Published: 08.04.2020, 16:41
5 min read
The COVID-19 pandemic is having a huge impact on the global economy, as one-third of the Earth’s population is on mandatory lockdown. The coronavirus has caused a massive recession in revenue for individuals and businesses. Some industries, however, feel the effect more than others.
In Austria, for example, the gambling industry is going through challenging times. Since social gatherings are unadvisable due to the highly contagious nature of the virus, land-based casinos are in full closure. The lockdown leads to the temporary absence of profit, as well as to numerous layoffs.
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COVID-19’s Effect on Austria’s Gaming Industry
There is still no reliable estimate of the total profit loss of Austrian casinos during the lockdown. According to official statistics, on the 27th of March, Austria had a total of 7,181 confirmed cases of coronavirus. The pandemic is still raging, and it continues to be unclear when the contamination rate is going to decrease. However, it is already evident that offline casinos are losing enormous sums of money.
The strict social distancing measures that do not allow gatherings over five people affect all of the country’s gambling establishments, including the whole chain of Casinos Austria, which has 12 venues.
The restaurants that belong to this brand are also not functioning. Casinos Austria had to close its locations all around the country: from Innsbruck and Liz to Seefeld and Vienna. The closure will be in force at least until the 13th of April, meaning a minimum of a month-long shutdown.
As harsh as the restrictions might seem, Austria’s measures are not the most severe. Even Las Vegas, the world’s gambling capital, had to close the doors to all its casinos until further notice. The Vegas of the East, Chinese Macao, is slowly starting to recover from its 2-week closure in February. Countries with a critical contamination rate had to impose a curfew on their citizens. Egypt, Brazil, Puerto Rico, South Africa, and many others are still in a state of severe crisis due to the coronavirus.
Such strict policies, together with the quarantine and self-isolation initiatives, encourage people to stay indoors until the pandemic is over. These regulations are essential for safety reasons, but are incredibly unprofitable for the gaming industry.
The CMO and Product Adviser at CasinoNow Austria Portal, Ute Schreiner, states that the effects of the coronavirus on the gambling industry are long-term. However, even though the situation is challenging, online casinos will continue functioning and will find ways to offer bonuses to the players.
Future Prospects
Even though the COVID-19 pandemic has not yet reached its expected peak in many countries, there is already good news of it subsiding in East Asia. China reports the absence of new local infections. After two months of quarantine, the country has started to recover from the enormous impact that the coronavirus caused. The hopes are high that if EU countries continue carefully complying with the safety measures, the outbreak in Europe will clear out in the nearest future.
The social security system in Austria is actively taking part in reducing the spread of coronavirus. The federal government created a budget of four billion euros for crisis management. It is aiming to provide fast financial support to those in need. The authorities are also working on strengthening the supply chains for a stable flow of food and healthcare items.
The end of the pandemic will kickstart the restoration process of the global economy. For all the industries, including gambling, it will mean a new beginning and the return of revenue. If all goes well, the casinos will start functioning by the end of April, and the Austrian gaming industry will return to its normal workflow. However, it will still take some time for the customers to be able to invest in gambling the same way they did before the outbreak began.
In the current situation, every person has a responsibility and the power to contribute to general safety. Staying at home makes a difference, but people can spend time productively and with pleasure even during the quarantine. Online gambling is a perfectly safe option for those who miss their favorite casino games during the pandemic.
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Online Casinos During the Pandemic
The COVID-19 outbreak is a global emergency, as well as a test of everybody’s ability to adjust to new circumstances. For individuals, it means careful compliance with safety regulations and mutual help. Businesses, on the other hand, have to find ways to stay afloat during these rough times. A lot of companies are already searching for opportunities for a bailout, in case the pandemic situation lasts longer than they can afford.
The online gambling industry is an excellent example of flexibility. Virtual casinos are doing everything they can to promote their services to potential clients. They also invest a lot of resources to keep their loyal customers active. However, a lot of people are currently stressed about their health state and are doubtful when it comes to spending money on entertainment.
Even though it is possible to gamble online from the safety of one’s home, the upcoming six months will be challenging for virtual casinos. Due to this, there will be a lot of bonuses awaiting players, such as free spins and deposit matching. Such limited offers are beneficial for users and will serve as an additional motivation for them to play online during the pandemic.
Positive Tendency
The timespan of the coronavirus situation is still difficult to predict. Nevertheless, with collective effort, it is possible to overcome it in the foreseeable future. In various countries across the globe, the contamination rate is reducing with the help of social distancing and quarantine measures.
At this point, it is essential to follow the regulations, pay extra attention to hygiene, and avoid close contact with people. For those who enjoy gambling, eGaming is an excellent alternative to land-based establishments and a pleasant way to stay entertained during the lockdown.
