Thursday, September 9, 2010

Will Legal Online Gambling Hurt Small Casino Owners?

Large United States casino corporations stand to make A LOT of money if and when internet gambling is legalized within US borders. But some small casino owners are worried that web-based gambling will hurt their bottom lines significantly.

The reason? Competition is much more fierce online than it is in the brick-and-mortar world, where a small "neighborhood" casino can survive and prosper due to its convenient location, relationships with local customers, and comfortable atmosphere.

That is, after all, how the explosion of small and medium-sized "locals" casinos happened in the Las Vegas Valley.

Also, at least according to one Southern Nevada gaming operator, the large Nevada and New Jersey-based gaming companies can use economies of scale to dominate the legal online gambling landscape. Also, playing poker, blackjack, slots, or video poker in your pajamas while sitting on your sofa will always be more convenient than heading to your neighborhood video poker bar or casino.

No matter what anyone says, the US government is very likely to change the laws regarding web-based gambling in the near future. The prohibition of online gaming in the US has proven to be relatively ineffective and has cost the country billions of dollars in lost tax revenue, something it dearly needs now.

Small casino operators will most likely need to figure out how to tap into online niches that larger companies may not focus their marketing on.

Learn some mo': Legal Internet gambling may help big casino firms, hurt small ones

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