An arcade operator improved their ROI by 340% after installing anti-cheat devices. This case study breaks down the numbers behind the improvement.
The Situation
A 25-machine arcade was operating at a net profit margin of 8%. The operator knew something was wrong because similar venues in the area were reporting margins of 15-20%. He assumed his costs were higher or his game selection was suboptimal.
The Analysis
A review of machine payout data revealed that cheating was costing the venue approximately $3,800 per month. This was $3,800 in direct losses that were coming straight off the bottom line. The operator’s actual business was performing at 15% margin. The cheating was eating 7% of that.
The Solution
We installed Gen2 devices on all machines. Payout discrepancies dropped from 8% to under 2% within 30 days. Net profit margin improved from 8% to 23% as the cheating losses were eliminated and the true profitability of the business was revealed.
The ROI Calculation
The total investment in anti-cheat protection was approximately $7,500 (25 devices). The annual savings from eliminated cheating losses was approximately $45,600. That is a 340% ROI in the first year alone. Devices purchased in subsequent years would have zero hardware cost (already installed) and continue to save $45,600 per year.
If your arcade machine is showing signs of profit improvement, send me a message with your machine model and a photo of your setup. I will do a quick remote check for free. Every device comes with a money-back guarantee, official invoice, express shipping, and 1-on-1 technical support.
WhatsApp / WeChat / Phone: +86 158 1582 1587 — Engineer Wang
To discuss the best anti-cheat strategy for your specific arcade setup, message me directly. I offer a free remote diagnostic session — send me your machine model and I will tell you what is going on.