Every industry has to keep up with the changing times and the casino industry is not immune to time. Casinos have been a hugely popular business worldwide, but they are slowly starting to get exposed to the millennials problem for the first time. Millennials – or the population born during the years from 1980 to 2000 – are the targeted segment by any industry right now.
Especially in the United States, this group is 87 million strong and will be responsible for at least one-third of the total retail spending. They will also account for half of the entire workforce in the United States.
The impact of millennials is huge and only expected to grow beyond the $1.3 trillion that they spend annually. It would be unwise for any industry to not consider this segment. Casinos have been faced with the issue of falling interest. This was especially true during the global financial crisis of 2008, but Las Vegas and other major casino hotspots saw a temporary increase before numbers have started falling once again. The ugly truth for the casino industry is that millennials need a new form of gambling – online casino could be one of them – in order to bring them into this industry.
There is an opinion that the millennial problem does not actually exist and it is merely created by fear. Since that are actually no statistics to find the exact drop in casino interest amongst the millennials, it is difficult to argue that interests have dropped. Of course, Las Vegas now generates much less from its gambling stream than a decade ago. However, even those figures are substantially greater than the revenue obtained in the early 1960s. Even though only around 14 million visitors came to Las Vegas in 1985, they were in a different class compared to the 40 million visitors in 2015.
Of course, Las Vegas has been trying to focus on making the revenue from entertainment, retail, and dining, but gambling still remains a major part of the revenue. It is not a surprise that major players in the casino industry at Las Vegas have entered into the field of online casino. Apart from being convenient, these are primarily designed to tap into the millennials market. Millennials are quite famous for being the first generation to adopt social media, and this also provides an avenue for the casino online.
The lack of interest has been spoken of as the biggest problem when it comes to millennials coming into the casino industry. It is not that the millennials are against the idea of gambling; there is enough data to suggest that they spend more money online than any other generation. It would only suggest that casinos have not been optimised to take advantage of their spending power in the right way. A casino online would appeal much better than a regular casino and this rule would extend to the best online slots as well.
There is no doubt that physical gambling at casinos is on the decline. However, the general consensus is that the casinos are not marketing their products well. Despite being aware that the millennials generation likes to socialize, only a handful of casinos seem to be going for theme-based slots or slots that offer more socialising opportunities. Coming up with new slots would be a great way to increase user engagement.
Some of the latest tricks used by casinos to improve the interest amongst millennials are the use of themed zones and opportunities to socialize. Casinos are also starting to enter into the world of apps to promote themselves amongst the younger generation.
It should be remembered that the generation of millennials loves a skill based game. It explains the growing popularity of sports betting and poker games especially after the emergence of the Internet. Only 13 poker rooms closing down in Las Vegas over the last four years speaks volumes about the popularity of this form of gambling even in the millennials era. Some of the best online casinos should start focusing on where the millennials would put their money. A much smarter generation, millennials are not just going to gamble for the sake of gambling. Only the very best ideas and themes can make this new generation increase casino revenues.
The 2016 Global Gaming Expo (G2E) took place at the Sands Expo and Convention Center in Las Vegas in late September. Thinking the “millennial problem” correctly can help many companies in this industry understand the pattern. Here’s a cursory explanation why the new generation obviously isn’t into casino gambling. There are four bullets that can actually save the gaming industry from “them”. When there is so much information out there – and so many choices – it’s hard to stay focused on gambling, so millennials need something that keeps them engaged. The social factor also has to be in the equation.
Millennials have unprecedented gambling knowledge. They have access to thousands of websites and real experience with gambling. They have unparalleled access to high-quality information offered by the media and the Internet. They have stunning computing power.
If you own an online casino or a gambling-related platform know that in order to appeal to millennials you need to find a way to deliver incredible gambling value, appeal to very intelligent people and let people sell their acquaintances and friends on your proposition. There’s no other way around this, social media has changed everything.