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Brick and Mortar Too Expensive

Big time brick and mortar casino operators show why online casinos are likely to be the future of their business.  In order for land based casinos to expand, a lot of money is required for construction and employees.  Expanding the virtual environment of an online casino is not that expensive.  Slot machines are a simple example.  As opposed to bringing new software for virtual slot machines, brick and mortar casinos must lease new slot machines, construct space for the mammoth machines, and then there is maintenance and security. 

Mohegan Sun at Pocono Down just recently expanded their operations.  The expansion, which opened in July of 2008, cost the casino operators $210 million.  For that price the casino was able to bring in 1,300 new games.

In the spring of 2009 the Meadows racetrack is looking forward to presenting a permanent casino with 3,000 slot machines.  The total price tag will be $160 million. 

On a much bigger scale the Las Vegas Sands Corp not long ago opened the Venetian Macau.  The hotel casino resort had a price tag of $2.4 billion, not uncommon for the economy in August 2007, when the venue was opened.  3,000 hotel rooms accompany the resort.

Unfortunately a recent visit to the resort revealed a 560,000 square foot casino nearly empty of gamblers. 

With that sort of a price tag, a casino venue needs to do a lot better.  But that is nearly impossible in a time where players are pinching pennies and are in now position to blow money on slot machines and on hotel rooms that do not live up to their cost.

“The bedroom, with its French drapes over the head of the bed, resembled the setting for a Las Vegas bacchanalia,” criticized a reviewer visiting the hotel.

 

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