Global
Ireland
United Kingdom
Romania
Reviewed By Over time, online casinos have mastered the art of seizing players’ attention with attractive offers, so much so that customers are least bothered by the fine details. What if we tell you there is a way you can calculate how profitable a bonus offer is by calculating its real value? Hang in there as this article goes into a full-blown exposition on what the real value of bonuses is and how to calculate them.
- How to Calculate the Real Value of Casino Bonuses?
- Calculating the Expected Bonus Value of 10 Casino Offers: Case Studies
- Other Factors That Affect the Real Value of Casino Bonuses
- The Real Value of Online Casino Bonuses Is Often Negative
How to Calculate the Real Value of Casino Bonuses?
It is easy to get excited when you see an online casino offering a bonus as high as 300% on your first deposit. That’s how they attract new players. However, what you may not be privy to is that the casino bonus may not be profitable in the real sense. This is the aim of our blog: teaching all our NZ players to calculate the actual value of a bonus themselves.
From our findings, there are two ways to calculate the Real value of casino bonuses, and they usually require the following details:
- Bonus Funds (That’s the estimated bonus money to be credited to you)
- House edge or RTP
- Wagering requirement.
Here are the two formulas that can be used in calculating the expected bonus value:
- Real Bonus Value = Bonus Funds – (Game RTP x Wagering Amount)
- Real Bonus Value = Bonus Funds – (House Edge x Wagering Amount).
We take preference to the second formula, considering it is an easier route to reaching your answer. This formula works whether you calculate the expected value of a pokie bonus or an EBV, free spins or any other minimum deposit bonuses..
Pro Tip: If, after calculating the EBV, your result is positive, then that implies the bonus is profitable in the real sense.
Calculating the Expected Bonus Value of 10 Casino Offers: Case Studies
To help you understand the concept of calculating the value of casino bonuses, we figured we would look at some live examples of a few new recommended casinos, using them as a case study. This is where it gets interesting!
Example 1: Conquestador Casino
Conquestador Casino currently offers a 1st deposit bonus package that gets users 200% up to $50, with a wagering requirement of 25x, which is considered a low wagering requirement. Still, let’s see how we can calculate and get the true value of this bonus.
Let’s assume you make a first deposit of $25, and you are expected to receive a real money bonus worth $50.
Now, to calculate the actual value of the bonus, we’ll be using the formula: EV = Bonus – House Edge x Wagering Amount.
For a slot whose RTP is 96.5%, house edge = 100% – 96.5%. This results in 3.5%.
When calculated, the wagering requirement will be 25 x 50 (bonus funds) = 1250.
Going back to our formula:
RV = 50 – (3.5% x 1250)
RV = 6.75.
Example 2: StayCasino
StayCasino grants players a deposit match-up bonus of 100% up to $500 with a wagering requirement of 40x.
Let’s assume you get bonus funds of $500, and you are using it on a slot with a house edge of 3.5%.
Calculating RV = 500 – (3.5% x 20000)
RV = -200.
Example 3: PlayDingo Casino
PlayDingo has a 400% deposit match on a 1st deposit up to $80. To be able to cash out this bonus, you’ll need to wager this bonus 50x.
Let’s assume you make a first deposit of $20 and are credited with a bonus fund of $80, and you decide to fulfil the bonus requirement by playing slots with house edge pegged at 3.5%.
Calculating RV = 80 – (3.5% x 4000)
RV = -60.
Example 4: 77Spins Casino
77Spins Casino currently has a welcome offer of 100% up to $250 with a 40x wagering requirement.
Assuming you receive $200 as bonus funds after your first deposit and you choose to wager it on slots with house edge pegged at 3.5% approximately.
RV = 200 – (3.5% x 8000)
RV = -80.
Example 5: Betcoco Casino
Betcoco Casino currently offers a 100% welcome bonus of up to $1000. Wagering requirements apply here as well. Thus, you need to meet a rollover requirement of 40x while playing with bonuses offered by Betcoco.
In the event that you are rewarded with $400 as a result of your first deposit, and you decide to redeem it by playing slot games with a house edge of 3.5%.
Calculating RV = 400 – (3.5% x 16000)
RV = -160.
Example 6: Revolution Casino
Revolution Casino currently offers a 100% welcome bonus of up to $1000 with the lowest wagering of 35x.
If you are provided with a $300 bonus as a result of your first deposit, you make a choice of playing slot machines with a house edge of 3.5%.
Calculating RV = 300 – (3.5% x 10500)
RV = -67.5.
Example 7: Lucky Wins Casino
Lucky Wins casino currently offers a welcome package 100% up to 500 NZD, and the bonus must be wagered 40 times the amount.
If you are to make a first deposit of 100 NZD at this casino, you will be entitled to a bonus money of $100. If you decide to fulfil the wagering requirement of this bonus by playing slots with a house edge of, say, 3%.
In that case, RV = 100 – (3% x 4000)
RV = -20.
Example 8: SpinPug Casino
SpinPug Casino has a welcome bonus of 500% up to $500, with a playthrough requirement of 40x.
In the event that you make a first deposit of $100, you will be entitled to a bonus reward of $500. If you decide to fulfil the wagering requirement of this bonus by playing slots with house edge pegged at 3.5%, the EV, or expected bonus, will be calculated as follows:
RV = 500 – (3.5% x 20,000)
RV = -200.
Example 9: BlueChip Casino
BlueChip Casino currently offers its users a welcome package of 150% up to 300 NZD on 9 Lions slots alone. The wagering requirement on this bonus is 40x.
From findings, 9 Lions slot pegs its RTP at 96.59%. This means the house edge of this slot should be 3.41.
If you are to make a deposit of 100 NZD, you will be credited with a bonus funds amount of 150 NZD.
Hence, calculating the RV = 150 – (3.41% x 6000)
RV = 54.6.
Examples 10: Lucky7even Casino
Lucky7even Casino offers a 100% welcome bonus of up to $750 with a wagering requirement of 40x.
If you are rewarded with a 500 NZD bonus as a result of your first deposit, and you choose to wager it on a slot with its house edge pegged at 3.5% to fulfil its requirements, the Expected Value of the bonus will be calculated as follows:
RV = 500 – (3.5% x 20000)
RV = -200.
Other Factors That Affect the Real Value of Casino Bonuses
While it is essential to do your calculations, that’s like looking at one angle of the whole equation. To get the full import on whether a casino’s offer is worth your time, there are a few other factors to look at:
Maximum Cashout: This detail, which is always included in the terms and conditions of online casino bonuses for new players, helps you understand the maximum amount that is cashable from the bonus amount from the bonus funds after fulfilling the wagering, whether it be a low wagering requirement or a higher one. If you’re lucky, you may pick up a bonus with no wagering whatsoever.
Qualifying Games: These little details in terms of the bonus simply give you an insight into the category of games that are eligible for the bonus and how much they contribute to the wagering requirement. Generally, slots contribute 100% to the wagering requirement of the best casino bonuses out there for new customers.
Eligible Payment Methods: This is otherwise called the deposit requirements. While this might not directly affect the value of the bonus amount, it helps avoid wasting your time. It is commonplace to find some of the best bonus offers around to restrict the bonus to users who deposit using specific payment methods.
The Real Value of Online Casino Bonuses Is Often Negative
Looking at the case studies reviewed in this text, you will notice that 9 out of 10 of the offers here are in the negative. And if you are to go as far as reviewing bonus offers for other casinos, you will see this is often the case. This is because, in most cases, the house is favoured to win since they are in the business of making a profit.
However, while it is rare to find the expected value of bonuses to be positive, the best kind of bonuses are those whose value are below -100, meaning you are expected to lose at least $100. We consider bonuses that qualify under this category manageable as they give you a fighting chance to win while setting you up to be able to cash out some bonus funds in the long run.
