In the summer of 2023, Canada introduced the world to its biggest casino to date. The aptly named Great Canadian Casino Resort in Toronto consists of 328,000 square ft worth of gambling and entertainment. In terms of games, you have 4,800 slot machines and 145 table games to choose from. For entertainment, there’s the 5,000-seater entertainment venue designed for live music, comedy, and other special events. Clearly, this is no ordinary casino complex—it stands as proof of the nation’s confidence in casinos as profitable entertainment venues. The opening of this $1 billion resort, however, is undeniably fraught with risk, particularly given that the effects of COVID-19, inflation, and changing demographic preferences have majorly impacted the profitability of brick-and-mortar casinos.
In the post-pandemic world, the entertainment industry is still trying to establish consistency. Casinos, which were once thought to be recession-proof, now struggle to stay profitable. People still visit them, but fewer people gamble. This contributes to the dip in annual revenue that most Canadian casinos are experiencing. For some, it’s not the cost of gambling itself that puts them off visiting brick-and-mortar venues, but the unaffordability of going out. The cost of transport, food, and drink, in addition to all other expenses, can add up. This can lead to people favouring online casinos over physical ones.
By opting for online casinos, gamblers can play blackjack and poker from the comfort of their living room. So why should they even visit physical casinos? Plus, they’re more economical in the sense that they offer bigger bonuses, which allows players to stretch their gambling funds further. And, as experienced gambling copywriter Jamie Wright points out, online casino apps come with a range of depositing and withdrawal methods, which include eWallets and cryptocurrency. While some casinos across the US and Canada now accept cryptocurrency, not all of them do. Overall, the benefits of online casinos far outweigh the benefits of traditional in-person gambling, which has contributed to the decline of the latter.
However, that’s not to say that digital casinos are a force of evil in the world of Canadian gambling. Tax revenue generated by online casinos is, understandably, substantial. This is unsurprising, given that 3.2 million adults in the country (12 percent) regularly use online casino sites. The federal government is expected to receive around $450 million in tax revenue from online casinos in 2024. So, while physical casino revenue may be diminishing, online revenue is definitely increasing, which balances things out and ensures that gambling’s contribution to the entertainment economy remains substantial.
There is, therefore, an element of synergy between online and brick-and-mortar casinos: they shouldn’t be considered to be at loggerheads, but rather mutually beneficial. While physical casinos look to re-establish themselves in the post-COVID world, online casinos will tide gambling over in terms of economic contributions. At the same time, physical casinos are promoting the virtues of online gambling by establishing their own online platforms. For example, the company behind the aforementioned biggest casino complex in the country, Great Canadian Entertainment, allows gamblers to play their favorite slot and table games using their online platform.
Online casinos can provide an extra source of income for the country’s major casino complexes, which helps the physical venues remain open. They also help Canadian casinos maintain their huge workforce. Across Great Canadian Entertainment’s 25 gaming properties, around 7,000 people are employed. This figure isn’t limited to game room attendants but also includes cage cashiers, security officers, surveillance operators, cleaners, dishwashers, financial managers, business development coordinators, and so on.
Plus, the online realm of casino games generates a whole host of new jobs that never even existed during North America’s casino peak. Specifically, online casinos require software developers, AI and machine learning operators, game designers, and online administrators.
How does this translate in terms of figures? Well, the online casino industry in Canada is forecast to offer over 25,000 positions in 2024. This is a huge jump from 2021 when only 15,000 jobs were directly created by the online casino industry. This figure is small in comparison to the total number of Canadians employed by casinos on the whole. Currently, the sector employs over 135,500 people, making it the most significant entertainment labor market in the country.According to GlassDoor, the base pay of Canada’s casino workers falls between $40k and $72k per year. Clearly, Canada’s casinos remain a cornerstone of the country’s job market. So much so, that it justifies the building of new casino venues.
Canada’s casinos remain a cornerstone of the country’s job market. So much so, that it justifies the building of new casino venues. The huge complex in Toronto isn’t a one-off; casinos are being announced, built, and extended every year. The Saskatchewan Indian Gaming Authority (SIGA) recently announced that they were investing millions into extending the Northern Lights Casino by 31,000 square feet. Elsewhere, Bear Hills Casino & Travel Resort opened its doors in Alberta earlier this year and Ace Casino Airport opened next to Calgary International Airport in 2022.
There are always new casinos in the offing, ensuring that the sector will continue to fuel the entertainment economy and boost job markets in Canada.