To most Australians, Woolworths is a brand name that is associated with groceries. Residents think of Woolworths and they think of a place to buy milk and eggs, rather than a company that provides pokies. However, Woolworths is coming to depend more and more on its gambling business, as its pokie operations have proven to be quite lucrative. Years ago, Woolworths only operated retail and grocery stores.

However, this business declined in recent years, as a great deal of competition emerged in the retail market. Woolworths then started focusing on its hotel arm and partnership with the Australian Hotels Association, operating its poker machines and reaping the generous profits. Woolworths currently operates more than 11 500 pokies across the country.

While this is just a portion of the pokies available in Australia, it far exceeds the number of pokies available at the six biggest casinos in Las Vegas. As such, the company is taking in a great deal of valuable revenue from its gambling business, earning upwards of $200 million per year from pokies.

The company will see its revenue boosted this year, and its earnings will compete with those of Echo Entertainment – one of Australia’s biggest casino operators. The increase in business is due to the disbanding of the pokies duopoly in Victoria. Now that TabCorp and Tatts Group no longer have the right to operate all of the poker machines in the state, Woolworths has been able to move in, raking in significant share of the market.

Rather than splitting Victoria’s profits between Tatts Group, TabCorp and the local government, individual club owners and pokie operators will earn their fair share. Since Woolworths owns 16% of the pokies in Victoria, the company can expect a generous windfall this year and for years to come.

Although nationwide poker spending has declined, Woolworths can continue to look forward to a promising future in the gambling market. Only expansion is foreseeable in Woolworths’ future, and we’re sure the company will take advantage of the opportunity.

About the Author

George Anderson
Author George, has over 25+ years’ experience in the Pokies and Casinos industry throughout Australia and New Zealand. Loves to research new Pokies games on the block and follows announcements from top industry providers about their upcoming releases. As soon as a new interesting pokie game appears on his radar, George is there to check it out and give you the scoop before anyone else and tell you about all casino sites where can play the latest game. Before this gig, George worked as Pokie game tester, making him an ideal candidate for this genre of work. He is also an animal lover and a proud owner of three dogs.