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Credit Crunches UK Poker Circuit

Over the last couple of years I frequently reported on the healthy state of the UK's poker circuit. A few weeks ago, it failed a medical, as the GCBPT (Gala Casinos British Poker Tour) became the first casualty of the current economic crisis.

Although not as big or successful as the Grosvenor UK Poker Tour (GUKPT), the tour had found a niche at the £500 buy in level (compared to the £1,000 of GUKPT), so the decision to discontinue it surprised many in the industry. Although no formal press release was issued, inside sources claim that the tour was not financially viable and that the group wishes to concentrate its marketing resources on their online gaming operations.

The tour launched in 2007 as the Great British Poker Tour but was re-branded in 2008 to include the host casino group's name in the title, and consisted of a series of mini-festivals featuring £100 side events and a £500 main event at six locations in England and Scotland. Like GUKPT, the first season of the tour was filmed and broadcast by a major UK television station. Unlike GUKPT, event organizers paid the buy-in and entry fees for up to a dozen well-known UK players to ensure recognizable faces in the TV coverage.

Although TV coverage was dropped for the tour's second season in 2008, they strangely continued the practice of giving several name players free entries. Perhaps this was a contributing factor to the tour not being financially viable. From most players' perspective, the decision not to continue the tour looks strange, as many were tipping 2009 to be its most successful year to date.

Meanwhile, GUKPT has already had a successful start to its third year. The first leg of the tour took place in Brighton last month and throughout the weeklong festival, numbers were considerably up on the previous year. With no serious competitors, GUKPT looks set to capitalize on the demise of its rival.

As one of the main driving forces behind GUKPT, we have worked very hard over the last two years to establish the tour as the premier live poker experience in the UK, but also had to bear our running costs in mind. To ensure the continuation of the tour, we had to prove that it could be run profitably.

Despite adding over £150,000 to the 2008 prize pools, the tour managed to turn an operational profit. For 2009 Grosvenor Casinos and online site Blue Square Poker, who jointly run GUKPT, have once again put up £150,000 in added value. Given the success of GUKPT, both in its reception from players and from the profitability perspective of the host casinos, it seems strange that Gala casinos decided to pull the plug.

Sources from within Gala claim that they will continue to run poker festivals later in 2009, but not in the format of a tour. But having decided to abandon the perfect marketing vehicle that their tour was, these events will almost certainly be overshadowed by more visible offerings from rival casino chains. For Grosvenor casinos, their poker rooms have to be run as profitable entities in their own right, not simply as loss leaders to support the gaming floor. It should also be in the interests of players that poker is run profitably, to ensure the long-term survival of the game within the casino environment.

Jonathan Raab is a poker consultant and tournament reporter. He also represents online poker site Blue Square at live poker events in the UK and Europe, and manages the GUKPT. Email Jonathan at jr@bluesq.com

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