Snowfall Hard Hit Casino Business

By Author: Kellen Sears
Total Articles: 381
Comment this article

Winter has brought us a January to remember in 2010 in the Northeastern United States. With storms that left snow accumulation in the state of New Jersey ranging from four to a whopping twenty six inches of snow across the state, the effects were felt in many industries across the state.

Despite receiving a mere 5 inches of reported snow in Atlantic City, Atlantic county, surprisingly the Casino industry in Atlantic City was amongst the hardest hit from the intense snow storms around the state. According to the Borgata Hotel Casino & Spa they lost a reported five million dollars because of the snow storm and anticipated another five million dollars lost in consequence of the record snow fall occurring in the region. This hotel was not the only one affected though as there was a reported 8.5% loss in revenue amongst the Casinos in the area including more than 20% decreases in revenues reported in some Casinos in the region.

To begin to make sense of this we must bring up the obvious question, How in the world does a business run indoors suffer such harsh effects from the outside weather. To answer this question ...
... we must first examine the target customers of casinos.

Casinos do not receive the majority of their profits from local customers looking to spend their free time on the weekend at the slots, but instead a large portion of their profits come from tourists looking to escape and spend money as they wild on vacation. According to a poll conducted for the AGA by Peter D. Hart Research Associates, Inc., and the Luntz Research Companies, 76% of those polled in 2003 believed that casinos can play an important role in a community's entertainment and tourism options.

Basically this poll just supports the idea that casinos attract tourists. This is where the snowfall comes in. People are not likely to have a sudden urge to escape the pressures of the daily grind to go spend a week or weekend trudging through a blizzard in their snow shoes. Beyond that point, even if people had the desire to do so flights are cancelled, postponed, etc. and people may simply not be able to justify missing an extra day or more than they had initially intended to in order to go spend time in Atlantic City.

Weather in the end has a tremendous effect on casinos. In this manner Las Vegas is able to hold an advantage over Atlantic City. Though the weather in Vegas does have its ups(and when we say up, we mean the temperatures go WAY up) and downs, it is not quite subject to the same problems presented from snow storms in Atlantic City. When those temperatures go up in Vegas it may even produce a better atmosphere for their visitors as their luxurious pools and retreats look even more attractive under the rays of the sun. The other effect is that while the winter temperatures cause us to bundle up, the heat causes us to wear less, which is a good thing in the eyes of far too many in the world today.

AUTHOR:-
Kellen Sears writes reviews on various sporting events including the online betting websites. In this piece of write up he highlights on the varius aspects of online casino business. He takes the readers thought on how the online casino sports betting is becoming very popular.