This research report presents a detailed segmentation of the casino gaming market in the Philippines by end user (mass, slot machines, and VIP customers) and by type of games (blackjack, craps, poker, roulette, and slot machines).
The leading vendors in this market are Philippines Amusement and Gaming Corporation (PAGCOR), Resorts World Manila (RWM), City of Dreams Manila (CODM), and Solaire (BLOOM).
Overview of the casino gaming market in the Philippines
Market research analysts at Technavio expect the casino gaming market in the Philippines to grow at a CAGR of around 10% by 2020. The recent boost in revenue through the VIP customer segment is one of the major drivers that will impel the prospects for growth in this market.
In this region, the addition of more VIP tables will lead to the growth of the market. Consequently, most junket operators from Macau have started their business in the region, which will, in turn, accelerate the flow of income from this gaming segment.
The revenue contribution from the VIP segment in the Philippines will increase during the forecast period as they are making efforts to match the luxuries provided by the casinos in Australia at a lower price.
One of the major trends in the Philippines casino gaming market is the integration of the casino market with the hospitality sector. In this region, casinos are trying to integrate their businesses with major luxury hotels as they are seen as a source of luxurious entertainment for people with high disposable income and time.
Numerous restaurants and bars in the country have slot machines which attract customers; thus, adding more value to the place. Due to this strategy, the reach of the games increased by a huge margin.
Segmentation by end user and analysis of casino gaming market in the Philippines
- Mass
- Slot machines
- VIP customers
According to this market analysis, the VIP customers segment accounted for approximately 50% of the Philippines casino gaming revenue share in 2015. The VIP audience generally includes gamblers who seek entertainment value over ROI for their investments.
The players use rolling chips to play repeatedly and the winnings are converted into rolling chips, which are not allowed to be encashed. The winnings or loss related transactions by the VIP customers are mostly carried out by a third party junket.
Segmentation by type of games and analysis of casino gaming market in the Philippines
- Blackjack
- Craps
- Poker
- Roulettes
- Slot machines
One of the most popular casino games in the Philippines is poker. The game is based on five-card hands and is extensively played online. The different types of poker games are Pai Gow Poker, HORSE poker, Omaha high-low, and video poker. The cards are placed from the lowest rank to the highest rank and the several combination of cards include high card, pair, two pair, three of a kind, straight, flush, and full house. The player with the best combination of cards wins the game.
Competitive landscape and key vendors
In this market, the level of competition will intensify during the forecast period as the existing vendors are competing among themselves to gain maximum market shares. New casinos are expected to open in the future since numerous junkets are setting up shop in the country.
Furthermore, as the casinos in the region are trying to match the casinos at Australia, South Korea, and Vietnam in terms of features and affordability, the level of competition will increase significantly over the next few years.
