Quote:
Originally Posted by josephthepimp
You would think. Also it's great advertisement. Point out how much you pay to play at playground and show people that you are charging significantly less. Recreation players just don't know and the ones that do know really don't care. Seems like a great promotion to try to drive people in. They've got to try something before it's too late.
Because Stan (
aka Snake) is smart enough to realize that this is a short-term solution at best? Starting a rake-war with the other rooms would lead to nothing but lower revenue for all rooms. Just like all the smoke shacks started fighting for clients in past years by lowering lowering and lowering prices until now there are a hundred shacks but they're making cents on the dollar per case now compared to the $$$ they used to rack in before they started the price war.
If Snake's actually did lower to $5 (and trust me when I say they would have to also lower their services to match), and
IF (which is not necessarily the case) the clients left Playground to go to Snake's instead and actually hurt Playground's numbers enough - they would probably end up lowering their rake (and consequently their services) to get them back, and in the end the situation would be pretty much the same - except now
BOTH clubs would be making less money.
Of all the Montreal area rooms, the only one that could conceivably lower their rake without crippling the business would be the Casino de Montreal, because they don't give you **** in the way of services anyway, and they're more than adequately funded by the slots and table games to be able to absorb the lowered revenue from poker.