aking into account what you could perceive, what has been the industry's performance during 2010?
2010 has been a year of cautious optimism for the gaming industry with growing excitement about the future. 2010 was a tremendous year for TransAct with increasing ship share in the domestic market, winning performance in the Italian VLT market, and the successful launch of our Epicentral Print System at G2E. TransAct now has the ability to provide casino operators a simple to use and easy to install way to deliver promotional coupons to players at the slot machine. In addition, we expanded distribution, both domestically and internationally. Our expansion into the Latin American market with our partner Hanco is driving new relationships with casino and OEM customers all over Latin America. We see tremendous opportunity in Latin America with a level of excitement that rivals the TITO rollout in the US.
What are the main problems that are affecting your business? Which are their potential solutions?
TransAct has provided a dual-port printing solution to the industry for quite some time now. The dilemma has been the need for ”the final mile” to utilize the secondary port and drive coupons to players at the game. TransAct now has the ability to provide the applications, the server to interface with the systems, and of course the Epic 950 printers to casino operators so they can communicate with players while they are playing. The Epicentral solution includes the Epicentral Coupon Layout Generator, the Epicentral Server Manager, and Epicentral Mobile Host which allows casino hosts to reward players as they communicate with them on the casino floor.
Among the markets in which you operate, which one has experienced the most notorious growth? In your opinion, what is the reason for that?
There were many exciting markets throughout the world in 2010, but if we have to name one market, it would have to be Italy. The Italian market and its widespread adoption of Video Lottery Terminals was very exciting in 2010 and looks to continue into 2011. TransAct successfully won the vast majority of business in Italy with our superior Epic 950 product.
Which one of your products has generated a higher level of sales during 2010?
As a global leader in transaction printers, TransAct has had several successful products across several industries in 2010. Having said that, the Epic 950 has been an extremely successful product for the Casino, gaming and VLT markets during 2010. The Epic 950 has clearly separated itself as the industry’s best TITO and VLT printer product. In 2010 we have seen casino operators make absolutely sure that they specify the Epic 950 when ordering new or replacement gaming machines. Additionally, the roll-fed Epic 880 printer has gained a significant position in gaming markets that require only a ticket-out versus a TITO printer. The Epic 880’s success can be attributed to its compact footprint, flexible paper handling and winning price point. This product has been a winner in Fixed-Odds Betting Terminals (FOBT) as well as other VLT markets.
Which country has more margin of growth facing the coming year? Why?
Once again, there are opportunities moving forward all around the world. However, few opportunities are as exciting as Latin America. With the ever expanding adoption of TITO throughout many of the Latin American countries TransAct is looking to provide casino operators with the best printer available, but also allow them to effectively communicate and drive promotions to their players. Latin American operators are increasingly interested in evaluating new technologies and the Epic 950 printer provides them with a choice to use the most advanced printer technology available today.
In your opinion, what is the most important change at the legislative and regulatory level that had taken place this year in Latin America?
Regulatory concerns regarding the definitions of Class 3 gaming in Mexico was big. It was very important that the industry received greater clarity regarding Class 3 slot machines in Mexico. Now, the operators are on a more level playing field, and with greater legal clarity the operators and machine manufacturers can plan for and pursue more growth in this market.
Which opportunities or disadvantages does this changes mentioned in the previous question generate for your company?
Our hope is that the future will bring further changes in the regulations in Mexico that will permit "Ticket-In/Ticket-Out" and bill validators, as this will give the operators much greater operational efficiencies…and create tremendous growth opportunities for TransAct Technologies.
What do you expect for 2011?
We expect growth in TITO systems throughout Latin America, particularly in Argentina, Colombia and Peru. Perhaps there will be some progress on the Bingo legislation in Brazil, as that represents the greatest potential growth market in the region, if not the world. These opportunities represent tremendous opportunity for all.