Willingness to pay for casino-based integrated resorts: A choice experiment

Abstract

As a new tourism vehicle, many casino-based integrated resorts are developed by several Asian countries to revitalize their sluggish economies. The aim of this study is to better recognize what principal attributes of these integrated resorts are considered by South Korean tourists and how much money they are willing to pay for each attribute. Using a choice experiment, this paper also intends to identify differentiated preference patterns embedded in casino users and non-users. Results of this study indicate that respondents implement intricate trade-offs among different integrated resort attributes to obtain the greatest amount of utility. Results provide supportive evidences that casino tourists place the heaviest weight on the attribute associated with a range of integrated resort facilities. A segmentation approach based on respondents’ experience of using casinos suggests that casino users show stronger preferences for free casino entrance policy than casino non-users. Useful management strategies are discussed based on study results. © 2021