Report | Smoking in casinos ‘makes financial sense’

Allowing customers to smoke in casinos “makes financial sense,” according to a report published on Saturday by the website CalvinAyre.com, which specializes in gambling news.
Following the approval of Macau’s smoking legislation amendment, the website revisited the case of Harrah’s New Orleans. In May, the casino reported a 16 percent revenue drop after the Orleans Parish imposed an indoor smoking ban in April. In June, casino revenue went up 10.9 percent in the state of Louisiana (where New Orleans is located) but Harrah’s was again down 16 percent. A Harrah’s spokesman cited by CalvinAyre said slots revenue was particularly hard-hit following the ban.
The report also mentions the Chilean case, noting that the country’s 16 casinos suffered a 21 percent revenue decline after an indoor smoking ban was imposed in 2013. Figures released this month by the Chilean Gaming Control Board show that the casino industry has only just achieved the same revenue levels it enjoyed in the first five months of 2012, before the ban took effect.
“Small wonder then, that Macau’s casino operators – already dealing with 13 straight months of falling revenue – are dreading the special administrative region’s proposal to ban smoking in VIP rooms as well as the elimination of airport-style smoking lounges on the main gaming floor,” the report notes, adding that analysts have suggested the ban could trim 10 percent off mass market revenue and 15 percent off the VIP business sector. PB