GGB is committed to providing updated news and analysis on our weekly news site, GGBNews.com.

When Losses Feel Like Wins

When Losses Feel Like Wins

A study published by Canada’s University of Waterloo by Candice Graydon, Madison Stange and Mike J. Dixon in December shed some light on why players enjoy certain machines and the impact of losses disguised as wins (LDW), which is defined as players winning less than they wager (e.g., bet $2, win back 50 cents), the net loss disguised by flashing graphics and winning sounds. In the study, 32 undergraduate students with experience playing slot machines played 100 spins on four games. Two had positive payback percentages (115 percent) and two had negative payback percentages (85 percent) after 100 spins. Two games had no LDWs and two had a moderate amount of LDWs. Students were then allowed to continue play, and most of them chose the high-payback machine with LDWs.

To obtain a copy of the study, visit uwaterloo.ca/gambling-research-lab/publications.

    Recent Feature Articles

  • A Good Bet

    As AGS prepares to return to private ownership, stock analysts and industry experts acknowledge that the company’s future is a good bet, private or public.

  • Taxing Problem

    Wagering tax hikes could shrink markets, have unintended consequences.

  • Cashless Crescendo

    The ongoing migration to a cashless casino experience.

  • Hold for Gold, Spin to Win

    Why hold-and-spin games have come to dominate the slot industry.

  • Ronnie Johns: A Life in the Hot Seat

    Following three years as chairman of the Louisiana Gaming Control Board and close to 40 years in public service, Ronnie Johns steps down.