I probably didn't make that very clear. Just in case, let me clarify.
Take either switch, whichever you want to be player 1 coin slot, and wire its ground terminal to the ground on your encoder and wire its NO terminal to the coin 1 key on your encoder. Then do the same thing with the other switch, only wire its NO terminal to the coin 2 key. You can tie the grounds to each other and then to the encoder, or you can wire them separately, it's a matter of preference really, just so long as everything is grounded to complete the circuit.