• Bg Careers

Casinos Re-evaluate Poker as a Revenue Generator

by Jason Q. Freed, Managing Editor |

Seven trending gaming industry stories that will impact your casino Revenue Strategy.

1. Where Do Poker Players Fit in Your Strategy?

When the Monte Carlo casino closes its eight-table poker room in about a month as part of a $450 million overhaul, the Las Vegas Strip will be down nearly a quarter of the tables it had a decade ago.

Casinos constantly adjust their floors to meet customer demand. And unlike the boom years when they competed for card fans after everyman Chris Moneymaker won the World Series of Poker’s main event in 2003, poker’s appeal in Sin City has been weakening this decade. Some casinos have made their poker rooms smaller. Others have eliminated them entirely.

In 2002, before fans of Texas Hold ‘Em began to rush to the Strip, casinos had 144 tables and made $30 million from the game. Five years later, casinos had more than tripled their poker revenue to $97 million with 405 tables. Last year, the game netted them only $78 million after the number of tables decreased to 320.

Full story at Tight Poker.

2. A Gambling Problem in Ohio

Ohio’s four state-authorized casinos in Toledo, Cleveland, Columbus, and Cincinnati have recorded 10 consecutive months of their revenues being lower than a year earlier. For last year, revenues for the four combined were down 2% from the year before, and for the first two months of this year they are down 5% from the same period last year.

“We do have too many places to gamble in Ohio,” said Jay Masurekar, head of gaming, travel, and Internet investment banking at KeyBanc Capital Markets Inc. in Cleveland.

Full story at the Toledo Blade.

Casinos re-evaluate poker revenue, plus 7 trending #revenuestrategy stories Click To Tweet

3. Del Lago GM Reflects on Opening

Jeff Babinski, del Lago Resort & Casino’s executive VP and GM, says the gaming facility is on track as it nears its two-month anniversary.

According to the New York State Gaming Commission, del Lago reported gross gaming revenue — the total revenues before taxes — of $13.6 million in February, the first month of business for the casino. The operator commission, which is del Lago’s share after taxes, was $9,356,801.

“It’s all about growing our database, bringing players in, getting them acclimated to our casino and our floor and our venues,” Babinski said. “That’ll be our focus as we continue to go forward is to basically drive people into the region and bring in a ton of visitors.”

Full story at The Citizen.

4. Renewed Interest in Japan Gaming

Macau casino operator Galaxy Entertainment Group will join forces with its associate in Monaco, Societe des Bains de Mer, to pursue casino resort development opportunities in Japan and other new Asia-Pacific markets.

Japan’s sudden move in December to legalize casino gambling has elicited renewed affirmations of interest from U.S. and Asian gambling bosses. Some have talked of investing up to $10 billion to open a casino resort in the country. Lawrence Ho, chairman and chief executive of Melco International Development, has called the opportunity “priceless” and said he would “spend whatever it takes to win.”

Full story at Nikkei Asian Review.

5. Will We See Casinos in New Hampshire?

The most recent New Hampshire casino bill, once thought dead on arrival when it was filed, passed the state Senate on Thursday.

Longtime gambling proponent and veteran Sen. Lou D’Allesandro, D-Manchester, said his bill hit a rocky road in the Senate Ways and Means and Finance committees. Both gave Senate Bill 242 negative reports, he said, but things changed.

“We flipped it twice on the Senate floor,” D’Allesandro said. “It passed with 13 votes. A comfortable margin. It’s on its way to the House. We’re going to have to work it there. We’re going to have to work it hard.”

Full story at Newbury Port News.

6. Gaming Revenues Dip in Las Vegas

February’s gaming numbers for nonrestricted casinos — those with table games and 15 or more slots — from the Nevada Gaming Control Board show a statewide gaming win of $945.6 million, a 4.48% drop compared to February 2016, when the win was $989.9 million.

Clark County saw a decline of 4.35% for February and an increase of 2.82% for the fiscal year. The Las Vegas Strip had a 4.98% drop in February but saw a 3.18% increase for the fiscal year. On the Boulder Strip, February was down 9.12%, and the fiscal year was essentially flat, up only 0.11%.

Full story at Vegas Inc.

7. Pa. Looks to Online Gaming for Revenue Boost

Pennsylvania will generate hundreds of millions of dollars in new tax revenue should the state pass legislation to legalize and regulate online casino games and poker, according to the recently released white paper by PlayPennsylvania: “Pennsylvania Online Gaming Revenue: A Billion-Dollar Opportunity.”

For the five-year period from 2018 through 2022, Pennsylvania is projected to add around $426 million to state coffers from legal, regulated online casino games and poker through upfront license fees, revenue taxes, and renewal fees, according to the report, which was authored by Robert DellaFave, Senior Analyst for PlayPennsylvania.

Full story at PR Newswire.

RELATED ARTICLES:

Jason Q. Freed, Managing Editor

Jason Q. Freed, Managing Editor

Managing Editor at Duetto
Jason joined Duetto as Managing Editor in June 2015 after reporting, writing and editing hotel industry news for a decade at both print and online publications. He’s passionate about content marketing and hotel technology, which leads to unique perspectives on hotel distribution and revenue management best practices.
Jason Q. Freed, Managing Editor
Email this to someoneShare on FacebookShare on Google+Tweet about this on TwitterShare on LinkedIn

Jason Q. Freed, Managing Editor

Jason joined Duetto as Managing Editor in June 2015 after reporting, writing and editing hotel industry news for a decade at both print and online publications. He’s passionate about content marketing and hotel technology, which leads to unique perspectives on hotel distribution and revenue management best practices.