The Casino’s Bedrock Is Mathematically Engineered

Beneath the varnish of flashing lights and free cocktails, casinos stand on a bedrock of mathematics, engineered to slowly bleed patrons of their cash. Mathematically inclined people have spent decades trying to turn this system to their advantage, using statistical probability and game theory to exploit flaws in a rigged system. The results have been mixed.

In 2018, the U.S. Supreme Court gave states permission to legalize sports betting, but gambling in general remains illegal in eight states, including Texas. However, the decision could open the door to other forms of legalized casino-style gambling like lottery games and online gaming.

The economic mainstays of most casinos are slot machines and video poker machines, which require little in the way of skill. Players insert money, choose a bet amount, and spin the reels or press buttons to play. In the past, some slot machines even had physical spinning reels, but modern ones use a digital screen to replicate the action and are completely automated.

Despite their popularity, casino games aren’t likely to remain popular in the future. That means casino marketing needs to evolve in order to attract and retain the next generation of gamblers. For this reason, marketers have long focused on demographics to guide their decisions. The ages, incomes, and education levels of a casino’s audience members can be helpful insights into how that group behaves, but they don’t tell the whole story. A more complete picture would include insights into the motivations and pain points of each group’s members.