Hartford Business Journal

www.HartfordBusiness.com October 10, 2016 • Hartford Business Journal 15 controllers familiar to Gen Xers and Millenni- als. Other vendors offered slot-machine varia- tions that allow players a level of choice mixed with chance. Among those are virtual sports — realistic-looking animations that allow the bettor a choice of which side to back but deliv- ers results driven by the same random num- ber generator logic as a slot machine. At the extreme edge of skill-based gaming are virtual-reality games. A player enters a small glass or fabric cube and plays a clas- sic shooting game, blowing away zombies or oncoming hordes of mediaeval archers. Another variant offers a deep sea dive com- plete with menacing sharks and a sunken ship to explore for treasure. Ray Pineault, president and general man- ager of Mohegan Sun, said he isn't sure which games would be coming to his casino floor, but he felt sure some would appear "within this fiscal year," meaning before Sept. 30, 2017. Both resorts had teams in Las Vegas for the show. Casino operators feel different senses of urgency. Melissa Price, vice president of gaming strategy at Caesars Entertainment, set the tone by saying "the platform is burn- ing." Caesars signaled its sense of urgency by signing agreements with both Gamblit Gaming and Game Co. to deliver skill-based games starting this fall. Skill-based games have been approved by regulators in Nevada and New Jersey. At one end of the spectrum are pure skill events like a basketball free-throw shooting contest held this summer in New Jersey or golf hole-in-one contests being discussed by several resorts. They pose a logistics burden for operators and monetization opportunities seem limited. The most promising format for operators involves video-driven games — like Game Co.'s Danger Arena shooter game — that fit in space similar to a classic slot machine. Pay- offs are based on the skill of the player and the expectation is a similar return for the house from a whole new generation of gamblers. For Felix Rappaport, CEO of Foxwoods, the key is developing a portion of the casino where this new wave of players will feel at home. He said his sprawling facility is well suited for hosting unique venues for Gen X and Millennial players, who have different tastes. The closest parallel would be the smoke-free areas carved out in most resorts. The push to accommodate a younger audience extends beyond the casino floor. Entertainment offerings are a major factor and both resorts are working to offer an eclectic mix of acts. But one new entertainment event offers both unique challenges and opportunities. Both Rappaport and Pineault report look- ing at building venues to host e-sports, which has become a Millennial phenomenon driven by network television in much the same way ESPN created the X Games to lure a Gen X audience. E-sports involve teams of gamers competing in classic video games in front of a crowd in an arena setting. Neither executive is eager to embrace the headaches that may come with running a team in an e-sports league, but both are racing toward providing venues for e-sports tournaments. There are regulatory issues around betting on games, but there's no doubt drawing crowds of Millennials to the proper- ty presents valuable marketing opportunities for restaurants, bars and merchandise sales. Both executives acknowledge "engaging" with regulators about expanding the range of their offerings and neither has felt resis- tance so far. Generational gap Ultimately, the winning strategy may come down to understanding the similarities and differences between Gen X and Millen- nial players. During two seminars on the topic at the gaming convention, Chuck Underwood, found- er of The Generational Imperative Inc., outlined the experiential differences that have helped shape the generational tastes. GenXers, now age 35-51, grew up amid scandals in corporate, government and sports institutions. They emerged as self-reli- ant and distrustful. They seek more control of their experiences. Millennials, 18-34, grew up with game controllers in their hands but are mired in record levels of student and credit-card debt. Today, they are largely value players who are looking for a social experience. In the next few months, look for Fox- woods and Mohegan Sun to experiment with finding the right mix of strategies to attract these new players while not alienating the cash-rich Baby Boomers. n from page 1 Foxwoods' master plan could invest 'hundreds of millions' Big changes may be coming to the Fox- woods campus in Mashantucket. The executive team has presented a pro- posed master plan to the tribal council that could result in "hundreds of millions of dollars in investments," according to Felix Rappaport, CEO of Foxwoods. Rappaport cautions that the council is expected to take a long and thoughtful approach to the proposal and that approval of any element is a ways off. But, he said, among the proposals are: • A 3,700-foot zipline that would carry guests from the top of a hotel tower, over a wooded area, to a clearing at speeds approaching 65 miles per hour; • A reimagining of a lake on the prop- erty, turning it into an activity center with kayaks and canoes; • A repositioning of the resort to encour- age eco-tourism, making better use of the 100-plus-acre property's natural beauty. The master plan seeks to position the resort to maximize its natural resources to attract a mix of generations as Foxwoods readies itself for the day when Baby Boom- ers are no longer the main revenue source. – Norm Bell Casinos eye skill-based gaming P H O T O | C O N T R I B U T E D Foxwoods could get a major facelift if the casino approves a new master plan. Foxwoods CEO Felix Rappaport said he would like to bring skill-based gaming to his casino to lure more Millennial gamblers. P H O T O | H B J F I L E P H O T O Ray Pineault, president and general manager of Mohegan Sun. P H O T O | C O N T R I B U T E D

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