What do critics of esports say about the activity?
Without naming names, and though opinions vary, all the conclusions seem to have the same underlying sentiment. Some comments that have been made, albeit with very little evidence, go something like this:
- “When millennials are in their ‘40s, they will become slot players.”
- Or: “All gamers are hoodie-wearing teens.”
- Or: “They spend all their time in basements and are anti-social.”
- My favorite is, “Gamers are not gamblers.”
I could add many other comments and quotes, but let’s break down the four above to get to the point.
‘When Millennials Reach their 40’s, They’ll Become Slot Players’
According to the Pew Research Center, the oldest millennials will enter middle age this year. The generation is now aged between 25 and 40. According to IGD Leaders, “the bulk of slot players are in the 55-to-65 age group and are known as baby boomers.”
So why are the stats for 21-to-55-year-olds not in favor of slots?
Because millennials already spend much of their entertainment time on video games. They’re motivated by constant dopamine injections and say the thrill of slots don’t move them as much as competitive and non-competitive gaming does.
Studies show that the average millennial spends 18 hours using any digital media. A 1998 study published in the scientific journal Nature showed that playing video games releases the feel-good neurotransmitter dopamine. The amount of dopamine released while playing video games was “similar to what is seen after intravenous injection of the stimulant drugs amphetamine or methylphenidate.” I don’t know any slot machine in existence that could offer a bigger kick than that.
So if slot games don’t excite them, what will?
As mentioned above, there’s a very high bar for entertaining the new generations. The solution to the problem is not as simple as getting them to “see the light” of slots. Even if that slot machine has the coolest latest Marvel movie caricatures on it, it’s best to provide the entertainment these consumers already like, and monetize that to give an experience that they can enjoy and that we know thrills them.
The skill model sounded like a good idea, but it failed. So skill-based slots are not the answer. It reminds me of the old quote from once-popular comedian George Jessel, who said, “You give the people what they want and they’ll come.” The future of the casino and entertainment industry hinges on this timeless principle.
‘All Gamers Are Hoodie-Wearing Teens’
To address this point, we have to look at the profile or construct of the millennial generation, which we now know are far from their teen years.
Who are they? More than half of millennials are not married, and those who are got married later in life. This means they are not supporting spouses or children until much later in their lives, so they have more disposable income.
Knowing this is helpful because, as we’ve learned, seniors (who make up most of the slot players) have disposable income for the same reason, having cut extra expenses associated with children and homes. And millennials are now the second-largest generation in the U.S. after baby boomers.
‘They Spend All Their Time in Basements and Are Anti-Social’
In 2014, Mike Snider wrote in USA Today, “Video games aren’t what they used to be—and neither are gamers.”
He continued, “Video games were long thought to be the territory of loners, most likely teenage boys, holed up in the basement playing alone. Not anymore. The average gamer is 31 years old and nearly as likely to be a girl or woman as a male (men make up 52 percent of players), according to the Entertainment Software Association. And games have become a staple in the entertainment diet across all ages.”
According to a survey conducted at the time, 73 percent had played games in the previous 60 days, as had 62 percent of Generation Xers and 41 percent of baby boomers. Please note that the article was written eight years ago, also supporting the current age of gamers—which is now 40.
I am saying that the millennial and younger customers make up a large part of any consumer customer-based business.
‘Gamers Are Not Gamblers’
Let’s look at wagering on esports. You don’t have to look far. The history of video gaming provides many clues, and if we explore the behaviors, we begin to see the pattern. I like an observation by the creator of Atari, Nolan Bushnell, whose son Tyler Bushnell is carrying on the family’s tradition with his company Polycade. Tyler will be at the upcoming Casino Esports Conference (casinoesportconf.com).
In an interview, Nolan recalled that after he placed his Pong game in a tavern, people were coming in early to get time on it. I had a similar observation firsthand at our Gameacon events (gameacon.com), where we ran multiple title tournaments. Gamers were excited to bet on each other, with the extra added chance of winning big prizes, including gaming equipment, money and bragging rights.
In conclusion, observing and knowing your customers and breaking down their behaviors is the key to success. My brother and partner Ari Fox and I have spent more than eight years in video gaming and 26 years in casinos. We understand what makes sense and what doesn’t. We also know that change is complex, and the questions and pitfalls can be significant and sometimes costly. Approached with the correct knowledge, the challenges don’t seem so overwhelming.
The Casino Esports Conference will take place in Las Vegas Wednesday and Thursday, March 23 and 24. For more on the agenda, click here.
