A question you hear a lot these days is where can the land-based casino industry turn for future growth, especially as opportunities for new, ground-up developments have become few and far between.
One popular solution appears to be re-investing in established gaming properties, adding expanded casino and amenity options in order to capture a larger chunk of regional market share. From an individual operator standpoint, this is indeed a perfectly fine, tried-and-true strategy for maintaining and growing revenue and profitability. But when examined from an industry perspective, does this expansion strategy really constitute growth in terms of finding new revenue streams and customers? Often the renovated gaming facility simply takes business away from another established property, with regional compound annual growth rates (CAGR) and combined gaming revenues remaining largely unchanged. For this reason, some observers would say existing facility expansion is only one facet of a viable, long-term growth strategy for the land-based gaming resort marketplace.