GAMBLING: Casinos Still Spin Cash
Recent Western Cape Business News
THE profitability of the Western Cape-based casinos – most notably the GrandWest casino in Cape Town – are proven beyond doubt in the latest annual report from the Casino Association of SA (Casasa).
Statistics released by Casasa for the 2007/08 year show that Cape casinos managed to generate R2 billion in gross gaming revenue from 8.7 million visitors to the six casino venues around the province.
This compares favourably with market leader Gauteng, which manag-ed R6 billion in revenue from around 24 million visitors to its array of casino venues. The Western Cape casinos also put their Kwa-Zulu Natal counterparts in the shade. That province’s casinos generated R2 billion in gross gaming revenue from a much higher 14.6 million visitors.
As straight turnover goes Gauteng generated R65 billion, well ahead of the Western Cape at R36 billion and Kwa-Zulu Natal at R32 billion. As gross gaming revenue goes Gauteng accounted for 44% of the national output with Western Cape and Kwa-Zulu Natal both at 17%.
That means over three quarters of gross gaming revenue receipts in SA are generated by casinos in just three provinces – which is something that might be taken into account when new casino licences are awarded.
As far as the Western Cape goes, the gaming power in the province clearly resides in Cape Town’s GrandWest casino.
Of the 8.7 million visitors to Cape-based casinos in 2007/08, around 75% (6.5 million to be exact) rolled into the GrandWest precinct.
Only Montecasino (9.7 million visitors) in Fourways in Johannesburg and the SunCoast casino (8.8 million visitors) in Durban saw more visitors than GrandWest in 2007/08. One can, though, extrapolate from provincial gross gaming revenues that GrandWest is seeing more spending per patron than both Montecasino and SunCoast.
The Mykonos casino in Langebaan was second most popular with 1 million visitors, followed by the Caledon casino (recently acquired by HCI) and the Garden Route casino in Mossel Bay (484 000).
The Golden Valley casino in Worcester, the latest casino to open its doors in the Western Cape, accommodated 96 000 visitors – which could be regarded as a promising start.
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