With resort complexes in many countries, casinos and hotels seem to be inseparable for many reasons both in business and in customer demand.
Similar to the symbiotic relationship between golf course and hotel, casino plays the same role as golf course but requires smaller capital and land area, thus becoming a “easier” option for many businesses in this industry in the US.
Casino brings more guests to the hotel and vice versa, the hotel also brings more guests and retainers for the casino. In the past, casinos used to be the main source of revenue at resort complexes, playing a more important role than hotels, but the story is slowly changing.
Gwenael Marcelin, a traveler from Oklahoma (USA), shared on a hotel reservation and hotel review website that it was too difficult to find a hotel without a casino in Las Vegas (USA).
“There are Vegas hotels that are very reasonable for my family in terms of price and accommodation, but there are casinos, finding such a place that is not related to gambling in Vegas is too difficult,” said Ms. Marcelin.
Marcelin wants a non-casino hotel to be more suitable for her family, which has many children, but in Vegas, it will be arduous for a hotel to exist without a casino.
In the downtown area of Las Vegas, there are 31 large casinos and all have hotels attached. The symbiotic relationship between the casino and the hotel is understandable and in recent years, the casino needs the hotel even more.
According to data from RubinBrown, the prize-winning game business, typically the traditional casino, is entering a recession phase. Specifically, the report of this unit shows that in 2014, all casinos in the US brought a total revenue of 65.6 billion USD, down 0.2% compared to 2013.
Revenue from this long-standing industry is slowly declining and 2014 was also the first year the number of casinos in the US recorded a decrease. Four casinos closed in New Jersey in 2014, resulting in 30,000 job losses.
Another report by Anderson published in 2016 somewhat clarifies the cause of this trend. The report of this unit shows 2 opposite spending patterns in the casino-hotel industry. For Americans middle-aged and older, the proportion of spending at the hotel-casino complex is 80% for gambling, 20% for dining, entertainment, and relaxation.
While for young customers (18-36 years old), this ratio is quite the opposite when this group only spends 30% on prize-winning games and 70% on eating, entertainment and relaxation.
Casino and hotels still need each other, but revenue is slowly changing.
In the past, many casinos in Las Vegas offered free hotel rooms to gambling guests. In the peak years of the casino model, the hotel was considered as a promotion gift, a way to retain gambling customers, but according to many experts, the casino will have to give up in the future and become an accessory. location of the hotel.