Is the Gaming Industry leveling out?

According to recent reports, gross gambling revenue has risen across the nation.  However, gamblers are being selective as to where they place their bets.  In 2011, 2 out of the top 3 gaming markets in the country reported positive gains, leaving 1 showing a loss.

Nevada, America’s largest jurisdiction, earned $10.7 Billion in 2011, a 2.8% rise from 2010.  Pennsylvania showed the largest increase in revenue, 21.6% over 2010, grossing just over $3 Billion for the first time ever.  Atlantic City posted a 2.9% reduction in total earnings over 2011 with revenue of $3.3 Billion.

This data does not include all of the USA’s 22 states that license casinos, but as of November 2011, the industry’s total of $32.56 Billion is up 2.3% from the first 11 months of 2010.

While this isn’t quite the same “boom” that Casinos enjoyed in the 90’s, it is something to be optimistic about. It seems as though with the recession starting to settle, patrons are coming back to play.

With that said, there is no better time to explore a Loyalty Program for your property – Take the opportunity to  engage your players the second they get back to the tables.  With a robust Player Loyalty Solution, you’ll have the tools to keep your guests intrigued, captivated and most importantly, LOYAL!

*Association figures do not include Tribal Casinos (40% of the nation’s casino gambling)

According to the latest Nielsen survey of adults with children under 12 in tablet-owning households, in Q4 2011 seven out of every 10 children in tablet-owning households used a tablet computer – a nine percent increase compared to Q3 2011.

Seventy-seven percent of those surveyed said children play downloaded games on their tablets and 57 percent said children used tablets to access educational apps.  55 percent and 41 percent of parents report that their children used tablets for entertainment while traveling or in restaurants.  This can also include watching TV shows and movies, which 43 percent of children often do. Communicating with friends and family is a less popular function on tablets– only 15 percent of kids engage in this activity.

Lost in all of the discussions about how much a prospective casino developer will invest in a MA casino ($500 million+), or what the license itself will cost ($85 million+) is the money spent chasing the license, which was revealed recently.  In an article by Steve LeBlanc of the Associated Press, it states that $11.4 million has been spent in lobbying efforts in the last 5 years in MA.  Far and away leading that list are the owners of Suffolk Downs, having spent $2.8 million making sure they are at the front of the bus.  The Mashpee Wampanoag Tribe, who appears to have no competition at the moment for the Southeastern MA license, spent nearly a million.  For MGM Resorts, the second largest gaming company in the world and a proponent of a Brimfield casino, only a mere $60,000 has been spent to date.  One thing is for certain; that number will skyrocket as the actual gaming commission is formed and official applications are filed.

What do you do when you have the most popular downloaded app or earth? You take the game to another dimension. Rovio is releasing Angry Birds Space on March 22nd. “One small fling for a bird. One quantum leap for birdkind,” reads the teaser on the new game’s website.

The company stated that it’ll be launching the new game simultaneously in mobile gaming, animation, retail and publishing, claiming it’ll be the first time a launch of this nature has been done for a mobile game.

As Springtime approaches, we prepare to focus on what historically for us here in New England at least has always been the busiest time of the year for logo decorated product ordering.  April in particular is the busiest month of the year, and this has been true for over 30 years now.

I often reflect on a troubling aspect of the promotional products business which comes into greater focus right about now.  This would be the very large margin for “human error”.  Our work, as we all know, is EXTREMELY detail oriented.  Colors, sizes, spelling, logo position, numbering – it all can potentially lead to TROUBLE.  We recognize a direct correlation between the busiest of seasons and a spike in order errors of all description, at the customer, distributor, and supplier levels.  Volume spikes up, people are rushed and stressed, carelessness increases and mistakes do happen.

Some ways to help your own cause?  Think ahead, order early, pay close attention to detail, check and double check artwork proofs and order acknowledgements.  Be sure to honestly and accurately note specific special event dates.  Do all you can in all areas, think positive and hope for the best!

In Counselor magazine’s December 2011 issue, predictions to watch for were revealed which may be key to impact the business climate in 2012.

Elections are Local:   Election years are always a benefit to the promotional product industry, and campaign spending is predicted to increase 25% from 2010.  But, forget about the larger presidential race election.  Find and focus on the local, county and city races.  Given the ongoing tumultuous economy, campaign contributors are giving less and looking for accountability from the campaigns to show them how their donated dollars are being spent.  This results in the purchase of basic essential products in lieu of larger “showy” items (i.e. bumper stickers vs. signage).

Changing Buying Habits:  This industry has finally become a victim of the sour economy. Where once promotional products were viewed as one of the most inexpensive methods of putting a branded message out there, now, like any other expenditure, ad specialty spending is being scrutinized like any other.  Customers are still buying many of the same products, however, mainly due to the employment situation, are purchasing fewer items and less expensive product.  Also, the initiative to find the absolute lowest price out there has also impacted the “loyalty” factor between client and vendor.

All About the Brand:  More ASI suppliers are offering brand-name manufacturers’ products.   When customers do have a budget to purchase premium products, they want brands that will reflect well on their appearance.  All Star has factory direct relationships with over 60 of the most popular brand name manufacturers.

Competition and Pricing are Fierce:  Inexperienced, uneducated entrepreneurs creating the wrong impression in the field and online competitors have done a disservice to the industry.  Low-cost vendors and internet stores have changed the price expectations of the end user customer.  One way to combat this trend is through exceptional customer service and creativity.  The results of a recent customer survey showed that All Star’s Customer Service had an over 90% approval rating overall.

Customer Service is King:  With the ever-stressed, overworked corporate end-user wearing more “hats” then ever, becoming a partner and not just a product peddler is crucial.  More distributors are becoming more involved with customer business development and branding strategies.  The Corporate Identity Division, along with the Marketing Department, at All Star is expert in the development of innovative approaches to get company branding messages “out there”.