http://online.wsj.com/article/AP80153acb431a43a3a7bb30fd2edd5481.html
Associated Press
SARATOGA SPRINGS, N.Y. — A study commissioned by the Jockey Club cites casinos, online poker, and poor public perception of horse-racing as major factors in the decline of the racing industry.
The consulting firm McKinsey & Company presented the findings of its study on Sunday during an annual Jockey Club Round Table. The study will form the foundation of a multi-million-dollar series of initiatives over the next several years to move the sport forward.
While the study determined that racing has lost substantial gambling market share to casinos and online poker, it also identified strength in the core product. Kentucky Derby attendance is up by 8 percent since 2000. Betting handle on Grade I and Grade II races has increased by 23 percent per race over the past decade.
However, the study notes that overall betting handle is down by 37 percent, and attendance at racetracks is down by 30 percent.
If current trends continue, the research firm estimates, thoroughbred racing will lose fans at a rate of 4 percent a year, and by 2020 the fan base will be only 64 percent of what it was in 2010.
Only 22 percent of the general public has a positive impression of the racing, the report said. In the face of racing's decline in image, commercial casinos in the United States grew 34 percent from 2001 to 2010. Casinos at racetracks now account for $6.7 billion in wagering.
There are currently 854,000 slot machines in 939 casinos across 38 states. For a new bettor, online and casino gambling offer significant advantages over thoroughbred racing. They are available around the clock and easily learned.
The report said current trends will lead to a 27 percent decline in number of viable tracks, a 25 percent decline in tax revenue paid to states and a 50 percent increase in losses to horse owners by 2020. Negative trends in the breeding industry will also steepen as the demand for horses declines.
Associated Press
SARATOGA SPRINGS, N.Y. — A study commissioned by the Jockey Club cites casinos, online poker, and poor public perception of horse-racing as major factors in the decline of the racing industry.
The consulting firm McKinsey & Company presented the findings of its study on Sunday during an annual Jockey Club Round Table. The study will form the foundation of a multi-million-dollar series of initiatives over the next several years to move the sport forward.
While the study determined that racing has lost substantial gambling market share to casinos and online poker, it also identified strength in the core product. Kentucky Derby attendance is up by 8 percent since 2000. Betting handle on Grade I and Grade II races has increased by 23 percent per race over the past decade.
However, the study notes that overall betting handle is down by 37 percent, and attendance at racetracks is down by 30 percent.
If current trends continue, the research firm estimates, thoroughbred racing will lose fans at a rate of 4 percent a year, and by 2020 the fan base will be only 64 percent of what it was in 2010.
Only 22 percent of the general public has a positive impression of the racing, the report said. In the face of racing's decline in image, commercial casinos in the United States grew 34 percent from 2001 to 2010. Casinos at racetracks now account for $6.7 billion in wagering.
There are currently 854,000 slot machines in 939 casinos across 38 states. For a new bettor, online and casino gambling offer significant advantages over thoroughbred racing. They are available around the clock and easily learned.
The report said current trends will lead to a 27 percent decline in number of viable tracks, a 25 percent decline in tax revenue paid to states and a 50 percent increase in losses to horse owners by 2020. Negative trends in the breeding industry will also steepen as the demand for horses declines.
Last edited by a moderator:
hno: @)
