Publisher’s Letter

Silver Lining

Roger Gros, Publisher

When the world shut down in 2020, the gaming industry was just one of many to be severely impacted. As an in-person entertainment option, casinos were hit hard and long by the disaster that was the pandemic. Revenue completely disappeared. Plans went up in smoke. And no one knew how long, deep or devastating the shutdown would be.

Even when casinos began to slowly reopen, many people hesitated to return, and rightfully so. The amount of information and misinformation was extraordinarily confusing. Some countries shut down completely and were hardhit. Others stayed open and didn’t suffer any worse. U.S. casinos started to come back in three or four months, while Canadian and Australian casinos were shuttered for more than 18 months. It’s understandable that people were confused and remain skeptical about any future predictions about the Covid bug.

But a few things we learned during the pandemic have already been beneficial to gaming.

Let’s start with online gaming and sports betting. Jurisdictions where remote betting was legal did not suffer as badly as those limited to bricks-and-mortar casinos. Tax money continued to flow, albeit at a lower level, and didn’t completely disappear in those states. States with no legalized online gaming or sports betting will now seriously consider these options, knowing if another pandemic occurs, the revenue stream will not dry up completely.

Communications with guests once was hit or miss for most gaming companies. Yes, they still send out direct mail. Yes, there’s an email list that goes to their massive databases. But casino executives have learned that players need a more personal experience—more targeted and familiar. They’re starting to consider programs that utilize artificial intelligence, which mines individual customer data to learn players’ needs and desires—even if the players themselves don’t realize it yet.

Casino design, as you’ll see from the feature story in this magazine, has changed dramatically. Where once slots were jammed together and players seemingly sat on top of each other, there are now smaller carousels of three or four machines, with seating at least 90 degrees away from the next gaming position. The machines are larger and more spectacular, with screens that seem to touch the ceilings.

Spots at blackjack and baccarat tables have largely been reduced, so a seven-spot table now has a maximum of five. The Plexiglas that went up as casinos reopened hasn’t completely disappeared, and still gives players a sense of security.

Are buffets a thing of the past? Not necessarily. But guests handling service spoons or hovering over a salad bar may be gone. Most casinos are now opting for food courts, with the same variety but at an increased cost. Are casino executives sorry to see the buffets disappear? Most believe these loss leaders will be changed forever.

You may think it’s an anomaly that the last two covers of Casino Stylefeatured brandnew Las Vegas resorts where the pools are front and center and spectacular. But you may be missing the boat. Pools and spas are growing in importance, and need to be a part of any new project, no matter where it’s located.

And of course, the trend toward cashless transactions accelerated during the pandemic. Who wants to handle money that just left someone else’s hands, and changed hands many times before that? Casino execs are encouraging the move to cashless. A recent study showed that it costs a casino $15 to process every $100 of cash. But cashless transactions reduce that cost to less than a dollar. How soon will players adopt cashless? Let’s ask the millennials, who rarely carry cash and use their phones to make any and all transactions.

So yes, the pandemic was painful, to be sure. But in the very near future, maybe that pain will lead to pleasure, as the casino experience becomes more efficient and transparent.

A GLOBAL GAMING BUSINESS PUBLICATION 2021

Roger Gros, Publisher | rgros@ggbmagazine.com twitter: @GlobalGamingBiz Frank Legato, Editor | flegato@ggbmagazine.com twitter: @FranklySpeakn Marjorie Preston, Managing Editor mpreston@ggbmagazine.com Monica Cooley, Art Director mcooley@ggbmagazine.com Terri Brady, Sales & Marketing Director tbrady@ggbmagazine.com Becky Kingman-Gros, Chief Operating Officer bkingros@ggbmagazine.com Lisa Johnson, Communications Advisor lisa@lisajohnsoncommunications.com twitter: @LisaJohnsonPR

Columnists Carl Long

Contributing Editors Dave Bontempo twitter: @bontempomedia Patrick Roberts | Bill Sokolic twitter: @downbeachfilm Kit Szybala __________________

EDITORIAL ADVISORY BOARD Rino Armeni, President, Armeni Enterprises • Mark A. Birtha, Senior Vice President & General Manager, Hard Rock International • Julie Brinkerhoff-Jacobs, President, Lifescapes International • Nicholas Casiello Jr., Shareholder, Fox Rothschild • Jeffrey Compton, Publisher, CDC E-Reports twitter: @CDCNewswire • Dean Macomber, President, Macomber International, Inc. • Stephen Martino, Vice President & Chief Compliance Officer, MGM Resorts International, twitter: @stephenmartino • Jim Rafferty, President, Rafferty & Associates • Thomas Reilly, Vice President Systems Sales, Scientific Games • Michael Soll, President, The Innovation Group • Katherine Spilde, Executive Director, Sycuan Gaming Institute, San Diego State University, twitter: @kspilde • Ernie Stevens, Jr., Chairman, National Indian Gaming Association twitter: @NIGA1985 • Roy Student, President, Applied Management Strategies • David D. Waddell, Partner Regulatory Management Counselors PC

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The views and opinions expressed by the writers and columnists of GLOBAL GAMING BUSINESS are not necessarily the views of the publisher or editor. Copyright 2021 Global Gaming Business LLC. Boulder City, NV 89005 GLOBAL GAMING BUSINESS is published monthly by Casino Connection International, LLC. Printed in Nevada, USA. Postmaster: Send Change of Address forms to: 1000 Nevada Way, Suite 204, Boulder City, NV 89005

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