One famous photo shows dozens of eager potential customers waiting to enter on opening night. A good friend’s mother had elbowed her way up front to be one of the first players. Doris loved slot machines then, and well into her 80s now, she remains a loyal patron.
How has the business changed? How is business conducted, using the innovative technology of three decades? I remember thinking that answering machines and VCRs were hot news. I could record my favorite show, and my social life improved.
Has Atlantic City accomplished its goals? The quick answer is “yes”. Gaming has delivered on many of its pledges, but has also faced significant snags along the way. What about the rest of the US? Did Atlantic City motivate other jurisdictions to enact gaming legislation or improve what they had already?
Thirty years is a blip in history. However, both the American and global cultures have changed, and gaming now enjoys the benefits of a world that has evolved into a more accepting, less structured place.
Before 1978, Nevada and the Caribbean were the only jurisdictions for legalized gaming activity for most Americans. People traveled great distances to play their favorite slot machine or table game. However, from coast to coast, sea to shining sea, the American landscape has radically changed.
The American Gaming Association (AGA) recently released the 10th edition of its fabulous annual State of the States analysis of the commercial gaming industry. The American gaming industry is divided into two distinct segments. The commercial gaming industry includes all land-based, riverboat and racinos at racetracks. Money talks, and the AGA report estimates more than $53 billion have been made in nationwide capital investments for commercial gaming. Tribal gaming, including both Class II and Class III slot machines, is ranked separately (see note below).
In 2007, the commercial American gaming industry also boasted the following:
A total 467 gaming properties employed 360,818 people, earning $13.8 billion in wages.
The U.S. industry paid $5.79 billion in direct gaming taxes to their individual jurisdictions. A proposed federal gaming tax under the Clinton administration in 1994 was defeated, thanks to the AGA’s earliest efforts at its formation in 1995.
Overall, the industry generated $34.13 billion in gross gaming revenues, with decreases reported only in New Jersey and Missouri. The remaining 18 states with some form of gaming all enjoyed increases. Mississippi had the largest increase – 16.2 per cent – as casinos began reopening after the total destruction of the Gulf Coast casinos from Hurricane Katrina in 2005. The inland venues had survived.
Approximately 54.5 million Americans made 376 million casino trips, an increase of five million from 2006. Almost 90 per cent of Americans now believe it is acceptable to go to a casino and gamble.
Casinos visits are more frequent among American men (31 per cent) than American women (25 per cent). Most visitors – 32 per cent – came from the West Coast, with the Northeast reflecting the smallest share, 19 per cent. The demographics match the population as a whole. The median age of adults in the US is 46; the median gambler’s age is 47. The educational level breakdown of average Americans and those who gamble are almost identical.
Ironically, while the Las Vegas Strip and Atlantic City rank first and second among the “Top 20 U.S. Casino Markets”, the other four major Nevada markets rank 9, 10, 16 and 17. The rest are located throughout the South and the Midwest. That speaks well for the attitudes of mainstream Americans towards gambling.

A remarkable statistic is the attitude regarding gaming’s impact on local communities. More than two-thirds (69 per cent) recognize the widespread economic benefits of gaming in the community. They acknowledge gaming brings jobs, services and indirect business growth. Almost 90 per cent also want state autonomy to regulate and operate gaming.
As someone whose family regularly visited Atlantic City and watched the “great lady” of vacation spots deteriorate in the 1960s and 1970s, congratulations to “her” for the makeover and motivating other places to also chart new courses.

EDITOR’S NOTE: A full report on the current status of Atlantic City, Nevada and Indian gaming is available on the upcoming Casino International calendar.

Printer friendly version

Email this article to a friend