Tough Year for Harrah’s Casino
The national economy, coupled with
local crises from national disasters and business fluctuations,
have affected every single industry across the board. Perhaps
one of the most hardly hit has been that of the land casino,
since people are trying to save money and pay bills, and cutting
down on peripheral expenses such as gambling and poker. One
organization that has been seeing the bad news translate into
its numbers is Harrah’s Casino, which has seen a decrease in
foot traffic and revenue for the past few quarters.
Across the country, conditions have not
been optimal for them, since everybody has been dealing with
horrible gas prices, and the effects of the housing market of
the prices of everything from clothes to food. On top of that,
Harrah’s Casino has been dealing with more localized issues,
such as flooding in the Midwest, and a huge remodeling project
that reduced the number of available rooms in the international
poker and gambling mecca, Las Vegas. On top of that, another
casino was in the middle of a complete overhaul of its branding
and design, and therefore was not equipped to accommodate its
usual load.
All of these issues have all come
together at the same time, and have not resulted in a a good
report for Harrah’s Casino. While it can be beneficial to get
all the hardship over with all at the same time, so that the
numbers can come up all together, it’s still a sign of the times
since most people, regardless of the current legislation, have
been choosing to meet their gambling needs online. Online
casinos are a huge competition to brick and mortar casino and
poker rooms, since people don’t have to spend more money on
incidental expenses. Furthermore, the overhead is so much lower
since online casinos don’t have to provide all that the land
casinos do. No wonder land casinos are so opposed to the
American legalization and regulation of online poker and
gambling. It’s almost inevitable that land casinos, if there is
not a huge redo of the industry, will be soon on their way out.
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August 2008
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