Downturn Evident in Bulgaria

By Simon Liddle

Intergame Online

The economic downturn has hit both the street and casino markets in Bulgaria and the first day of the 2009 BEGE show in Sofia reflected the times with only a handful of stands actually busy on day one yesterday.

“We knew that it was going to be a smaller show and the market is experiencing a downturn,” Janez Petkovsek of Advansys told InterGaming. “It has been pretty heavily impacted.”

Despite concerns that the market is struggling, Petkovsek suggested that some operators will soon begin to reinvest in their businesses. “No one will increase the size of their gaming floor but many will optimise what they have and manage their cash flow better,” he said.

Exhibiting in Sofia for the first time, Giorgio Abbiati of Italian supplier Abbiati said that the developments in Russia and Ukraine will provide new opportunities for the industry in the region. “Bulgaria is one of the most attractive areas to build new casinos, as people will travel from Russia,” he said.

However, the closure of casinos in neighbouring countries may be a mixed blessing for Bulgaria, particularly as a high number of used machines become available on the market. “It’s a struggle at the moment,” said Eurocoin’s Steve Smith, “but I can still see a horizon.

“They [used machines] won’t go into the general marketplace, they’ll go into the emerging markets. There will be a bit of a lull.”

One company aiming to offer new machines as well as delivering solutions for the influx of used machines is Bulgaria-based Casino Technology. Discussing the state of the market, the company’s Sonia Nikolova said: “The gaming industry is having a difficult time because most budgets are limited.”

Consequently, many operators are seeking inexpensive game conversions rather than new products, she explained. So in addition to the launch of its new slots games, CT is providing operators with the latest machine upgrade kits.

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