Cannibalization Concerns New York Racino

While owners of the New York racino Vernon Downs knew that the nearby Yellow Brick Road casino would cause some issues with losing revenue, they were not expecting it to be nearly $47,000 per week.

Remember, you never count out the little guy. Although the Oneida Nation-owned Yellow Brick Road casino is a relatively small property, with only 430 slot machines, and a 500-seat bingo hall, its revenues have been chipping away at nearby competitor Vernon Downs, to the tune of some ,000 per week according to Gary Greenberg, a minority shareholder of the racino.

“I never pictures this Yellow Brick Road would come in and the Sav-On gas stations would come in, “ Greenberg said. Those Sav-On gas stations are operated by the Oneidas on their land.

According to Greenberg, July 2015 showed the lowest net win since July 2007, while the numbers in June were the lowest since 2009. The net win for the week ending August 1 was $766,235, while the same week last year produced a net win of $851,022.

Although the win is down, coin in on slot machines rose from $42.7 million in June 2014 to $42.8 million in June 2015.