Singapore Casinos Aiming For Mass-Market Appeal

admin, June 21, 2016 9:58 am

Singapore opened its two casino resorts back in 2010, after which the island city-state soon grew into Asia’s second-biggest gambling hub. By 2015, however, gross gaming revenues had fallen by over 10% to $4.8 billion, with 2016 now also on a similar trajectory. Commenting on the causes of its recent decline in popularity, Union Gaming Group analyst, Grant Govertsen, explained:
“The reality is that the same factors impacting Macau – namely the anti-corruption drive and a slowing Chinese economy – are also impacting Singapore. In addition, currency weakness from Indonesia and Malaysia relative to the Singapore dollar is a contributing factor.”
Against this backdrop, Singapore’s two casino operators, namely Genting and Marina Bay Sands, are likely to see their soon-to-expire exclusivity period extended, and so enjoy the benefits of their duopoly for a while longer. In an attempt to attract new customers, however, the operators have now started focussing upon mass-market gamblers whilst increasing the non-gaming services they offer, and while gambling revenues have taken a hit, non-gaming revenues are holding steady.
Genting’s Resorts World, for instance, has reported only a slight decrease in its non-gaming revenues from
S$653 million in 2014, to S$650 million in 2015, and elaborating further Nomura analyst Tushar Mohata explains that Genting has now opened a new hotel in Jurong which offers lower room rates designed to appeal to “the budget conscious traveller.” This is similar to the situation currently developing in Macau, and according to CIMB analyst Jessalyn Chen:
“They have been redeploying [staff] who used to work in the VIP business, to the mass-market segment. They’re also trying to bring in new customers with promotions such as bringing in Michelin-starred chefs”.
Unlike VIP business, the mass market has not been as badly impacted as the anti-corruption campaign which has targeted high-rollers, and so Singapore’s casinos will continue to offer attractions which appeal to this important demographic into the future.

Poker News
Japan Introduces Responsible Gambling Bill
Japan Introduces Responsible Gambling Bill
28 May 2018
Japan’s bicameral legislature, known as The National Diet, consists of an upper House of Councillors and a lower House of Representatives, with the latter having started discussing the Integrated Resorts Implementation Bill last week. Being debated is the regulatory framework required in order to set up an efficient and well functioning casino market in the
Ohio Casino Revenue Up 1% to $71.8m in April
Ohio Casino Revenue Up 1% to $71.8m in April
17 May 2018
The Ohio Casino Control Commission has released its gambling results for April, with the state’s four casinos collecting $71.8 million last month, up by almost 1% compared to the prior year. Meanwhile, the Buckeye State’s seven racinos fared considerably better, with their revenue rising by 8% to $89.7 million from their slots and video gaming
NJ Generates Record iGaming Revenues in February
New Jersey iGaming Market Posts Second-Highest Month in April
15 May 2018
In April, New Jersey’s online gambling market saw its revenue rise by 10.6% to $23 million versus the same month in 2017, with the amount posted second only to the record $25.6 million collected in March 2018. As a result, the Garden State has now generated $92.5 million over the first four months of this
Virginia Poised For Historical Gambling Expansion
Virginia Poised For Historical Gambling Expansion
11 May 2018
Virginia is among the country’s more conservative states when it comes to gambling, and for many decades has resisted the allure and revenues that the industry might bring. In the 1990s, for instance, its legislature turned down a push for riverboat gambling, and the following decade Internet gambling cafes were outlawed. For the past five