recently wised up and now requires that you earn 10 drawing tickets to get the $10 free play.)
Today my spouse said that she wanted to go to the Palms and play for the gas cards they were giving away. She argued that she had received a pretty generous mailer from the Palms for the amount of play she had been giving them and that it might be worth it for me to give them yet another try.
The gas cards are part of a regular promotion that Palms runs called Play for Prizes. There are usually two sets of prizes, for the first and second halves of the month. Points accumulated on weekdays are used to qualify for the prizes, though players get to keep their points.
Today was the last day for the Chevron gas cards. Because we had not played during the second half of the month, we could get only what we could earn today. The lowest denomination was $5, requiring us to earn 2,500 points. That would also get us the $10 free play tomorrow. We valued the play at very close to $15 because we consider a gas card almost a cash equivalent and because the Palms' points, worth 0.25 percent, would make up for almost all of our loss on the deuces wild game (99.73 percent maximum payback) we would be playing.
So we played enough for our gas cards and went to the promotions center to cash in. At the counter, we were told that they were out of Chevron cards and we would instead be given Coffee Bean & Tea Leaf cards. I explained to the clerk that I did not consider these at all equivalent, that my car runs on gas and not on coffee, and that I did not appreciate being surprised by this news when the casino could have put up signs announcing the substitution. I asked him if I could get a rain check for a gas card. He said no. Not, "I'm sorry, I can't do that," just "no." I asked him if I could get free play instead. He said no. I asked him if I could speak with his supervisor. He said yes, and a young man came out from behind the curtain and agreed to put $5 free play on my spouse's and my accounts.
Problem solved, more or less. In the casino business, that's all that usually counts, so I told him I thought it was important that this situation be dealt with better if it comes up again. He assured me he would speak with his boss. I was satisfied with the way the matter eventually was handled, but if I had not made a fuss, I never would have gotten to speak with the supervisor. As my spouse pointed out later, many people probably just took their coffee cards and left unhappy -- especially if they had played a lot during the past two weeks and earned a lot of what they thought would be gas cards.
Here's what I think the Palms did wrong:
1. Someone assumed that gift cards of equal denomination are of equal value. My guess is that they had a surplus of the coffee cards and saw this as an opportunity to get rid of them, not stopping to think that some customers might not appreciate the substitution.
2. Because no one anticipated that some customers would be upset, no one thought to provide notice that they had run out of the gas cards. This could have been accomplished by posting signs at the entrances to the casino and at the players club.
3. If someone had been smart enough to do this, he or she might have taken the thought process a step further and tried to come up with ways to satisfy customers unhappy with the switch. No casino ever runs out of free play, and I believe this would have satisfied almost all customers. Another alternative would be to give points, which could be used for comps as well as free play.
4. The clerk at the counter who initially tried to "help" me was inadequately trained. Regardless of his own opinion on the matter, he should have expressed some sympathy for a customer who was being denied what the casino had promised. More important, he should have been the one to call in a supervisor if he couldn't satisfy the customer.
Under the best of circumstances, I am not a big fan of Play for Prizes. The prizes, usually gift cards, often have less value to me than their face amount. Plus, the process of obtaining the prizes is cumbersome. You have to go to a kiosk and get a printout of the points you earned for the promotion. This may entail waiting on line or dealing with a malfunctioning kiosk. Then you have to go to the promotions center and wait on line to get your prize. The last time I did this information had to be entered manually in a ledger before the clerk could get the prize. And, of course, there's always the possibility they'll run out of the card you wanted and give you something of much less value to you. This has happened to me before at the Palms.
As we left the casino, we stopped at the cafe. My spouse had a $10 credit and we wanted to use it to pick up a prepackaged salad. In the past I had enjoyed the gigantic chicken Caesar salads from the Palms cafe. I had noticed on previously that the size of these salads had been cut about in half. On this visit I observed that the price had also gone up!
Based on my visit today, I'd say the Palms is still badly in need of new management.
Wednesday, March 18, 2015
Never give up?
One of the things I do when I'm not in the casinos is read with two third-graders on
Thursday afternoons at an elementary school in Henderson. This volunteer gig, through a very worthy organization called Spread the Word Nevada, is a lot of fun and, I hope, a benefit to the kids who get some personal attention as well as help with their literacy skills.
A couple of weeks ago one of my kids brought a book about a toad and a frog who were best friends. One of the reptiles (I forget which) gave the other a hat for his birthday. The recipient loved the hat, but it was too big and came down over his eyes, which caused navigational problems.
The giver of the gift offered a solution. He told his friend to think very big thoughts before he went to bed. This would cause his head to swell to a size that would accommodate the hat. The giver sneaked into the recipient's house while he slept, removed the hat, altered it to fit his friend's head, and replaced it before dawn.
When the birthday amphibian woke up, he put on his new hat, and it fit perfectly. He was sure his friend's plan -- think big thoughts -- had worked.
The story offered me a golden opportunity to impress upon my young reading buddy what I consider to be a key aspect of human psychology -- the ease with which we reach wrong conclusions about cause and effect. Not the easiest of concepts for a third-grader to understand, but still I was surprised by his answer when I asked him what point the author was trying to make:
"Never give up!"
So many stories in our culture convey that theme that it's what jumped into his mind, irrelevant thought it was.
It's an idea I've thought about a lot. Obviously, persistence can be a virtue. If you're trying to achieve something worthwhile, and you're going about it in an informed and intelligent way, working hard to achieve your goal makes sense.
But what if what you're trying to do is impossible, or you're going about it the wrong way, or it just isn't worth the effort that will be required? In those cases, applying your efforts in another direction obviously would be a good idea.
But the here's the question I find interesting: How do you know? The folklore posits a maverick whose ideas are dismissed by those around him. But somehow he just knows that if he keeps at it, he will prove the skeptics wrong. It's just a matter of keeping at it.
But sometimes the critics are right. Even if the're not, engaging them might yield some ideas or information that could help the loner achieve his goal. But cooperation isn't as good a literary ingredient as defiance, so the stories tend to be about heroes who go it alone.
Even just periodically reevaluating one's progress might lead to the conclusion that giving up is the wiser course.
So what does this have to do with gambling, the subject of this blog?
Gambling is one of the few activities in our society in which quitting is encouraged. "Know when to quit" is on the cover of the brochures about problem gambling offered by many casinos.
The assumption behind the encouragement of quitting is that gamblers who expect or hope to win are on a futile quest because, in the long run, the house will always win.
For the vast majority of gamblers that is true. Continuing to gamble in an attempt to recover losses or obtain money to pay debts or expenses will usually result in further losses. It's better to quit when you're less behind rather than continue to play until you're more behind.
But the presumption that a gambler is destined to lose is rebuttable. As I have explained in this blog, there are ways a gambler can get a long-term advantage over the house. Even better, it is often possible for a gambler to know with a great deal of precision the amount of that advantage.
In fact, if you cannot determine the amount of your advantage or explain how you calculated your advantage, you almost certainly don't have one. Gambling is governed by math, and you have an advantage only when the numbers give you one.
Losing streaks are part of gambling, even for players who have a long-term advantage. But in gambling, unlike many other human endeavors, it's possible to know whether you should persist through adversity. If you're playing at an advantage and within your bankroll, you can power through knowing that losing will eventually give way to winning.
Thursday afternoons at an elementary school in Henderson. This volunteer gig, through a very worthy organization called Spread the Word Nevada, is a lot of fun and, I hope, a benefit to the kids who get some personal attention as well as help with their literacy skills.
A couple of weeks ago one of my kids brought a book about a toad and a frog who were best friends. One of the reptiles (I forget which) gave the other a hat for his birthday. The recipient loved the hat, but it was too big and came down over his eyes, which caused navigational problems.
The giver of the gift offered a solution. He told his friend to think very big thoughts before he went to bed. This would cause his head to swell to a size that would accommodate the hat. The giver sneaked into the recipient's house while he slept, removed the hat, altered it to fit his friend's head, and replaced it before dawn.
When the birthday amphibian woke up, he put on his new hat, and it fit perfectly. He was sure his friend's plan -- think big thoughts -- had worked.
The story offered me a golden opportunity to impress upon my young reading buddy what I consider to be a key aspect of human psychology -- the ease with which we reach wrong conclusions about cause and effect. Not the easiest of concepts for a third-grader to understand, but still I was surprised by his answer when I asked him what point the author was trying to make:
"Never give up!"
So many stories in our culture convey that theme that it's what jumped into his mind, irrelevant thought it was.
It's an idea I've thought about a lot. Obviously, persistence can be a virtue. If you're trying to achieve something worthwhile, and you're going about it in an informed and intelligent way, working hard to achieve your goal makes sense.
But what if what you're trying to do is impossible, or you're going about it the wrong way, or it just isn't worth the effort that will be required? In those cases, applying your efforts in another direction obviously would be a good idea.
But the here's the question I find interesting: How do you know? The folklore posits a maverick whose ideas are dismissed by those around him. But somehow he just knows that if he keeps at it, he will prove the skeptics wrong. It's just a matter of keeping at it.
But sometimes the critics are right. Even if the're not, engaging them might yield some ideas or information that could help the loner achieve his goal. But cooperation isn't as good a literary ingredient as defiance, so the stories tend to be about heroes who go it alone.
Even just periodically reevaluating one's progress might lead to the conclusion that giving up is the wiser course.
So what does this have to do with gambling, the subject of this blog?
Gambling is one of the few activities in our society in which quitting is encouraged. "Know when to quit" is on the cover of the brochures about problem gambling offered by many casinos.
The assumption behind the encouragement of quitting is that gamblers who expect or hope to win are on a futile quest because, in the long run, the house will always win.
For the vast majority of gamblers that is true. Continuing to gamble in an attempt to recover losses or obtain money to pay debts or expenses will usually result in further losses. It's better to quit when you're less behind rather than continue to play until you're more behind.
But the presumption that a gambler is destined to lose is rebuttable. As I have explained in this blog, there are ways a gambler can get a long-term advantage over the house. Even better, it is often possible for a gambler to know with a great deal of precision the amount of that advantage.
In fact, if you cannot determine the amount of your advantage or explain how you calculated your advantage, you almost certainly don't have one. Gambling is governed by math, and you have an advantage only when the numbers give you one.
Losing streaks are part of gambling, even for players who have a long-term advantage. But in gambling, unlike many other human endeavors, it's possible to know whether you should persist through adversity. If you're playing at an advantage and within your bankroll, you can power through knowing that losing will eventually give way to winning.
Tuesday, March 10, 2015
Places we used to play
Since we started coming to Vegas about 10 years ago, we have probably played with some frequency at about 40 casinos. We're now down to about 10. In most cases -- all until quite recently -- the decision to stop patronizing a casino was ours. In the past few months, several casinos have cut off the offers that made it worthwhile for one or both of us to play there.
Over the years we have heard stories about video poker players being "no mailed" (mail offers stopped coming) and even being outright barred from playing. We learned that the players cards of those who patronized South Point only on double point days sometimes stopped working, that those who won "too much" at Ellis Island were asked not to come in any more, and that Station Casinos (slogan: "We Love Winners") had barred Bob Dancer from playing there.
But for years, we were the ones who got to decide, exclusively, where we would play video poker. We played where we thought we could make money, which meant places with good games, good players club benefits and good promotions. When any of those things changed significantly to our detriment, we were gone.
In the past 10 years, the main thing that changed was the games. Probably 90 percent or more of the changes were for the worse. There were many reasons for this. As good video poker books and software became available, more players were able to cut into the take the casinos expected from good games because a good part of that take resulted from player mistakes. Video poker, once considered just another form of slot machine, began to be seen more like blackjack, a game that players could beat. One way casinos could protect themselves was to take out high-payback games.
The recession worsened this trend, as did the additional self-inflicted financial troubles of some of the big gaming companies. In many cases players bore at least some of the burden in the form of pay-table downgrades and stingier comp policies,
In most cases we tried to work with the new realities. I think one of the biggest mistakes a player can make is to overreact to change. Even if can't do exactly what you had been doing at a particular casino, there may be other opportunities to make money there, especially if you're still getting mail offers.
But sometimes the changes are just too severe. We kept playing at several casinos as they removed one game after another, but you have to draw the line when there is nothing left that's worth playing.
The sad thing is that the public is so ignorant that these casinos have not been forced to relent and bring back better games, if not the best games they ever had.
The following is a list of some of the casinos we have stopped playing at, or are in the process of phasing out our play; the games we used to play there; and in some cases other reasons for our decision:
1. Club Fortune, Henderson, Nev. -- this neighborhood casino once had positive games, including 25 cent full pay deuces wild and $1 loose deuce deuces wild.
2. Hooters -- $1 full pay double bonus deuces wild and "not so ugly" deuces gave way to 9/6 jacks or better as the best game. We left after that came out and management decided 9/7 double bonus was too strong a game to allow point multipliers on.
3. The Stratosphere -- I think I burned out the $1 loose deuces when I hit the deuces three times in one weekend. They disappeared soon after; so did I.
4. Eastside Cannery -- $1 NSU deuces are long gone, leaving 8/5 bonus poker the best game for dollars and up. Points earned are not competitive with other casinos on the Boulder Highway, and promotions and mailers aren't making up the difference.
5. Peppermill's Rainbow -- this locals casino in downtown Henderson once had 50 cent full pay deuces. Without a players club, there's no reason to go there unless a progressive is high enough to be a positive play.
6. Jackpot Joanie's -- this chain of small casino-bars lost us as customers when it downgraded NSU deuces to "pseudo" NSU, changing the payback from 99.7 percent to 98.9.
7. Dotty's -- another group of casino-bars cut its point multipliers on video poker.
8. Arizona Charlie's Decatur -- there are good games, but you earn so few points playing them that a good mailer is needed to make playing there worthwhile. The mailers started out strong but faded with time.
9. The Palms -- My spouse still plays there a little, but all the changes since George Maloof was deposed have taken most of the value out of playing there. You can still make a little money, but not enough in my opinion to make playing there worthwhile.
10. The Orleans -- Video poker has been tight since we first played there, but for a while we got mailers with free play and giant point multipliers. When those stopped, we stopped playing there.
11. The Westgate -- When this near-Strip property was the Las Vegas Hilton, it was one of the best places to play, with the best tournaments in town, positive and near-positive $1 video poker, and great promotions. Through ownership changes, most of the benefits and the best video poker games for more than 25 cents disappeared. This was probably our biggest loss.
Over the years we have heard stories about video poker players being "no mailed" (mail offers stopped coming) and even being outright barred from playing. We learned that the players cards of those who patronized South Point only on double point days sometimes stopped working, that those who won "too much" at Ellis Island were asked not to come in any more, and that Station Casinos (slogan: "We Love Winners") had barred Bob Dancer from playing there.
But for years, we were the ones who got to decide, exclusively, where we would play video poker. We played where we thought we could make money, which meant places with good games, good players club benefits and good promotions. When any of those things changed significantly to our detriment, we were gone.
In the past 10 years, the main thing that changed was the games. Probably 90 percent or more of the changes were for the worse. There were many reasons for this. As good video poker books and software became available, more players were able to cut into the take the casinos expected from good games because a good part of that take resulted from player mistakes. Video poker, once considered just another form of slot machine, began to be seen more like blackjack, a game that players could beat. One way casinos could protect themselves was to take out high-payback games.
The recession worsened this trend, as did the additional self-inflicted financial troubles of some of the big gaming companies. In many cases players bore at least some of the burden in the form of pay-table downgrades and stingier comp policies,
In most cases we tried to work with the new realities. I think one of the biggest mistakes a player can make is to overreact to change. Even if can't do exactly what you had been doing at a particular casino, there may be other opportunities to make money there, especially if you're still getting mail offers.
But sometimes the changes are just too severe. We kept playing at several casinos as they removed one game after another, but you have to draw the line when there is nothing left that's worth playing.
The sad thing is that the public is so ignorant that these casinos have not been forced to relent and bring back better games, if not the best games they ever had.
The following is a list of some of the casinos we have stopped playing at, or are in the process of phasing out our play; the games we used to play there; and in some cases other reasons for our decision:
1. Club Fortune, Henderson, Nev. -- this neighborhood casino once had positive games, including 25 cent full pay deuces wild and $1 loose deuce deuces wild.
2. Hooters -- $1 full pay double bonus deuces wild and "not so ugly" deuces gave way to 9/6 jacks or better as the best game. We left after that came out and management decided 9/7 double bonus was too strong a game to allow point multipliers on.
3. The Stratosphere -- I think I burned out the $1 loose deuces when I hit the deuces three times in one weekend. They disappeared soon after; so did I.
4. Eastside Cannery -- $1 NSU deuces are long gone, leaving 8/5 bonus poker the best game for dollars and up. Points earned are not competitive with other casinos on the Boulder Highway, and promotions and mailers aren't making up the difference.
5. Peppermill's Rainbow -- this locals casino in downtown Henderson once had 50 cent full pay deuces. Without a players club, there's no reason to go there unless a progressive is high enough to be a positive play.
6. Jackpot Joanie's -- this chain of small casino-bars lost us as customers when it downgraded NSU deuces to "pseudo" NSU, changing the payback from 99.7 percent to 98.9.
7. Dotty's -- another group of casino-bars cut its point multipliers on video poker.
8. Arizona Charlie's Decatur -- there are good games, but you earn so few points playing them that a good mailer is needed to make playing there worthwhile. The mailers started out strong but faded with time.
9. The Palms -- My spouse still plays there a little, but all the changes since George Maloof was deposed have taken most of the value out of playing there. You can still make a little money, but not enough in my opinion to make playing there worthwhile.
10. The Orleans -- Video poker has been tight since we first played there, but for a while we got mailers with free play and giant point multipliers. When those stopped, we stopped playing there.
11. The Westgate -- When this near-Strip property was the Las Vegas Hilton, it was one of the best places to play, with the best tournaments in town, positive and near-positive $1 video poker, and great promotions. Through ownership changes, most of the benefits and the best video poker games for more than 25 cents disappeared. This was probably our biggest loss.
Friday, February 27, 2015
Stations and Fiestas
If you don't live in the Las Vegas area, you may not have even heard of Station Casinos. But if you do live in Vegas, you know that Stations is as big in the residential areas as Caesars and MGM are on the Strip. Stations owns and operates seven major properties under the Station brand and two under the Fiesta brand. The same Boarding Pass players card program comprises all of the properties, as well as Stations' neighborhood Wildfire casinos.
If you live near either of the Fiestas, you also live near a Station. Fiesta Rancho is right across the street from Texas Station and not that far from Palace and Santa Fe Stations. Fiesta Henderson is near Sunset Station and Green Valley Ranch, and not a great distance from Boulder Station.
Since before we moved to Vegas we have played at both Station and Fiesta properties. Maximizing the benefits of playing at each is a bit of an art form. A big part of the challenge is knowing what you can get from both Stations and Fiestas, and what you can get from only one or the other.
Most important, you can get separate Stations and Fiestas mailers. The free play, point multipliers and dining and room offers on the Stations calendar can be used at any of the Station branded properties, but not at the Fiestas. Similarly, the offers on the Fiestas mailer can be used at either Fiesta, but not at the Stations.
But some of the offers that appear on both mailers can be used only at one property. Both the Stations and the Fiestas have seniors days on Wednesdays, including a point multiplier. But you can use that multiplier only at one property, even though it's advertised in both mailers. When the same gift is offered on both mailers, you can generally get only one, at either a Station or Fiesta, but not both. Also, you can swipe your players card every day for free entries to the end-of-month drawing at either a Station or Fiesta, but not at both. The smart thing to do is to pick one or the other and concentrate your entries there.
But there's at least one exception to this rule. H-APP-Y DAYS offers appear on both mailers, and can be redeemed at both properties (these are for bonus points or drawing entries that can be redeemed only by using the Station Casinos smartphone app).
Incidentally, the mailers are usually different enough that it's worth it for many people to play regularly at both a Station and a Fiesta. Many free play and point multiplier offers are good for two or three days, so you might have a reason to go to either a Station or a Fiesta almost every day. And some promotions are at one type of property but not other other. For March, the Fiestas are having point multiplier days on both slots and video poker on two Mondays; Stations are having multiplier days on slots only on two Thursdays. The Fiestas are having drawing the first three weekends; Stations are not.
It's not always easy to figure out what offers are available at the Stations AND Fiestas and which are available at the Stations OR Fiestas. But if you play at both, eventually you'll get a feel for how the offers work, and you'll be able to maximize the benefits of your play at the Stations-owned properties.
If you live near either of the Fiestas, you also live near a Station. Fiesta Rancho is right across the street from Texas Station and not that far from Palace and Santa Fe Stations. Fiesta Henderson is near Sunset Station and Green Valley Ranch, and not a great distance from Boulder Station.
Since before we moved to Vegas we have played at both Station and Fiesta properties. Maximizing the benefits of playing at each is a bit of an art form. A big part of the challenge is knowing what you can get from both Stations and Fiestas, and what you can get from only one or the other.
Most important, you can get separate Stations and Fiestas mailers. The free play, point multipliers and dining and room offers on the Stations calendar can be used at any of the Station branded properties, but not at the Fiestas. Similarly, the offers on the Fiestas mailer can be used at either Fiesta, but not at the Stations.
But some of the offers that appear on both mailers can be used only at one property. Both the Stations and the Fiestas have seniors days on Wednesdays, including a point multiplier. But you can use that multiplier only at one property, even though it's advertised in both mailers. When the same gift is offered on both mailers, you can generally get only one, at either a Station or Fiesta, but not both. Also, you can swipe your players card every day for free entries to the end-of-month drawing at either a Station or Fiesta, but not at both. The smart thing to do is to pick one or the other and concentrate your entries there.
But there's at least one exception to this rule. H-APP-Y DAYS offers appear on both mailers, and can be redeemed at both properties (these are for bonus points or drawing entries that can be redeemed only by using the Station Casinos smartphone app).
Incidentally, the mailers are usually different enough that it's worth it for many people to play regularly at both a Station and a Fiesta. Many free play and point multiplier offers are good for two or three days, so you might have a reason to go to either a Station or a Fiesta almost every day. And some promotions are at one type of property but not other other. For March, the Fiestas are having point multiplier days on both slots and video poker on two Mondays; Stations are having multiplier days on slots only on two Thursdays. The Fiestas are having drawing the first three weekends; Stations are not.
It's not always easy to figure out what offers are available at the Stations AND Fiestas and which are available at the Stations OR Fiestas. But if you play at both, eventually you'll get a feel for how the offers work, and you'll be able to maximize the benefits of your play at the Stations-owned properties.
Sunday, February 22, 2015
Another trip to Reno
Some more offers have led to another trip to Reno, where I am writing this. The first two nights of this trip we stayed at the Eldorado, downtown. This is one of three casinos connected by skyways, the others being the Silver Legacy and Circus Circus.
One of the main purposes of this trip was to try to figure out exactly what we are earning in comps and free play from the casinos we have targeted, at least for now, to play in Reno. Besides the three downtown, the others are the Peppermill and the Atlantis, about three-quarters of a mile from each other on Virginia Street south of downtown.
Compared to most player club systems in Las Vegas, those in Reno are complicated and opaque. At the locals casinos in Vegas, you typically earn points based on coin-in, typically one point for every $1 or $10 played through. Points can be used for free play or comps at a specified rate. At Station
Casinos, for example, 1,000 points equals $1 in comps or free play. Thus, points are worth 0.1 percent and add that much to the payback of the games. There are variations and complications, but for the most part the basic system is easy to understand.
In Reno, the systems are all over the map. Points, if they're involved at all, usually serve only to determine your card tier level. You may earn comps and free play, or only comps, which in some cases can be converted to free play, but usually at a reduced rate. But the big kicker is that at some of the casinos, the comps and/or free play accumulate at different rates on different games, and even at different rates for different players!
To figure out what we are getting at the Peppermill, which has a comps and tier points system (comps can be converted to free play at one-half the value, with restrictions), my spouse and I ran $1,000 through several machines. What we found was that the points and comps accumulated at different rates on different machines, even if we were playing the same game. Of two machines with exactly the same game in the same format, one gave substantially more points and more than 25 percent more in comps.
Why? We could only guess. We know that all comp rates can depend on all the games on a machine, and the one that gave us the most had slot games as well as video poker. An otherwise identical machine that gave less had video keno games on it but no slots. Another possibility: because the Peppermill adjusts comp accumulation by player, the system may have loosened up for us because of losses earlier in the day. All I know for sure is that we're going to have to keep working to figure out how the Peppermill's system works and whether it gives us enough to make further play there worthwhile.
I'll have more to say about the player club systems at the other casinos, but right now I'd to share a few general observations.
1. Of the four buffets we've sampled in Reno, we were very impressed with three: the Peppermill, Atlantis and Eldorado. The Eldorado's buffet is a little smaller than the other two but has what I think is the best atmosphere, with a decor based on wood and stone. It also seems a little quieter than most buffets, and you can easily enjoy a conversation with your meal. If this buffet has a specialty, it's barbeque, including the best pork ribs I have ever had in a buffet and very tender, smoky brisket, a rare find in any restaurant, let alone a buffet. The buffet that wasn't as good as others was the Silver Legacy's, but in fairness, we saw some long lines of people waiting to get in, possibly because of player card discounts.
2. Reno has a really stupid slogan: "The biggest little city in the world." Why would that make me want to visit? If I were the mayor, I'd launch a contest for a slogan that says something specific and meaningful about what makes Reno different from every other city.
3. The Circus Circus casino in Reno has its own players club, even through like the CC in Las Vegas it is owned by MGM Resorts. The Reno version is a little less tacky, if you don't take into account the carnival midway above the casino floor. This casino gave me the most unusual premium I have ever received for hitting a taxable jackpot (four deuces for $2,000): two free room nights.
That's going to have to be it for now. Time to hit the casino floor and try to make some money.
One of the main purposes of this trip was to try to figure out exactly what we are earning in comps and free play from the casinos we have targeted, at least for now, to play in Reno. Besides the three downtown, the others are the Peppermill and the Atlantis, about three-quarters of a mile from each other on Virginia Street south of downtown.
Compared to most player club systems in Las Vegas, those in Reno are complicated and opaque. At the locals casinos in Vegas, you typically earn points based on coin-in, typically one point for every $1 or $10 played through. Points can be used for free play or comps at a specified rate. At Station
Casinos, for example, 1,000 points equals $1 in comps or free play. Thus, points are worth 0.1 percent and add that much to the payback of the games. There are variations and complications, but for the most part the basic system is easy to understand.
In Reno, the systems are all over the map. Points, if they're involved at all, usually serve only to determine your card tier level. You may earn comps and free play, or only comps, which in some cases can be converted to free play, but usually at a reduced rate. But the big kicker is that at some of the casinos, the comps and/or free play accumulate at different rates on different games, and even at different rates for different players!
To figure out what we are getting at the Peppermill, which has a comps and tier points system (comps can be converted to free play at one-half the value, with restrictions), my spouse and I ran $1,000 through several machines. What we found was that the points and comps accumulated at different rates on different machines, even if we were playing the same game. Of two machines with exactly the same game in the same format, one gave substantially more points and more than 25 percent more in comps.
Why? We could only guess. We know that all comp rates can depend on all the games on a machine, and the one that gave us the most had slot games as well as video poker. An otherwise identical machine that gave less had video keno games on it but no slots. Another possibility: because the Peppermill adjusts comp accumulation by player, the system may have loosened up for us because of losses earlier in the day. All I know for sure is that we're going to have to keep working to figure out how the Peppermill's system works and whether it gives us enough to make further play there worthwhile.
I'll have more to say about the player club systems at the other casinos, but right now I'd to share a few general observations.
1. Of the four buffets we've sampled in Reno, we were very impressed with three: the Peppermill, Atlantis and Eldorado. The Eldorado's buffet is a little smaller than the other two but has what I think is the best atmosphere, with a decor based on wood and stone. It also seems a little quieter than most buffets, and you can easily enjoy a conversation with your meal. If this buffet has a specialty, it's barbeque, including the best pork ribs I have ever had in a buffet and very tender, smoky brisket, a rare find in any restaurant, let alone a buffet. The buffet that wasn't as good as others was the Silver Legacy's, but in fairness, we saw some long lines of people waiting to get in, possibly because of player card discounts.
2. Reno has a really stupid slogan: "The biggest little city in the world." Why would that make me want to visit? If I were the mayor, I'd launch a contest for a slogan that says something specific and meaningful about what makes Reno different from every other city.
3. The Circus Circus casino in Reno has its own players club, even through like the CC in Las Vegas it is owned by MGM Resorts. The Reno version is a little less tacky, if you don't take into account the carnival midway above the casino floor. This casino gave me the most unusual premium I have ever received for hitting a taxable jackpot (four deuces for $2,000): two free room nights.
That's going to have to be it for now. Time to hit the casino floor and try to make some money.
Saturday, February 14, 2015
Further adventures in Reno
As I've noted before, my spouse and I got interested in Reno because several casinos there offer good video poker games at higher denominations than are generally available in Las Vegas. This weekend we took a trip to Reno for the primary purpose of earning Diamond in a day at Harrah's Las Vegas.
The spouse, who put in some heavy play a while back at the Rio in Las Vegas, got an offer for a free room for a weekend at Harrah's Reno and round-trip airfare for two. This was an attractive proposition because Harrah's Reno offers the best game on which to earn the 5,000 tier credits needed for Diamond status, though the game turned out not to be exactly what we expected.
I'll explain, but first, a little background. Diamond in the second-highest tier level in Caesars Entertainment's Total Rewards program. Most player reward programs have tier levels, but they usually don't mean that much. You might get preferred parking, a discount at the buffet or gift shop, and shorter lines at the players club. A few, such as Boyd Gaming's B Connected, offer players at higher tier levels all-the-time point multipliers, a benefit that has real, quantifiable value.
I am not yet an expert on Total Rewards, but many benefits seem to come to those who achieve diamond status or the top tier, Seven Stars. Among other things, these players get free rooms and show tickets without having to use reward credits. My spouse has gotten several offers for tournaments that require a hotel stay at a Caesars property, but as less-than-Diamond, she has had to pay the (pretty steep) resort fees on her "comped" rooms. These fees are waived for Diamond and Seven Stars players.
Diamond status normally requires earning 15,000 tier credits in a year. On most video poker at Caesars casinos, $10 coin in earns one tier credit. So the requirement for earning Diamond is $150,000 coin in. But, if you earn 5,000 tier credits in one day ($50,000 coin in), Caesars will give you a bonus of 10,000 tier credits and make you Diamond.
The problem is where to earn the 5,000 tier credits. Most of the video poker at Caesars properties is, by our standards, too tight to play. The best games in Las Vegas, at the Rio, require considerably more coin in that $10 to earn a tier credit -- as much as $50. But Harrah's in Reno offers 9/6 jacks or better, with 99.54 percent maximum payback, yielding a tier credit for only $10 coin in. This would allow us each to earn Diamond status at an expected cost of about $250, which equals one-half of one percent of $50,000.
Based on what my spouse saw on VPFree2.com, we expected to find $1, $2 and $5 single-line games of 9/6 jacks or better. The plan was to play for $2, betting $10 a hand at max coin and putting through $50,000 in five to seven hours.
But what we found was the single-line game only at $1. The only other choices were triple play and five play at $5 a hand. It would have taken a very long (and boring day) to put through $50,000 on the $1 game, so we decided to play the triple play -- at $75 a hand.
Unfortunately, we both lost a lot of money in a short time. The result could have been just as bad as if we had played all day for $1, but it seemed worse because it came in such a short time. I think we put enough money through that we didn't fall victim to a very negative short-term swing, and the fact that we were playing three hands at a time evened out our results some (decreased our variance, in technical terms). I think we made the right decision, though the price we paid was a lot higher than we had hoped for. It is normal for gambling results in the short term to vary wildly from mathematical expectations. Had either of us hit a royal flush on any one line, it would have paid $20,000, pushing our results much further in the opposite direction.
I'm going to start something new in these postings: tips to casino management. The first one is based on what happened in Harrah's high limit room when we finished playing and went to cash out our slot tickets. The employee said "pretty good" or something like that when presented my spouse's ticket for more than $1,000. She informed him that it wasn't good, it was what was left of a lot more money. I have had the similar experience many times of being congratulated by a casino employee on what was actually a losing slot ticket or stack of chips. The tip is simply to train employees never to assume based on the amount being cashed out that a player has won.
Finally, a word about Harrah's hotel in Reno. This place may not quite qualify as a dump, but it's pretty close, especially the East Tower. The casino in that building contains some very strange things, including a single bowling lane; an area that looked like a sparsely equipped basement rec room; a closed sundries shop containing a dusty old craps table and some wrecked fixtures; and what a guest told us was an abandoned noodle bar with an old banquet table and chairs. It's inconceivable to me that the latter two areas weren't at least walled off so guests couldn't see them. They made that area look like something from 'Hotel Impossible."
The spouse, who put in some heavy play a while back at the Rio in Las Vegas, got an offer for a free room for a weekend at Harrah's Reno and round-trip airfare for two. This was an attractive proposition because Harrah's Reno offers the best game on which to earn the 5,000 tier credits needed for Diamond status, though the game turned out not to be exactly what we expected.
I'll explain, but first, a little background. Diamond in the second-highest tier level in Caesars Entertainment's Total Rewards program. Most player reward programs have tier levels, but they usually don't mean that much. You might get preferred parking, a discount at the buffet or gift shop, and shorter lines at the players club. A few, such as Boyd Gaming's B Connected, offer players at higher tier levels all-the-time point multipliers, a benefit that has real, quantifiable value.
I am not yet an expert on Total Rewards, but many benefits seem to come to those who achieve diamond status or the top tier, Seven Stars. Among other things, these players get free rooms and show tickets without having to use reward credits. My spouse has gotten several offers for tournaments that require a hotel stay at a Caesars property, but as less-than-Diamond, she has had to pay the (pretty steep) resort fees on her "comped" rooms. These fees are waived for Diamond and Seven Stars players.
Diamond status normally requires earning 15,000 tier credits in a year. On most video poker at Caesars casinos, $10 coin in earns one tier credit. So the requirement for earning Diamond is $150,000 coin in. But, if you earn 5,000 tier credits in one day ($50,000 coin in), Caesars will give you a bonus of 10,000 tier credits and make you Diamond.
The problem is where to earn the 5,000 tier credits. Most of the video poker at Caesars properties is, by our standards, too tight to play. The best games in Las Vegas, at the Rio, require considerably more coin in that $10 to earn a tier credit -- as much as $50. But Harrah's in Reno offers 9/6 jacks or better, with 99.54 percent maximum payback, yielding a tier credit for only $10 coin in. This would allow us each to earn Diamond status at an expected cost of about $250, which equals one-half of one percent of $50,000.
Based on what my spouse saw on VPFree2.com, we expected to find $1, $2 and $5 single-line games of 9/6 jacks or better. The plan was to play for $2, betting $10 a hand at max coin and putting through $50,000 in five to seven hours.
But what we found was the single-line game only at $1. The only other choices were triple play and five play at $5 a hand. It would have taken a very long (and boring day) to put through $50,000 on the $1 game, so we decided to play the triple play -- at $75 a hand.
Unfortunately, we both lost a lot of money in a short time. The result could have been just as bad as if we had played all day for $1, but it seemed worse because it came in such a short time. I think we put enough money through that we didn't fall victim to a very negative short-term swing, and the fact that we were playing three hands at a time evened out our results some (decreased our variance, in technical terms). I think we made the right decision, though the price we paid was a lot higher than we had hoped for. It is normal for gambling results in the short term to vary wildly from mathematical expectations. Had either of us hit a royal flush on any one line, it would have paid $20,000, pushing our results much further in the opposite direction.
I'm going to start something new in these postings: tips to casino management. The first one is based on what happened in Harrah's high limit room when we finished playing and went to cash out our slot tickets. The employee said "pretty good" or something like that when presented my spouse's ticket for more than $1,000. She informed him that it wasn't good, it was what was left of a lot more money. I have had the similar experience many times of being congratulated by a casino employee on what was actually a losing slot ticket or stack of chips. The tip is simply to train employees never to assume based on the amount being cashed out that a player has won.
Finally, a word about Harrah's hotel in Reno. This place may not quite qualify as a dump, but it's pretty close, especially the East Tower. The casino in that building contains some very strange things, including a single bowling lane; an area that looked like a sparsely equipped basement rec room; a closed sundries shop containing a dusty old craps table and some wrecked fixtures; and what a guest told us was an abandoned noodle bar with an old banquet table and chairs. It's inconceivable to me that the latter two areas weren't at least walled off so guests couldn't see them. They made that area look like something from 'Hotel Impossible."
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