Is Online Gaming Undermining Casinos?

by Joanna DeChellis, Contributing Editor | November 20, 2018

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

1. Online Gaming Debate Persists in AC

As online gaming continues its upward trajectory, generating millions of dollars in revenue, experts are again questioning whether the convenience and accessibility has helped or hurt Atlantic City casinos. 

Supporters say it’s opened gaming to a younger demographic, while critics say it’s removed the need for customers to actually visit casinos, thus killing non-gaming revenue. 

Full story at Press of Atlantic City. 

2. Penn and VICI Acquire Greektown Casino-Hotel for $1B

Penn National Gaming and VICI Properties have entered into a joint agreement to purchase Detroit’s Greektown Casino-Hotel, which includes 100,000 square feet of casino space and a 30-story hotel tower, from JACK Entertainment LLC for approximately $1 billion.

VICI will acquire Greektown’s land and real estate assets for about $700 million. Penn National will acquire the casino-hotel’s operating assets for $300 million. (VICI will enter a triple-net lease agreement with Penn National related to Greektown.) 

Full story at Commercial Property Executive.

3. Tribal Casinos Account for Half of US Gaming Market

A new report released by the American Gaming Association detailing the positive economic impact of tribal gaming operations found that casinos owned by Native American groups account for 43.5% of the US gaming industry. 

Full story at Casino.org.

4. Commercial Casino Revenue Up Thanks to Sports Betting

In September, commercial casino revenue climbed 4% nationwide. Industry analysts credit the uptick to new properties in Massachusetts, Atlantic City and New York as well as the roll out of sports betting in Nevada, Delaware, New Jersey, West Virginia and Mississippi.

Full story at Casino.org.

5. Good and Bad News in Nevada 

The state of Nevada showed a revenue gain in September, but the month was a disappointment for Vegas casinos, as overall revenue on the strip fell for the third consecutive month. What’s to blame for the dip? Some say decreased convention bookings. Others blame the decrease of Chinese high rollers. 

Full story at Forbes.

6. PA Ready for Sportsbook

In Pennsylvania, total gaming revenue was down 3.5% compared to October of last year. But as bad as October was, November is shaping up to be a pretty bright spot for the state’s gaming industry as November’s revenue numbers will include sports betting. 

Full story at Play Pennsylvania.

7. China Opens Hong Kong-Macau-Zhuhai Bridge

China officially opened the world’s longest sea bridge, a 34-mile structure that links Hong Kong with Macau and the mainland Chinese city of Zhuhai. It took nine years to build, but the bridge is expected to make it easier for residents of Hong Kong and Zhuhai to reach the casinos of Macau.

Full story at GGB News. 

Stay up on hotel Revenue Strategy news and discuss industry tech trends in the Hotel Revenue Strategy Leaders Group on LinkedIn.

Joanna DeChellis, Contributing Editor

Joanna joined Duetto in May 2015 as a Contributing Editor with more than a decade of writing, editing and graphic design experience for both print and online trade publications. She is passionate about driving content innovation through blogs, e-newsletter and social channels.

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