How Gross Gaming Revenue Calculation is Influenced by Dwell Time
Gross gaming revenue (GGR), also referred to as game yield, is a crucial casino KPI driven by the total amount wagered. GGR reflects the difference between the amount of money players wager minus the amount they win, making it equivalent to revenue for the venue.
The formula to calculate your GGR is by subtracting the winning payouts, which refers to the amount paid out to someone for winning from the amount wagered, which is how much they bet on the table.
GGR is important because it helps the venue determine if they are retaining more money relative to the number of wagers made. Therefore, for the casinos to acquire as many players as they can and keep them to increase their revenue, it is vital to retain them on the floor as long as possible.
What is Dwell Time
Dwell time is the length of time a person spends on the floor of the casino without leaving. Frequently casinos calculate their revenue potentials by how many people are in the casino or at a table for a given amount of time. Therefore, by increasing the dwell time, you are increasing your total revenue.
Dwell time also relates to other casino key performance indicators, such as net gaming revenue (NGR), NGR to deposits, bets to deposits, lifetime value of players (LTV), churn rate (CR), bounce rate, and average revenue per user (ARPU). Keep reading to learn more.
Net Gaming Revenue
NGR shows the actual casino earnings after paying expenses. Expenses include bonuses, commissions, royalty fees, gaming license fees, taxes, etc. NGR can help analyze your venue’s success rate. Your earnings will be higher, and your net gaming revenue will increase if your dwell time increases. If people are on the floor longer and spending more money, your profit margin will not be impacted when you pay out regular expenses.
Net Gaming Revenue to Deposits
NGR to deposits indicates how much revenue your venue obtained from players’ deposits. The higher the indicator, the more the players spent, and the better for your venue.
Lifetime Value of Players
This metric is the casino’s total profit from a player during their overall time in the venue. Casino operators want to continually increase their numbers, which stems from increasing dwell time.
Also known as attrition rate, this is the proportion of players who left a venue. A low churn rate indicates the success of the casino in keeping players engaged and on the floor.
Average Revenue Per User
ARPU shows how much a casino generates per player over a specified period. The period varies by month, quarter, or year but is determined by dividing the total revenue by the number of active players for the specific period. Remember, revenue increases as dwell time does.
Benefits of Increased Dwell Time
As you can tell from how dwell time increases various aspects of your venue operation, it is essential to consider.
In addition to keeping patrons on the casino floor longer, which equals more bets, increasing dwell time also results in the higher utilization rate of available tables and slots. For example, boosting average dwell time by X equals Y additional hours of gaming, so if you have 1,000 customers per day and increase the average dwell time from 1 hour to 1 hour and 10 minutes, your venue will see 100 additional hours of on-site engagement.
MobileQubes also has a platform that allows you to learn about your guests and target those who have yet to join your casino rewards program.
Tips to Increasing Your Dwell Time
If you are looking for ways to increase dwell time, look no further than MobileQubes. Our phone charging kiosks will enable you to provide a superior customer experience, offer a needed customer amenity, and create a relaxing environment that alleviates battery anxiety.
You don’t want people anxiously checking their battery or leaving early to charge their phone; by offering a phone charging solution, you are keeping them happier and increasing your total revenue.
Partner With MobileQubes Today
When it comes to generating success, you want to make sure people are spending money on the floor. So increase your dwell time with MobileQubes. We can help improve your dwell time and put more money in your pocket in the poker room, bar areas, hotel lobby, gaming floor, special events area, and ride-share pickup.
All your customers have to do is scan the QR code, plug in their phone, and return it after use. So partner with us today and watch your revenue grow. For more information on how we can improve your revenue, download the Customer Experience Management Calculator.