| Regina, Moose Jaw casinos have become profit centres | ||
| Author: | Scott, Neil | |
| Source: | Regina Leader Post | |
| Published: | May 05, 07 | |
| Full Document: | ||
| REGINA – Casino Regina and Casino Moose Jaw just keep chug, chug, chugging along and the profits and customers keep pouring in along the way. Casino Regina, now more than a decade old and located in the historic Union Station building in downtown Regina, was opened in January 1996 amidst much acclaim and some controversy. About five years after Casino Regina was opened, Casino Moose Jaw was opened in a downtown Moose Jaw location across the street from the Temple Gardens Mineral Spa. The opening of Casino Regina was applauded by many who welcomed the chance to find a new use that would help preserve the old train station and by others who saw the casino as a catalyst that would help spur the redevelopment of downtown Regina. But others wondered whether the casino would be financially viable while others worried about the social and ethical implications of casino gambling. The city of Las Vegas, the world's most famous gambling venue, is afterall often referred to as "Sin City.' Regina hasn't yet become Las Vegas North and for that matter Moose Jaw hasn't quite become Saskatchewan's equivalent to Reno. But the two casinos have produced impressive numbers over the years which suggest they have been big successes. "The first year's results (at Casino Regina) did not meet expectations,' said Marty Klyne, the president and chief executive officer of the Saskatchewan Gaming Corp. "(But) we really haven't looked back since.' "It's safe to say we're not going to have any red-tag sales anytime soon,' Klyne added, noting that the gaming activities and other attractions (food, beverages, entertainment etc.) have provided plenty of incentives for customers to keep coming through the doors. About 16 million customers, equal to almost half the population of Canada, have visited either Casino Regina or Casino Moose Jaw over the years, Klyne said. Klyne noted that more recent data from the last year or so indicates that about two million customer visits come each year. Data provided by the casino corporation indicates it has provided $241 million in profits to the province's general revenue fund over the years. "We've had significant growth over the years,' Klyne said, adding Casino Regina "has been really well-positioned in this community.' The key to the success, both in Regina and Moose Jaw, is that the casinos have been seen as entertainment centres and not just as gambling venues, Klyne said. "The two properties we're operating are seen as more as casino complexes rather than casino boxes,' he said. "You will have some casinos (operated elsewhere) where it's just the casino.' The show lounge, where singers and other professional entertainers perform regularly, is a big factor at Casino Regina, he said. "We have some great performances and we're connected to the pedway which connects us to the Cornwall (shopping) Centre," Klyne said. "So when you start to look at it from the ancillary offerings -- food and beverage and show lounge and show lounge entertainment and (nearby) hotels and retail shopping -- we're more of a casino complex rather than a casino box." The situation is somewhat similar with Casino Moose Jaw, which is connected by a pedway to the Temple Gardens Hotel and Spa. There is also shopping, restaurants, entertainment and other tourist attractions nearby in Moose Jaw, Klyne said. Many people's concept of what a casino should be like is based on the Las Vegas experience, which combines gambling with professional entertainment and a variety of other attractions, Klyne said. That's the type of atmosphere that the Saskatchewan Gaming Corporation is trying to achieve at both Casino Regina and Casino Moose Jaw. Klyne said business went up, after somewhat of a slow start, during the first five years that Casino Regina was in operation. But there would have been a potential for business increases to have levelled off in recent years, or maybe even dropped, if the show lounge had been not added, if parking had not been expanded and if the pedway to the Cornwall Centre had not been built, Klyne said. The type of customers attracted can vary from day to day, he said. On a Friday and Saturday there is a pretty mixed crowd, including quite a contingent of people in their late 20s or early 30s. But a different group, comprising people on bus excursions or senior citizens, are more noticeable during weekdays. The casino's Sunday brunches are a big attraction, and that also is a day that attracts a number of people specifically interested in playing poker. More than 20 per cent of the casino customers come from outside the immediate Regina area, Klyne said. With the Saskatchewan Indian Gaming Authority planning the Living Sky and Dakota Dunes casinos, questions arise about how many more casinos Saskatchewan can support. "Saskatchewan is soon to be a mature market' with sufficient casinos to meet the market demand, Klyne said. "It's not at maturation (yet) but it will be at saturation when the two new properties come on line." But Klyne said the two casinos should not significantly hurt business at Casino Regina or Casino Moose Jaw. While some Casino Regina and Casino Moose Jaw customers will undoubtedly wish to try out the new casinos, Klyne said he believes the attractions provided by Casino Regina and by Casino Moose Jaw -- plus their locations in urban centres close to where large numbers of people live -- will ensure a strong future for the two casinos. The two new casinos being planned by SIGA are in underserviced areas of the province and should be able to find plenty of customers in their own geographic areas without seriously cutting into Casino Regina and Casino Moose Jaw's business, Klyne said. There is still some possibility of expansion at both Casino Regina and Casino Moose Jaw, Klyne said. The CEO noted the capacity of the existing gaming tables is approaching capacity at both casinos and there is a danger that customers will simply walk away, with a consequent loss of business, if gaming tables are filled up at certain times. The situation is particularly acute at Casino Moose Jaw, Klyne said. "In terms of Moose Jaw, it gets pretty busy if there's one busload (of gamblers in addition to regular customers) and when two busloads come in, it's all hands on deck,' he said. "It's becoming overwhelming. We need to address that.' Guests at the Moose Jaw casino are also "kind of hitting us over the head' with demands for improved food and beverage service, Klyne said. He noted the casino corporation is hoping to take action to improve that service. The growing popularity of Internet gambling -- along with the addition of new SIGA casinos -- might also be viewed by some people as a potential threat to Saskatchewan casinos. But the threat from Internet gambling could be overestimated, Klyne said, believing most people are eventually going to get out of their houses and take in the excitement of a casino. The ability of Casino Regina and Casino Moose Jaw to deliver a multi-faceted entertainment package -- which would include gambling, fine food, good drink and quality entertainment -- is the key to their ability to survive and prosper into the future, Klyne said. That broadly based gambling and entertainment strategy would also appear to be the key at the SIGA-operated casinos in the province as well, as the casino industry reaches maturity. |
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