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Austintown racino continues to thrive after first full month of operation
By ROBERT CONNELLY
AUSTINTOWN
Hollywood Gaming at Mahoning Valley Race Course increased its percentage paid out and still maintained strong monthly numbers for October, its first full month of operation, according to data released by the state lottery commission.
Hollywood Gaming had $79,796,985 credits played, including $70,915,990 won by gamers for a payout rate of 89.2 percent. That led to a win-per-day per video lottery terminal of $325.
Penn National Gaming Inc. officials have said a good month is considered to be a win-per-day per machine of $300 or higher.
Hollywood Gaming took in $5,704,818 in net winnings while the lottery commission took $2,888,297 and $28,668 went to problem-gambling services.
These numbers compare with September’s numbers, which accounted for only 14 days of being open to the public. Those were $52.8 million credits played during days of operation in September. After credits of $46.8 million won by gamers, an 88.77 percent payout, that equated to a win-per-day per VLT of $499. The distributions for September were $4.9 million going to the racino, $1.9 million to the lottery commission and $19,739 to problem-gambling services.
“It’s still new. The win-per-day is kind of inflated due to the newness,” said Alan Silver, Ohio University assistant professor of restaurant, hotel and tourism and a casino expert. “Now the key is getting loyalty and getting the players to return, and do the mailings and sending out coupons to get people to come back.”
He also noted Hollywood Gaming’s early numbers are similar to those of Miami Valley Gaming in Lebanon, Ohio. Penn National officials have said they want Hollywood Gaming to have similar numbers at that facility.
A number that stood out at the Austintown racino was average number of VLTs in play during October, which was 857. The facility opened Sept. 17 with 850 VLTs and has since added some machines.
“That’s not unusual. You are talking about a very small increase,” explained Bob Tenenbaum, a spokesman with Penn National. “They’d be installed within the existing space.”
While Penn National Gaming Inc. officials aren’t allowed to comment on specific numbers, such as the monthly racino numbers, they did comment on the initial success of Mahoning Valley during their third-quarter conference call in late October.
During that call, Jay Snowden, chief operating officer of Penn National, said: “Mahoning Valley has been a really impressive story ... [and] looks good again as we follow up on a strong opening.”
Live thoroughbred racing begins Nov. 24 at Hollywood Gaming as it gets ready for its winter racing season. “For us, that’s an addition. We’re obviously still focused on building business for VLTs, but we’re also excited about being within two weeks of the opening of racing.”
Statewide, total numbers for the seven racinos were similar to last month. Percent payout fell from 91.13 percent in September to 91.01 percent in October, while promotional credits played was $14,015,822 versus $13,078,841 in September.
The average number of VLTs went from 9,821 in September to 10,355 in October, but VLT win-per-day per machine remained steady at $206. Net revenue for the facilities statewide was $66,211,034, up from $60,617,073.
Ohio casino numbers held steady as well after dropping a month ago. Statewide the four casinos — in Cleveland, Cincinnati, Columbus and Toledo — had an adjusted gross casino revenue of $63,926,138 in October, slightly up from September’s $63,258,563.
“This is really the first month that the racinos have passed the revenue of the casinos,” Silver noted. “It’s kind of setting the stage that these racinos are becoming these suburban casinos and they will get table games over time.”