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Maryland Struggles With Slots Program As Surrounding States See Surge In Gambling

Posted on July 27th, 2010

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Maryland’s neighbouring states are enjoying a dramatic increase in gambling activity. That’s because Pennsylvania, Delaware and West Virginia have legalized table games and the casinos in these states that used to operate only horse races and slot machines have started to offer a wide array of table games this summer. With the expansion of gambling in these states, table games that gamblers in the East Coast can find only in Atlantic City casinos are now being offered in gambling facilities like the Hollywood Casino at Charles Town Races in West Virginia and Delaware Park and Dover Downs in Delaware.

Gamblers in Maryland might find it more convenient and cost-saving to gamble just across the state’s borders than to travel farther to Atlantic City. The rapidly growing competition is a serious threat to Atlantic City which prompted New Jersey Gov. Chris Christie to vow to save Atlantic City and restore it to its former glory. Charles Town, which has been transformed into a Hollywood-themed casino highlighting a 1930s art-deco, now has a poker room with 27 tables and operates 85 table games including Pai Gow poker and mini-baccarat. The casino embarked on an advertising campaign on radio and television and direct marketing to introduce to gamblers its new name and its new offerings of expanded gaming. Al Britton, Charles Town’s general manager, said that in the past the facility has attracted 4.5 million customers yearly from Maryland, Virginia and the District of Columbia, with about a third of the visitors coming from Maryland. Now, with the table games, Britton is optimistic that gamblers will no longer think of travelling far to Atlantic City.

Late last month, Delaware Park and Dover Downs launched their table games. Casinos in Pennsylvania also began offering expanded gambling with the last one launching its newest gambling options just the past week. The addition of table games in Delaware, Pennsylvania and West Virginia and the makeover of their casinos have brought with it a new experience that gamblers find interesting, thus attracting even a new set of gamblers like the Asian-Americans. Most visitors do not limit their activity to gambling alone, but also try out the casinos’ new dining places and even stay in local hotels. As a result, casino operators in Maryland’s borders have noted an improvement in revenue with the increase in the number of gamblers which is an encouraging development, especially after the struggle undergone by the gambling industry during the recession.

Britton of Charles Town reported a 10 percent increase in customers since it started table games July 1. Andrew Gentile, Delaware Park’s chief operating officer, said the casino has experienced a small increase in slots revenue this month, the first month in 25 months that slots revenue rose compared to the previous year. Gentile said table games have helped bring gamblers to the slot machines. William R. Eadington, director of the Institute for the Study of Gambling and Commercial Gaming at the University of Nevada, Reno, said it has been shown from information gathered from other gambling areas that slot machines are the actual money makers. Earnings from slots comprise about 70-80 percent of the total casino revenue. Table games do add to the pot, but not as much as slots, Eadington said.

Expanded gambling in Maryland’s borders has provided favourable occasions for some businesses in the area. An owner of two hotels near the Charles Town casino, Ron Marcus, is already thinking of building two new hotels and putting up extensions to his Turf Motel. Marcus, who had supported gambling expansion in West Virginia, said his hotel reservations have increased 30 percent.

Tour bus companies in Maryland are also taking advantage of the gambling boom in the state’s borders by taking visitors to Charles Town and Delaware Park. C&S Tours Inc. based in Baltimore runs daily bus trips to Delaware Park and Charles Town and charges $25 for a day trip to Delaware Park and $20 to Charles Town. The company’s manager, Rochel McGruder has reported an upturn in business after the number of passengers increased.

Superior Tours, a charter bus company also in Baltimore has also begun offering trips to Delaware and West Virginia casinos. Marc Komins, executive vice-president of the company said his company has run trips to Atlantic City for 16 years, and the new casinos in the nearby states are much nearer and trips would cost much less. Komins has reported an increase in bookings for the nearer casinos and said the company will continue to serve Delaware and West Virginia as long as there is a demand for their services.