INSIDE GAMING: Bay State blunders: Massachusetts now an embarrassment on gaming scene By Howard Stutz, Las Vegas Review-Journal • November 3, 2013 Two years ago, Massachusetts was considered a potentially lucrative gaming opportunity. The past two weeks, however, have called into question the viability of the Bay State’s incubating casino market. Massachusetts is moving ahead with a single Las Vegas-style casino in each of three geographically separate regions: Boston, the southeast corridor and the western half of the state. But it … [Read more...]
An Update on Casino Gaming Expansion on the East Coast By Ken Adams • October 29, 2013 The casino gaming news these days is filled with stories of expansion. Florida, Massachusetts, Maryland, New Hampshire, New York and Pennsylvania all have expansion on their radar screens. New Hampshire is working on new regulations as a prelude to expansion and Florida is studying the issue. Massachusetts, Maryland and Pennsylvania are in the process of granting casino licenses. Maryland only has … [Read more...]
Boom time in Macau continues to buoy Las Vegas Sands By Howard Stutz, Las Vegas Business Press • October 27, 2013 The Venetian and Palazzo on the Strip provided Las Vegas Sands Corp. with somewhat lackluster revenues in the third quarter. Wall Street didn’t give the results much attention. Macau is what drives Las Vegas Sands. In the three months ended Sept. 30, the company’s four major Macau gaming divisions produced a 43 percent increase in revenues and an 89 percent jump in profits compared with a … [Read more...]
INSIDE GAMING: Caesars Entertainment’s terrible, horrible, no good and very bad weekend (LVRJ) By Howard Stutz, Las Vegas Review-Journal • October 27, 2013 Has there ever been a gaming company that suffered through a worse 72-hour period than Caesars Entertainment Corp.? On a Friday evening, Caesars was punted from a proposed $1 billion project in Boston. Then the company was forced to dump its licensing partner in a $185 million Strip casino renovation. Hours later, Caesars had to report in a filing with the Securities and Exchange Commission … [Read more...]
Public Polling on Internet Gaming is Meaningless – for now! By Jeffrey Compton • October 26, 2013 (I would like to thank CDC Gaming Reports Editor John Broughton for his invaluable contributions to this analysis.) Twenty-four hours before I sat down to write this column, I had no idea that it would be about Internet gaming. By chance, two contributions this week to CDC Gaming Reports dealt with the subject. Friday afternoon, the Las Vegas Review Journal published a story on the findings of … [Read more...]
Legalization of online gambling in the US By Artur Loss • October 25, 2013 The prohibition on online gambling in the U.S. ended on June 6, 2013. The Internet Gambling Regulation, Enforcement, and Consumer Protect Act legalized all forms of online gambling except betting on sports. (American Gaming Association, 2013) 37 companies have already submitted applications various state authorities to participate in the newly forming industry, which is going to "go live" on … [Read more...]
State of online gaming in Europe By Davide Tedesco • October 25, 2013 Online gaming within the the European Union (EU) is now governed by the regulations of each participating country. But the EU is moving toward a more coherent, unique European online gaming market. Online gaming services are going through a growing expansion in EU, with an annual growth rate of about 15%. Revenues will probably reach $13 billion by 2015. Today nearly 6.8 million people play one … [Read more...]
Caesars in Massachusetts – Much Ado About Nothing By Ken Adams • October 22, 2013 Caesars has some serious issues, but the reason it withdrew from Massachusetts should not be one of them. Caesars has been in the news a lot lately and most of it has been negative. The latest flurry of Caesars news was initially generated by Caesars’ decision to drop out of the Suffolk Downs’ bid for a casino in the Boston area. Both Suffolk Downs and Caesars agree on the details. The … [Read more...]
What’s in a name? Maybe it’s a company’s reputation By John L. Smith, Las Vegas Review-Journal • October 22, 2013 Although the signage changes with increasing regularity, names are important things in the casino business. So it came as a relief to learn that Caesars Entertainment Corp., as the Review-Journal reported Monday, had decided to dump the Gansevoort Hotel Group from its planned redevelopment of the casino once known as the Barbary Coast. A name that communicates a hip and classy image on Park … [Read more...]
Daily Fantasy Games, Legal or Not, Rise in The World of Fantasy Sports By Aaron Stanley • October 20, 2013 At first glance, the homepage of FanDuel looks like an online sports casino. But the company, which paid out $50 million in winnings in 2012, is not a traditional online sports bookie. Rather, FanDuel is a fantasy sports website, offering a popular and controversial new genre of wagering contests known as “daily games,” in which players select fantasy “teams” consisting of real-life players and … [Read more...]
Bryan Sandoval: The Middle Seat Governor By Ken Adams • October 20, 2013 Nevada is a very small state with an estimated 2.7 million inhabitants in 2012. Seventeen states have fewer people, but only eight have more land. That sums up Nevada, few people, but lots of land – desert land. In a barren land, you when meet another traveler, it is important to stop and talk for awhile; it may be a long time before you see another living human being. There are two urban … [Read more...]
Dotty’s in Illinois – a New Era and a New Opportunity By Ken Adams • October 18, 2013 A tiny article in the news on Monday, October 14th caught my eye. A Nevada-familiar name, Dotty’s, received a license to open a café with slot machines in the village of Homer Glenn in Illinois. According to the story, Dotty’s intends to develop a chain of Dotty’s Cafes across Illinois. “The chain is designed to cater to women 35-years and older in a home, Grandma’s-kitchen style atmosphere,” … [Read more...]
State of Play: New Jersey By Luke Hayward • October 17, 2013 New Jersey is set to make U.S. gambling history, as it prepares to license and run intra-state online casino gambling on a truly grand scale. Although Delaware, with three land-based casinos running online gambling, will likely be first out of the gate, in late October, New Jersey will be far larger. Projected annual tax revenue from New Jersey’s online gambling ranges from nine to almost fifty … [Read more...]
AGA Announcing Judy Patterson’s Departure By Geoff Freeman, AGA president and CEO • October 15, 2013 The American Gaming Association (AGA) is announcing today that Judy Patterson has resigned as senior vice president and executive director. She will continue to support the organization as a consultant over the next year. Working alongside Frank Fahrenkopf, Judy was instrumental in the creation and success of the AGA. Among her signature accomplishments is the 1996 creation of the National … [Read more...]
What I learn from what you read! By Jeffrey Compton • October 12, 2013 In his far-too-short tenure as CDC Gaming Reports Flash Editor, the late Jeff Simpson repeatedly told me “Check out which news stories our subscribers click and read. It will improve the products, plus you will learn a lot about the industry.” He was right on both counts. Through the wonders of web technology, I am able to see which of the two-dozen stories we feature each day (in the Flash or … [Read more...]
Size Does Make a Difference By Ken Adams • October 3, 2013 One fact stood out at G2E 2013; slot machines are getting bigger. In fact, compared to the little boxes of the 1950s slots that provided the basic DNA for today’s games, they are gigantic monsters. And like the dinosaurs, the long-gone animal monsters that once dominated the planet, today’s gigantic slot machines need a great deal of territory and sustenance to survive. Seemingly, every year … [Read more...]
Getting past the Superficial, Sensational and Attention Getting Headlines By Ken Adams • October 2, 2013 In the era in which we live, the media panders to the basest elements of human nature. It chooses subjects that titillate us, rather than subjects which might inform us. Every day on internet news sites, in the print media and on television, we are bombarded by the trite and the sensational – in depth or to use the Latin phrase – ad nauseam – until we are nauseated. The media follows ordinary … [Read more...]
AGA: Gaming Industry Impact of Federal Government Shutdown By Geoff Freeman, AGA president and CEO • October 1, 2013 Gaming Industry Colleagues— As you've no doubt heard, Congress failed to reach an agreement on funding for the federal government and all non-essential functions entered a "shutdown" as of midnight this morning. No one in Washington has a good sense as to how long this shutdown will continue (despite the countless pundits who dominate your television). The American Gaming Association is … [Read more...]
Online Betting and Off Track Betting are Both Remote Propositions By Ken Adams • September 29, 2013 G2E 2013 was huge; nearly 30,000 people attended. In attendance and in expo space being used, G2E 2013 approached pre-recession levels. The attendees did what people have been doing at G2E and its predecessors for years; G2E is an annual industry tradition, it has its rhythms that everyone acknowledges and follows. In the mornings they listen to discussions on the industry, in the afternoons … [Read more...]
Reluctant casinos get clear warning (LVRJ) By John L. Smith, Las Vegas Review-Journal • September 29, 2013 As she made her way through the Sands Expo Center, the most dangerous woman in Las Vegas easily passed for one of the thousands of attendees at last week’s behemoth Global Gaming Expo convention. In a town where showgirls and Celine turn heads, straight-talking Jennifer Shasky Calvery in her business attire blended into the crowd. It’s what Shasky Calvery, the director of the Department of … [Read more...]
Random G2E opinions posing as thoughtful commentary By Jeffrey Compton • September 28, 2013 This year’s G2E show floor was a happy place – even on the last day (my favorite time to go). With a few exceptions (I did hear detailed, specific concerns regarding the effects of Obamacare), everyone was upbeat about their business and overall industry trends. Several people told me that this was the first G2E they’ve attended in the last few years. Vendors said that traffic was strong in both … [Read more...]
Looking for an Identity at G2E By • September 22, 2013 G2E is getting ready to open its doors on its 2013 edition, the gaming/casino industry’s annual trade show. For three days, twenty thousand or so people from around the world will gather in Las Vegas to listen to discussions on the industry and to view the products that constitute the “games” of the gaming. On the top of everyone’s list of new products will be the slot machines – hundreds of new … [Read more...]
Closing Tables on Graveyard? That is Simply Unacceptable! By • September 18, 2013 In the gaming industry, regulation does more than control the gaming activities; regulation also limits and defines legal gaming and the nature of a casino. Las Vegas and Atlantic City casinos are byproducts of each state’s gaming regulations. The size and scope of the Las Vegas Strip would not have been possible with New Jersey regulations; Atlantic City could never have developed an east coast … [Read more...]
A final romantic dinner for Nancy and Bob Vannucci By Ken Adams • September 15, 2013 On September 10, the Las Vegas Review-Journal had a touching story about Bob Vannucci. According to Richard Lake, Vannucci is in hospice care and does not have long to live. His last wish was a romantic dinner with his wife. Bob and his wife, Nancy, met and married in 1967 when both worked at the Dunes. Bob’s career in gaming spanned the same 46 years as his marriage. Both the marriage and the … [Read more...]
Why Marketing People Should be at G2E By Bert Bertino • September 13, 2013 At the Global Gaming Expo (G2E), September 22-26, nearly 30,000 casino gaming executives from across the world will view and discuss both new and time-proven products and programs. They will not only visit booths on the floor and the attend meetings, but they'll also do networking during after the show. All that means a great opportunity for learning and growth for the industry. (Disclaimer: I'm … [Read more...]
Winning Massachusetts by getting the Lowells, if not the Cabots By Jeffrey Compton • September 11, 2013 Five of my happiest years happened in Massachusetts, in the mid-1970s, as I pursued a bachelor’s degree and an MBA from Babson College, in Wellesley. And four of my happiest summers were recent ones spent in the Berkshires, a world-class center for summer cultural entertainment. My first day at Babson, I heard the famous toast of John Collins Bossidy: “Here’s to dear old Boston, home of the … [Read more...]
Hit Me!: Fighting the Las Vegas Mob by the Numbers sight unseen By Ken Adams • September 10, 2013 Dennis Gomes led a romantic life. He died in 2012 in the midst of an attempt to turn around the struggling Resorts Casino in Atlantic City. It was the last act of a 40-year career of swimming upstream against common practices and wisdom. In the first act, Agent Gomes was a Nevada gaming regulator who moved in a dangerous zone between the world of mobsters and casino bosses. He was instrumental in … [Read more...]
Steven the Wizard of Oz Wynn By • September 5, 2013 Wherever he goes and whatever he does, Steven Wynn attracts attention. Of course, the main reason people are interested in the comings and goings of Wynn are his casinos. Any time a new Wynn casino opens it is international news. It is news because a Wynn casino means features and concepts that are unique to the industry; a new Wynn casino is a game changer. Besides the realities of Wynn’s … [Read more...]
Is Scott Walker against free market capitalism? By • August 30, 2013 Wisconsin was one of the first states to agree to Indian tribes casinos. That the casinos were to be on traditional tribal land was an underlying assumption. By June of 1992, Governor Tommy Thompson had finalized the last of the 11 tribal-state compacts and Indian gaming in Wisconsin was off and running. In the early years of Indian gaming there was still considerable confusion about what … [Read more...]
Riding the Bus: from Harrah to Bethlehem, from Wynn to Highland By • August 27, 2013 On Thursday, August 22nd, 50 people were injured when a bus bound for San Manuel Indian Bingo & Casino in Highland, California overturned. These days it takes a bus accident before the topic of “casino buses” interests anyone beside the bus operators, the bus riders and the casinos footing the bills. Busing has become something very different from what it started out to be. Long, long ago in … [Read more...]
Bill Harrah, Donald Trump and some depressing numbers By • August 22, 2013 Numbers alone and by themselves are meaningless if they no context, comparison or accompanying narrative. We need something more than the numbers themselves to give them meaning. So, for example, to say that the casinos in Mississippi generated $192 million in July does not give one much insight into the casino industry in Mississippi. To give any set of financial numbers context we normally … [Read more...]
Fluttering in the British Isles By • August 19, 2013 Understanding another culture is nearly impossible, but it is far more difficult when you are thousands of miles away with nothing but a few scattered newspaper articles for information. Even when the culture is your mother culture, it is a challenge; Great Britain, the United Kingdom – dear ole England – gave the United States a great deal; it handed us our language, the foundations of our … [Read more...]
Resorts World – Just a Subway Stop Away By • August 14, 2013 The casinos in Ohio are in giving free play a serious test run. In July, some of the casinos gave away as much as 30 percent of casino “win” in free play. That is a foretaste of some of bloody marketing battles yet to come The battles will be fought not just in Ohio, but all around the region. Those marketing wars are just beginning; over the next few years the competition between casinos in … [Read more...]
Summer on the Boardwalk; July 2013 in Atlantic City By • August 9, 2013 From the opening bell on May 26, 1978, the casinos in Atlantic City were successful. In its first year, Resorts generated $134 million in gaming revenue and by 1981 there were 9 casinos in the boardwalk city generating over a billion dollars a year in annual gaming revenue; in 2006 AC gaming revenues reached $5.2 billion; however, 2006 was the peak and the last year of the growth. Since then … [Read more...]
The Midwest Marketing War of 2013 By • August 8, 2013 The July gaming numbers are in for Ohio. The casinos which were open in July of 2012 were down in July 2013. The Horseshoe in Cleveland was down 17 percent – about the same as the casinos in Indiana have been down since the first casinos opened in Ohio. The Horseshoe Cleveland Casino grossed nearly $19.9 million last month…down 17 percent when measured against July of last year… ThistleDown, … [Read more...]
Rick Pitino wants to save horse racing – good luck, Rick By • August 2, 2013 Horse racing has been a challenged industry (some call it a sport) since casinos started to spread out of Nevada and across the country. In any state with racing as soon as casinos start to open in that state or in a neighboring state, racing revenues take a dive. Looked at as simply a betting or gambling proposition, the decline is not difficult to understand; racing is boring compared to other … [Read more...]
Dayclubs, sports bars and the internet: where is Las Vegas headed? By • July 31, 2013 The casino industry is dynamic. Nothing remains the same for long and those who fail to note that fact get left in the dust. The famous trendsetters like Steve Wynn are always reinventing the casino experience and broadening both our concept of what constitutes a casino and their own. At the moment, Wynn is off in Macau building a flower palace for $4billion dollars, but back at home in Las … [Read more...]
Wall Street on steroids in Macau By • July 24, 2013 It is often argued that Wall Street is the cause of many of the worst of modern business practices. It is the world of Wall Street that puts a constant pressure on all publicly traded companies to increase earnings and profits every quarter; that pressure creates a culture of short-term, impatient for profit management. The term Wall Street itself is a convenient label for an intellectual … [Read more...]
Fact checking is getting to be a lost art By • July 17, 2013 One of the side effects of the rapid expansion of gaming is a rapid expansion of gaming reporters. Ohio, Pennsylvania, Massachusetts and Maryland have all spawned homegrown reporters with new assignments covering the gaming industry; and Macau has by itself has led to the minting of dozens of new reporters from all over the world eager to cover gaming. Even the major news services, Reuters, … [Read more...]
The Fool’s Wager By • July 14, 2013 There is a phenomenon taking place in Macau that reminds me of the 1980’s in Nevada casinos. In Macau, the number of players is decreasing or remaining the same, but the average wager per player is increasing. The wager is going up because the VIP operators are raising the minimum wager. How else to increase the profits? Without increasing the number of players the only way to increase the … [Read more...]
Economic and Security Review Commission; Being investigated by Congress is always painful By • July 5, 2013 A congressional committee, the U.S.-China Economic and Security Review Commission, is holding hearings on the impacts of economic practices on national security; and last week that mean money laundering in Macau. Some of the committee members are thinking, as Bob Dylan once famously sang: “two men died neath the Mississippi moon, somebody better vestigate soon.” The committee is not so … [Read more...]
Those unintended consequences reaching into Iowa By • July 3, 2013 Today, Radio Iowa had an article that makes a perfect follow-up to my blog; The Law of Unintended Consequences and VLTs in Illinois. The article is about casinos in Iowa not Illinois. However, it mentions the VLTs in Illinois. According to Radio Iowa the VLTs are impacting the casinos in Iowa that are close to the border with Illinois. It is just that simple; people have a limited portion of … [Read more...]
The Law of Unintended Consequences and VLTs in Illinois By • July 1, 2013 Expansion in mid-2013 is still the major story in the casino industry. Expansion into new states or within a state has often been driven by lawmakers looking for new sources of revenue to balance budgets. But, there have been other reasons for expansion; in true democratic style, gaming sometimes expands by the will of the people and in a less democratic style by the will of the governor. Ohio, … [Read more...]
A tale of regulation and two cities; a Boardwalk and a Strip city By • June 27, 2013 Since 1978, it has been impossible to avoid comparing the cities and the casinos of Las Vegas and Atlantic City. In the beginning they were the only American jurisdictions with casinos; but even as Iowa, Colorado, South Dakota, Illinois, Indiana, Mississippi, Missouri and Louisiana joined the ranks of states with casinos, Las Vegas and Atlantic City were still the crème of casino crop – the gold … [Read more...]
Wayne Gilliland was a casino manager’s friend By • June 23, 2013 Over the course of everyone’s career a few people always standout; people who for one reason or another made a big difference. One of those people for me was Wayne Gilliland. In the 1980s Wayne was in the midst of a second career as a gaming agent; Wayne had retired from the California Highway Patrol and had come to Reno to work for the Nevada Gaming Control Board. He stayed with gaming for 15 … [Read more...]
Tribal casinos are struggling like everyone else By • June 21, 2013 Indian gaming under the regulation of the National Indian Gaming Regulatory Act has been around for 25 years. Most of the newness and strangeness has worn off, and in most communities with Indian casinos, Indian gaming is pretty well-understood. However, there are still a couple of myths that persist about Indians, Indian casinos and the law; the most common of which deals with Indian wealth. … [Read more...]
The Delaware Dilemma By • June 16, 2013 The lotteries may be able to change the rules, but casinos can’t; when casinos become overwhelmed by the economy, competition and taxes they are left with few options. One of those options is going to the capitol to ask for tax relief, as the casinos in Indiana did recently; the casinos in Indiana, as everyone knows by now, have been serious wounded by the opening of casinos in Ohio. The Indiana … [Read more...]
In an online game the lottery will hold the trump card By • June 12, 2013 Lotteries and casinos are both in the gambling business; each offers its customers an opportunity to make a wager and to buy a chance at the big jackpot. Both the lotteries and the casinos operate under state law and each is regulated by state regulations. The regulations shape the way gambling is operated, which games will be played, how much can be wagered and when and where the wager can be … [Read more...]
Steve’s Wynning Ways By • June 4, 2013 Massachusetts is in a long, slow and tedious process of introducing casinos. With the regulations in place, the selection process has begun; at stake are three casino licenses and one license for a slot parlor. The state has been divided into three zones, each will get a casino. Before the gaming commission awards the licenses, the prospective casino licensees have to convince the leaders of … [Read more...]
When is no news really good news? By • May 29, 2013 One news phenomenon always confuses me; there is no news on holidays. Why is that? Of course, there events that are undeniable and unavoidable, such as earthquakes, bombs and deaths of well-known people – those get reported by the media. But for the most part, especially locally, there is no news at all. The regular reporters must always be off on those days; in their absence, as if by magic … [Read more...]
An adolescent lottery arms race; my jackpot is bigger than your jackpot By • May 22, 2013 The second largest lottery jackpot in the history of the world hit on Saturday, May 18, 2013; it was $590.5 million. The run-up to the record levels of mega jackpots has been much faster since the Powerball officials figured out a way to increase the size of the jackpot by raising the price of the tickets. Powerball is not alone in the giant jackpot lottery world. There are two national lottery … [Read more...]
Counting seats in Macau to predict the future in the U.S. By • May 16, 2013 Just why is gaming revenue in Macau growing so fast? Why has it stagnated in the United States, at least in all existing jurisdictions? Of course, we all know that Macau has mainland China has its primary market – 1.6 billion people. While each jurisdiction in the United States has a much smaller and more limited regional population base – people living within a hundred miles. But is that … [Read more...]
Forbes: Real Money Gambling On Mobile Games Is Here By • May 7, 2013 The major challenge in being a casino industry observer is making sense of the news. It is part of the job, as it were, to take the information available daily, sort out the significant from the routine news and to discover the trends. It is tricky to pick out the significant events and to find the trends that will impact the industry’s future. The process is basically the same whether one is … [Read more...]
It is the Game of Patience Carl Icahn Plays and he plays it well By • May 4, 2013 Just when it seemed that the Atlantic City casino industry was being reengineered from the bottom up Carl Icahn has called a time out. Buying casinos in Atlantic City at bargain basement prices has been a trend lately; for 20, 30 or 40 million dollars anyone can now own a casino on the Boardwalk. At those prices, one just might make a profit, or so the buyers appear to have been thinking. After … [Read more...]
The Proverbial House’s Edge; The house always win in the end By • May 1, 2013 Lately, I have been thinking about some numbers in gaming; and casino gambling is all about numbers, the dollars wagered, won and lost and probability of each expressed numerically. Every casino game is designed to pay less than true odds. The difference between what the casino pays on each wager and the true odds creates the house advantage and that results in the truism: the house always … [Read more...]
Will Japan’s casino surpass the Las Vegas casinos? By • April 24, 2013 A while back I wrote a piece about the growth of gaming in the United States, in particular about the growth of other forms of gaming. I cited Florida and California as examples – California with its 38 million people generates about $10 billion in gaming revenue without the need of a single tourist; the revenue comes from Indian casinos, the state lottery, racing and poker rooms. In the piece, … [Read more...]
A Pennsylvania whirlwind that hit AC, but now it may be turning back and going home By • April 18, 2013 After six years, everyone gets it – Wall Street, investors, state officials, regulators, casino operators, casino employees – everyone considered: Atlantic City is in trouble. The demise of Atlantic City was a topic of discussion at the eight annual Pennsylvania Gaming Congress in Philadelphia. And there is no more perfect place to discuss the downfall of Atlantic City than in the epicenter of … [Read more...]
Could a bus accident bring casinos to Texas? By • April 12, 2013 Recently, while the Texas legislature was in a discussion about allowing casinos in Texas, a bus crashed into the midst of the debate. The bus did not crash into the legislature itself, but its impact is likely to be felt in the debate. There is one very common argument for expanding gaming - it is used in nearly every state entering into casino gambling for the first time – “We need casinos to … [Read more...]
Maybe this Time. Maybe this time, I’ll be lucky By • April 10, 2013 Maybe this Time Maybe this time, I’ll be lucky Maybe this time, he’ll stay Maybe this time For the first time Love won’t hurry away It’s got to happen, happen sometime Maybe this time I’ll win Cabaret, John Kander, Fred Ebb 1972 When Liza sings the song in Cabaret, it is very poignant. Sally Bowles is a young woman who has had many lovers in her life, but never love. Each time, each new … [Read more...]
What is in a name, or a number for that matter? By • April 9, 2013 What’s in a name? That which we call a rose,By any other name would smell as sweet.” William Shakespeare, Romeo and Juliet, 1597 As Willy so famously said, it is the thing that matters, not what we call it. But when it comes to thing itself there is often some room for debate, especially when we describe the thing with numbers. Our world is one bound and valued by economic activity and for … [Read more...]
Sheldon is staging a party and inviting 600 million Chinese By • April 5, 2013 Sports and gambling go together like bread and butter – or something. It is hard to imagine any major sporting event without gambling; it is hard to imagine because it does not happen. The sport leagues in the United States may deny the relationship, but they profit from it. Gambling fires the enthusiasm that feeds all professional sports in the world. In Europe rather than deny it, they … [Read more...]
The lag between reality and public perception By • March 30, 2013 According to Hilaire Belloc, there is a lag between reality and public perception of reality. Writing in 1929 about French Cardinal Richelieu and his impact on Europe, Belloc describes the lag in terms of the Spanish Empire. In 1620 the Spanish Empire was on the wane and the French Empire was beginning to rise. But at the time, everyone including the French and Spanish still thought of Spain as … [Read more...]
Bring’em back and put’em online By • March 29, 2013 It seems that cloning has become passé; we have moved passed cloning to a new era of species reproduction – reproductive physiology – using DNA to create a copy of the original organism. Scientists are now saying, that even some extinct species can be recreated using current technology. The concept has been getting lots of press lately, mostly because it is the cover story for National … [Read more...]
Gas prices going up – how high is too high? By • March 26, 2013 It is difficult to understand the economy; we are given dozens of measurements to help us – the Down Jones average, unemployment rate, job grow, housing sales, cars sales and customer confidence. They are all important numbers, but they don’t help much, at least they don’t help me much. The easiest way for me to measure the health of the economy is by checking my bank balance, reviewing my … [Read more...]
Finally some good news! By • March 22, 2013 The last five years have been brutal economically; housing tanked, unemployment soared and business in general stopped or at least stalled. Little by little we are creeping out of that dark time and entering once again into an era of hope and optimism. Unemployment is falling, housing is recovering and many industries have started to show significant growth. However, for the most part, the … [Read more...]
“Hey, Buddy, got a light?” By • March 20, 2013 Atlantic City is grabbing headlines again, but this time it is not the casino revenue doing the grabbing. After years of decline, Atlantic City casino revenues casinos no longer garner much attention outside of New Jersey. In fact, there are several locations in Pennsylvania that had a much worse February than Atlantic City. And the formerly largest and most profitable casinos in the country, … [Read more...]
Online and Chasing Lady Luck By • March 14, 2013 Since Nevada and New Jersey had their race to be the first to the Internet, there has been lots of activity on the subject elsewhere. Pennsylvania, Illinois, California and New York are mulling over the idea; each state sees a unique opportunity to take advantage of the moment and of course raise some much needed tax revenues. However, most of the legislators are quite vague on the details and … [Read more...]
It is a dog eat dog world out there and there is no easy way out By • March 12, 2013 One cannot put too much emphasis on comparisons between February 2012 and February 2013 – this year was not a leap year; in fact it is beginning to look more like a stumble year. As the gaming results roll in for the month of February, one thing is clear – it is a dog eat dog world out there for the casino industry. Not that there have been any surprises thus far; every state with significant … [Read more...]
Oz the Great and Powerful Visits LV – not AC By • March 8, 2013 For certain, the biggest news story of the week in gaming was the announcement that Genting is buying the Echelon parcel in Las Vegas from Boyd Gaming. Genting paid $4 million an acre for the site on the famous Strip; Genting is promising it will turn the property into a magnet for the newly outwardly mobile and affluent Asian travelers. It was great news for Nevada and Las Vegas; there will be … [Read more...]
Stardusting on the Strip By • March 5, 2013 In 1958, the Stardust Hotel Casino opened in Las Vegas on the Strip. It closed 48 years later to make way for a grand new casino resort; Boyd Corporation imploded the building intending to build a $4 billion dollar project called Echelon Place. The Place ran afoul of the economic downturn and construction was halted in 2008; the unfinished building has stood there since, a testament to optimism … [Read more...]
It is Online Time! Internet connections to everything you ever wanted, including gambling By • February 28, 2013 There is a new kid on the block, online on the block; As there has been every month for the last couple of years, the gaming news is filled with stories of gambling’s expansion. Ohio is closing in on its fourth casinos, Maryland is adding table games, Massachusetts is still in the initial phases, but it still offers a story a day on developments, Pennsylvania just licensed one resort casino and … [Read more...]
Why would anyone buy a casino in Atlantic City in 2013? By • February 23, 2013 Atlantic City has moved back onto gaming’s center stage in February, there was bad news and good news from the Boardwalk. The bad news first, the city’s casinos reported a 13% decline in gaming revenues in January, the city’s casinos generated barely over $200 million, that was 22% less than casinos in Pennsylvania generated and Revel officially declared bankruptcy. However, even with the dismal … [Read more...]
Changing an industry; Professor William R. Eadington By • February 18, 2013 Since he died on February 11, 2013, Bill Eadington has been the subject of dozens of columns and obituaries from around the world, including one in the New York Times. It is rare for a professor from the University of Nevada in Reno to be noticed by the New York Times, let alone a professor who devoted his academic career to the study of gambling. Bill’s passing was noted by many more … [Read more...]
There are no magic pills, no passports into a bygone era By • February 16, 2013 As the revenue figures continue to come in from across the northeast, the impact of the increased competition is being becoming clearer; its is more damaging than anyone would have believed in 2005. In January, Atlantic City casinos reported a 13% decline in revenues and Connecticut casinos had a 12% decline. On the opposite side of the coin, Pennsylvania reported a 12 percent increase in table … [Read more...]
What does saturation look like? Update – 2013 By • February 15, 2013 Recently, I posed a question: “Have all the good things been taken?” In that piece I argued that all of the good opportunities for further expansion of gaming are gone. The implication was the American gaming market was nearing a point of saturation – full, no more room for new product. That is just a step away from a gaming market that is over saturated – meaning too much product; something has … [Read more...]
Online gambling on the Boardwalk and the Strip By • February 10, 2013 For the second time in as many years, Governor Chris Christie of New Jersey has vetoed an online gambling bill. On Thursday, February 7th, Christie exercised his right to reject legislation approved by the state legislature and said no to online gambling in the state. The initial reaction of the supporters of online gambling in Atlantic City was one of dismay, gnashing of teeth and wringing of … [Read more...]
A Junket ride to Macau – sponsored by the Times of London; an update By • February 8, 2013 Several times in the last year, I have written about Macau, about the challenges for any non-Chinese company trying to operate there; essentially there are two major unresolved issues in my mind. Those issues, the uncertainty of Chinese policy making and the relatively small group of people that generate the vast majority of the gaming revenue, make Macau a house of cards, a very fragile … [Read more...]
Regulating casinos in Massachusetts By • February 2, 2013 The gaming commission in Massachusetts is front and center of all of the activity leading up to the actual start of casino gambling in Massachusetts. It set, as all gaming commissions do, the regulations and conditions for the conducting of gaming in the state; everything that is not specifically defined in the enabling legislation is left up to the commission. And joyfully Mr. Crosby and his … [Read more...]
Macau Just Might Be a House of Cards By • January 31, 2013 The casinos in Macau are the busiest in the world; they dominate the income statements of three of America’s largest casino companies as well as the largest Australian casino company. The casino industry in Macau has grown so fast that it almost defies belief, or it would if Macau did not have 1.6 billion Chinese citizens as potential customers. Still, in my mind, the casino business in Macau is … [Read more...]
Fantasy Sports and Online Lotteries – trends to watch By • January 26, 2013 Looking for the trends behind the news is a kind of game for me; it is something I do it with everything that I read or see anywhere. It is comparable to reading a mystery story, or playing any game that require analysis of the strategies of all the players – it requires looking for trends and for links between seemingly disparate events. The king of Denmark’s expedition to Yemen in the 16th … [Read more...]
2012 was a very good year; a very good year for competition and red ink By • January 24, 2013 As I have written before, the torch has been passed to a new generation of casinos. In 2006, the casinos in Atlantic City were second only to the Las Vegas Strip casinos in revenue. That position now belongs to Pennsylvania – actually it is third, as Vegas has been passed by Macau. Atlantic City is now in the process of working its way down the list; AC gaming revenues have been in decline for … [Read more...]
A heavy weight fight in Massachusetts By • January 17, 2013 At first glance, the competition for a casino license in Massachusetts may not look like a heavy weight fight, but by the time it is over no one will doubt that it was; those left standing will be scared, but lucky and the those lying on the canvas are sure to be bruised and bloody. Rounds one, two and three in the Massachusetts casino license heavy-weight-fight appear to be over. In those first … [Read more...]
A changing of the guards – Cleveland tops Atlantic City By • January 12, 2013 The news from Atlantic City has not been good this week; the New Jersey Division of Gaming Enforcement released the gaming revenue figures for December and for 2012 and the numbers are not pretty. The casinos in Atlantic City just finished the sixth consecutive year of gaming revenue declines; gaming revenues in 2012 were 41 percent below 2006 and the lowest they have been since the 1990s. … [Read more...]
The Pennsylvania lottery: A greedy piggy or a helpful citizen? By • January 10, 2013 The billboard depicts a caricature of a pig in a suit with a Union Jack on its lapel, holding a vacuum cleaner that is sucking dollar bills out of an elderly woman’s purse. Lottery Post, 1-9-13 Good, bad, ugly and beautiful, it all depends on your point of view, doesn’t it? Take state lotteries for example, some people see lotteries as a painless way to raise money for worthwhile causes. To … [Read more...]
Lenin, windjammers and volcanoes: musings on things past By • January 1, 2013 What do Vladimir Lenin, windjammers and volcanoes have in common? Not much you might say, but in the gaming industry they are exactly the same thing, the same concept dressed in different clothes. Over the course of its modern history, the casino industry has attracted its share of unique characters and bizarre ideas. In the early days of legal gambling in Nevada, gamblers from around the … [Read more...]
Using yesterday to guess at tomorrow By • December 29, 2012 It is the end of a year, 2012; the end of any year always brings out two kind of pundits, those who summarize the preceding year and those who peek into the future. Both are subject to error, the summarizer is never totally wrong because he has the data before him to compile his top ten list or to construct his narrative of the year or to recap the year’s biggest story. But he is never … [Read more...]
After the hurricane – facing the future weakened and damaged By • December 18, 2012 Hurricane Sandy was probably the most destructive storm to hit the United States, ever; the hurricane was even given a hyper name, Super-Storm Sandy. Sandy was terribly destructive not because of the power of its winds or the amount of rain it brought with it, although both were significant, but rather because it hit the most populous area of the country. The northeastern states of Connecticut, … [Read more...]
Massachusetts a long slow road to travel to get to a casino By • December 9, 2012 The latest state to walk down the gambling road, Massachusetts is walking slower than the others. The American Gaming Association studied the subject and concluded that 3 years was the average it took a state to go from passing legislation to opening its first casino. It may take only 3 years on average, but there are other examples of a long drawn out process. For example, the second casino … [Read more...]
Another casino or two coming down the Pennsylvania Turnpike By • December 6, 2012 It is an old story already, but one that is being still reported; there are too many casinos in the Northeast and there are more on the way. The stories usually appear each month when the monthly gaming revenue figures are released; monthly revenues figures are compared to the same month in the previous year and are used as benchmarks for growth and the health of the industry. The first state to … [Read more...]
After the Powerball jackpot – what next? By • November 30, 2012 And then, like all good things it came to an end; I, for one, am disappointed. I wanted to see what would happen if the jackpot continued to grow. It hit on Wednesday, November 28th for about $590 million; a nice round sum. But that is nothing compared to what might have been in another 3 days or even a week of the kind of sales we have seen in the last seven days. If no one had won on the … [Read more...]
Oh Lord, Please let me win. Just once, I will be good forever. I promise. By • November 28, 2012 The modern version of the state lottery started in 1964 with New Hampshire. It had taken about 75 years for the bad taste of the corrupt lotteries of the second half of the 19th century to leave the national consciousness. It took a very long time, but the bad taste is gone – today 42 states, the District of Columbia and the U. S. Virgins Islands all have lotteries. And in November 0f 2012, … [Read more...]
The day after – casino gaming and the election By Ken Adams • November 12, 2012 Well, at last the election is over, regardless of whether your candidate won or lost, or whether your ballot issue passed or failed you, too, must be as glad as I am to have to constant barrage of campaign advertising, name calling and speech making over. As necessary as the process is to our democratic system there are times when it radically disrupts the business of living. I am more than … [Read more...]
Not between a rock and a hard place- a Hard Rock success story By • November 11, 2012 When is Indian gaming Indian gaming and when it is something else? Of course, in a technical sense Indian gaming is only Indian gaming when an Indian tribe operates a gaming operation under the guidelines and within the constraints of the Indian Gaming Regulatory Act (IGRA), its subsequent regulations and a tribal-state compact that meets those guidelines and has been approved by the National … [Read more...]
Did Darwin discover the Internet, or just describe how it came to be? By • September 5, 2012 Identifying the precise moment of change is not always possible, nor is always possible to identify the person who brought it about. Today, while waiting at the blood clinic for my appointment I was reading an advertisement for a course on the events that changed the world; according to the advertisement the 36 events that were chosen were absolute turning points in human history and “things were … [Read more...]
The GOP takes a stand against online gambling By • August 30, 2012 Whenever gaming appears on the political landscape it takes on a partisan cast. In some states, the Democratic Party is pro-gaming and supports gaming legislation, while the Republican Party takes the opposite point of view and opposes the legislation. In another state, conditions may very well be reversed and the Republicans support the legislation and the Democrats oppose it. However, until … [Read more...]
Bad timing and bad luck on the Boardwalk By • August 23, 2012 By now, it is no secret that Atlantic City casino market is challenged; casinos have grown up in all of its feeder markets and are siphoning off the cream from its cash-flow. No property is going to be more challenged than Revel. There are a number of reasons for Revel’s challenged state. Revel is the newest casino on the Boardwalk and lacks the customer base the other casinos have been able to … [Read more...]
Putting a lid back on Pandora’s box By • August 21, 2012 Twenty years or so ago, I. Nelson Rose wrote a piece about the spread of gaming. At that time, Nelson said that we were in the beginning of the third wave of gambling expansion in the United States. Each of the first two phases had ended because of change in public attitudes caused by some event or series of events – because of corruption, like that of the Louisiana lottery in the 19th century. … [Read more...]
Not so responsible gambling By • August 11, 2012 The Indian Gaming Regulatory Act passed in 1988; in the 24 years since the IGRA passed there have been many changes Indian country. It would be safe to say that before the Act and the advent of Indian gaming Indian tribes were the poorest segment of the population. Indian tribes had the highest rate of unemployment, lowest per capita income and the highest rates of alcoholism and other health … [Read more...]
The day the earth stood still By • August 7, 2012 Bang! For a moment today, the earth stood still, frozen like a bad connection on Skype. In that frozen picture you could, if only for a second, see the future – a new sort of Brave New World. It is no longer talk; on Tuesday, August 6th, the BBC reported that Facebook has its first actually gambling application. The application, Bingo Friendzy – cute, isn’t it a parody of the essential … [Read more...]
Protected: Skill Sets By Frank Legato, CDC Gaming Reports • March 8, 1998 This content is password protected. To view it please enter your password below: Password: … [Read more...]