Caesars And MGM Resorts Still Bullish About Future Of Skill-Based Games
Despite the disappointing revenue and impact of skill-based games, industry leaders believe that it’s still too early to judge this emerging sector.
In late 2016, Caesars Entertainment debuted skill-based games developed by GameCo at three of their Atlantic City properties. Six months in, all of the skill-based game terminals were removed from the casinos.
The operator decided in 2017 to try them out once more and put them back up in multiple casinos which included Planet Hollywood at the Strip, the Tropicana Atlantic City and Foxwoods Resort Casino.
Caesars Entertainment Continues To Back Skill-Based Games
Melissa Price, senior vice president of gaming of Caesars Entertainment said that they have made some adjustments to their marketing strategy and was confident of the potential of these skills based games. The casino operator also highlighted the fact that it will take patience to build a customer base and make reference to electronic table games which took five years to become a hit with players. Skill-based games have only been around a year and a half which meant that it was far too early to judge their market potential.
Skill-based games continue to be an attractive proposition for millennials are between the ages of 21 to 39. While skill-based games do not make as much money as traditional slot machines, Price believes it’s about developing and evolving the product.
MGM Entertainment Also Experimenting With Skill-Based Games
Steve Sirianni, vice president of slot operations and marketing at MGM Grand Las Vegas, is also optimistic about skill-based games. Moving forward, Sirianni said that MGM will have to evaluate which games are working and which are not, and then make changes accordingly.
Right now, customers spend 10 to 15 minutes on a skill-based machine. There is long engagement but not multiple engagements. Data shows that customers were not typically coming back to the skill-based machines. To remedy this, Sirainni said that they will have to tweak the product to create a balance of skill and chance.
In a statement, Sirianni said,
A lot of people will still be entertained by traditional games, but unique games are being created to develop a new market. I think this is a new segment of business. If you have the time and can prioritize to focus on this group, I think it’s worthwhile.
One of the efforts MGM has made to highlight their skill-based game machines is to create their Level Up adult arcade at MGM Grand in September. The adult arcade features skill-based games, virtual reality products, mini bowling and a bar. The strategy to create a unique environment for a special type of customer has been successful and millennials have starting coming in. Both MGM and Caesars will continue to test skill-based games and mix things up to see how well they perform in the coming months.
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