Atlantic City Growth Declines
Thursday June 28, 2007
Since the first casino opened in Atlantic City, the gaming revenue has grown each year but this streak may end this year. For the first time in its 29-year history the New Jersey casinos will see a decline in gambling revenue. Once again in May, the casinos took in less than they did a year ago. This is a continuation of the decline that started in January and has been seen every month this year.
Part of the decline has been attributed to the closing of the Sands, giving Atlantic City one less casino than they had a year ago but this is not the only cause. There has been competition from the new slot casinos in Pennsylvania and the continued competition from the casinos in Connecticut and upstate New York.
Plans have been announced for the expansion some existing casinos as well as building two or three new casinos in Atlantic City. Unfortunately none of these future projects can help the casinos with the present decline they are facing this year.
Comments
So doe it compare to Vegas on how business is going. Is vegas still doing beter then Atlantic City? Is starting to be like Reno, with the Indina casinos here in Northen Califronia, it has took some of the business away from Reno. Also I found out one time in the late 40s and early 50s Reno had put a cap on the casino building, and didn’t want the city to be like Vegas.
Another factor I believe, is the continuing rise in gas prices. AC is a drive-to town. From NY, Philly, Baltimore, DC and Lansdowne, you gotta drive if you want to walk the boards. At $3.00 a gallon, it is getting expensive.
Could it be because smoking is no longer allowed–except in a few areas?
Or maybe it’s because of their “great” customer service at some of the lower end casinos (resorts etc.). It’s almost as if they stopped caring about making money. Almost everyone is in a bad mood over these casinos. They should give these guys (and gals) a raise if you ask me, this is bad business to have all of that negativity in the air. I’ve been going there for years and within the past year and a half certainly notice a huge difference.
I believe it’s because some of the casinos stopped giving the players what they want [need], eg., $5 craps tables. The Marina has $5 craps tables only until 10:30 a.m. and then they go to $10 for the rest of the day, and never go back to $5 in the late afternoon like they used to do. When we were getting comped rooms from them, it meant nothing if we couldn’t play at $5 stakes after 10:30 a.m. And sometimes the Showboat has $5 tables until noon, and sometimes they don’t. So,we started going to Mohegan Sun in CT, foregoing the comped rooms and paid less than the Marina started charging us per night because of their new managment policies. At Mohegan Sun, they grandfather you in at the tables, so half the time, you don’t know they changed the minimum to $10 or higher, if you’re at the table that long. For us, we live right in the middle of either direction, CT being just a little further, maybe by about 15-18 miles. It’s well worth the trip up there.
Couldn’t agree with you more about the $5 tables, the tables are also overcrowded when offering the $5 minnimum.
AC xasinos have brought this on themselves with outrageously high restaurant and food prices. Compare with Las Vegas. Furthermore, Las Vegas casinos give better odds than AC. The lesson is that you have to offer players more value for their money and let them win once in a while. AC just nickle and dimes and shakes down their players, and this will finally be their undoing.
Maybe if they gave back just a little there wouldn’t be such a decline. Who wants to travel that far to lose when they can lose closer to home