Simon Liddle finds out about the important role played by casino restaurants.
There is a need for casino operators to broaden their appeal and attract a new generation of customers, to re-think their strategy and seek ways to diversify what it is their properties offer.
The group commonly referred to as ‘traditional’ casino customers - those who enjoy gambling purely as a standalone activity - are, generally speaking, an ageing demographic. They are undoubtedly the industry’s core customer base but in order for operators to continue to attract new players, and therefore sustain and grow their business, there is a need to overcome certain barriers.
One such obstacle is the generally negative perception of gambling held by many consumers. The majority of today’s casinos, however, are not the dark, dingy members-only clubs they imagine them to be. Nor do they solely offer gaming. From Las Vegas to London, Macau to Monte Carlo, casinos are increasingly becoming complete entertainment complexes with bars, clubs and restaurants. But as consumer spending remains at an unprecedented low, there is concern over the value such facilities bring and whether they detract from an operator’s core revenue stream.
"Each part of the casino is equally important for the success of the operations," Christos Tsemperas, president of the managing board at Grand Casino Beograd in Belgrade, Serbia, told InterGaming. "There are two schools of thought in the casino business: the traditional European type of casinos which are usually small operations, more focused on gaming, and the American type of casinos, the best represented in Las Vegas style, known for larger operations, focused on total entertainment such as restaurants, hotels, bars, spas, events and gaming.
"Grand Casino Beograd belongs to the second, American type of casino. An entertainment complex that offers live gaming, which is an alternative way for spending an evening out, with high quality services at a very affordable cost for a visitor."
Grand Casino, located on the banks of the Danube, is among the new breed of casinos - acres of sparkling glass, vibrant colours and sophisticated entertainment facilities. The property has three restaurants, one of which, Diva, is earning a reputation as one of the best in Belgrade. Between them, the Grand Casino’s restaurants cater for all budgets, serving Italian, French and Asian cuisine. The casino attracts a variety of guests, including numerous celebrities who ensure that it is the one of the most fashionable spots in town.
Tsemperas said: "We’ve always marketed ourselves as a casino/entertainment complex, not just in terms of the venue but also the events that they host. As such, we’ve had many functions that have not been gaming related whatsoever."
Fine dining is proving to be a successful way of carrying non-gaming players over the threshold and into a casino. That, it seems, is at least half the battle.
SkyCity Auckland in New Zealand has an equally broad range of facilities, including 19 bars and restaurants. These include buffet restaurants, fine dining and themed fusion-style and Spanish eateries.
"By having such a diverse selection of food and beverage options available to the general public, SkyCity has attracted customers who would usually not come into a casino complex," Brodie Stewart, media relations coordinator at SkyCity Entertainment, said. "Non-gamers are also attracted by SkyCity’s four-and-a-half star and five-star hotels, theatre and New Zealand’s world famous Sky Tower."
This emerging group of casino customers seeking the complete entertainment package of dining and maybe a little gambling illustrates the changing atiitudes of today’s consumers. Value for money is of the utmost importance, particularly in the current financial climate. That isn’t to say, however, that everyone is simply looking for the cheapest deal. At the other end of the scale, some consumers are used to dining at the world’s finest restaurants, so why should they choose to eat at a casino?
Genting UK aims to cater for the high-end of the market through its properties in London such as Crockfords, Colony Club, the Palm Beach and Maxims in Kensington. In addition to a wide choice of high-quality modern European dishes, each club offers a selection of carefully crafted Chinese and Arabic options, prepared by a range of speciality chefs. The operator also aims to fulfil any specific requests that are made to the kitchens in its most exclusive casinos.
"At the London casinos, we have a significant number of high net-worth customers who can choose to fly anywhere in the world to spend their leisure time," said Genting’s Otto Hoenig. "Our imperative is to offer them the best service in the world that keeps them coming back to London and in particular to our clubs. Our range of speciality chefs ensure that we can meet any request that a customer may make, produced to the highest possible standards. Again, it is about creating a very special experience and ambiance at the casino to differentiate us from our competitors at home and abroad.
"The restaurant adds profoundly to the unique character of each of our clubs and is therefore inextricably linked to its identity and ultimate profitability."
Phil Cooper, executive director of marketing for the US-based Agua Caliente Band of Cahuilla Indians, told InterGaming that casino operators cannot expect consumers to visit their properties simply out of loyalty. Casinos are now not only competing with each other, but other forms of entertainment as well.
"Fine dining, and casino restaurants in general, are paramount to the success of any gaming venue," he said. "Now more than ever, guests are looking for value and because competition has increased over the years, they’re getting it."
Agua Caliente operates two resorts in California, the Casino, Resort, Spa in Rancho Mirage and Spa Resort Casino in Palm Springs. Each complex boasts six restaurants and additional food and beverage outlets.
"While the menus at each resort vary slightly, the one constant is outstanding dining," Cooper explained. "Every dish is prepared with impeccable attention to detail; all ingredients are the freshest and finest available.
"Casinos can’t just get by with a buffet anymore; they need a good buffet or their guests will go elsewhere. Guests want more."
Good food is one thing, getting diners to play slots or table games is quite another. For Grand Casino Beograd, its restaurants contribute roughly 10 per cent of its revenue but their role as a tool for converting diners into gamers is the key to what makes them so important to the overall offering.
"We have a variety of promotional packages that have proved to be very successful among our guests," Tsemperas said. "Eat & Play packages combine dining at two different restaurants and gaming at a very affordable price."
Agua Caliente’s casinos also offer promotions linking dining with gaming in order to encourage more people to use the other facilities on offer.
"Have our restaurants helped to attract non-gamblers? Absolutely," Cooper remarked. "All of our Paradise Rewards Club members receive discounts at our dining outlets just by showing their club card. They love it. We also hold private dinners, wine-tastings and VIP player events in our steakhouses."
Genting regularly runs promotions that combine dining with gaming. These tend to be popular around seasonal times of the year, such as Chinese New Year and Christmas. There are also ongoing offers, such as one presently available at the Palm Beach, which allows customers to purchase a package that includes dining and table play at an advantageous price. The company’s Hoenig believes that by offering such facilities and promotions, the industry is overcoming some of the negative opinions held by those unfamiliar with what casinos have to offer.
"When people think of casinos they often imagine either James Bond-style glitz or smoke-filled dens; neither of which conjure up images of a particularly welcoming environment," he said. "However, when people experience the real thing they’re always surprised by the comfortable, safe and relaxed atmosphere that they find themselves in. Our restaurants certainly offer a conduit to new customers unfamiliar with a casino environment and it is our experience that once they have visited one of our clubs any prior prejudices quickly fall away."
This is a theme familiar to Grand Casino Beograd’s Tsemperas and no doubt countless other operators.
"The main aim of these promotions is to overcome negative perceptions and to offer our guests exceptional experience and top entertainment," he said. "One of the major, and quite unforeseen, barriers to achieving success in this venture has been the need to combat the negativity of many people in Belgrade regarding the name ‘casino’. This is not something we can do overnight and no amount of advertising will be enough to convince people that we are different in every aspect from the casinos that existed in Belgrade before our arrival. We will therefore have to be a little patient and rely on peer references in order to break the negative connotation attached to the word ‘casino’ here in Belgrade. Basically, the more people that visit Grand Casino and enjoy a positive experience, the more the message will spread and we will slowly be able to change the perception of casinos for the better."
