Q4) Explore the Up-to-Date Trends and News about Development of Gaming Entertainment Industry

Gaming entertainment industry is evolving, either on the gaming or the non-gaming part. Some casino has noticed the non-profit part of their business has actually accounting for higher portion of their profit. Meanwhile, some casino has been actively developing on another way of gaming itself. Let's take a look of the recent trend of development on gaming entertainment industry.

Emphasized focus on non-gaming part of business

Since non-gaming part of their business was accounted for 60% of the total profit in 2014 for casinos on the Las Vegas Strip,up form 40% in 2005. Non-gaming part of gaming entertainment business is becoming more important in the industry. Operators on the Las Vegas Strip has been trying to revamp and upgrade their amenities in order to attract more customers and tourists.

For example, Hilton provides many different service for customers with different need, for example business needs, entertainment needs, or recreation needs. For instance, it has its own fitness center, pool, and providing services like spa and massage. 

We can see that the focus point of the gaming entertainment industry is actually not gaming, but mainly on entertainment. By improving the entertainment facilities and amenities, gaming industry operators are able to attract more customers and generate high profit than focusing on gaming itself.

Trend of online gaming

 We believe that online gaming is going to be the next big trend of the gaming entertainment industry. The proportion of overall entertainment and media expense on digital media of western casino has been increased from 26.0% in 2010 to 33.9% in 2015.

  There are few major difficulties in the development of online gaming, for example government regulation and taxation level.

  Although restriction on online gaming is less strict in some countries, which there have already had legal online gaming site, like the New Jersey Online Gambling. 

 In most other countries, like almost all countries in Asia Pacific, online gaming is simply illegal.

However, the taxation revenue of online gaming is an great incentive for the government to set up a set of rules and regulation to contribute to the development of online gaming. For example, legal online gaming market in Latin America is already at an embryonic stage in 2015. And there are already many successful online casino in the world. We expect successful example in some countries will be the guidelines for other countries to implement legal online gaming regulations.

Conclusion

After the research of this chapter, we learnt that even the non-gaming part is important in the gaming entertainment industry. Many customers go to the casinos only to visit the beautiful layout or the excellent services provided by the casino instead of  to gamble. And the convenience provided to the customers by going online business further proved that it is the service we provide that count, rather than the main business.

Reference

http://www.gbm.scotiabank.com/English/bns_econ/IT_gaming.pdf
https://www.pwc.com/gr/en/publications/assets/global-gaming-outlook-2011-2015.pdf