It’s an old adage that the three main criteria for the success of a casino are location, location and location. It appears to be a sentiment echoed by Duncan Bannatyne, who recently closed his casino on Newcastle-upon-Tyne’s Quayside. Bannatyne Casino opened just over 18 months ago but the company has already decided that it would be ‘better off in a different location’ and is now seeking a slightly larger venue in Newcastle. Negotiations are ongoing at two alternative sites in the city.

Across the Atlantic in Connecticut, the Norwich Bulletin has published an article comparing the gigantic casino complexes of Mohegan Sun and Foxwoods Resort Casino. Mohegan Sun, with less gaming space and fewer slot machines, is winning the stakes for slots revenue. One of the advantages it has over its rival is its easy access from Interstate 395. A visit to Foxwoods entails a 7-mile drive after leaving Interstate 95. In the 2005-06 fiscal year the slots operation at Mohegan Sun made US$74 million more than that at Foxwoods, where slots revenue was down US$1 million from the previous year.

Of course location is not the only ingredient necessary for a successful casino. Players that were consulted cited the better layout at Mohegan Sun and the disruption caused by Foxwoods’ US$700 million expansion. The Foxwoods layout was criticised for being too complicated, with retail outlets and restaurants interspersed with the slot machines. The higher percentage payout on the Mohegan Sun machines could be another factor influencing customer preference, and the Mohegan Sun Arena draws Connecticut Sun basketball supporters as well as those attending concerts, shows and other events.

From marketing strategies to modern equipment and from atmosphere to game mix, a casino business can succeed or fail much as any other. Location can be vitally important, but so can management skills, business planning and many other factors. Las Vegas casino implosions, Macau casino market share losses and casino closures around the world can attest to the ups and downs of a rapidly changing gambling environment. Good service is a must - and excellent service is best of all. (E-09.26.06)

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