It is no secret that inflation is as high as it has been in decades. All businesses are affected by increases in labor and other costs. Las Vegas casinos are no different.
Some Las Vegas casinos have raised minimum bets on games to offset inflation. This is easy to see with the substantial decrease in $5 table games in the past couple of years and the almost complete disappearance of limits lower than that. However, many casinos are taking a different approach.
Shrinkflation is when a business keeps the price the same but offers the consumer a smaller or lower quality product to offset the increased costs of doing business. This disguises the inflation, making it harder for the buyer to see.
For example, I noticed that Gatorade bottles are now 28 ounces. These were 32 ounces a few months ago. Stores kept the price the same. However, the consumer is getting 12.5% less Gatorade. Casinos are doing something like this but on a much larger scale.
Recent video poker examples
The latest gambling news from downtown Las Vegas is that Four Queens no longer has the best bar video poker. The 10/6 (full house/flush) Double Double Bonus at the $0.50 and $1 denominations is now 9/5. The $0.25 game went from 9/6 to 8/5.
The theoretical house hold of the 10/6 game was 0.04%. It is now 2.13%. That is a 5225% increase in the house edge when comparing the old game to the new one. This means that a player will lose over 50 times faster on average on the 9/5 game than when it was 10/6.
The $0.25 9/6 Double Double Bonus game had a theoretical hold of 1.02%. It is now 3.21% with an 8/5 pay table. That is a 215% increase in house edge. A player will lose more than three times faster on this 8/5 game than on the old 9/6 pay table.
The Main Street Station reopening is another example of video poker house edge increasing substantially. The Boar’s Head Bar reopened with 9/6 Jacks or Better, only to downgrade it a week later to 9/5, and only on a few machines. That is an increase in theoretical house hold from 0.46% to 1.67%. The inflation rate there is 263%.
Hidden inflation happens at table games, too
Table game minimum bets are up at most casinos since 2019. This is largely due to the pandemic increasing costs and creating a labor shortage. During times of inflation, it seems reasonable that a casino may need to raise its prices, or in this case, table game minimum bets.
Here are some examples of how the house edge goes up on games when the minimum bet increases. This assumes that all players are betting the minimum and playing perfect strategy. It is unlikely that the tables are operating that way, so the expected results for the casino and math are not the same number, but it demonstrates the price increase for low limit players.
Table game inflation rate by increasing minimum bet
- $5 to $10: 100%
- $10 to $15: 50%
- $15 to $20: 33%
- $15 to $25: 67%
Some casinos do not think that raising the minimum bet is enough. These properties may change the rules on games to quietly increase their advantage over players. Here are some examples of hidden substantial price increases when the casino adds bad rules to its games.
Adding a third zero to roulette
The most recent downgrade of Las Vegas roulette involves changing the game from double zero to triple zero. A double zero roulette game theoretically holds 5.26% of all bets. The triple zero roulette hold is 7.69%. That is a 46% increase in house edge when a double zero table becomes triple zero.
Lowering blackjack payouts through rule changes
There are several blackjack rule changes that can increase the house edge. The most subtle is removing surrender or re-split aces from a game. Taking one of these rules away increases the house edge by about 15%. That goes to about 30% when removing both rules.
One of the first ways that casinos raised the house edge of a blackjack game was to start hitting soft 17. This raises the house edge by 30-50% from the payout of a stand on soft 17 game, depending on the other rules.
The most noticeable increase in house edge is when the casino changes a blackjack payout from 3:2 to 6:5. We have seen hundreds of Las Vegas blackjack tables go that way over the years.
A typical 3:2 blackjack game holds about 0.6% with perfect strategy, making the 6:5 game with the same rules hold about 2%. That is a 308% increase in house edge when converting a 3:2 blackjack game into a 6:5 one.
Crapless craps is taking over some craps tables
Crapless craps is one of the fastest growing table games in Las Vegas. It has replaced one or two craps tables at all MGM Resorts properties in Las Vegas, as well as a few Caesars ones. It is also dealt at Westgate.
There are several differences between craps and crapless craps. The casino’s hold on the pass line and come at crapless craps with no odds is 5.38%. A normal craps game is 1.41%. Converting a craps table into crapless craps inflates the house edge by 282% when there are no odds bets.
The most common crapless craps odds in Las Vegas is 3-4-5 times. This is also the craps odds at every Las Vegas Strip casino, except for The Strat. The casino’s hold when taking full 3-4-5 times odds at traditional craps is about 0.37%, according to Wizard of Odds. It is 1.29% at 3-4-5 times crapless craps. That inflates the house edge by 249% when comparing the two games.
Play where there is value, and let the casinos know why
Most Las Vegas casinos have reduced odds on at least some games over the last few years. Some only downgrade a few machines and leave some better ones to retain existing players. Others have stopped offering anything playable.
I feel that the best action is to move your play to a casino that still offers good games if your home casino decides to exponentially increase the house edge. Tell your former favorite casino why you left. Tell the new casino why you are there.
This may prevent your next casino choice from doing the same as your old one. It may convince your former favorite casino to bring the good games back if enough players run for the exits.
