Casinos in Connecticut have registered revenue decline amid increasing competition from the new MGM Springfield casino situated in western Massachusetts.
A 10% decline was registered in the slot-machine revenue of the Foxwoods Resort Casino in October, with the drop believed to be happening as an effect of competition, including rivalry from the MGM casino venue. As revealed by The Day of New London, the slot-machine revenue of Foxwoods amounted to $34.4 million in October 2018, which represents a 10% drop in the performance compared to the one registered in October 2017. That result followed a 5% decline in the slot-machine revenue reported in September.
Mashantucket Pequot Tribe-owned and operated Foxwoods Resort Casino shared that it had been preparing for a decline, especially with the MGM Springfield venue being in the first months of operation.
The other casino in the state, Mohegan Sun, has not yet revealed figures for October 2018 but considering the fact that its slots revenue experienced a 9% decline in September, the October results would probably be down, too.
For years now, the tribes which currently operate the two large casinos in the southeastern part of the state have been trying to make a joint casino venture in northern Connecticut in order to become more resilient to competition from the new MGM casino. MGM Springfield started operation in August 2018 and had been expected to become one of the major opponents of the Mohegan Sun and Foxwoods.
MGM Springfield Also Suffers a Decline
As mentioned above, MGM Springfield was expected to steal a chunk of the gambling revenue of the Mohegan Sun and Foxwoods, because the properties offer pretty much the same quality and gambling offerings. One of the consultants at the Spectrum Gaming Group, Joseph Weiner, explained that the New England marketplace has become a competitive place for the local casino industry.
At the same time, the gross gaming revenue of MGM Springfield also suffered a decline from the previous month. The new gambling venue reported that it generated over $22 million in gross gaming revenue in October, with the result being about $4.7 million lower than the one in September.
The Massachusetts Gaming Commission revealed that the reported gross gaming revenue of MGM Springfield amounted to $22,242,742.41 in October. Slot machines accounted for more than $14 million of that amount, while table games generated over $7 million. In comparison, the overall gross gaming revenue of the facility for September was estimated to $26,952,096.39.
Saverio Mancini, a spokesman for MGM Springfield, revealed that the operator has been making some changes in its gambling offerings, including the addition of more video poker machines, adding some new slot machines into the so-called “high-limit” area and implementing lower stakes roulette and blackjack tables in its offerings.