In Australia, primary source of revenue for pub owners seems to be poker machines. However, a new generation of pub owners are in town, looking to distance the type of venue from relying on gaming revenues, and looking at generating profits via a unique entertainment and dining experience.
Recently, two former gaming venues were sold to entertainment-based buyers. The Welcome Hotel and the Australian Youth Hotel have been bought by investors, who are more interested in providing an entertainment experience for patrons rather than a gaming experience.
According to a report in the Sydney Morning Herald, many pubs have failed in recent years, as they were located in areas that did not suit their offerings. The neighbourhoods in which the Welcome Hotel and Australian Youth Hotel are located are full of individuals looking to indulge in high-quality food and have an entertaining night out – rather than simply playing pokies.
This is an interesting new strategy for pub owners, but we are eager to see the results. It will be encouraging if the pub experience a great deal of success. It would mean that pubs would no longer have to rely so heavily on gaming to produce profits.