Author: Guy Loyola

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”[…] A few years ago, the Beaulieu casino experienced a financial nightmare. The establishment reopens its doors. A buyer chosen by the municipality will soon take over the orders by 2014. The city is breathing again. The opinions of the inhabitants are unanimous. A casino reopens its doors while the crisis is not over. […] ”

Ranked as the second casino in France in the 1950s, the Beaulieu establishment intends to re-open its doors very soon. The establishment wishes to turn the page on a past marked by the economic crisis but also by draconian legislation such as the anti-smoking law but the authorization by ARJEL of online games on the internet.

After two closings, a bankruptcy filing, a judicial liquidation, the Beaulieu casino will finally see the light of day again. A news that today in the city seems to be unanimous.

“This will allow us to make a little more traffic in terms of our sales. Before, we continued to count on the months of July and August, because it is the holiday period. Now tourists will be present all year round. It's a real godsend for us ” said a trader from Baulieu. It is therefore a boon for businesses and for municipalities.

A few months ago, the city was officially classified as a tourist resort.

The municipality, owner of the walls, will collect progressive annual rents from the casino manager, which could reach between € 280,000 the first year to € 480,000 the fifth year.

The annual levy on gaming products could also bring in more to the municipality up to 1,000,000 euros depending on the year. A real annuity in the long term.

To this financial windfall is added a social impact, especially for the 50 casino employees made redundant three years ago.

The Mayor, Roget Roux said that if the buyer has no social and moral constraints, the manager should easily take over the same employees who had lost their jobs three years ago.

The manager of the casino said in an interview: “Our casino is located between high end and luxury, a casino that faces the sea, where we are going to see a significant traditional gaming activity with a real asset of 75 continuous slot machines. We sincerely believe that this casino has real potential and we are going to do what is necessary to prove it ”.

The manager has already invested 3 million euros. The town hall for its part has given its pocket 1,800 million for the restoration of the premises without there having in the future a fiscal impact.

Beaulieu-sur-Mer is therefore now waiting to find its casino. Economic and financial engine for tourism and culture, the reopening of which is scheduled for the first half of 2014.

Casinos have some concern. 2012 was not a very good year for gambling establishments. The facts are there. It is noted that a decline in turnover has considerably decreased by (-8.2%) in 2012. Physical establishments see this deterioration over time deteriorate due to the arrival of new technologies and the provision of games on the Internet. The competition is such that gambling establishments have to experience modern developments in order to find new ways to satisfy customers.

We therefore questioned the casinos. None of them managed to produce the expected turnover of 2011. It is not only France which suffers this sad fate, Switzerland too. Everyone is in the same boat.

Partouche casinos suffered a decline of more than 30% in online poker, which forced the group to close its platform leaving room for other companies to compete. Times are therefore very hard.

Profitability which suffered greatly since Partouche fell to 17 million euros in losses at the end of 2012.

Great caution is in order for 2013. So what is the future of casinos?

For Swiss casinos, the losses are considerable. The law is much more flexible and less severe with regard to games of chance and poker in France. They therefore suffer a greater loss than that of France. In addition, Switzerland has announced that it has opened two new casinos on the border between Germany and Italy, which will not help matters.

Sports betting statistics are on the rise, however. The revenues are 262.8 MILLION euros in 2012 and could increase in 2013. Poker is much more affected than horse racing or sports betting.

To remedy this limitless financial plunge. Casinos do not hesitate to create new partnerships in order to support each other and find strategic ways to avoid the tornado that could quickly happen in 2013 until debt and the closure of certain gaming circles.

According to gaming establishments, development prospects must therefore focus on innovation. Boosting new offers and updating new products is the goal of brick and mortar casinos.

Today Facebook and Twitter have invaded the market. Gaming establishments see this as a possible new development in order to attract customers. Nothing has been done yet but things are being negotiated. The idea is to use the net to make games evolve in the modern world.

Partouche recently signed an agreement in England to provide Zynga with real money poker games. Proposals are still evolving. It seems that all casino operators want to find the little tip, the little trick that will make the market better in order to end up in the green in 2013.