Work is continuing on the new Crown Casino in Sydney, as James Packer’s organisation attempts to increase its share of the market, but after a turbulent 2018, the Australian Casino industry as a whole is facing an uncertain future.  

A fall in consumer spending, a slowing of Chinese economic growth and volatility in the revenue gained from VIP Asian gamblers led to a dramatic fall in share prices for Australia’s leading casino operators. Crown Resorts shares fell by nearly 20 percent between mid-2018 and December, while Star Entertainment Group also lost 20 percent and SkyCity experienced a 15 percent drop.  

And the construction of the new Crown casino in Sydney, which is due to be finished in 2021 is likely to add more upheaval to an industry that increasingly relies on attracting wealthy foreigners.  

It is predicted that Crown will add 125 VIP gaming tables to the new casino, which could in total bring in an additional $250 million a year. But some analysts suggest that the new venue could take some business away from the existing Crown casino in Melbourne, which has performed strongly over the past year, increasing its revenue from VIP Asian gamblers by 73 percent, just two years after the high profile arrest and conviction of Crown Resorts employees in China.  

China is now the largest inbound visitor market in Australia, with 1.39 million Chinese visiting the country in the year to February 2018, and persuading tourists from Asia to spend time in the nation’s casinos is crucial to the long term success for Australia’s major casino operators.  

Image sourced from Pixabay.

Published by Ian Harrison

Ian has been writing for various online publications for nearly a decade. Aside from writing about the latest happenings in the gambling world he is a keen runner and loves travelling. Contact him at ian@bettingreporter.com.

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