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.
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.)
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.
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.
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.
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.
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.
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