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10.4 Gaming: Casinos and Gambling

Casinos and gaming can be referred to as gambling. But this is an industry with a rich history that offers intriguing career pathways. To understand this industry holistically we should begin by understanding core components

The concepts of gaming and gambling are often used interchangeably, yet they hold distinct meanings and connotations. Gaming is defined as “the practice or activity of playing games (such as board games, card games, or video games)” (Merriam-Webster, n.d.). This broad definition encompasses everything from board games and sports competitions to video games and interactive digital experiences. The essence of gaming lies in its structured nature, where established rules and often skill, strategy, or chance dictate the outcome.

Gambling, on the other hand, is more narrowly defined. The act of gambling involves wagering something of value, typically money, on an event with an uncertain outcome, with the primary intent of winning additional money or material goods. It’s characterized by elements of risk, chance, and uncertainty. Unlike gaming, where skill and knowledge can significantly influence the outcome, gambling relies heavily on luck or chance. This distinction is critical in understanding the nature of casinos and their appeal.

The interplay between gaming and gambling is evident in many modern casinos where both elements coexist. Games in casinos, such as poker or blackjack, require a blend of skill and luck, thus embodying aspects of both gaming and gambling.

In this textbook, we will use the three primary terms in this field in this manner:

  • Gaming – Gaming refers to playing games, such as video games or gambling, for entertainment. It is a popular leisure and recreational activity across cultures.
  • Gambling – Gambling involves wagering money or other valuables on events with uncertain outcomes, with the intent of winning additional money and/or material goods. The activity revolves around taking risks and leveraging chance for financial or material gain.
  • Casinos – Casinos operate as establishments that facilitate various types of gambling activities, including table games like poker and blackjack, electronic gaming machines like slot machines, and sports betting. They offer a physical space for both casual entertainment-focused gambling and professional high-stakes wagering.

The History of Casinos and Gambling

Gambling, an activity as old as civilization itself, has evolved from ancient pastimes to a substantial global industry. The history of gambling reflects the cultural, social, and economic shifts across centuries and continents. It is intertwined with humanity’s journey, influenced by political, religious, and social dynamics.

Historical Traces of Gambling

The earliest evidence of gambling dates back to ancient civilizations (Glimne, 2024). In Egypt, dice-like gaming pieces were found in tombs dating back to 3000 B.C.E., suggesting that betting games were part of daily life. Ancient Greek literature also mentions dice games, although gambling was not entirely socially accepted in Greece. Conversely, Romans embraced gambling, despite legal restrictions. Evidence suggests that Romans bet on chariot races, animal fights, and gladiator battles, indicating the prevalence of gambling in their society.

In China, evidence of gambling activities dates back to 2300 B.C.E. The Chinese ‘Book of Songs’ refers to the “drawing of wood,” which suggests that the tiles used in a game were part of a lottery-type activity. The Chinese are also credited with the invention of playing cards around the 9th century A.D., a tool that would become central to gambling activities worldwide.

These historical instances show that gambling has always been a part of human culture. However, it was often viewed with a mix of fascination and caution, as societies grappled with the moral and social implications of gambling.

Academic Philosophy of Play

From an academic perspective, gambling is an integral part of the study of play and leisure. Play, defined as any voluntary activity that provides enjoyment and recreation, is a fundamental human activity. Johan Huizinga, in his seminal work Homo Ludens (1938), argues that play is older than culture and is a necessary condition for the generation of cultures. Gambling fits into this framework as a form of play that involves stakes and risks, providing excitement and entertainment.

Leisure studies, a field that examines the role of leisure in human life, often focus on gambling as a leisure activity. Psychologically, gambling fulfills several human needs: the thrill of risk-taking, the escape from reality, and the pursuit of financial gain. Sociologically, gambling has been studied as a phenomenon that reflects social and economic structures. It’s a mirror to societal attitudes towards risk, reward, and luck.

The academic study of gambling also touches on the concept of ‘alea,’ or chance. French sociologist Roger Caillois described alea as one of the four fundamental categories of play in his book Man, Play, and Games (1961). Alea represents games of chance, where the outcome is entirely dependent on luck, stripping players of control, and creating a sense of equality regardless of social or physical differences.

The Emergence of Casinos

The history of casinos as establishments dedicated to gambling is both rich and varied. The earliest form of casinos can be traced back to Italy in the 17th century. The term ‘casino’ itself is of Italian origin, derived from ‘casa,’ meaning a house. Originally, these establishments were small clubhouses for the Italian elite to engage in social activities, including gambling. However, the concept of a casino as we know it today began to take shape with the opening of Ridotto in Venice in 1638. This marked the first recognized gambling house in Europe, where controlled gambling was allowed during the carnival season.

The evolution of casinos from exclusive gatherings to mainstream entertainment venues was gradual. By the 19th century, casinos had become prominent across Europe, with establishments like the Casino de Monte-Carlo in Monaco and the Kursaal in Baden-Baden becoming famous. These casinos were more than just places to gamble; they were opulent, social hubs where the elite convened, offering a range of entertainment, dining, and leisure activities.

In the U.S., the casino industry took a different trajectory. Gambling was widespread in the early 19th century. Yet, it was not until Nevada legalized gambling in 1931 that the foundation for modern American casinos was laid (Wide Open Gambling Bill, 1931). This legalization led to the birth of Las Vegas. The city transformed from a desert town to the gambling capital of the world. The establishment of the Flamingo Hotel and Casino in 1946 marked a significant moment in Las Vegas’s history, setting a precedent for the luxury and glamor associated with casinos today.

Gaming revenue at U.S. casinos, by state, in 2022.
Figure 10.9. Gross Gaming Revenue of Casinos in the United States in 2022, by State / Photo Credit: Jennifer Snoek-Brown, CC BY 4.0

Modern casinos have evolved to become comprehensive entertainment complexes. They offer a variety of gaming options including slot machines, table games, and electronic gaming. Beyond gaming, these establishments have diversified to include high-end restaurants, bars, concert venues, and hotels. This evolution reflects the changing attitudes towards gambling and its integration into mainstream entertainment.

Leading casino companies - by revenue - globally in 2022
Figure 10.10. Leading selected casino companies worldwide in 2022 / Photo Credit: Jennifer Snoek-Brown, CC BY 4.0

Stand out

Las Vegas Sands stands out with its operations in key international markets, including Las Vegas, Macao, and Singapore. The company, with over 40,000 employees, generates over $9 billion in annual revenue (Trefis, 2023), primarily driven by its high-profile properties like Marina Bay Sands in Singapore and The Venetian in Macao. Their focus on international gaming has not only diversified their revenue streams but also established the company as a global powerhouse in the casino industry.

The international focus of Las Vegas Sands involves navigating diverse regulatory landscapes and cultural preferences. By offering tailored gaming and entertainment experiences that resonate with local and international visitors, the company has successfully captured significant market shares in these regions. Their ability to blend luxurious accommodations with world-class gaming has made their properties destinations in their own right.

Looking ahead, Las Vegas Sands is poised for further growth in the international arena. Their strategy includes continued investment in existing properties and exploring new opportunities in emerging markets. By staying attuned to global trends and adapting to changing market dynamics, Las Vegas Sands aims to reinforce its position as a leader in the international casino and resort sector.

Casinos have also embraced technological advancements, transitioning into the digital age with the rise of online gambling. Online casinos and gambling platforms have broadened the reach of the industry, allowing users to engage in gaming and gambling activities from anywhere in the world. The online gambling market size worldwide was valued at 63 billion U.S. dollars in 2022 and is projected to grow to 184 billion U.S. dollars by 2032 (Statista Research Department, 2024).

Types of Casinos and Gambling

There are numerous types of casinos and gambling. Professionals in this field do not need to work in all of the different types or be a professional player in games, but they should be cognizant of the games in a casino and where these games take place.

These games are fun! Learning them can be a profession, a fun pastime or hobby, or for some individuals an addiction. Hospitality professionals in the casino and gaming fields have a responsibility to their clientele that is perhaps unique from other areas of hospitality.

Hospitality professionals working in the gaming industry should be cognizant of the potential for gambling addiction among their guests. Gambling disorder, also known as pathological gambling or compulsive gambling, is a recognized mental health condition characterized by an uncontrollable urge to engage in gambling activities despite negative consequences. Gaming industry professionals have a responsibility to prioritize responsible gaming practices and implement measures to identify and assist guests who may be struggling with gambling addiction. This includes providing resources and support services, as well as training staff to recognize the signs of problem gambling behavior. By understanding the complexities of gambling addiction and adopting a proactive approach, hospitality professionals in the gaming industry can contribute to the well-being of their guests and promote a sustainable and ethical gaming environment.

Gambling and Games

Table games represent the quintessential mainstays of casino floors, including classics like blackjack, poker, roulette, baccarat and craps. According to 2023 revenue statistics from the UNLV Center for Gaming Research (2024) focused just on the gaming hub of Nevada, table games collectively generated casino revenues upward of $5 billion. Slot machines constitute another pillar of casino gaming, favored for straightforward gameplay mechanics and the potential promise of substantial payouts. In 2019, slot machines across all U.S. casinos amassed revenues beyond $32 billion (Sayre, 2023).

Once restricted outside of Nevada, sports betting has rapidly expanded across America following the pivotal 2018 Supreme Court verdict (Murphy v. National Collegiate Athletic Association, 2018) that overturned the federal ban on sports gambling. Per American Gaming Association (AGA) figures (2023), sports betting proceeds reached more than $60 billion in 2022, and continue an upward climb as more states embrace legalization. The legalization of sports betting in various states has paved the way for collaborations between state governments, professional sports leagues, and betting companies, driving the growth of the casino and gaming sectors within the hospitality industry. According to the American Gaming Association, as of May 2024, 38 states and the District of Columbia have legalized sports betting (AGA, 2024). This has led to partnerships between major sports leagues like the NFL, NBA, and MLB with sportsbook operators such as DraftKings, FanDuel, and BetMGM.

For example, the NFL has official data and marketing partnerships with numerous sportsbook operators, including Caesars Entertainment, DraftKings, and FanDuel (NFL, 2021). Similarly, the NBA has struck deals with multiple betting companies, including extensive partnerships beyond normal licensing agreements that are common in sports (FanDuel Group, 2023). These collaborations not only generate revenue for the leagues and teams but also provide betting companies with access to official data and branding opportunities, further expanding their reach within the regulated sports betting market.

Government-sponsored lotteries enable another prevalent form of gambling. U.S. lotteries cumulatively realized sales exceeding $107 billion in fiscal year 2022 (Statista Research Department, 2023b). The game of chance bingo also claims devotees at dedicated bingo halls, casinos and community venues, significantly contributing to gaming revenues particularly in North America and Europe.

A large bingo all in Leicester, UK.
Figure 10.11. Mecca Bingo, Leicester / Photo Credit: BBC World Service, CC BY-NC 2.0

https://www.flickr.com/photos/bbcworldservice/4500603800

Online gambling has ascended rapidly, on track to becoming a $136 billion global industry by 2029 (Statista Marketing Insights, 2024), fueled by enhanced internet connectivity and mobile device penetration expansion. Myriad virtual gamesoffer remote gameplay around slots, tables games or sports betting. A newer format combines online convenience with live streaming of human dealers in real-time to heighten authenticity and interactivity for hybrid games like blackjack, roulette and baccarat.

Fantasy sports betting similarly involves creating virtual teams to compete based on statistical performance of real athletes. In 2022, the Fantasy Sports and Gaming Association documented over 60 million fantasy sports players in the U.S. and Canada engaging friends, family and strangers in fierce but friendly wagering. Finally, online poker rooms exemplify peer-to-peer gambling, allowing players to compete head-to-head in card games without a casino intermediary. These direct access platforms have cultivated robust player bases and hold their own market share of gaming proceeds.

Casino Types

Land-based casinos are expansive complexes encompassing a gambling activities. These businesses often include accommodations, dining, entertainment, and retail. Quintessential examples include the iconic casinos along the Las Vegas Strip or those in Macau. There are 1,257 brick-and-mortar casinos operate within the U.S. according to statistics from the American Gaming Association (2023). These casinos generate annual gaming revenues of more than $30 billion, with approximately half of this originating in Las Vegas (Stutz, 2023). In recent years Macau has become known as the epicenter of the gambling world. Gaming revenues have eclipsed $45 billion in a single year in Macau (Stutz, 2024)!

Riverboat casinos have gained popularity as an alternative in regions where land-based casinos face legal restrictions. These facilities are situated along waterways aboard river vessels, reviving a 19th century concept that originally took root along the Mississippi River. Presently, over 100 riverboat casinos cruise along waterways in states permitting their operation, like Louisiana, Mississippi, and Illinois (RMS, 2015).

MGM Resorts International showcases an impressive portfolio, operating casinos in key locations such as Las Vegas, Massachusetts, Detroit, Mississippi, Maryland, and New Jersey. Their notable properties include the Bellagio, Mandalay Bay, MGM Grand, Cotai in Macau, Borgata in Atlantic City, and Beau Rivage in Biloxi. With 75,000 employees, the company has generated an impressive $13 billion in annual revenue (Zippia, 2024). This success can be attributed to their strategic management of diverse casino types, ranging from land-based establishments to boat casinos and ventures into the international market.

Managing this variety requires adapting to different market dynamics and regulatory environments. In each location, MGM tailors its services and amenities to meet the unique preferences of local and international guests. Their ability to offer a wide range of gaming experiences, from the luxury of the Bellagio to the unique offerings in Macau, has positioned MGM as a leader in the industry. This diversity not only broadens their customer base but also buffers the company against market-specific risks.

Looking to the future, MGM continues to innovate and adapt. Their approach includes expanding their digital footprint to capture the growing online gaming market, alongside enhancing their international presence. By leveraging technology and exploring new markets, MGM aims to maintain its position as a versatile and dynamic player in the global casino industry, ready to cater to the evolving preferences of a diverse clientele.

Another variety, known as racetrack casinos or “racinos,” fuse horse racing tracks with casino gaming services and slot machines in one compound, additionally allowing patrons to wager on live races. Primarily concentrated across 14 states in the U.S., racetrack casinos collectively generated over $8 billion in gross gaming revenue in 2019 (Statista Research Department, 2013, 2023e).

The MGM Grand Hotel and Casino in Las Vegas lit up at night.
Figure 10.12. MGM Grand – The City of Entertainment / Photo Credit: James Marvin Phelps, CC BY-NC 2.0

At premium resorts and hotels, resort casinos integrate extensive casino gaming features like table games and slots with luxury accommodations, spas, golf, and other upscale hospitality amenities into one destination property catering to vacationers. Prominent resort casino examples include Wynn Las Vegas and The Venetian Macao.

With the advent of digital technologies, online casinos have emerged to offer virtual gambling opportunities from the convenience of one’s own device, connecting players anywhere worldwide. Valued at $100 billion in 2024, the global online gambling industry size continues exponential expansion as technology unlocks new frontiers for casinos without borders (Statista Market Insights, 2024).

Stand out

Penn National Gaming operates nationwide, with a unique focus on race track casinos, also known as “racinos” (Associated Press, 2011). Their properties, including Sam Houston Race Park in Houston, Freehold Raceway in New Jersey, and Hollywood Casino in Kansas City, contribute to their 20,000-strong workforce and $5 billion in annual revenue (PENN Entertainment, 2024). This focus on combining traditional casino gaming with horse racing tracks offers a distinctive entertainment experience, appealing to both casino goers and racing enthusiasts.

The integration of casinos with race tracks provides a synergistic blend that enhances the appeal of both offerings. This model has proven successful, especially in regions where traditional casinos face regulatory constraints. By offering a variety of gaming options alongside the excitement of live racing, Penn National Gaming taps into diverse revenue streams, attracting a broader audience range.

Looking forward, Penn National Gaming is well-positioned to capitalize on the growing popularity of racinos. The company’s future strategy may involve expanding its portfolio of racetrack casinos, enhancing the customer experience through technological upgrades, and exploring opportunities in online betting, especially as sports betting continues to gain legal acceptance across the U.S. By leveraging its unique position in the racetrack casino niche and adapting to evolving market trends, Penn National Gaming is poised to continue its growth trajectory in the dynamic casino and gambling industry.

Tribal casinosconstitute another significant segment, owned and administered by Native American tribal nations on sovereign reservation lands. Regulated under the Indian Gaming Regulatory Act (1988), around 245 tribal gaming entities operated approximately 524 gaming facilities as of 2019, producing an estimated $34 billion in aggregate gaming revenue (Harris, 2019).

Tribal Casinos

Tribal casinos represent a significant and unique segment of the American gaming industry. The foundation for tribal casinos was laid in 1987 when the U.S. Supreme Court ruled that if a state permits any form of gaming, then Native American tribes within that state can also conduct gaming operations (California v. Cabazon Band of Indians, 1987). This landmark decision was further solidified by the Indian Gaming Regulatory Act (IGRA) of 1988, which established a regulatory framework for tribal gaming and defined the various classes of gaming activities. This Act not only recognized the sovereignty of Native American tribes in conducting gaming operations but also provided an avenue for economic development and self-sufficiency for tribal communities.

The figure is a map of the USA showing states that have Indian Gaming and those that do not have Indian Gaming. The states identified as having no Indian casino gambling operations are Georgia, South Carolina, Arkansas, Missouri, Illinois, Kentucky, Tennessee, Ohio, Indiana, West Virginia, Virginia, Maryland, Delaware, Massachusetts, New Hampshire, Vermont, Maine, Rhode Island, and New Jersey.
Figure 10.13. Indian Gaming States / Photo Credit: Ezra Leigh, CC BY 4.0

The growth of tribal casinos nationwide has been remarkable. From 372 casinos in 2006, the number increased to 525 by 2020 (Statista Research Department, 2023c). This expansion reflects not just the popularity of gaming among the public but also the successful adoption of gaming as a key economic strategy by numerous tribes. These casinos vary in size and offerings, from small gaming operations to large resort-style casinos with a wide range of amenities. They serve as important economic engines in many tribal communities, generating revenue that funds tribal government operations, social services, and infrastructure development.

However, the COVID-19 pandemic posed significant challenges to this sector. Tribal casinos, like their counterparts in the broader gaming industry, faced closures and operational disruptions. The pandemic’s impact on tribal casinos was complex, given their unique status and the varying responses of different tribes. All that are expected to reopen have now reopened, albeit many have permanently enhanced their safety measures. It should be noted that some have remained closed even today and do not project to open again in the future (e.g., Makah).

Muckleshoot Casino in Washington State is a prime example of how a casino can significantly benefit its associated tribe (B. Mitchell, personal communication, November 16, 2021). Operated by the Muckleshoot Indian Tribe, this casino stands not just as a center for entertainment, but also as a beacon of economic and cultural revitalization. Muckleshoot Casino leans heavily into its cultural heritage and community upliftment.

Since its inception, the Muckleshoot Casino has been more than just a source of gaming entertainment. It has become a cornerstone of economic prosperity for the Muckleshoot Tribe, generating substantial revenue that is channeled back into tribal community development. This includes funding for education, healthcare, and housing, directly impacting the quality of life for tribe members.

Moreover, the casino has created a significant number of job opportunities for both tribal and non-tribal members, fostering a diverse work environment. With a workforce that extends into the thousands, Muckleshoot Casino contributes not only to tribal employment but also to the broader regional economy.

The cultural impact of the casino is noteworthy. It serves as a platform for promoting and preserving Muckleshoot cultural heritage. Through events, promotions, and the casino’s overall theme, the rich history and traditions of the Muckleshoot Tribe are celebrated and shared with a wider audience.

Muckleshoot Casino recently opened a new property featuring an arena for live entertainment, an upscale hotel, convention space, and new dining options. Looking ahead, Muckleshoot Casino is poised to expand its influence. Plans for future developments may include upgrading facilities, introducing new gaming technologies, and possibly expanding into online gaming spaces. This growth is expected to further solidify the casino’s role as a key economic driver for the Muckleshoot Tribe and an important cultural landmark in Washington State.

By leveraging its unique position as a tribally operated casino and adapting to market trends, Muckleshoot Casino stands as a successful model of how a gambling establishment can benefit its community far beyond the gaming floor, fostering economic growth, job creation, and cultural preservation for the Muckleshoot Tribe.

The presence of tribal casinos is notable in states such as Washington. Of the 29 tribal lands in the state, 28 have operational casinos (Governor’s Office of Indian Affairs, n.d.). The only exception is the Makah tribe in the northwest corner of the state, on the far side of a large national park from any population centers (i.e., Olympic National Park). Tribal casinos have become key players in Washington’s gaming landscape, offering a range of gaming experiences from slots and table games to large-scale entertainment and dining facilities. The tribal casinos in Washington have contributed significantly to the state’s economy, not only in terms of gaming revenue but also through employment opportunities and the development of ancillary businesses.

Washington’s tribal casinos also reflect the broader trends in the national tribal gaming industry, with some expanding their operations and others grappling with the challenges posed by the pandemic. The future of these casinos, like many across the country, will likely be influenced by a combination of factors including economic conditions and the evolving preferences of gamers.

Career Pathways

The casino industry offers a plethora of career pathways for those looking to enter this field. Choosing a career in this sector is not just about finding a job; it is about embarking on a journey in an industry where variety and customer interaction are at the forefront. Each role within a casino plays a crucial part in creating an immersive and enjoyable experience for guests, making the selection of a career path both critical and potentially rewarding.

Casino Cashiers are often referred to as the financial hub of a casino. Professionals in these positions are responsible for handling monetary transactions. This role involves managing cash inflows and outflows, exchanging chips for cash, and ensuring financial accuracy. The position demands high levels of trust and integrity, alongside strong mathematical skills.

Casinos often feature large and complex security teams. Security and Surveillance teams form the backbone of casino safety and integrity. These personnel are tasked with patrolling the casino floor, managing crowd control, and ensuring the safety of guests and staff. Surveillance officers, often working from behind the scenes, monitor the casino via cameras. These individuals look for irregular activities and behaviors that could indicate cheating or theft.

Floor staff are the face of the casino. They directly interact with guests on a daily basis. The floor staff includes a range of positions from game operators to customer service representatives. They ensure that guests have an enjoyable experience. They are often tasked with addressing guest concerns and providing assistance.

Slot attendants oversee the slot machine areas. Their primary duties include assisting guests with machine operation, making payouts, and ensuring a pleasant gaming experience. Slot hosts go a step further, often managing relationships with regular visitors and VIP guests. They are tasked with the provision of personalized service to enhance the gaming experience for gamblers.

High rollers at a casino are known as whales . Casino hosts play a critical role in guest services for whales. Casino hosts are responsible for creating tailored experiences for guests, managing VIP services, and maintaining customer loyalty. This role requires excellent interpersonal skills and a deep understanding of customer service.

A casino manager oversees the entire operation of the casino. Responsibilities include managing staff, overseeing daily operations, ensuring compliance with gaming regulations, and maintaining high levels of customer satisfaction. Strong leadership and organizational skills are essential for this role. Furthermore, budgeting, forecasting, and other control functions of management are required in order to succeed in these roles.

The casino floor is a precarious location to work. This is a fast-paced environment requiring attention to detail, multi-tasking, and enhanced management skills. Pit clerks and (pit) bosses ensure the smooth operation of table games. They supervise the gaming area, manage dealers, and ensure compliance with casino policies and procedures. These roles require a good understanding of casino games and strong leadership abilities.

Dealers are at the heart of table games in a casino. They manage the game, ensuring fair play, and often contribute to the overall gaming atmosphere through their interactions with players. Dealers require a combination of technical skill in managing games and excellent customer service skills.

Regarding employment in the casino sector, the industry has witnessed steady growth. According to the Bureau of Labor Statistics (2024), entry-level employment in face-to-face gambling industries are projected to grow slightly more than 1 percent from 2019 to 2029. This growth of nearly 20,000 new jobs annually is driven by the continuing popularity of gambling, the legalization of sports betting in many states, and the introduction of new casinos.

Trends and the Future of the Casino and Gambling Industry

The casino and gambling industries are currently experiencing significant transformations. These transformations are primarily driven by technological advancements and a surge in online gambling. The rise of online platforms has revolutionized the way people engage in gambling activities. Specifically, these platforms offer convenience, a wide array of gaming options, and ubiquitous accessibility. According to a 2023 report by Grand View Research, the global online gambling market size was valued at $53.7 billion in 2019 and is expected to grow at a compound annual growth rate (CAGR) of 11.5% from now to 2027 (as cited in NYCE International, 2023). This rapid growth is attributed to increasing internet penetration and the widespread adoption of smartphones. Online casinos now offer an experience comparable to physical venues, with live dealer games and virtual reality (VR) options enhancing the immersive aspect of gaming. For instance, games like VR roulette and live streaming poker tournaments are becoming increasingly popular, attracting a new generation of gamblers.

Technological advancements are not limited to online platforms; they are also reshaping traditional brick-and-mortar casinos. Modern casinos are integrating advanced technologies like facial recognition for security,RFID (Radio Frequency Identification) chips for tracking bets, and AI (Artificial Intelligence) for personalized customer service and data analysis. These innovations improve operational efficiency and security without having a negative impact on the customer experience. In fact, they can even improve the customer experience while increasing security and data collection. For example, AI-driven data analytics are used to understand customer preferences and tailor marketing strategies. Another example is RFID technology ensuring the accuracy of tracking chips, in turn reducing the risk of theft and fraud. The integration of technology is also seen in the adoption of cashless payment systems. Cashless payment systems are a trend that was accelerated by the COVID-19 pandemic to reduce physical contact. Casinos have had a particularly arduous time moving from cash to cashless payment systems. A study by the American Gaming Association (2020) revealed that 59% of past-year casino visitors are less likely to use cash in their everyday lives because of the pandemic, indicating a necessary shift towards cashless transactions in casinos.

Graph shows that gross revenue for U.S. commercial gambling was $60.42 billion, up from $52.99 billion in 2021, $29.98 billion in 2020, and $43.65 billion in 2019.
Figure 10.14. U.S. Gambling Industry Wins Big Again / Photo Credit: Statista, CC BY-ND 4.0

Looking to the future, the casino and gambling industries are poised for further evolution. The legalization of sports betting in several U.S. states is a significant trend that is expected to continue, potentially opening up a massive new market. The American Gaming Association (2021) reported that sports betting revenue in the U.S. reached $1.55 billion in 2020, despite the pandemic. Additionally, there is a growing focus on responsible gambling and sustainability. Casinos are increasingly adopting measures to promote responsible gambling, such as setting deposit limits and offering self-exclusion programs. The emphasis on sustainability is seen in the adoption of eco-friendly practices in casino operations, aligning with global environmental concerns. Furthermore, the industry is likely to see more immersive gaming experiences with advancements in VR and AR (Augmented Reality), offering players a more engaging and interactive gaming environment. As technology continues to advance and regulatory landscapes evolve, the casino and gambling industries are set to expand and transform, adapting to the changing preferences of a diverse and growing global audience.

Attributions

  1. Figure 10.9: Gross gaming revenue of casinos in the United States in 2022, by state (in million U.S. dollars) by Jennifer Snoek-Brown, for WA Open ProfTech, © SBCTC, CC BY 4.0
  2. Figure 10.10: Leading selected casino companies worldwide in 2022 by Jennifer Snoek-Brown, for WA Open ProfTech, © SBCTC, CC BY 4.0
  3. Figure 10.11: Mecca Bingo, Leicester by BBC World Service is released under CC BY-NC 2.0
  4. Figure 10.12: MGM Grand – The City of Entertainment by James Marvin Phelps is released under CC BY-NC 2.0
  5. Figure 10.13: Map of gaming states (National Indian Gaming Commission, 2024). by Ezra Leigh, for WA Open ProfTech, © SBCTC, CC BY 4.0
  6. Figure 10.14: U.S. Gambling Industry Wins Big Again by Statista is released under CC BY-ND 4.0
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Introduction to Hospitality Copyright © by SBCTC is licensed under a Creative Commons Attribution 4.0 International License, except where otherwise noted.