iGaming metrics: RTP and eRTP, what is it and how to calculate it?

Another portion of usefulness from CatAffs has arrived! In this article, we will take a detailed look at the RTP and eRTP metrics, their impact on the gaming experience, player winnings and online casino profits. We will tell you how to calculate them and analyze the factors that influence the RTP percentage in gambling.

Our guys shared their expert opinion and insights, it will be interesting and mega-useful. Let’s go!

Classic RTP

In the context of gambling, the RTP metric means Return to Player. This is a percentage that determines how much of the total bet on a slot game or other gambling game will be returned to players in the form of winnings.

For example, if a slot machine has an RTP of 95%, this means that on average, for every 100 units of game currency invested, the player will get back 95 units, and the casino will take 5 units as profit. RTP is an important indicator for players, allowing them to evaluate the profitability of the game and make more rational choices.

What does the RTP percentage in gambling depend on?

The percentage of RTP in gambling is influenced by many factors:

➡️ Game design and characteristics. Developers of slot machines or other games determine the winning structure and the probability of winning combinations. This includes the number of reels and paylines, symbol types, bonus rounds and other elements that affect the gameplay. For example, a game with more reels and paylines usually has a higher potential for big wins but also higher volatility, while games with fewer reels and paylines may be less predictable but more consistent in payouts.

➡️ Licensing conditions. Regulators in different jurisdictions may set minimum RTP percentage requirements for online casinos. This is done to protect the interests of players and ensure a fair gaming environment. This way, players have a real chance of winning, and operators cannot set the RTP percentage too low, which would greatly reduce the likelihood of receiving a prize. These requirements may vary slightly depending on GEO and legislation.

➡️ Competition in the market. Due to competition in the gambling market, some online casinos may adapt the RTP percentage to attract more players and keep them on their platform. They may increase the RTP percentage for certain games or offer promotions and bonuses that encourage players to choose their casino.

➡️ Marketing strategy. Some online casinos may set a higher RTP percentage for certain games as part of their marketing strategy. This helps them attract new players, retain old ones and improve their reputation.

➡️ Technical limitations. The complexity of programming and various technical limitations can also affect the RTP level. For example, games with more complex mechanics have lower RTP percentages due to the difficulty of balancing payouts and winning probabilities.

The impact of loyalty and bonus promotions on the final result

If a casino offers players a loyalty program that includes bonuses, cashback, free spins, or other benefits based on their activity and bet volume, this creates a more varied gaming experience. This does not affect the RTP percentage of specific games, but it encourages players to stay loyal to a particular casino and continue playing. As a result, casino turnover and income increase.

Some casinos offer bonus promotions such as free bets, bonus money or free spins on certain games. Although the RTP percentage in these games usually remains the same, bonuses and promotions increase a player’s chances of winning or provide extra opportunities to win without additional costs.

Thus, loyalty programs and bonus promotions in gambling are aimed at increasing user satisfaction, stimulating activity and attracting new players, but they do not directly affect the RTP percentage in games.

What is eRTP and how is it calculated? Comments from the CatAffs team

Effective RTP (Return to Player) in gambling is a concept that refers to the impact of bonus promotions, loyalty programs and other factors on the overall return to player percentage in slot machines or other gambling games.

When a casino offers bonus money, free spins or other incentives, the player’s overall RTP percentage may change. For example, if a player receives free spins with zero or low stakes, this can increase the chances of winning at no extra cost. This affects the overall RTP percentage for that player. Thus, “effective RTP” takes into account not only the game’s base RTP percentage, but also any bonuses or incentives the player receives and how they affect his actual performance in the game.

How is it calculated?

📌eRTP calculation formula:
Effective RTP = Base RTP (from the provider) + (Casino Advantage × Return Percentage)

📌 Let’s look at an example:
— The average base RTP on the market is approximately 96%
— The casino advantage, in other words, the earnings of online casinos in the long term is 4% (100% – 96%)– Our bonus program offers a return of up to 50% of the casino advantage
— That is, the effective RTP = 96 + (4 * 0.50) = 98%
— Therefore, taking into account return up to 50% of the casino advantage, effective RTP increases to 98%.

We strive to achieve customer satisfaction through unique loyalty programs and reward campaigns for our players.

Loyalty programs provide additional funds and incentives for players, which not only improves the gaming experience, but also helps increase overall affiliate commission income.

Such programs include:

▶️ Cashback
▶️ Welcome Bonuses
▶️ Exclusive bonuses
▶️ Gifts for birthdays
▶️ Transfer bonuses
▶️ Tournaments
▶️ VIP-level rewards

In this case, the size of the client’s winnings is determined based on the effective return rate (Effective RTP), which takes into account all associated costs. Depending on the bonuses and advantages provided to players, the real casino profit will be 50% less than the commission stated in the terms of the game.

Results:

Would you like detailed information on how RTP and eRTP metrics are calculated? Then contact CatAffs support. You will be connected to an experienced partner account manager who will provide a comprehensive understanding of these processes and answer all your questions.