The competition for casino market in Australian turf is heating up between two large players namely Crown Resorts and Echo Entertainment. Both these firms offer ground casinos and online blackjack experiences to their patrons and have properties across Australian coast. While Echo Entertainment has concentrated on maintaining its foothold with Australia, Crown Resorts has casinos in Macau with plans to expand networks into Indonesia and Philippines. The rivals are fighting for space across Queensland, Brisbane, Sydney and New South Wales as the growing online and mobile gaming industry is eating into their profits, forcing them to adopt new strategies to bring in more players.
Crown Resorts and casino plans
It has a sizeable presence in Macau and is planning to build an exclusive casino in Barangaroo for high stakes customers from Asia and Africa. Rated as No.6 among gaming companies in the world, Crown’s fortunes in Australian markets are flat as the local economies are going through a financial crisis and local blackjack clubs are thinning. So it is refurbishing its properties in Macau and planning to set up operations in Las Vegas. Crown Resorts partly owned by James Packer, is thinking about its future growth in Australian markets. It is planning to set up an AUD 1.5 billion casino in Sydney for its Chinese customers who are facing problems in taking out their large wins from Macau casinos due to local regulations. The promoters of Melco Crown have also stated that in the future they may set up operations in Japan if the nation legalizes casinos.
Echo Entertainment plans
The firm has a popular outfit Treasury Casino in Brisbane, which is the city’s only casino. Local residents and politicians feel that it is enough for now as business here is low and its operators should concentrate on improving facilities instead of building a new casino. However, both Crown Resorts and Echo are planning vying for a piece of land in the city to start another new casino to improve business. Though Echo is smaller than Crown in terms of market capital; its loyalty program launched last year has been successful in bringing back customers into its Sydney casino ‘The Star’. The program has helped in increasing The Star’s revenues by 24.6 percent. The firm is also improving its Gold Coast casino Jupiters, with an investment of AUD 345 million as it is a bigger draw for tourists than Brisbane.