Online Casinos Continue to Put Pressure on Offline Casinos
Online Casinos offer better value to bettors than offline casinos. They don’t have the cost to do business of a Nevada or Atlantic City casino and can therefore offer better chances and bigger bonuses. Traditional land based casinos attract visitors with glitzy hotels and fancy restaurants. In 1976 playing was legalized in Atlantic City. Nevada casinos realized that they would need to do more to attract East Shoreline visitors than simply offer casino playing. This became the beginning of the Nevada Mega-Resort. The Mega-Resort suits the entire family in order to be a secondary destination. It now costs an approximately $5 thousand to buy the land and build a resort on the Nevada deprive.
In 1986, Foxwoods opened as a bingo corridor on Indian land. Foxwoods added casino table games in 1992 and slot machines in 1993. Atlantic City was now in the same position as Nevada. They needed to offer more than just playing. Atlantic City handled the problem the same SLOTXO way that Nevada did; they used money at it. Foxwoods location attracted millions of visitors and they continued to grow throughout the 1990’s and the early 2000’s until a economic downturn throughout the market forced states to ease laws regarding casino playing. Today Foxwoods is the largest casino in the world and their business is being thieved by smaller casinos. They have opened the MGM at Foxwoods in order to bring in top line entertainment. This again costs money.
The next step in this cycle is online playing. Online Casinos are more convenient than any local casino, so no one is going to open up closer to the gambler. When an online casino is losing business they also throw money at the problem. Online Casinos do this by offering bonuses to the player, not with white tigers in the vestibule.
Online Casinos are come to an end of small offices with a limited number of employees. These offices are in small countries with legalized playing and limited taxes. The casinos pay licensing fees for the software that they use. You would not be able to tell an online casino from a telemarketing office just by looking at it.
The reduced cost to do business allows internet casinos to offer “Better than Vegas” chances and bonuses on deposits. How often does a land based casino match your first deposit? The competition for new cyber bettors is fierce and the bonuses continue to increase. The problem is that online playing is not exactly legal in the united states. Why not? Because it is not taxed! This is where the problems start.
The federal government has no interest in the individual gambler. They want to choke the money supply. The theory is that once there is no money to be created by ocean going casinos they will go away. Then either bettors will go back to traditionally taxed land based casinos or the difficult laws will vary and the casinos that are paying tax will be allowed to open Online Casinos. Nevada has a new law that enables e-gambling in standart hotel rooms while several states wanting to tax internet sales. Will this create the new “Atlantic City” for current Online Casinos? Will they figure out a new way of throwing money at the problem? The answer is yes and the cycle continues.