However, in the 1990’s, casinos and slot machine makers started to adapt to a new business model. The New Business Model for Slot Machine Manufacturers and Casinos
Obviously a slot machine at Caesars Palace in Las Vegas is going to generate much more than one at Terrible’s Casino in Searchlight. The cost might work out to $10 per day per machine for 5 years and the casino might make $30 to $100 per day per slot machine, depending on a whole lot of factors. Casinos would buy a machine for perhaps $10,000 from a slot machine manufacturer, then spend $2000 every year or two for a conversion kit to change the game a little bit. Historically the slot machines people played had nothing but public domain images and concepts, like lining up 3 cherries or bars of gold. When you move off of the Las Vegas Strip to other locations like suburban casinos and tribal casinos, things are even more skewed towards slot machines. An estimated 70% of gaming revenue comes from slot machines - not blackjack, not pai gow poker, not roulette, not craps, but slot machines. Slot Machines are the biggest money makers in casinos and that is why there is so much prime real estate dedicated to them.
Slot Machines are the Bread-and-Butter of Casinos
