Casinos in Berlin: How much are they suffering from the online boom?

Berlin's casinos have to defend their territory. And against competition that knows neither bouncers nor dress codes. While online casinos lure players with colorful banners, welcome bonuses and the promise of round-the-clock action, traditional casinos are countering with glitz, glamour and a pinch of exclusivity.

But how much pressure are the traditional establishments really under these days? And how do they manage to hold their own?

A look at the casinos in Berlin

Berlin currently has four official casino locations, all of which are operated under the Spielbank Berlin umbrella brand. Each of these branches has its own focus and appeals to different target groups.

The best known is probably the main branch at Potsdamer Platz - a house of superlatives that offers a wide range of slot machines as well as classic tables for roulette, blackjack and poker. The location in the Ellipse Spandau is considered to be somewhat more intimate and more geared towards regular customers. The casino at the television tower in Mitte scores with its central location and tourist flair, while the casino on Kurfürstendamm impresses with its stylish ambience.

What they all have in common is a regulated, state-controlled operation that meets high safety standards and must adhere to strict legal requirements. This applies not only to the types of games, but also to the protection of minors, the prevention of addiction and the payout policy.

At the same time, they contribute to the financing of public tasks through concession fees - a point that is often credited to them when it comes to the social legitimacy of gambling.

The online boom is shaking up the market - but not everyone is losing out!

Online casinos have enjoyed a veritable triumphal march in recent years. This was made possible not least by a legal gray area that was exploited for a long time by operators outside Germany. A nationwide State Treaty on Gambling now applies, which sets out clear rules - but the dynamics of the internet cannot simply be captured in paragraphs.

Digital gambling platforms are available around the clock, require no travel, no dress code and often offer a gigantic selection of games.

Particularly tempting: many providers entice players with a no deposit casino bonus - an invitation to risk-free gambling, which is of course not possible in traditional casinos. Online providers are officially only allowed to offer slots, not table games such as roulette or blackjack. But this is precisely where the big difference lies, which gives brick-and-mortar casinos an all-round advantage.

As a result, while arcades and small providers are suffering massively from digital competition in some cases, casinos are often more successful in retaining their clientele. Numbers are stagnating or falling slightly, but a dramatic slump has yet to occur. This is not least due to the fact that many players are looking for something special - the real gaming experience, the thrill at the table, the interaction with croupiers and fellow players. An app can hardly imitate this.

What's missing online is still attractive offline

What many users of online casinos often don't know: Table games such as roulette, baccarat or classic poker may only be offered in licensed casinos in Germany. This means that no online casino, no matter how modern, is allowed to advertise these formats, at least not legally. So if you don't want to miss out on the thrill of the “real game”, sooner or later you will have to make your way to a casino.

For many, this is precisely part of the attraction. The opportunity to take a seat at a real roulette table, stack up chips and wait for the magical “Rien ne va plus” creates an experience that digital equivalents have not yet been able to replicate in the same quality.

Poker tournaments with live players, professional dealers and a real tournament structure also remain an offline domain - a competitive advantage that casinos are using to assert themselves against their digital competitors.

Between regulation, taxes and illegal competition

The market in Berlin is more complex than it appears at first glance. In addition to legal casinos and licensed online offerings, there is a third level: the illegal gambling sector. This is growing rapidly, not least due to stricter regulations and higher tax burdens for legal providers.

Traditional gaming arcades are particularly hard hit, as they suffer from strict regulations - such as stricter distancing rules and the increase in amusement tax to 25 percent. In combination with falling margins and fewer games on offer, many operators are coming under pressure.

As a result, more and more players are switching to illegal offers - partly online, partly unofficially on site. Berlin has already reacted to this. The city is trying to push back the black market by setting up a task force against illegal gambling and conducting large-scale raids. Betting shops, backroom casinos and manipulated gaming machines are also being targeted.

Casinos themselves are less in the spotlight. Their comparatively strong position in the market, coupled with high investment volumes and clear controls, protects them from the abrupt loss of customers. Nevertheless, they are also aware that gaming behavior is changing - not dramatically, but noticeably.

Why casinos are far from being a thing of the past

The appeal of a casino is more than the sum of its slot machines. It is the ambience that convinces. Red carpet, dimmed lights, well-dressed staff and a feeling of an event that has little in common with the quick click on the “spin” button in an online casino.

For many, a visit to the casino is still part of a special evening, comparable to a visit to the theater or a dinner at a Michelin-starred restaurant. People get involved, dress appropriately and enjoy the excitement as part of an overall experience.

At the same time, casinos are also evolving. New branch concepts, modernized slot machine rooms, culinary offerings and event formats ensure that the audience is not just made up of regular players. Tourists, younger target groups and occasional visitors are also increasingly being targeted - with success. The classic casino is adapting without losing its character.

The online boom is changing the market

Gambling in Berlin is changing. Digital competition is strong, the black market is growing and the legal framework is changing the playing field. But casinos are holding their own. They benefit from exclusive rights, a unique experience factor and a clientele that is looking for more than just quick winnings.

While casinos are fighting for their existence and many online providers are struggling with regulatory hurdles, Berlin casinos are focusing on quality, security and doing what they do best: Creating atmosphere, staging excitement and keeping the glamor of the game alive. Anyone who believes that the brick-and-mortar casino is a thing of the past is underestimating the power of “real gaming” - without an app, loading time or bonus code.