Casinos Austria retains pole position following Brussels-led deregulation.

Austria

One of the world’s oldest land-based casino markets, Austria has seemingly escaped the most serious effects of the global financial crisis while a recent round of deregulation instigated by Brussels has seen long-time stalwart Casinos Austria remain in pole position.

The history of the Austrian land-based casino sector goes back to 1934 with the establishment of exclusive operator Oesterreichische Casino and the opening of a venue in the Vienna suburb of Baden alongside facilities for the city of Salzburg and the ski resort Kitzbuehel exclusively offering French roulette and baccarat.

“The history of Austrian casinos began in spa-type or tourist destinations and the motivation behind their legalisation was to increase the number of visitors to these areas,” said Paul Herzfeld, boss of Vienna-based gaming advisory firm Herzfeld Consulting.

“Casinos were not legal in Austria before 1934 but there were similar venues in France and Germany and it was thought at the time that well-to-do and upper-class people would travel to these venues and enhance the status of the towns.” A fourth casino followed for the spa town of Bad Gastein in 1937 but the onset of the Second World War saw every one of the venues close only to re-open gradually following the cessation of hostilities.

“Casinos in Austria at this time were very much a minority attraction and were not the popular destinations that they have since become,” said Herzfeld, who served as deputy chief executive officer for operator Casinos Austria from 2006 to 2010.

Read the full article in the April issue of InterGaming