The casino industry in Ohio had a bad 2016 as three of the Midwestern state’s four properties reported year-on-year declines in total annual gaming revenues with the aggregated figure of $797.94 million representing a decrease of 1.7% from 2015’s $812.32 million.
The biggest disappointment was felt by Jack Cleveland Casino, which is owned by Detroit-based Jack Entertainment, as it annual gaming revenues for 2016 fell by over 4% year-on-year to $203.57 million while its sister Jack Cincinnati Casino experienced a 3.6% drop to $189.25 million.
Continuing this trend, annual gaming revenues for Penn National Gaming Incorporated’s Hollywood Casino Toledo came in at $191.61 million, which was down by 0.6% year-on-year, while compatriot Hollywood Casino Columbus was the only Ohio casino to report a boost in 2016 takings with its $213.57 million representing an increase of 1.5%.
Hospitality and gaming expert Alan Silver, who is also an assistant professor at Ohio University, told The Columbus Dispatch newspaper that Hollywood Casino Columbus has benefited from having less competition from the state’s seven racinos, which saw their December revenues swell by almost 1.2% year-on-year to reach $73.59 million, while its rewards are also better.
Silver reportedly declared that consumers seem to prefer racinos because they tend to be closer to the state’s suburban areas, are safer and offer free parking.
“They have become local entertainment venues,” Silver told the newspaper.
In terms of Jack Cleveland Casino, Silver reportedly proclaimed that the downtown property has moreover struggled following a move in May that saw it re-branded from its former moniker of Horseshoe Casino Cleveland.
“The Jack name hasn’t taken off [and] people are upset,” Silver told The Columbus Dispatch.
For the month of December, Jack Cleveland Casino experienced an over 12% decline year-on-year in gaming revenues to $16.53 million while the $16.33 million reported during the 31-day period by Jack Cincinnati Casino represented a fall of 7.6%.
Regarding Hollywood Casino Toledo, the final month of 2016 saw it report gaming revenues of $15.02 million, which was a cut of 10.6% year-on-year, although its sister Hollywood Casino Columbus brought in just over 1% more at $18.44 million.