Andriy Prudky, business development and casino operations manager at Delfino Entertainment Ltd. talks to Lyudmyla Kyrychenko
“A borderless world.” That is what Andriy Prudky has lived both as a gaming executive and a human being. From the depths of an African jail to a the apex of an Azetc pyramid, he has seen it all. That includes witnessing three casino shutdowns, first in Kazakhstan, then in Russia and finally in Ukraine. The latter is just re-entering the casino business and Andriy has some sage advice for would-be operators—and for government officials—as you shall see. At present, Mr Prudky is a whole continent away from Ukraine and its birthing pains, overseeing the operations of Ghana’s foremost casino, Caesars Casino & Poker Club. In that capacity, he has been at the forefront of the gaming industry’s battle against Covid-19, which has set the business on its ear. The danger may be receding but Prudky is ever-vigilant and has some strong words for an industry emerging from the crisis …
Please tell us about yourself and your background and experience in the casino industry?
Almost 20 years ago, I started my career in gambling by attending the croupier courses in one of the first casinos in the city of Zaporizhzhya. That was a foreign company under English management, which gave me a certain level of professionalism along with an impulse for future achievements. A year later, I got an offer to join Eldorado Gaming International in one of their Kazakhstan branches. This was the place where I did my first dealer formations as well as got my first middle-management position.
Lately I was unlucky enough to witness the industry ban in Kazakhstan, then another one while being employed in Eldorado International in Vladivostok and finally in 2009 in Ukraine.
However, “every cloud has a silver lining” and I kept on gaining new skill abroad while taking a part in projecting and managing various gambling properties in the Democratic Republic of Congo, Congo Brazzaville, in Morocco, on cruise ships and finally found myself in Ghana.
After a long way through all available departments and positions in land-based casino projects, I have being identifying myself differently in different times and location. Recently I like to see myself as a “casino operations engineer” and an expert in casino projects’ strategic planning and management
How has the last year been for you?
I guess gambling and entertainment businesses are the most affected during this strange time. Unfortunately, we were not an exception. I can only thank the government of Ghana in their efforts to keep the economy alive and protect the wellness of Ghanaian people. Only because of the timely action being made have we managed to pass the hardest part of the pandemic with the minimal losses.
These times taught us to value our guests and employers more than we ever did; we also got some valuable lessons on cost-consumption engineering, staffing management in crisis times and urgent-business-process optimization.
No matter what, we overcome all difficulties and look forward with great optimism.
What can you tell us about Delfino Entertainment and your role with the company in Ghana?
Delfino Entartainment is currently managing the first and best gambling property in Accra, Caesars Casino & Poker Club. we are well-recognized as the best casino destination in Ghana and I am happy to be associated with this project.
Apart of the business development responsibilities, I am also involved in daily operational management, marketing and strategic planning.
Can you explain a bit about the difficulties created by COVID-19 and what action you’ve taken to overcome them?
We are witnessing an extraordinary situation for the modern humanity, given the interdependence of the world’s economies and humankind’s stand in fighting the pandemic's aftereffects. Here in Ghana we find ourselves well-involved in global processes and passing our exams in fighting COVID on a daily basis.
We used the lockdown time to reinforce ourselves, renovate the casino floor and get ready for the challenging pandemic-times operations.
Fortunately, the Ghanaian government did an extraordinary effort to minimize the damage from lockdown measures and we, as a part of B2C and entertainment business, responded responsibly to these tumultuous times. As I mentioned earlier, the health-protection measures we follow are exceptional and not limited to a social distancing, usage of the protective equipment and sanitizing. We have also developed and implemented completely new procedures in customer servicing, internal affairs, employee communications and rotation. As a result, I am proud to say that we managed to not only survive but also grow our business, keep all our employers safe and protected, avoid implementation of staff-separation programs and make our players feel safe, protected and cared.
What is on your wish list for the reopening gaming market in Ukraine over the next five years?
I am carefully following the Ukrainian legalization process and feel cautious optimism about the recently established Gaming Commission and its performance.
I have been to Kazakhstan before it proclaimed the gambling illegal, then caught the same processes in 2007 in Russia and, after coming back to Ukraine the same year, I realized that we were heading the same direction. In those days Ukrainian gambling was poorly controlled and regulated, the market was overinflated and badly managed. “Slot halls” were literally everywhere, new casinos opened monthly and the industry’s impact on the social life of the country became too conspicuous.
A lack of professional casino experts together with extraordinary market growth led to the decline of service quality, which, in turn, has had an adverse impact on public opinion. Interdiction efforts from the government became obvious and imminent.
I can only hope that Ukraine would not follow the same frame again and will try to gather and implement the best practices in regulation of the gambling activities. I also hope that Ukrainian Parliament will heed industry experts on tax optimization as well as declining the idea of the winnings tax.
Unfortunately, the current situation remains unpleasant for the existent operators and prospective investors as, on top of the expensive permissive license, all offline casinos would have to pay a separate tax for each table and slot machine they use, as well as obtaining the license for each of them.
Then there is the corporate and military tax of 19.5 percent. What is now hopefully will be reviewed is the 19.5 percent tax on winning and 10 percent of gross gaming revenues. Such a tax policy, if implemented, would rather kill the industry at its root or push it back to illegal operations. None of the respected international operators would ever made such an expensive investment into such a high-risk environment.
After paying tax and license fees, land-based operators would also have to manage operational costs and expensive rental payments that would finally make the gambling projects a wasteful investment.
Nevertheless, I hope for governmental prudence at the end of the day and wish to the Gaming Commission all success in not only regulating but also lobbying the business interests.
What excites you most about the reopening of the Ukrainian market after so many years and what aspects of this new era make it better than pre-2009?
I guess that limiting the casinos to hotel properties and resorts was a great idea, and believe that it will give a new impulse to the tourism industry while keeping the gambling facilities’ geography reasonably strict.
I hope that Ukrainian rulers will heed the business wishes and arrange the taxes and licensing policy to appropriate level so we will see more internationally recognized companies enter the market. Top companies would not only bring the investments to Ukraine but also the managerial frames, hospitality and transparency in business relations that were missing so much in 2009
In addition, social responsibility should be on the top of the table for the industry leaders, so we would all together built up a positive image of legal gambling and its impact on our social life so that interdiction efforts would not be ever applied again
What are amongst the company’s primary goals for the next 12 to 18 months?
First of all are are heading towards with the will to finally overcame the Coronavirus crisis, and keep all of our employees and guests healthy and safe, as well as maintaining the same level of proficiency and hospitality.
Introducing some new gambling solutions to the Ghanaian market is also on the top of the list for us, as well as brand development with deeper influence on the social media and social projects. Finally we are making research to expand our presence in Ghana and strengthen our leading position.
Are casinos becoming more electronic?
The modern world becomes more and electronic each year and modern casinos follow the tendencies.
Online gambling platforms and resources become the trend generators for the offline business segments and are gaining influence on a daily basis. Betting offices and offline betting retail are fading while the online part of it is experiencing spectacular growth.
Nevertheless, I have to admit that as an offline casino executive I am very happy to see such a course of gambling development. More and more players are engaging with a live game after trying it online, rather than the reverse. Offline poker was showing a constant growth before the pandemic despite online poker gaining its power ,and I can hear more and more players waited eagerly for the offline events.
In summing up, I recommend the on- and offline gambling retailers to find the synergy that would lead to a mutually beneficial cooperation, and bring the “closed loop” business model in to gambling sector. This would guarantee the maximum market outreach, diversify the risks and increase the profits.
When you are not at work how do you relax?
Five or six years ago I fell in love with running. That later turned into a long-distance triathlon. During the last few years I have successfully finished a couple of marathons and an Ironman 70.3 distance (one of the long-distance triathlon challenges) and I have discovered that Ironman preparation is very similar to a project management. Both of them demand excellence in planning for months or even years advance, compliance in daily tasks, strict discipline, willpower, self-control and sacrifice but end up with a remarkable experience when crossing the finish line or the project launch. Besides, there are many inspiring stories to witness on each Ironman event, the same as when communicating with different experts on a business project.
When and how did you first become interested in the casino industry?
While studying at the university at 2001, I entered the casino at the very first time. The best friend of mine brought me there on Friday night and the very next day I got an offer to attend for the dealers’ training school. It appears that one of my classmates was already working there and saw me that night. Life circumstances those days pushed me to accept his offer and the following year I was combining university studies during the day and casino shifts at night. The following year I got my first international job offer, travelled to Kazakhstan and begun my multi-year casino story
Looking back over 20 years in the casino industry what are amongst your standout memories?
I am grateful for each year I spent abroad because of the hundreds of beautiful people I met, the different cultures I delved into, the languages I learned, the industry professionals I’ve met, the friends on each continent I’ve earned, for the splendors of nature I saw, for the storms and earthquakes I lived through, and for the feeling of a borderless world I gained.
I was kidnapped from my workplace by the National Security Agency while worked in DR Congo and spent three unforgettable nights in an African prison. I have crossed the Atlantic Ocean by land and by sea, dove the Mexican coast in a submarine, saw the beauty of the Moroccan desert and Norwegian fjords’s calmness, Aztec pyramids and ancient cathedrals of Europe, and more and more and more…
All of the above made me to see how beautiful, diverse and fragile the world is, and how attentive and careful we should be to everything and everyone surrounding us.
What do you see as key for player engagement and retention during the year ahead?
Safety and health protective measures have become the major challenge we face. The COVID pandemic is yet demanding tremendous efforts on preventing the prospective risks and those who challenge it better will succeed.
Personal relationships we built with our guests during these strange times enhanced our relationships and our brand recognition as well.
Talking of the business-related issues, I would recommend that offline-gambling projects be as multifunctional as possible and not to ignore the online-market opportunities; I would mention the proper targeting and marketing strategies in between the key areas for growing its prospective audience—and trusted-customer relationship build-up as the key for guest retention. To the online gambling retailers and platforms, I would suggest they think globally and go global, as well as considering the offline presence as a brand consolidator, a natural way of development and customer rapprochement.
What advice would you give to new entrants to the Ukraine market?
To new entrants of the Ukrainian market I would suggest to make a budget for the market-demand examination before starting a bigger investment and to set up the highest possible business standards they will follow no matter what. Hope that the gambling industry, in all of its manifestations, comes to the right conclusion after 12 years of being banned and will not repeat the mistakes of the past. Wish that all of us that show obedience to law, business transparency, and equal respect to employees and guests as a default profile of the reborn industry.
I would be happy to see that the respectful international companies will see the potential that Ukraine has to offer, and will finally get positive feedback and affirmative action from local lawmakers
Stay positive, work hard and you are bound to succeed.
......... Interview originally published July 2021 Casino Life Ukraine Issue 04 .............
