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The Shreve Star, recently delivered by Service Marine to Harrah's Casino in Shreveport, La. the current marketplace. In order to gather insight into the future of the industry, it is helpful to exam- ine the trends of today's market. One outstanding trend is indus- try consolidation. Riverboat gam- ing is generally progressing away from its original reputation as a diversified marketplace. Accord- ing to some industry leaders, smaller companies are beginning to have problems with access to capi- tal. Jack Pratt, president of Hol- lywood Casinos, commented, "I be- lieve that tremendous consolida- tion will occur once everybody rec- ognizes what new venues will be approved. There will be a big race for companies to expand. In three or four years, less than half of the companies that exist now will be in operation." Buyer demands are also a factor in the current market. As stated by Mr. Hairston of Service Marine, "Overall, the industry has become much smarter. Buyers are becom- ing much more aware of what they're buying." More boats are coming into be- ing as a result of competition, and owners are upgrading, particularly in the area of vessel interiors. Yards are emphasizing their ability to meet the specific requirements of the customer, as explained by Bruce Croushore, vice president at Bender Shipbuilding and Repair. And while the designs are evolving, owners still want the vessels as fast as they can get them, mentioned Mr. Lipely; and some are purchas- ing vessels that have already been constructed, according to Roy Fleshman, director of marketing at Jeffboat. Although legalization is the key factor when identifying a new mar- ket, other factors include analysis of the money-making potential of a lo- cation and identification of the audi- ence likely to patronize the opera- tion. According to Hollywood Casinos' Mr. Pratt, riverboats located within suburban areas existing in the shad- ows of a metropolis are generally the most lucrative operations as com- pared to boats in downtown loca- tions, attracting "local or regional drive-in customers." In terms of patronage, as stated by Mr. Grossman of Hilton, "The target audience depends on the mar- ket you're operating in. Riverboats draw regional or local markets. New Orleans draws a tourist market. It depends on the demographics of an area. We're looking for people with disposable income." As summed up by Mr. Cooper of Players International, current mar- ket trends are directed at maximiz- ing "opportunity and return on in- vestments." A Maturing Marketplace In the four years since riverboat gaming began, the industry has ex- perienced tremendous growth, fol- lowed by a slowdown, and now seems to be stabilizing, although continu- ing to maintain impressive growth rates and exhibit new market trends. Several factors have influenced the history of the market's development, perhaps most significantly, the ac- ceptance and support of gaming in individual state legislatures. Introduced as a way of boosting a lagging American economy, riverboat casino vessels have been providing jobs and surplus tax dol- lars in communities in several states. The initial boom that character- ized the early gaming years seems to have drawn to a close, evidenced by the caution with which owners are contracting newbuildings, often waiting for final licensing agree- ments to be approved before going ahead with projects. The industry is smarter and more mature in 1995 — it is evolving and consolidating in order to survive and maintain a competitive position in the national business arena. Threats of oversaturation are being foregone as the gaming industry adapts to fit the needs of the improv- ing American economy. As explained by Mr. Grossman of Hilton, "One of the points we make is that we always have the wherewithal to complete a project. We also invest in the community. We need to strike a balance between doing what's appropriate for our shareholders and continuing to do the community good." C-MAP are major suppliers of digital nautical charts, a / crucial element in the improvement of safety of navi- / gation at sea. DATE The C-MAP digital chart library which includes over 3000 digital copies of original paper charts is being continually expanded. The CM93 data format fully con- "- forms to IMO's S57/DX90 specification and as authori- sed digital charts data become available it will be possi- ble for these to be incorporated in C-MAP's database. A number of major marine electronics manufacturers | have selected C-MAP CM93 digital charts for their ECDIS systems. If you are planning to invest in safety and efficiency by installing an ECDIS system, contact your sys- tem supplier or call us to check that your system can use C-MAP's unique database. C-MAP Norway A/S Box 212 - 4371 Egersund - Norway Phone + 47 51 49 42 34 Fax + 47 51 49 25 33 THE ELECTRONIC CHART STANDARD Maritime Reporter/Engineering News
