Georgia’s casino industry is at a turning point. With new tax policies raising concerns, neighboring countries like Armenia and Cyprus present a clear challenge. However, this isn’t about losing ground—it’s about seizing the opportunity to innovate and thrive. Darren Keane, Shangri La and Storm International CEO, offers insights into how Georgia can adapt and retain its status as a premier gaming destination.
Learning from Competitors
Armenia and Cyprus have established themselves as attractive alternatives for players. Their success is rooted in strategic policies. Armenia, for instance, offers casinos lower tax burdens and transparent rules. This simplicity appeals to players and operators alike.
Cyprus takes a different route by integrating luxury resorts with gaming. Tourists can enjoy casinos alongside high-end spas, fine dining, and cultural experiences. This model draws affluent international guests who seek more than just gambling.
The Impact of Tax Policies
Georgia’s 5% cash-out tax presents a challenge. Unlike winnings taxes in other regions, this tax applies to the total amount withdrawn by players, regardless of their losses. High rollers, who drive the majority of casino revenues, may feel penalized.
Darren Keane explains, “Policies like the cash-out tax make the playing field uneven. But this is a chance to rethink and improve.” He believes addressing these concerns could position Georgia as an even stronger competitor.
Opportunities for Georgia
While tax policy remains a hurdle, Georgia has unique strengths to leverage. Cities like Tbilisi and Batumi are already known for their vibrant atmospheres and hospitality. These traits can be further developed to appeal to high-profile players.
Casinos like Shangri La are leading the way by offering premium services. Luxury accommodations, personalized gaming experiences, and exclusive events keep players engaged. By enhancing these offerings, Georgia can continue to attract international visitors.
Collaboration with the hospitality sector presents another opportunity. Bundling gaming with hotel stays, spa services, and cultural tours creates added value for guests. This integrated approach could make Georgia stand out in the region.
Innovation as a Key Driver
Technology and data are powerful tools for innovation. Shangri La, for example, uses analytics to understand player preferences and tailor services. This personalized approach not only retains loyal customers but also attracts new ones.
Introducing unique events, tournaments, and entertainment can further elevate the gaming experience. By blending local culture with luxury, Georgia can offer something truly distinctive.
Advocating for Reform
Storm International is actively engaging with policymakers to explore reforms. Keane emphasizes that changes should benefit both the economy and the industry. Removing the cash-out tax for foreign players could make Georgia more competitive. Aligning land-based casino taxes with online platforms is another potential solution.
“Reform isn’t just about survival—it’s about growth,” Keane notes. Collaborative efforts between the government and the private sector could open new doors for the industry.
A Bright Future
Georgia has all the elements to remain a top gaming destination. Its stunning landscapes, vibrant cities, and strong hospitality sector provide a solid foundation. By learning from competitors and adapting to new challenges, the country can secure its place on the global gaming map.
Shangri La’s commitment to excellence is a testament to what’s possible. With a focus on quality, innovation, and collaboration, Georgia’s casinos are poised for growth. With proactive measures and a guest-first approach, the sector can continue to thrive, benefiting both businesses and the economy.