inside asian gaming
july 2017 #133 | 30 MOP
The rise of China’s mass market
IGT upping the ante in Asia Blue Pages Regulating DFS in Asia
Joey Lim Thinking big
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COVER STORY Contents july 2017
Cover Image: Donaco International
Rules of the Game Vietnam
6 Breakfast Briefs
INsights 16 China’s mass on the rise Among the most intriguing panels at July’s World Executive Summit in Barcelona will be a presentation by Galaxy Entertainment Group Chief Marketing Officer Kevin Clayton titled “China’s mass on the rise.” FEATURES 20 Passage to Asia Having traditionally focused the bulk of its energies on the US casino market, IGT is on a mission to boost its global footprint with Asia at the top of the list. RULES OF THE GAME 24 The rise of Indochina Part 2: Vietnam In the second of a two-part series examining Cambodia and Vietnam, MdME’s Rui Pinto Proença guides us through the regulatory framework surrounding the Vietnamese gaming industry. Japan 28 Educating Japan IAG speaks with Managing Partner at Global Market Advisors, Steve Gallaway, to gain a deeper insight into the company’s 2017 White Paper on Japan Integrated Resorts.
32 The Japanese Integrated Resort, Part 5 Casino and integrated resort experts Dr Glenn McCartney and Dr Andy Nazarechuk examine the many elements authorities and Joey Lim: operators must get right to ensure an IRs long-term success. 10 KEEN OBSERVATIONS Thinking big 38 When was the last time you were coached? In his latest column for IAG, Dr Brian To delves into the benefits of coaching – be it a coach to help you navigate life or one to focus Donaco International and accelerate your career. Managing Director and CEO BLUE PAGES Joey Lim says the Australia- 42 asian fantasy With the battle to win over regulators now well and truly listed casino operator underway in the US and Europe, DFS operators such as Malta- based Oulala Games are starting to turn their gaze towards Asia. is ready for mainstream
markets like Japan. 46 Events Calendar Editorial
Problem gambling legislation guiding the way in 2017
he issue of problem gambling is never far from any entry fee would likely have considerable impact on mass discussion on gaming, but rarely has it promised to market revenues given that, “Filipino gamblers view gambling steer the future of the industry quite like it has in 2017. more as entertainment compared to Chinese gamblers In the Philippines, the past month has been in Macau.” dominatedT by government investigations and inquiries following Nevertheless, the joint House of Representatives panel the tragic attack on Resorts World Manila (RWM) on 2 June that examining the Resorts World Manila tragedy has stated its saw 38 people lose their lives. intent to craft new problem gambling legislation and will put The shocking incident – in which lone gunman Jessie Carlos forward a list of recommendations. fired shots into the ceiling and set fire to gaming tables – made The problem gambling issue has also been a hot topic in global headlines and has since resulted in RWM having its Japan, where the ruling Liberal Democratic Party (LDP) still has gaming license temporarily suspended. some work to do if it hopes to push the IR Implementation Bill However, it was revelations surrounding Carlos himself through by year’s end. and the motives behind his attack that have proved to be most This doesn’t come as any great surprise. Gambling addiction significant. A former Department of Finance employee who has long been touted as a key reason behind public opposition was fired from his job in 2014 for “grave misconduct and gross to casinos in Japan and the topic was examined in depth across neglect of duty” after failing to declare assets, the 42-year-old multiple panels at the recent Japan Gaming Congress. turned to gambling instead. Three years later, having been Still, Japan’s IR progress took a hit when the LDP and forced to sell his house, Carlos had separated from his wife and opposition Democratic Party (DP) failed to agree to terms on was US$81,000 in debt – despite being placed on the National a Gambling Addiction Bill that both had hoped to pass before Database of Restricted Persons at the request of family members the end of June’s Ordinary Diet Session. It remains to be seen in March. whether the two parties can not only reach a compromise but Not surprisingly, the response has been a renewed focus on have the legislation passed at the Extraordinary Diet Session to problem gambling legislation with Pagcor promising stricter be held later this year – the same Session earmarked for passage enforcement of the Philippines’ player exclusion program. of the IR Implementation Bill. Other suggestions have included a Php3,000 entry Either way, it appears that problem gambling legislation will fee for locals wishing to enter Philippines casinos for the play an increasingly important role in how and when the Asian purpose of gambling, which Rep. Rodolfo Albano III of gaming industry moves forward through 2017 and beyond. Isabela said would “serve as a deterrent to those who lack the resources or can ill afford to engage in gambling from entering a casino.” Ben Blaschke Morgan Stanley analysts were quick to point out that an We crave your feedback. Please email your comments to [email protected].
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Printed by Cochin Advertising Printing Service Co., Ltd. Est. Nova da Ilha Verde 180 r/c R www.asgam.com ISSN 2070-7681 www.omediamacau.com Resorts World Manila gaming license suspended
Philippine gaming regulator Pagcor has suspended Resorts World Manila’s (RWM) gaming license following the tragic attack that saw 38 people lose their lives on 2 June. Following an investigation into the incident, Pagcor cited serious lapses in security that allowed lone gunman Jessie Carlos – a heavily indebted problem gambler – to enter the property with little intervention. “In light of the tragic incident that happened in Resorts World Manila last June its serious security lapses and deficiencies – Maybank Kim Eng predict a year-on-year GGR 2, 2017 – which resulted in 38 fatalities, which caused not only the loss of lives and decline of 14.2% for RWM in 2017, having including the assailant and 54 individuals damaged properties – but also placed the previously forecast strong annual growth. injured – the Philippine Amusement Philippine gaming, tourism and hospitality “The adverse long-term impact on and Gaming Corporation suspends the industries in a bad light. client sentiment and visitations will linger Provisional License granted to Travellers “Non-compliance with the order shall for the next two to three years which could International Hotel Group to operate cause Pagcor to impose other sanctions force the RWM management to change casinos and other gaming facilities under as may be warranted under existing laws. their business strategy,” Maybank said in the business name of RWM,” it said. Pagcor is also requiring all integrated a report. “With the suspension, RWM must resorts to submit security and safety The report also estimated damage to cease and desist all gaming operations protocols to make sure that this will not the property of between Php600 million while investigation on its liability regarding happen again.” and Php1 billion, including around 500 slot the June 2 incident is on-going. The said The loss of license and impacts from machines impacted with cost per machine suspension will remain until RWM rectifies the attack saw Malaysian investment bank of around US$20,000.
Australian online poker inquiry approved by parliament
A motion to establish an inquiry into online for operators such as 888Poker – to offer their services to Australians. While poker in Australia has been approved which stopped offering its services to the bill is specifically aimed at protecting following a backlash from players over Australians in January – to return to the licensed sports betting agencies – one of recent amendments to the Interactive Australian market. The world’s largest the few forms of online betting allowed in Gambling Act that have seen the pastime online poker site, PokerStars, has stated Australia – it covers all online gaming sites effectively banned. it would withdraw from Australia once including poker. Senators David Leyonhjelm from the the updated Interactive Gambling Act “It’s [now] prohibited,” Senator Liberal Democratic Party and Cory Bernardi comes into effect. Leyonhjelm said. “The stupid government from the Australian Conservatives put The Interactive Gambling Amendment has made it virtually impossible to play forward the motion to the upper house Bill 2016 was first put forward following poker online. As a result, thousands of in mid-June, with parliament giving it the a review of illegal offshore wagering Australians who play poker for fun can’t green light to proceed. and closes a number of loopholes that play it online, or they won’t once the bill If successful, it will open the door previously allowed unlicensed operators takes effect. It’s insane.”
6 inside asian gaming JULY 2017 Jimei International to change name to Starlight Culture
The board of Jimei International Entertainment Group Ltd has announced its intention to change the name of the company to Starlight Culture Entertainment Group Ltd, subject to approval by shareholders. In a June filing to the Hong Kong Stock Exchange, the company said changing the name would “better reflect the recent change of control of the Company and provide the Company with a new corporate image and identity. “In light of the further business diversification and enhancement of the entertainment business of the Group, the Board considers that the new name of the company can more accurately reflect the corporate nature of the Group. The Board considers that the Proposed Change of Company Name is in the best interests of the Company and the Shareholders as a whole.” The proposed name change comes amid a major reshuffling of control which saw junket veteran Jack Lam Cosmic Leader Holdings Ltd, a company appointment of Mr Chau Chit as Deputy (pictured) step down from his role as owned by new Jimei International Chairman of the Board, with his role an executive director, having previously Chairman Mr Yan Xu and another including, “formulating and implementing sold his 65.05% stake in the company executive director, Mr Chen Hong. the development strategies of the Group, in April. That stake was picked up by Jimei International also announced the and in overall management of the Group.”
JULY 2017 inside asian gaming 7 Kazuo Okada removed from Tiger board amid fraud allegations
Company founder Kazuo Okada The second case, in May 2015, saw Mr has been ousted as Chairman of Okada Okada issue a bearer check to the amount of Manila operator Tiger Resort, Leisure HK$16 million from a bank account under the and Entertainment Inc after an internal name of Tiger Resort Asia Limited, a Hong investigation by parent company Universal Kong subsidiary of Universal Entertainment Entertainment Corporation uncovered Group. Three days later Mr Okada withdrew multiple cases of alleged illegal activity. HK$16 million from a Tiger Resort Asia In a progress report, Universal’s Special Limited account based on this check. Investigation Committee revealed “that “As the series of actions leading up there is a suspicion that Mr Okada has been to the withdrawal of the funds described involved in yet another two cases of illegal US$80 million bank loan granted to Okada above have been done without necessary activities separately from the [original] Holdings Ltd in February 2014 for the internal procedures of the Company, conduct and the Committee decided to purchase of land in Korea. Mr Okada then there is a suspicion that they constitute subject them to the investigation.” created a security interest for US$80 million a serious violation of governance,” It follows earlier revelations that held by Universal Entertainment Korea Co – Universal said. in March 2015 Mr Okada had allegedly a wholly-owned sub-subsidiary of Universal “The Special Investigation Committee facilitated the transfer of HK$135 million Entertainment Corp – at the same financial is determined to investigate into these from Tiger to a third party, of which HK$130 institution that granted the loan. By the new suspicions in order to clarify the million was then transferred to a company time that security interest was cancelled the whole picture and to formulate measures controlled by Mr Okada, Okada Holdings following month, Universal Entertainment to prevent reoccurrence and the Company Ltd, with the purpose of achieving “personal Korea had already paid US$170,000 in will continue to provide full cooperation benefit for Chairman Okada.” interest that should have been paid by for the investigation by the Special The new allegations originate from a Okada Holdings Limited. Investigation Committee.”
Grand Lisboa Palace “make or break” for SJM
in Macau – a look at the six gaming market share in both VIP and mass as operators,” the report identifies a number players move to higher quality offerings. of looming concerns for SJM, which will be Until Grand Lisboa Palace opens in 2018, the last of the six concessionaires to launch SJM lacks presence on Cotai. in Cotai when Grand Lisboa Palace opens “The key catalysts to look at [include] in 2Q18. over-reliance on satellite casinos which Among them are its aging fleet of are uncompetitive and losing ground satellite casinos, management issues and in defending its VIP market share – the most importantly its current lack of a Cotai company would need to reverse this presence which has seen rival operators trend, but it may be difficult in light of claim a growing slice of Macau’s VIP and competition. Grand Lisboa Palace may be a SJM’s long-awaited Cotai landmark Grand premium mass business. ‘make or break’ development for the future Lisboa Palace is shaping up to be “make “SJM has significant exposure to low of SJM. or break” for the Macau casino operator quality peninsula-based satellite properties “Grand Lisboa Palace may allow SJM’s as it looks to overcome shrinking market and a lack of scale and product quality to owned casino business to regain some lost share, according to a research report from focus on premium mass,” says the report share … the opening of Grand Lisboa Palace brokerage Sanford C Bernstein. by Bernstein’s Vitaly Umansky, Zhen Gong will be the real test of the company’s ability Titled, “The competitive landscape and Yang Xie. “The company is losing to stem the tide.”
8 inside asian gaming JULY 2017 Resorts World Sentosa to benefit from Sentosa redevelopment
Singapore’s Sentosa island is set to receive a facelift, including a 450-meter long elevated walkway linking Resorts World Sentosa (RWS) to the beach, the Sentosa Development Corporation has announced. The redevelopment is aimed at ensuring the island remains a key Singapore tourist attraction, with a 12-hectare area reaching out from RWS, past Merlion Plaza and to the beach earmarked for updating. The project, to be completed Japan IR bill likely delayed to 2018 by 2021, is open to tender with consultancy teams asked to provide a Japan’s long-awaited IR Implementation Bill Japanese IR operators than originally complete plan for redevelopment. is looking increasingly likely to be delayed thought. They include the likelihood that “The redevelopment of the Merlion until 2018, according to financial services Macau-style junkets won’t be allowed, much Gateway Precinct is a key near-term firm Morgan Stanley. like in Singapore, which Morgan Stanley project that will pave the way for Revelations that the gambling addiction warns “would mean either much smaller VIP Sentosa’s next phase of growth,” said bill – a key component in progressing business, or very high bad debt provisions.” Quek Swee Kuan, CEO of Sentosa any casino legislation to the next stage Other measures mooted include Development Corporation. – would likely not be passed in the June limiting casino floor space to 3% of the total The redevelopment will include Diet session places huge time pressure resort area, restricting locals to buying chips a lengthy walkway from RWS to the on the government if it hopes to set in with cash only and neither sports betting island’s beaches providing ocean place the necessary framework for the IR nor online gaming being allowed. views, interactive play areas and photo Implementation Bill by the fall. If implemented, these measures would stops along the way. “This could push the IR Implementation likely restrict the ability of Japanese IRs Bill to Diet sessions in 2018,” Morgan to fulfil their full potential, with Morgan Stanley analysts Praveen Choudhary, Alex Stanley noting the ban on sports betting “is Poon and Thomas Allen said. similar to Macau and Singapore somewhat, It follows a series of new suggestions but explosive growth, like in the Philippines, released by the IR Promotion Secretariat may not occur in the absence of proxy proposing even tighter restrictions on betting and junkets.”
Daisy Ho appointed SJM executive director
Daisy Ho, the Deputy Managing in June with 98% of votes in favor. Dr controlling shareholder STDM – until 31 Director of Shun Tak Holdings and Cunha will remain as a director, company March 2010 after which she became an daughter of Stanley Ho, has been elected secretary and secretary of the general appointed representative of Lanceford as an Executive Director of SJM following meeting of certain principal subsidiaries Company Limited. She was appointed an the retirement from the board of Dr of SJM. Executive Director of Shun Tak Holdings Rui Cunha. Ms Ho, 52, was an appointed Limited in 1994 and has been the Deputy Ms Ho’s election was confirmed at representative of Shun Tak Holdings Managing Director and Chief Financial the company’s annual general meeting Limited – a corporate director of SJM’s Officer of Shun Tak since 1999.
JULY 2017 inside asian gaming 9 Cover Story
Joey Lim Thinking big
By Muhammad Cohen | Editor at large The grandson of late Genting Group founder Lim Goh Tong, Donaco Muhammad Cohen also blogs for International Managing Director Forbes on gaming throughout Asia and and CEO Joey Lim says after using wrote Hong Kong On Air, a novel set during the Genting system in Vietnam and the 1997 handover about TV news, love, Cambodia, the Australia listed casino betrayal, high finance and cheap lingerie. operator is ready for mainstream markets like Japan.
10 inside asian gaming JULY 2017 Cover Story
onaco International closed its transformational throughout the organization, the systems, the procedures and US$360 million purchase of Star Vegas in Poipet two the culture, which is super important. Our net margin at both years ago this month. Donaco began with a casino properties exceeds 50%. Our cost control system, our payroll and hotel in Lao Cai on Vietnam’s border with China’s HR management are all grounded in the Genting principals. Yunnan Province in 2003, renamed Aristo International after an AU$43 million (US$32 million) upgrade to five-star status in MC: What’s your relationship with Genting now? 2014D with 400 rooms, 40 tables and 68 gaming machines. Adding JL: I have no commercial ties whatsoever. DNA is completely and Star Vegas, market leader in Cambodia’s border casino cluster closest utterly independent. to Bangkok with 139 tables and nearly 1,600 machines, lifted Donaco revenue seven times and EBITDA 35 times in FY2016. This year, in the MC: The 2016/2017 first half conference call portrayed nine months through March, Donaco’s EBITDA rose another 10.5% Donaco as very much Southeast Asia focused. In the to AU$56.7 million (US$42.7 million) on revenue of AU$96.3 million past, Donaco has indicated it’s looking for boutique despite a subdued first half for Star Vegas. opportunities anywhere. Which is it now – strictly But for Managing Director and CEO Joey Lim, who founded Southeast Asia or casting a broader net? Donaco in 2002 with his late grandfather – Genting Group patriarch JL: We do want to focus on Asia, where not only do we have more Lim Goh Tong – to prospect boutique gaming opportunities, the ride complete local knowledge – which is always important in doing is just beginning. business no matter what industry you’re in – but especially when it comes to gaming and understanding of the government and how it works, as well as having strong local partners. For us in Asia, being Chinese and Malaysian, this is what we understand best. My grandfather always told me to stick to what you know best instead of venturing too far out, especially at the level where we started and Muhammad Cohen: You’re Malaysian, Donaco operates in where we apply our trade in that boutique space. Vietnam and Cambodia and is listed in Australia with the The first 10 years of my company’s life, we were looking ticker DNA. So what’s Donaco’s DNA? at that space. With the acquisition of Star Vegas, we are now Joey Lim: Donaco’s DNA is basically our management team, able to start looking at larger opportunities. Last year our full all the senior management team for both properties in Cambodia year revenue of AU$140 million brings us to sort of a mid-size and Vietnam comprised of ex-Genting professionals. Some even company now and it allows us to look at not necessarily large worked alongside my grandfather, the late Tan Sri Lim Goh Tong. scale IR projects like Sands, MGM or Genting, but larger than 20 That is essentially the DNA of our company and this permeates to 30 table operations.
Star Vegas in Poipet, Cambodia
“The first 10 years of my company’s life, we were looking at that [boutique] space. With the acquisition of Star Vegas, we are now able to start looking at larger opportunities.”
JULY 2017 inside asian gaming 11 Cover Story
And we don’t exclude ourselves from participating in some of JL: It all started in 2001 when the Vietnamese government invited these large IR projects. I assisted on one North Asian integrated him to invest in a casino project. My late father [Lim Tee Keong] resort [Mohegan Sun’s Inspire in Incheon, South Korea], which was very closely attached to this project as well as my grandfather – should be breaking ground very soon. It was a little bit too large for basically the three of us, all three generations, went over to see the DNA to take on. Down the line, being part of a consortium or even project. At that time Hao Long Bay was on offer as well as Lao Cai. taking up a management contract on some of these larger scale We were told very, very firmly that this will be the first fully-fledged projects is a distinct possibility. casino in Vietnam and one strict rule that we had to adhere to was foreigners only, no locals. MC: Do you mean a project in Japan, where a partnership So the three of us looked at Hao Long Bay and Lao Cai. We with a Japanese company or management contract could decided on Lao Cai because of its proximity to the border. My be available? grandfather saw the potential of China. We’re talking four hour car JL: Sure. I won’t be presumptuous to talk about a Tokyo bid, an rides, overnight trains. He was really determined. I think it reminded Osaka bid or even an Okinawa bid. I’m talking about the second him of the old days of Genting and some of his [contractors] from wave of Japanese gaming, perhaps something more regional. We Genting were involved. Lao Cai is a brick by brick replica of Genting. already have partners who are very actively engaged with us looking Why fix what’s not broken? If it works for my grandfather, it works for the opportunity to break through. Our Japanese partner is for me. extremely well regarded and very strong within Japan [Mr Lim would Local government had a 25% stake (now 5%). It was a very, not identify the partner]. very successful business relationship. Very ground up style, as my grandfather taught me. Rolling up your sleeves, getting your hands MC: Tell me about working with your grandfather. dirty, building a good core team around you.
“We already have partners who are very actively engaged with us looking for the opportunity to break through. Our Japanese partner is extremely well regarded and very strong within Japan.”
Malaysia’s hugely successful Resorts World Genting (pictured) provided the inspiration for Donaco’s Lao Cai property in Vietnam
12 inside asian gaming JULY 2017 Cover Story
The gaming floor atStar Vegas
MC: Will your government partnership help Aristo become part of the experiment with local play? “As you can see, we take on JL: It’s not so much friends in high places but the track record, the history, the deep history and the government relationship, that very, very manageable levels of should help us to put that forward. debts, gearing ratios are very MC: Star Vegas had a difficult first half… low, cash flows are very strong. JL: We are in this for the long term. One or two years’ evaluation doesn’t do the business justice. It’s a well established property, but We tend to prefer looking at it isn’t a mature property. There is very, very significant growth to be had. Although the potential for Lao Cai is much greater, there’s still existing projects that we can some legs for Star Vegas. We did see our earnings for the first half tail off slightly, but enhance or put under our belt.” our revenue and net profits actually increased. Volume in terms of the visitors and the rolling has come off by about 20% to 30%. This is mainly due to the fact that the Thai King passed away last year. Business impact permeated throughout Thailand and we are coming in are making enquiries about Star Vegas. To tell the truth, Thai-centric. We don’t expect that to last forever. Given time, we can we are lagging behind Poipet. I mean, we are market leader in realize quite healthy growth from Star Vegas. Poipet with more than 50% of the business, but we are lagging far This year we are starting to really go in the market internationally, behind the other properties in terms of marketing to the Chinese. because up to now we’ve been a little bit shy of international gaming The main business model for us always stays the same – be as local promoters like [former VIP room partner] Hengsheng [Group]. We got as possible, as independent from fly-in as possible. But for us to ignore a bit of a bad taste from that last relationship. the possible fly-in Chinese market from Siem Reap is irresponsible We did an internal review and said, “Look, focus on our Thai because that opportunity could be quite large. From Siem Reap it is business and we will make slow but deliberate moves to engage only a two hour drive, not as far as Bangkok. But for them to come over with international marketing teams.” is a whole different dynamic, as then they are not just coming to play We’ve made breakthroughs with some fairly large Macau names but they want to come to see Siem Reap and Angkor Wat, go to the lake and some fairly large Asian names. Stand by, you’ll see us make and come out to Poipet, maybe for one night. some very, very interesting announcements. (A three year deal with So we need to think differently, make a different sort of offering. Poker King Club to stage at least three international tournaments We definitely need to upgrade our hotel rooms, which we already have annually at Star Vegas kicked in on 1 July). started. We’re upgrading one wing of Star Paradise at the moment.
MC: Will Chinese customers come from an airport three MC: What’s the relationship with Star Paradise, next door hours away? to Star Vegas? JL: No. The primary attraction is Siem Reap. Angkor Wat is now JL: This property belongs to our Thai partner [Somboon Trip Advisor’s top destination and in 2016 as well. Plenty of Chinese Sukjaroenkraisri], the former Star Vegas owner, now the second
JULY 2017 inside asian gaming 13 Cover Story
largest shareholder of DNA behind myself and my family. Historically he’s allowed us to use the property free of charge. What’s happened is Star Vegas gets completely and utterly full and spills over to Star Paradise. Starting late last year we have an experiment allowing some Thai VIP junkets to operate there. DNA leases the license to the junket operator, they lease the property from the Thai partner and DNA provides the operational and management expertise to run the place.
MC: Like Macau junket rooms? JL: It’s a little bit different. What we have in place is an option to acquire the property at a future date, depending on the revenue derived.
MC: What’s the competition for Star Vegas? JL: There’s Holiday, Grand Diamond and the Golden Crown properties as well – basically people in Poipet, not with NagaWorld [in Phnom Penh]. I was just sitting down with Chen Yepern, the second son of [NagaCorp founder and CEO] Tan Sri Dr Chen Lip Keong, in Naga on Friday, sharing our notes across the border. Absolutely not competitive at all.
MC: What about rumblings of Thailand legalizing casinos? Wouldn’t that ruin Star Vegas? JL: [Casino legalization] might happen. But for that to happen, I Thailand – I reckon he has a very good chance to help DNA to think the military government has to hand power back to civilians. I lobby for a casino license. I believe for Thailand a casino license don’t think the casino law will come out under military rule. will not be a monopoly. It will be a few and it’s absolutely another If that happens, hopefully our Thai partner – he is a force boutique opportunity. to be reckoned with and I estimate him to be top five richest in MC: Do you still see Donaco as a boutique resort developer? JL: I do want to have a unique offering for investors rather than another highly intensive capex, IR focused business. As you can see, we take on very, very manageable levels of debts, gearing ratios are very low, cash flows are very strong. We tend to prefer looking at Family Feud existing projects that we can enhance or put under our belt. MC: Would Donaco be comfortable in a highly regulated market, as expected in Japan, compared with its current Donaco International Managing Director and frontier markets? CEO Joey Lim and siblings are fighting Genting Executive JL: Absolutely. As a publicly listed company we have to be Chairman and CEO Lim Kok Thay, their uncle, claiming unfair transparent about how we operate our business and we have exclusion from their father Lim Tee Keong’s will and a family to adhere to all the laws, so we are very comfortable operating trust. Genting patriarch Lim Goh Tong passed over eldest son under these conditions. As you can see actually, from Vietnam Tee Keong, who died in 2014, as his successor but founded and Cambodia’s point of view, we are looking at an increasingly Donaco with grandson Joey. stringent legal operating environment, even in Cambodia. This Asked for comment, Donaco Executive Director Ben new casino law that’s coming into effect, for example, and Vietnam Reichel told Inside Asian Gaming, “The lawsuits … are opening up even more and regulating casinos even more with the private family matters and have no impact on Donaco or its integrated resort decree. business operations. Donaco is not involved in the disputes You could almost say that these are training wheels for us to in any way.” make sure that we learn to do things the proper way and for us as Outreach to Genting and Lim Kok Thay for comment an operator, trailblazing as you’ve mentioned, with a government was unsuccessful. partner, we had to make sure that we didn’t break any rules even before we listed our company in Australia. The relationship has blossomed over time and we are comfortable with that.
14 inside asian gaming JULY 2017 Cover Story
JULY 2017 inside asian gaming 15 INSIGHTS
China’s Mass on the rise
Among the most intriguing panels Inside Asian Gaming: Can you discuss the rise of the mass market in China? What’s driving it and how at July’s World Executive Summit in significant is it? Kevin Clayton: We must all be aware by now that China is the Barcelona will be a presentation by largest outbound tourism market and continues to grow. With over 122 million outbound travelers spending a reported US$261 Galaxy Entertainment Group Chief billion, it’s astounding to think of the impact these changes in Marketing Officer Kevin Clayton titled China have had on Macau. With the expansion of international quality destination resorts, it’s also worth considering the role “China’s Mass on the rise.” IAG spoke the concessionaires in Macau may have played in expanding the horizons for many of these tourists. to Mr Clayton in advance about this I’ve been in Macau now for the past decade and witnessed such a material change in how the Chinese consumer selects their vital segment of the global gaming destination, what they seek from a resort destination and the products and services they consume during their visit. Like many other and tourism market. markets and product categories, the consumer matures, becomes
16 inside asian gaming JULY 2017 INSIGHTS
“I’ve been in Macau now for the past decade and witnessed such a material change in how the Chinese consumer selects their destination, what they seek from a resort destination and the products and services they consume during their visit.”
more discerning and appreciates the finer points in product quality and service. Therefore, standards have risen throughout together with consumer expectations.
IAG: How is this impacting tourism in Asia and further abroad? More importantly, how has the evolution of the Chinese tourist and their increasing willingness to explore further afield impacted Macau? KC: Regional competition in both resorts and gaming categories has increased over the past few years and this is likely to intensify. Macau must remain fresh and attractive but forecasts suggest regional tourism growth will more than compensate for any additional offerings. As the Chinese consumer looks further afield to international destinations, it’s important to remember there’s a quantum of frequent travelers in Asia Pacific that prefer the convenience, attractiveness and comfort associated with the many Asia destinations within four to five hours’ flight time.
IAG: What does this growth mean in terms of resorts and gaming? KC: It’s very exciting that Macau is geographically so close to a number of burgeoning middle class markets that will most likely fuel outbound tourism growth over the next few years. Macau and each of the concessionaires must therefore continue to communicate their attractions and attractiveness, resulting in the offering to both the middle and luxury customer segments. To Macau being a preferred destination in Asia. differentiate, increasing competition for share of wallet generally leads to malls either promoting more frequently or stepping back IAG: How has the Chinese shopper changed? to better understand the customer journey and how this could be KC: There are now many more shopping destinations in Macau enhanced – the latter generally being more profitable and sustaining. battling for their shopper share of time and wallet. The recent downturn in Macau resulted in not only gamers but shoppers also IAG: What is the mass market tourist looking for that VIP tightening their wallets and some exiting the market altogether. and Premium Mass may not be? How does this impact In my opinion, retail malls in Macau were forced to work much upon operators? harder at marketing their retail destinations and promoting tenant KC: Mass market tourists are drawn to unique photo opportunities brands. The retail consumer is made up of very different value that may not attract the premium customer. Resort brands seek to segments, each segment wanting something quite different, but the differentiate in a number of ways, whether that be food, shopping, emergence of the VIP shopper has certainly raised the bar with each entertainment or promotions. What the customer sees through brand realizing there can be no substitute for quality service. bought, earned or owned media, they then decide whether you are The opening of new properties has also resulted in a more worth a visit. diverse selection of retail brands on offer in Macau, expanding Having an attractive property of unique design, for example,
JULY 2017 inside asian gaming 17 INSIGHTS
Macau’s retail “Iconic architectural malls have been or product features forced to think outside the square get shared through to accommodate their evolving social media which customer base can become a hugely effective and cost effective way of marketing the brand.”
certainly attracts attention in China and in other markets. Iconic opinion, we should all adopt those technologies that enhance the architectural or product features get shared through social media customer experience and in return we will also make our resorts which can become a hugely effective and cost effective way of more attractive to millennials. marketing the brand. The market is very dynamic, so listening to the customer, IAG: Galaxy has arguably been the most successful of understanding their needs and making changes to maintain your Macau’s operators in recent years when it comes to attractiveness is a critical part for any resort team. adjusting its offerings to appeal to the mass customer. What changes has Galaxy made to its offerings and IAG: What role do millennials play now and in the future? marketing to achieve this? KC: Everyone is talking about millennials and their importance in KC: Through the leadership of Mr Francis Lui, the Galaxy Macau a growth agenda. Not unlike any generation before them, these and StarWorld Macau leadership teams have embraced the principle consumers have different characteristics from the age that went of listening carefully to the customer and making continuous before them and magnified by early adoption of technologies. In my improvements. Mr Lui and the GEG team live and breathe “World Class Asian Heart” defining who we are and how we serve our customers, as demonstrated through the significant investment GEG has made in the customer in bringing to market additional restaurants, cafés, gaming products, customer services and in the The iconic architecture of training of our team members. Galaxy Macau has become a favorite photo opportunity for visitors IAG: How does the mass market consumer outside of mainland China compare to China’s mass market and are different considerations required to attract this broader audience? KC: Naturally, there are regional cultural differences and preferences that must be accommodated in a resort to attract these customers. Food and languages are the obvious considerations and as such a team must bring these into the mix. Reaching these consumers also requires a presence in market and as such an investment must be made in both sales and marketing.
IAG: How will this gradual shift to mass impact the offerings we might see in Japan’s IRs in the future? KC: I’m not presently involved in our Japan related IR activity but it certainly looks a very exciting opportunity. Having been involved in a pitch for a Singapore IR license, it was vitally important to think and act local by immersing yourself in the local culture, have an acute appreciation of consumer preferences, be innovative in delivering something truly unique and partnering with the Singapore government in realizing their objectives.
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Passage to Asia
Having traditionally focused the bulk of its energies on the US casino market, International Game Technology (IGT) is on a mission to boost its global footprint with Asia at the top of the list.
By Ben Blaschke
t’s not often that a company with annual revenue of US$5.15 billion can reasonably call itself a sleeping giant. Yet that’s exactly the status global gaming conglomerate International Game Technology (IGT) is angling for in Asia amid a renewed push to boost its global presence. “This is our coming out,” explains the company’s Chief Executive Officer,I International, Walter Bugno. “It’s exciting for us because we’re coming from a little bit behind the pack. We have traditionally not put a lot of dedicated focus on Asia and now we’re starting to.” In May, after IGT announced a 10% year-on-year decline in consolidated revenues for 1Q17, Wells Fargo analyst Cameron McKnight predicted better times ahead for the company with some highly anticipated new game releases – including “The Voice” and “Sphinx 4D” – to drive low-single digit growth through the next six months in its traditional North American stronghold.
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“It’s exciting for us because we’re coming from a little bit behind the pack. We have traditionally not put a lot of dedicated focus on Asia and now we’re starting to.” – Walter Bugno
But he also noted that IGT’s best potential growth catalysts would likely be found overseas via “international market share gains” in Macau and Australia among other jurisdictions. “The new IGT is a global lottery operator and gaming technology supplier, with only a quarter of revenue from North American slots,” McKnight said. “We like IGT’s diversification.” As Bugno explains, IGT is “coming from a little bit behind the pack” in Asia, where the likes of Aristocrat – which holds 60% of the slots market in Macau alone – and Scientific Games have long been established. But that gap also presents enormous opportunity. “This year is the first time we’ve started to bring a lot of new content which has been developed specifically for the Asian market,” Bugno says. “We have some structural changes in regards to studios and people that are focusing solely on Asia.” The seeds of IGT’s Asian expansion were sown in 2015 when IGT merged with gaming software and services provider GTECH in a US$6.4 billion deal – the largest ever in the gaming industry’s manufacturing sector. The merger served a range of purposes, including estimated Gong Xi Fa Cai is one of IGT’s new titles designed specifically for the Asian market annual cost savings of US$230 million, relocation of the company’s
MGM has only launched a sports betting product so far, PlaySpot has also been developed for use with traditional table games – the idea IGT playing the field being that players can place their bets from the comfort of the pool, the bar or their hotel room. “It’s a product that can suit the millennial market and is very Perhaps the most significant product to emerge interesting in that it has something for everyone,” offers Walter so far out of IGT’s merger with GTECH is PlaySpot – an integrated Bugno, IGT’s CEO, International. “It’s got something for the player mobile platform that allows visitors in land based casinos to use their in terms of ease and convenience with everything coming through mobile device to play slots and table games for real money. one device, be it their wallet, their loyalty or the ability to play. Approved by Nevada regulators in May, PlaySpot went live for “There is something for the operators too because it’s a hugely the first time at MGM Resorts’ where it powers the playMGM mobile efficient product that drives productivity on the gaming floor for sports betting app, allowing MGM Resorts’ M life Rewards members them in terms of getting incremental revenue, but also in the ability to place sports bets via their mobile anywhere in Nevada. Although to operate tables at a much more efficient level. >>
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“The seeds of IGT’s Asian expansion were sown in 2015 when IGT merged with gaming software and services provider GTECH in a US$6.4 billion deal – the largest ever in the gaming industry’s manufacturing sector.”
headquarters to tax-friendly Britain and the chance for IGT to diversify its product range amid slumping sales. “When we merged IGT with the gaming part of GTECH, Spielo, the international component of the business became much more important because Spielo was basically the opposite to us,” Bugno says. “IGT had traditionally been a US-focused business but Spielo was an international business, even though it also had some distribution in the US. As we started putting more dedicated resources and focus onto the international market, Asia by default emerged as a key market where we recognized we were underweight, that there was an opportunity. “At the same time, we knew we needed to develop Asian games IGT is expecting improved for Asian markets rather than trying to export games here and that’s results after it launches its latest a process that takes a couple of years. You don’t always get it right the offerings in the coming months, including Sphinx 4D first time either, so we’re going through that process at the moment.” On the ground, IGT plans to utilize its current studios in
“The speed of the game increases if you don’t have myriads of people coming over the back to bet. It’s even good for regulators because everything is controlled, everything is linked to the systems, so they have a very good overview of what’s happening. “I think it’s a transformational product.” As for when we can expect to see PlaySpot in Macau’s IRs, “The product hasn’t been brought before the regulator in Macau yet and we’re still defining what we can and can’t bring to the market,” Bugno says. “But we’re also looking to bring it to other Asian jurisdictions where there are more open views on trying new technology. “Different jurisdictions in Asia have different ideas about accepting this sort of technology but we expect in 2018 we will see PlaySpot go live in a number of jurisdictions around Asia.”
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IGT’s presence in Asia in the past has largely been through its systems, including Cardless Connect which allows players to “card in” to an EGM without the need for a physical card
Sydney and Beijing to produce Asian content exclusively, with Bugno describing them as “locations that are bred into the Asian “IGT plans to utilize its way of thinking.” Also boosting the company’s Macau penetration is its patent current studios in Sydney partnership with local casino systems manufacturer LT Game. Under the terms of the agreement, signed in April 2016, IGT will distribute and Beijing to produce LT Game’s live and electronic table game systems in the US and Canada while LT Game will serve as a distributor for IGT’s slot Asian content exclusively, machines in Macau. with Bugno describing “We’ve already deployed the product in the US but the focus for us in these first 12 months since we entered into the agreement them as ‘locations that has been to take the intellectual property and focus on product development – bringing the next generation of products into other are bred into the Asian jurisdictions which have different requirements to what they have in Macau,” Bugno explains. “It’s a good opportunity. We think there is way of thinking’.” an exciting 2018 ahead of us.” Macau aside, IGT’s Asian ambitions are broad. “In most of the Asian markets we’re starting with a lower share – certainly compared to Aristocrat – so every market is an opportunity for us,” Bugno adds. we have a presence in all of those jurisdictions and if we bring “Some are easier than others but there are opportunities in the good content then all of those slot opportunities will open up too. Philippines, we’re doing quite well in Singapore, Vietnam is a great In the Asian market there are 50,000 to 60,000 slot machines opportunity and Malaysia continues to be a very important market and 16,000 of them are in Macau so that’s obviously an important for us with our relationship with Genting. jurisdiction, but there are other big ones too and we’ll try and play “We’ve opened a lot of doors with our [casino] systems where in all of them.”
JULY 2017 inside asian gaming 23 Rules of the game
The Rise of Indochina Part 2
In the second of a two-part series examining Cambodia and Vietnam, MdME’s Rui Pinto Proença guides us through the regulatory framework surrounding the Vietnamese gaming industry.
By Rui Pinto Proença
fter a long (and, for some, painful) wait, the Government of Vietnam has issued its Decree no.3 Rui Pinto Proença is a partner at MdME, where he heads the firm’s Corporate and on Casino Business (Decree no.03/2017/ND-CP). Gaming practice. MdME is a full service In the making since 2012, Decree no.3 was part of a Macau law firm and a member of the larger regulatory package for the gaming industry. This MLGTS Legal Circle, an integrated alliance included a Decree on Betting Business with regards to Horse and with renowned law firms in Portuguese GreyhoundA Racing and International Soccer as well as an amendment speaking jurisdictions. MdME is also to the Decree governing electronic slot halls. the Macau member firm of Lex Mundi, a world leading network of independent law With six times the population of Cambodia and more than firms, with in-depth experience in 100+ double its GDP per capita, the Socialist Republic is a very different countries and access to more than 21,000 reality than the Kingdom from an economic, political and cultural lawyers worldwide. standpoint. The distinctions between both countries are also found in their respective gaming markets and are quite evident in the paths they have taken to regulate the industry. While both lacked a clear and well defined regulatory framework, Cambodia has been far more relaxed in allowing casinos to mushroom along its borders. On the other hand, the Vietnamese government has taken a stricter approach to gambling. Generally prohibited, the only legal forms of gambling until the enactment of Decree no. 3 had been horse and greyhound racing as well as the state lottery. The
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government also allowed for foreigners-only slot halls (located within five star hotels in urban areas) and, on an ad hoc basis, for foreigners- only casinos (seven licenses have been issued so far). “With six times the population of Contrary to Cambodia’s LMGT, the policy priorities of Decree Cambodia and more than double its no.3 are not, therefore, to reign in a rampant border casino scene but to provide clarity going forward to a tightly controlled industry. The GDP per capita, the Socialist Republic inexistence of a zoning policy also suggests that, in contrast to the is a very different reality than the Kingdom, Vietnam’s strategy is not to develop an IR cluster in specific tourism destinations. Instead, the provisions of the Decree seem to Kingdom from an economic, political indicate that the Government’s preference would be to spread out and cultural standpoint.” the economic benefits of gaming through different provinces. At the same time, the introduction of a local participation pilot scheme aims at balancing the need to curb the estimated US$800 million that Vietnamese are said to gamble overseas (mostly in the Cambodian border town of Bavet) with the social impact that may come with it. Governing Scope. Decree no. 3 regulates the “casino business”, Here are some of the Decree’s most relevant features. which it defines as the offer of games with prizes on electronic gaming machines and gaming tables to eligible patrons. A game qualifies as a game with prizes if its outcome is dependent on luck, or a combination of luck and skill, and a player pays to participate with the possibility of winning a prize in money or kind. Unlike the Cambodian LMGT, Decree no. 3 does not open the door for licensing of online gaming, which is strictly prohibited thereunder. The casino business may only be pursued by duly licensed Casino Business Enterprises. These are divided by volume of investment into two categories: Large Scale, ones with a minimum capital investment of US$2 billion, and Small Scale, ones with a capital investment below US$2 billion. Minimum capital requirements are measured against investment in an integrated resort, labelled by the Decree as a “Tourism Zone” and defined as a group of buildings servicing tourism, entertainment, resort and commerce, where casino business is also allowed.
Zoning. Contrary to the Cambodian LMGT, you cannot find a strong zoning component in Decree no. 3. In fact, there is only one provision referring to casino locations. It determines that each licensed casino business enterprise may only operate in one pre-approved location. Contrary to Cambodia, Vietnam is an atheist state and although most of the population follows Buddhism, the creation of game-free in Vietnam The Grand Ho Tram zones for religious reasons is not a concern of the government. At
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“Contrary to Cambodia’s LMGT, the policy priorities of Decree no.3 are not to reign in a rampant border casino scene but to provide clarity going forward to a tightly controlled industry.”
the same time, there are also no zoning concerns based on social safeguards. This is simply because local participation will be the exception, not the rule, and the pilot scheme mechanism will allow the government to determine on a case-to-case basis where locals will be allowed to play.
Licensing. Decree no. 3 subjects the operation of casinos to obtaining several licenses (certificates). The Decree does not determine a minimum or maximum number of licenses to be issued but it does set out the process for applying and obtaining one. An entity wishing to operate a casino must first obtain an approval- in-principle to the investment policy permitting the development of an IR with a casino. Although the Decree is not specific as to which entity should issue such approval, all matters of policy in respect of casino business must be decided by the Prime Minister upon consultation with the Ministry of Finance. At a second stage, an applicant must seek an Investment Regulator. This is where things get complicated. The Decree Registration Certificate (IRC) in accordance with the Vietnam Law does not create a centralized regulatory agency or a department on Investment (which took effect in July 2015). An IRC may only be of government dedicated to governing and regulating the gaming issued to casino businesses pursued in the context of an IR with a sector. Instead, powers and responsibilities are divided between nine minimum investment of US$2 billion. different ministries and agencies. Within this maze, the Ministry of Upon obtaining an IRC, an applicant must apply for and obtain Finance stands out as the entity empowered to issue SC Certificates a Certificate of Satisfaction of Conditions for Casino Business (an and to supervise and enforce the provisions of the Decree. In SC Certificate). It may only do so when it has invested 50% of the addition, all matters of policy, as well as the number of tables and total capital commitment determined on its IRC. It must also have a machines authorized for each licensee, are to be decided directly by defined gaming area in full compliance with requisites determined the Prime Minister. by the Decree, a designated general manager and submit a business operational plan and its proposed internal controls and Gaming Promotion. There is no reference whatsoever in the game rules. The entity responsible for determining the application Decree to junket operators, nor to the extension of credit for gaming. is the Ministry of Finance which must do so in no more than 60 On the other hand, those activities are not listed therein as prohibited business days. conducts. This omission, when read together with a provision that An SC certificate for casino business will specify the effective allows for casino enterprises to carry out a policy on price discount – duration of the license, which shall not exceed 20 years, renewable for a local euphemism for junket commissions – and promotions (sic) in a maximum of 10. An SC certificate will also determine the number accordance with the current law on tax and other relevant laws, opens of gaming machines and gaming tables which the licensee will be the door, and the expectations, that there will be clarity over these able to offer, within the parameters set out by the Decree. These are issues in subsequent regulations. set according to the approved capital commitment with a maximum ration of one table and 10 gaming machines for each US$10 million Participation. Local participation is the most controversial point of investment. of Decree no.3. The rule imposed is no different than the one that Finally, if an entity which has been awarded an SC Certificate preceded it: only foreigners and Vietnamese residing overseas who wishes to receive and disburse foreign currency and conduct other hold a foreign passport are allowed to play. However, the Decree also forex activities it must apply for and receive a forex license from the introduces an exceptional regime that will allow eligible locals to State Bank. play in certain locations during a three-year trial period. Vietnamese
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Club Vegas at Caravelle Hotel in Ho Chi Minh City is one of a number of small electronic gaming casinos in the southern Vietnamese city
the Van Don Economic Zone in Quang Ninh province, in the north, and Phu Quoc Island in the south. The only similarities between the “The introduction of a local two are the fact that they are both under development and are both participation pilot scheme aims at owned by Vietnamese companies. balancing the need to curb the estimated Tax. The Decree does not directly set out the applicable tax rate US$800 million that Vietnamese are but rather refers to the current laws on taxation. This means that gambling services will be applied a special sales tax of 35%, setting a said to gamble overseas.” total tax rate close to Macau’s 39%. However, local tax experts argue that tax rebates allowed for marketing and promotion expenses may apply to junket commissions, thus estimating for a real tax rate on the VIP segment to be somewhere between 13% to 15%. The enactment of Decree no.3 represents a step forward in nationals are eligible to play in such locations if they are at least 21 defining a regulatory framework for the industry. It no doubt gives years of age, able to prove a regular monthly income of approximately existing and prospective investors more certainty on which to ground US$450 and purchase an entry pass from one of the authorized their decisions. However, key issues such as junkets and credit, tax casinos at a cost of approximately US$44 a day or US$1,000 a month. treatment of commissions and criteria to apply for local participation While some applaud the move as an important first step to allow still lack clarity and need subsequent regulation. local play – a must have for many international gaming companies – On the other hand, the lack of a dedicated regulatory agency others see the restrictions as too tight and are naturally reluctant to will most likely translate into a hard-to-navigate bureaucratic maze. commit US$2 billion without knowing what will be at the end of the However, once light is eventually shed on those outstanding issues, three-year trial. the most important question must still be asked: with a US$2billion The trial period has been fueling speculation as to which locations price-tag, a top of the scale GGR tax and local participation stringed and operators will be granted the ability to allow local participation. to a three-year pilot scheme, will Vietnam be able to attract household The Decree does not impose any maximum number and does not industry names under the framework of Decree no.3? Only these determine the criteria to apply for such a possibility. Two locations would be able to bring the sector to an international level and they have been regularly tipped as being ahead of the pack in this race: don’t seem impressed thus far.
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Educating Japan
Inside Asian Gaming spoke with Managing Partner at Global Market Advisors, Steve Gallaway, to gain a deeper insight into the company’s 2017 White Paper on Japan Integrated Resorts.
By Andrew W Scott
Andrew W Scott: Global Market Advisors released its White Paper on Japan Integrated Resorts earlier this year. What was the motive behind it and how did it come about? Steve Gallaway: The goal was to educate the local Japanese in terms of realistic projections for the IR market. We had seen numbers out there but there was no backup to them, so we wanted to really understand what the realistic numbers were to put some reality into the discussion. Secondly, we wanted to educate stakeholders in terms of what an IR is because people don’t really know. And we wanted to explain to people what mistakes have been made in other jurisdictions and learn from them so we can design legislation that maximizes the potential of IRs while doing what’s best for the local population. That’s why we had a large section dedicated to responsible gaming. Bo Bernhard, who is obviously an expert on responsible gaming, participated in our problem gambling section. As part of that we looked at Singapore, which had a fantastically run RFP process with the right idea going into it. But there are certain things that we hope not to see in this legislation such as an entry levy. The entry levy is Steve Gallaway basically nothing more than an artificial tax and there has been no
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sound research to prove that it does anything in terms of preventing problem gambling.
AWS: So you advocate no entry levy or if there is one, a “One of the biggest things small one? SG: Yes, a small one only. And we did assume an entry levy in our the government wants to numbers to be consistent which was ¥2,000. The reason we chose ¥2,000 was because it is basically the same price as a movie ticket. see is an increase in tourism It’s not really going to deter people whereas if you make it a high levy, say the equivalent of US$100, many players might actually and the number one thing want to increase their gaming budget to sort of chase their levy and you can do to increase increase their chances of winning it back. tourism in regards to IRs is AWS: Your White Paper introduced the concept of an Osaka Strip of integrated resorts on Yumeshima Island, but the Osaka Strip concept.” more recently we’ve heard that a monopoly situation is the likelier option. What are your thoughts on this? SG: I think the prevailing wisdom concerning monopolies is based around the original concept of having individual IRs following more closely to the Singapore model. But one of the biggest things the government wants to see is an increase in tourism and the number one thing you can do to increase tourism in regards to IRs is the to Universal Studios, so it’s already started. You have easy access Osaka Strip concept. to three international airports, two of which have a high speed ferry This is because the Osaka Strip – which is actually bigger than the service. The Osaka Strip is really perfectly situated, has great levels of cluster of casinos in Cotai in terms of land mass – would generate access and already has strong levels of tourism. an international destination. If you truly want to increase tourism you have to have a cluster of entertainment activities that the world wants AWS: Would you advocate the Osaka Strip to be the only IR to come to. venue in Japan? What’s nice about the Osaka Strip is that it’s already adjacent SG: No, I would like to see other IRs because I believe other IRs
Yumeshima Island, the proposed location for an Osaka Strip of integrated resorts
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Osaka is already a popular tourist destination, adding to the Osaka Strip’s appeal
responsible gaming programs, the instances will go down around the country. Once that occurs and once the population becomes comfortable with casinos as a form of entertainment, you might “Maybe the next goal after find that in a second round they start allowing regional casinos in this first round of IRs is addition to the integrated resorts. But the other thing with the Osaka Strip is that Japan wants to to let people realize that host the 2025 World Expo and there is no better way to do that than through IR development. Let the IRs build your facilities for you for casinos are not detrimental 2025. You need to have all the exhibition space and you can’t have exhibition space on the island without thousands and thousands of to the population.” hotel rooms. Let the operators develop those IRs and then use those facilities for the World Expo. It’s win-win across the board.
AWS: Over the past few decades we’ve seen the expansion of gaming throughout the world and a lot of countries would generate jobs, would generate tax revenue and would have opened up to resorts and gaming. What will make still help tourism. But the Osaka Strip, the reason we like it is Japanese IRs unique from those seen elsewhere? because it is such a fantastic site. And we travelled around to SG: I think you’re going to see that, while table revenue will still be every single site in compiling our report. We didn’t see anything extremely important and probably make up half the casino floor, it else of that standard. will be less dominant than what you see in Macau, for example. The Japanese culture is very different from other Asian cultures and I AWS: What is the maximum number of IRs Japan think a lot of people don’t recognize that. could handle? SG: It depends on the ultimate goals of the government. If you were to AWS: But how will culture make the whole process maximize the number I don’t think you’d want to see more than 10. different? What will they have to be mindful of that they I believe the most we assumed was closer to six but the goal, if you didn’t have to be mindful of in Macau? want to maximize it, is to figure out the most number of IRs you can SG: I think one of the bigger items will be that, typically with have before they start to cannibalize one another. casinos, when they open you over-staff to make sure you open with When you look on a map there are other logical areas regionally the proper levels of service. Once you’ve been open for a while you where you could build IRs with minimal cannibalization. But you identify those employees that aren’t performing and you let them go know, maybe the next goal after this first round of IRs is to let people to get your staffing down to normal levels. I don’t think the laws in realize that casinos are not detrimental to the population and that, as Japan allow for them to do that. When you hire someone it’s a much we’ve seen in Singapore, responsible gaming programs can actually longer term of commitment and the IR operators are going to have make problem gambling numbers go down. to be sensitive to that. Today problem gambling is rampant in Japan because of pachinko In terms of building, they will face a lot of challenges in that and there is no responsible gaming. Once you start implementing the local population has a lot of say in what is allowed to be built.
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“The pachinko industry is huge in Japan and they have not done anything about problem gaming, so that is a huge concern and they are going to need the operators to do it right.”
For example, if a large building is to be built and the shadow of launching in Macau and is now hugely successful, do the building will impact residents, those residents have a voice to these Japanese companies really need foreign operators? prevent the building from going up. So it will be challenging, but SG: I think the number one reason is that international operators overall I think the whole RFP process will be very similar to Singapore have the experience in terms of having to develop and operate and the way they are built will be similar to other jurisdictions. The IRs properly to maximize revenue while being sensitive to local amenities will mirror amenities that have been proven to work in populations in terms of problem gambling. The pachinko industry other jurisdictions. is huge in Japan and they have not done anything about problem gambling, so that is a huge concern and they are going to need the AWS: Finally, it has been suggested that each Japan IR operators to do it right. will likely be a collaboration between a local company It’s also worth remembering that it is very difficult to build a and a foreign operator. If we look at the financial clout of US$10 billion resort. There are very few people in the world that can many of these Japanese companies and then consider a do that. I would doubt the ability for someone to do that who had not company like Galaxy, who had no IR experience before done it in the past.
Japanese IRs could implement the sort of responsible gambling programs that Steve Gallaway says have been ignored by Japan’s pachinko industry
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Winning a Japanese IR concession
ver our past four articles we have discussed a broad In the final instalment of range of topics regarding the Japanese IR product mix, covering everything from sumo wrestling their five part series on the to sushi, social and economic impacts, tourism development and policy and compliance issues in development of Japanese our attempts to generate an overall understanding of the complexity Oof developing a quality integrated resort. Ultimately the IR should integrated resorts, casino become a “destination” showing a grand scale of appeal. There is a wide range of opinions regarding what it means to create an IR and integrated resort that will not only be profitable, but will also stand the test of time and provide a sense of pride for the community. We believe there are experts Dr Glenn McCartney fundamentals that provide a foundation for any IR development and that the governing authorities of any jurisdiction must review before and Dr Andy Nazarechuk commitments are made. We highlight a few that should feature examine the many elements strongly in IR assessment. Integrity – To ensure that all parties involved in an IR act properly, authorities and operators there must be a comprehensive regulatory policy. However, some governments have created severely restrictive policies that inhibit must get right to ensure an operations and can cause challenges for an IR. The worst case scenario for any government developing an IR is to become entwined with IRs long-term success. corruption or collusion and to lose the trust of the local community. Transparency is the best way to assure the community and community leaders that the goal is to improve the local economy, create new forms of entertainment and mitigate future risks that can arise – one being social costs such as problem gambling and criminal activities. By Dr Glenn McCartney and Dr Andy Nazarechuk Transparency, perhaps through a public consultation process, should
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let all stakeholders know and understand what policies are being created and the rationale behind those policies. Not everyone will “Singapore has created agree, but everyone will know the facts. When the public can contest, question and make recommendations on policy development, then an excellent model for its policies will be stronger and the community will support those policies. regulatory system using Las The regulatory framework provided will guide the IRs and influence perceptions of integrity and image. Singapore has created an excellent Vegas as an example and model for its regulatory system using Las Vegas as an example and adapting policies to meet their jurisdiction’s needs. There is no need adapting policies to meet their to recreate the entire regulatory system. The best method is to start with policies that already work and adjust those policies to align to the jurisdiction’s needs. There is needs and culture of the local jurisdiction in Japan. no need to recreate the entire Public-private partnership – The IR introduction must be regulatory system.” thoroughly master planned into the future. We have seen a lack of public-private collaboration with IR introduction and expansion in other markets, leading to inadequate infrastructure, a lack of economic and tourism diversification beyond gaming, diminishing transparency and insufficient legislation and direction dealing with labour laws, tourism strategy, environmental protection and casino from the overall positive image that has made Las Vegas one of the oversight. There will be different reasons and objectives for those top tourism destinations in the world. involved in IR development and each stakeholder will bring varying levels of resources, power and authority. It serves little purpose, we Entertainment options – The types of entertainment provided have found, if there is limited equitable cooperation. Yes, the IRs will will be vital to the overall success of the Japanese IR. Of course, operate, but the question will always be whether things could have gaming is the featured type of entertainment. However, to entice been better from the outset. repeat visits, loyalty and a broader segment of visitors from locals In Las Vegas, there is close cooperation between operators and to regional and international leisure and business travellers there regulators that results in a positive image of the industry and the must be a wide variety of ever-changing entertainment and event destination – now a leading convention, leisure and entertainment opportunities. city. This has been demonstrated by the numerous times Las Vegas There will be an expectation that some have a Japanese flavour. IRs have self-reported variations from established policies. Las Vegas Large showrooms allow for world-class Broadway plays, custom- IRs have paid millions in fines over the years but have also benefited made productions and performances by top entertainers. These types
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entertainment opportunities since its inception. Las Vegas is known as the “Entertainment Capital of the World” because IR operators understand the importance of entertainment and celebrity events “Las Vegas IRs have paid as a means of attracting the mass and high-end travel market to its destination. In some Las Vegas IRs there are two showrooms – one millions in fines over the for its featured production such as “Cirque du Soleil” and the second for an ever-changing list of top performers who appeal to various years but have also benefited markets throughout the year. Entertainment is continuously evolving as shown by the growth from the overall positive of “night clubs” and “pool parties” that offer current music trends and modern facilities that appeal to the millennial crowd. Nearly 70% image that has made Las of revenue generated in Las Vegas is from non-gaming. In Macau it is Vegas one of the top tourism 10%. The Japanese authorities, in awarding IR concessions, will need to emphasise their economic and tourism expectations for gaming destinations in the world.” versus non-gaming growth. Dining – There is no doubt that food must be carefully considered when developing a Japanese IR. Renowned for its quality, taste and variety, domestic and international tourism to Japan will look at Japanese food and drink as part of the travel experience. Global audiences have become increasingly aware of Japanese food and of activities allow casino patrons, tourists and the local community etiquette with the opening of Japanese restaurants in their towns to enjoy these performances at the same time. There is also a need and cities. Japanese restaurant brands have opened in Asian and for smaller lounges that can showcase visiting or local performers western locations, some featuring celebrity Japanese chefs. Dining in a more intimate setting. Lounges provide a fun haven for locals expectations are therefore created through a Japanese IR visit. The who can return repeatedly for an entertaining evening out. Shopping, choice should be famous chefs, themed restaurants displaying ethnic swimming pools, theme parks, cinemas, bowling, golf and karaoke Japanese dishes and food preparation techniques, as well as buffets lounges must be all factored into the entertainment mix, depending and food court offerings reflecting price points and encouraging local on the size, location and type of IR constructed. enterprise and eateries. The life cycle of IR entertainment can be short lived. Audiences In the early days of Las Vegas, cheap food was seen as a way to can bore quickly with the content, particularly repeat visitors. attract customers – “All you can eat at a low price.” This was one Las Vegas has focused on the need to create and recreate new of the value propositions that made Las Vegas famous. Today, it
34 inside asian gaming JULY 2017 Japan
seems that every famous celebrity chef must have a restaurant in Design – A Japanese IR must have an iconic design that makes it Las Vegas to confirm their celebrity status. Macau’s IRs have brought stand out from the rest of the skyline. Some operators may build a in restaurants and chefs from various parts of China given the large box, install gaming tables, add a couple of restaurants and label it an Chinese visitation and the importance of the high-end Chinese casino IR. But a true IR must be a destination in itself. patron. However, the restaurant mix also includes brands from Hong When someone enters an IR they must already know they will Kong, Japan, Korea, Taiwan, India and some western style concepts have multiple leisure and entertainment experiences. Design can to enrich the dining experience and growing consumer base from incorporate themes and well known brands, be it hotels, restaurants, other destinations. The patron might wish to enjoy a luxury meal nightclubs or events. Strategic brand partnerships can hasten IR with friends or at another time a simple bowl of quality noodles. The awareness and visitation decisions. IR visitors want to spend time in Japanese IR needs to carefully assess. an IR so the IR must create these special reasons. Marina Bay Sands in Singapore is an example of an IR offering Shopping and retail development – Visitors to Japan are attracted everything needed for a memorable experience, whether that by the ability to shop for Japanese brands. These have the attributes of quality and uniqueness. A distinct retail area allows everyone to find the latest fashion trends and provides players an opportunity to spend money or be rewarded with souvenirs from their IR visit. An IR’s shopping precinct is more than a “mall” – it comes with enhanced expectations through design features or entertainment. It is no secret that tourists spend more money shopping on their vacations so they can bring home memories and gifts from their “Renowned for its quality, travels. Luxury shopping meets the needs of the high-end casino patron or those who like extravagant shopping opportunities. There taste and variety, domestic also needs to be mid-level retail opportunities so everyone can share in the shopping experience. The retail area provides an opportunity and international tourism to for local retailers and suppliers to be involved, creating numerous job Japan will look at Japanese opportunities in the process. Importantly, retail and dining present opportunities for the IR to food and drink as part of the tailor property-wide or bespoke events. While Japan’s IRs will have an array of non-gaming choices, an effective communication, social travel experience.” media and product packaging strategy will propel an IR into a market leadership position compared to its rival IRs. Japanese authorities should not overlook the marketing prowess of the IR operator.
Visitors to Japanese IRs will expect authentic dining experiences
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Meetings, conventions and exhibitions have played a key role in the Las Vegas success story
experience is for a high roller who wants to play, a tourist seeking a framework to protect the vulnerable and mitigate the risks – an issue few days of excitement or a local who just wants a fun night out. Its we discussed in depth in Part 4. Government agencies seek to reduce unique design, widely used in Singapore tourism imagery, shows the number of visits by a person with a gambling problem to an IR. the importance of IR design in a destination’s tourist image and Issues of education, prevention, risk assessment, enforcement and branding formation. treatment all become factors to consider. What is a social cost and who pays need to be determined. MCE – A large IR will feature meeting space. Las Vegas is renowned If an exclusion programme is implemented the IR must enforce for its yearly mega conventions and exhibitions. The unlikely mix of it. If the IR identifies a problem gambler, treatment resources must gambling and MCE (meetings, conventions, exhibitions) has been be provided to that person. Problem gambling is not going to seen to work. In the 1990s, Las Vegas operations that had traditionally disappear with or without an IR, but it can be managed in a positive focused on the gaming business and complimentary player incentive way that not only helps those with a gambling problem, but can policies recognized that MCE business could fill and pay for rooms also create an overall positive sentiment towards the industry by on weekdays, with guests paying for meals and meeting space. the local community. Downtime could be spent gambling, shopping and enjoying other leisure activities. This also brings new economic opportunities Education – One factor often overlooked in the development of to local communities, as they have the chance to participate in an IR is the need for local comprehensive hospitality management meetings, supply products, be trained in the industry or display at programs. After all, who is going to manage the resort to ensure it is exhibitions without the expense of traveling to distant facilities. As operated in a professional way, allowing guests and staff to enjoy a well as being a high yield travel market, destinations globally wish to positive experience? These mega “integrated” structures of gaming attract MCE to enhance the destination image and bring additional and non-gaming opportunities have required innovative ways to trade opportunities. manage and operate and as such the need for hospitality and tourism While Las Vegas has become the top MCE destination in the education to be provided. United States with the largest convention centre, largest inventory The basics of hospitality education remain true but there must be of hotels and an infrastructure to accommodate the needs of this a serious commitment to adequately ramping up Japan’s hospitality industry sector, Macau has seen MCE progress only marginally, and tourism education and training programmes – particularly lacking a collaborative framework and stakeholder consensus. where the IR will be built and operated – in order to deliver on the Again, Japan’s IR criteria should carefully evaluate the issue of expectations of the IR. Everything from short-term dealer or waiter diversification and expectations 10 to 20 years on from the opening certification to post-graduate research studies in professional IR of an IR. management will be required. Reactive piecemeal education and training programmes will not address the medium to long-term Responsible Gaming – This is another area where IR operators service quality needs of the Japanese IR and its location and will and the government need to work closely together in developing a prevent it reaching its full potential.
36 inside asian gaming JULY 2017 There is now a top hospitality management degree program in Las Vegas, but in the early days it was completely ignored. Originally, the casinos were managed by executives who had years of industry “For global IR industry experience, but lacked educational credentials to go along with that experience. Once the industry started to realize that there were operators expanding east young, enthusiastic and educated people who wanted to work in their industry, they started to hire them. As a result, many of the senior and west, issues such as executives who run Las Vegas today have degrees in hospitality or other closely related majors. The strategic decisions made by those design, cultural nuisances, educated executives over the years have allowed Las Vegas to reach marketing and working its full potential. For global IR industry operators expanding east and west, with local authorities have issues such as design, cultural nuisances, marketing and working with local authorities have provided a steep learning curve. But provided a steep learning the lessons are there for Japan. As we bring this series of articles to a conclusion, it is appropriate that we share our comments curve. But the lessons are on those global IR operators that not only understand the there for Japan.” fundamentals of the business, but also have a proven track record to confirm their positions. Without a doubt, Las Vegas Sands has established itself as the global leader in IR development. Sheldon Adelson is the pioneer who has molded Macau into what it is today. Marina Bay Sands is a model that exemplifies the fundamentals above. Steve Wynn has been a visionary for IR development and created The Mirage – the first true IR constructed in Las Vegas. The Mirage was an industry game changer. Wynn properties display a level of quality that is hard to match and his creativity continues. MGM Resorts is another innovative company that built the largest hotel in the world at a time when everyone said it wouldn’t work because it was too big. Today, MGM owns and operates a The design of majority of the IRs located on the Las Vegas Strip and will open its Marina Bay second Macau property towards the end of 2017. Sands has seen it become an iconic Genting’s Resorts World is another player in the global market feature of the that has developed its own reputation in Malaysia through its exciting Singapore skyline property in Singapore. Resorts World partnered with Universal Studios to create a “family-oriented” IR that brings entertainment to its highest level. Melco Resorts in Macau has also been able to blend its long experience in Asia with the operating principles of its former Australian partner Crown Resorts to create a facility that meets the needs of the Asian market. Also in Macau, Galaxy Entertainment Group has focused on Asian values and branding, building on its experience since Macau’s casino liberalization to become a major IR operation. Which companies will ultimately be selected to develop IRs in Japan? No one knows at this stage of the Japanese IR legalisation process. However, when the final list is eventually presented many of the names above will be on the list. Are there other possible developers interested in an IR in Japan? Yes, there are plenty – Macau had over 20 bids for a casino concession in early 2000. And the reality of IR developments in Macau and Singapore will only instil greater competition. While the entry into a Japanese IR concession will likely be based on a local partnership, when the time comes to select concessionaires it will be important to choose those who understand the fundamentals of creating a visionary IR – one that is essentially and distinctively Japanese.
JULY 2017 inside asian gaming 37 Keen observations
When was the last time you were coached?
In his latest column for IAG, Dr Brian To delves into the benefits of coaching – be it a coach to help you navigate life or one to focus and accelerate your career.
By Professor Dr Brian To
ll over the world, athletes and sports teams are being Professor Dr Brian To is a coached daily. There is good reason for this necessary global strategist and senior function, which is simply that it’s difficult to coach practice professor with yourself and to motivate oneself to higher levels of over six advanced degrees performance, whether it be losing weight, supervising in business, management, your children’s academic path or managing your own career and policy, Chinese business lifeA choices. and managing change. Coaching is not about surrendering your life to your coach, but He consults to several Asian governments and helping you navigate through life’s often difficult choices without militaries, Fortune 500 bias in both productivity and professional effectiveness. In those corporations and ultra- who are coached, the percentage gains are impressive with many high net worth individuals studies putting the extent at over 33% in productivity gains. and their family-owned Coaching is also about more than mid-career coaching or businesses in Asia and life coaching. An entire industry segment exists for coaching North America. Brian high school students to prepare for college. Other more focused presently coaches several country leaders, corporate coaching programs prepare prospective students to enter Ivy CEOs and entrepreneurs League universities both at the undergraduate and graduate levels, focused on personal and particularly those executives who want to brand themselves with professional effectiveness prestigious schools and access networks which would otherwise and revenue expansion prove prohibitive. strategies. He can Personal life coaching is beyond popular. Whether to leap be contacted at [email protected] frog your career or prepare you to assume greater leadership responsibilities, coaching can inspire you to have a more fulfilling, more meaningful and richer life.
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course key questions before you run off searching for your coach. “Coaching is not about They include: surrendering your life to your • Are you presently achieving optimum performance? coach, but helping you navigate • Are you motivated to accelerate your career? through life’s often difficult • Are you preparing to engage the future? • Are you ready to listen and be honest with yourself? choices without bias in both • Are you truly focused and prepared for change?
productivity and professional Given that we only have one life in this human form and that we effectiveness.” generally invest our time in the here and now, doesn’t it make sense to harness the best of ourselves both personally and professionally? In a sense, having a coach should be like having a mentor, albeit keeping in mind the clear difference in definitions between the two. Nevertheless, both focus on the individual and can prove very helpful if you are contemplating a life or work change either voluntarily or involuntarily. One study reported in The Economic Times found that coaching Which begs the question – when was the last time you were returned an ROI almost six times the program cost as well as a 77% coached or thought meaningfully about your personal and improvement in relationships, 67% improvement in teamwork, professional effectiveness plans? 61% improvement in job satisfaction and 48% improvement in quality. Impressive indeed – particularly since the study was on Fortune 500 executives! The says that coaching is often employed by Historically, coaching was employed to assist those who Harvard Business School high performance executives and professionals these days. underperformed. Today, according to the Harvard Business School, coaching is also employed for high performance executives and professionals. Consider that coaching is an investment in yourself and in your future. In a time when there is much uncertainty in the economic and commercial environment, it’s sometimes wise to look at engaging a coach. An additional benefit, depending whom you engage, is the possibility of networking opportunities and access to markets given that the coach has a business track record and hopefully profit and loss experience too. This is why it is important to be careful when you go in search of a coach. They should, ideally, be one with advanced credentials, not one who became a self-endorsed coach because they were recently retrenched. In preparation to get your mind around the subject, there are of
40 inside asian gaming JULY 2017 JULY 2017 inside asian gaming 41 iGaming Blue Pages
iGaming in Depth
Asian fantasy
With the battle to sia, a continent of 48 “We are certain that Asia will be the countries each with their own next big market for DFS,” offers Valéry win over regulators distinct rules and regulations, Bollier, CEO of Malta-based Fantasy Football represents the next great operator and B2B provider Oulala Games. now well and frontier for Daily Fantasy “DFS should be able to do much more truly underway in Sports, but also the next great challenge than just penetrate the Asian region. I givenA the vast disparity in gambling laws believe that it will be a success because of the United States from one jurisdiction to the next. The good its nature in being a skill game. Don’t forget and Europe, Daily news for DFS operators is that they’ve been that eSports is already big in Asia – DFS is through all of this before. simply responding to the needs of the new Fantasy Sports As recently as 16 months ago, the generation that is already playing eSports.” operators such as number of US States in which DFS was Of course, exactly where, when and how regulated numbered zero. Now there are DFS will gain approval from Asian regulators Malta-based Oulala 12 with another 10 debating the issue as we is the million-dollar question. Macau is a speak – a surprisingly rapid rate of progress case in point. While in Asia’s gaming hub for Games are starting given that DFS is unlike any other product in G2E Asia in May, Bollier took the opportunity to turn their gaze the online gaming sphere. to meet with local regulators but admits It is this framework that operators are “the legal evolution that we are hoping for towards Asia. looking at as DFS gradually spreads to other will probably not happen short term and parts of the world and although gaining our whole industry needs to work together acceptance across Asia promises to be a to convince legislators to keep up with the far more exhaustive process, the long-term times and not chase after it after years have By Ben Blaschke potential is huge. gone by.”
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iGaming in Depth
On a broader scale however, the challenge “The legal evolution in any new jurisdiction is making regulators understand that not only is DFS a unique that we are hoping product in the online space – combining gambling with a considerable skill element – for will probably it should also be classified accordingly. not happen short It is this skill factor that has been central to the DFS argument worldwide term and our whole and although the response from legislators industry needs to work has varied wildly from state to state in the US and country to country in Europe, the together to convince industry celebrated a major breakthrough legislators to keep up in March when the Malta Gaming Authority (MGA) issued the first ever Controlled Skill with the times.” Games License to none other than Oulala. – Valéry Bollier “It meant we had successfully accomplished the goal we set four years ago – to be regulated separately from other iGaming activities,” explains Bollier. “The MGA spent over two years developing this new licence category for skill games which specifically regulates DFS and defines it as a game of skill, disassociating it from gambling activities such as sports betting. “The Maltese authorities were the first to forecast the potential of DFS in Europe and Malta’s body of regulation was the first to attend to our needs. We are proud to have participated in creating a licensing framework that would regulate skill-based Valéry Bollier games, including fantasy sports. This was a big step in the right direction and we are eagerly anticipating the moment that other European regulators and regulators elsewhere follow suit. “This is also one of the current issues in Asia and in order for our sector to grow efficaciously there is the need for a structured legal frame – a need that has not yet been met. “We need to protect the integrity of our ecosystem to ensure a healthy development. Asian legislators should take into account that even if DFS is a monetized game, its nature as a skill game means that it is, in its essence, closer to the video gaming industry than the iGaming one. “It would help greatly if Asian legislators would follow the example that Malta has set.” The appeal of DFS to the millennial can only flourish in a regulated and “That’s why it is crucial that legislators generation is easy to understand. With a trustworthy environment. exercise caution during the selection process preference for games that not only provide “DFS is making a simple but strong of operators and base their decision on the an element of skill but also allow for social promise to its customers,” he says. “When quality of their game and scoring system, interaction, the opportunity for players to playing, you will be able to prove to your while maintaining the accuracy of the DFS compile a team then see how it fares against community that you know the sport better than game as the feature of chief importance. It is in a pool of other teams is the perfect fit. they do. However, in order to do so our game both the operators’ and the players’ interest that But, as Bollier notes, the skill element needs to be a real skill game, not a game of luck. a proper legislative frame is put in place.”
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4|6 July 2017 15|17 August 2017 World Gaming Executive Summit 2017 Australasian Gaming Expo 2017 Barcelona, Spain Sydney, Australia The World Gaming Executive Summit 2017 will bring together Wherever you are in the world, jump on over to the over 80 of the best and brightest speakers in the gaming Australasian Gaming Expo (AGE) 2017 at Sydney’s all new industry, as they share their expertize and knowledge of future International Convention Centre. Experience all the latest, the developments with you. Attendees will benefit from targeted greatest and glimpse the future at one of the world’s biggest content for the offline and online gambling communities, with gaming and equipment expos, then take in some of “Australia” tracked sessions including focused case studies and panels. whilst staying in the internationally renowned harbor city of www.terrapinn.com/conference/world-gaming-executive- Sydney. summit/index.stm http://austgamingexpo.com
11|14 July 2017 3|5 October 2017 iGaming Super Show 2017 Global Gaming Expo 2017 Amsterdam, Netherlands Las Vegas, USA The iGaming Super Show is the biggest dedicated iGaming Global Gaming Expo (G2E) is the international gaming trade exhibition and conference for the iGaming industry and is show and conference “by the industry and for the industry.” guaranteed to meet your needs from a networking, education G2E is the best place for anyone working in gaming to see the and business perspective. This year, the iGaming Super Show latest products, learn the trends and network with the Who’s will have eight events in one location including dedicated Who. It offers a 360-degree view of the industry from slots and payments, lottery, regulation and compliance, sports betting, table games to iGaming and food, beverage and hospitality. financial and affiliate events. www.globalgamingexpo.com www.igamingsupershow.com 14|16 November 2017 14|16 August 2017 MGS Entertainment Show Gaming, Racing & Wagering Australia Venetian Macao, Macau (GRWA) Organized by a local Macau association, the MGS Sydney, Australia Entertainment Show (MGS) has recently been awarded the Gaming, Racing & Wagering Australia (GRWA) is the region’s status of “UFI Approved Event”. As part of the process, UFI premier gaming conference taking place in August. Bringing has also approved the admission of the Macau Gaming together over 150 of Australia’s leading sports betting, gaming, Equipment and Manufacturers Association (MGEMA), wagering, lottery and racing executives to learn about the owner and organizer of MGS, into full membership of the latest developments in the industry, incoming regulations and international authority. The Asia-based expo will promote its disruptions and strategies to stay ahead of the curve. This new credentials in the build-up to its fifth edition. year, GRWA includes a practical workshop where you can learn www.macaogamingshow.com about how to diversify your operations through eSports and mobile gaming in order to acquire, maintain and engage new and existing customers. www.gamingdownunder.com
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