Tag Archives: contingency

Casino Marketing and Technology

Harvest Trends recently debuted a new CRM product, built specifically for casino hosts and their team leaders, at the first combined Casino Marketing & Technology Conference in Las Vegas. While we were there, we met lots of great folks and heard some very informative sessions on the challenges faced by casino marketers and how those challenges can be overcome. As a result, the conference, which provided the perfect blend of marketing & technology information to casino operators from around the world, introduced us to (and reminded us of) some things that will enable casino marketers to be more competitive in an increasingly connected and customer-oriented marketplace.

Steve Browne and Dennis Conrad of Raving Service and Raving Consulting, respectively, were each the recipient of a Lifetime Achievement Award during the conference. During their acceptance speeches, they both repeated their oft-stated opinion that casino marketers are behind the curve when it comes to utilizing technology to effectively communicate with and market to their patrons. (After the conference, Amy spoke with a high-end blackjack player who confirmed that these gentlemen were correct. Not only do casino patrons often receive offers that don’t apply to their preferred activities, but the offers are sometimes seen as insulting or inconsiderate of the effort the patron would have to expend to take advantage of the offer, even when they are interested in them.)

The next day, Tim Huckaby (CEO of Actus Interactive, who is also an executive with Microsoft and several other prestigious technology companies) told attendees of the final afternoon keynote how technology, hardware, and associated software have continued to become more affordable and how they can improve engagement and interactivity between patrons and the brands they like. This means that affordable solutions to many problems encountered by casino marketers are readily available…but as an industry, we tend to stick to the tried-and-true, even if it’s not working as well anymore. Tim’s keynote indicated that it’s no longer prohibitively expensive to utilize the latest tools and integrated services to draw in new patrons and continue to keep them interested using a combination of technology and service.

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Long story short, there are a number of technology companies who are positioned to partner with casino marketers to enable them to meet customer expectations and drive more bottom-line revenue for their property. The gaming vertical is virtually crowded with vendors who can simplify the processes necessary to provide a more customized experience to casino patrons. It really is as simple as finding the right partner to help with your mail segmentation (and testing programs), modify your messages to make them more amenable to variable data points, identify your players of interest and opportunity, manage your communications with them, and track the effects of your efforts so you can refine them as you go.  To make it even more advantageous, you could choose only the services you need to keep costs in line. Bringing on a technology partner doesn’t mean you’ll have to invest a ton of money in software or hardware, nor does it require a long-term commitment in some cases.

If you found a partner who could enable you to do almost anything your heart desires, what would you do? What A/B testing would you conduct? How many segments (and by what data points) would you divvy up your mail file into if there were no limits? What changes would you make to your rewards program or club tiers or player development function?

When you have the right technology partner, virtually anything is possible. Do some online research, talk with your counterparts or folks with similar titles at other properties, go to a conference, do whatever feels right to you; but start looking around to discover what resources are available to help you do what you do even better!

Ask Harvest Trends how we can help you accomplish more and spend less, driving more bottom line revenue and patron satisfaction. It’s what we do.

6 Tips for a Better Plan for 2015

It’s time to wrap up your plans for 2015.  Do you, like me, leave out something that has an impact on your spending patterns or your operations and you find yourself either adjusting or going without all year?  Or, is there the possibility that your capital won’t be approved and you’ll have to spend P&L dollars on maintaining something that should have been replaced? (I’m looking at you, card embosser…)

Obviously you’re going to submit and obtain approval before getting your plan and budget’s final incarnations.  You may, however be able to mitigate some of the pain that comes from surprises in the new year.  Try these tips for better planning.

Tip 1: Take a hard look at this year

For this exercise, you’ll have to be ruthless.  It may even be a bit painful, but it is essential to a successful planning process.  From a budget perspective, it is imperative to understand where your dollars were spent well and where they were not. From a business or marketing plan perspective, you need to know where there’s room for improvement and which things are working for you today.

What did you plan that didn’t work out in 2014?  Were there things you didn’t have the funds for despite your best intentions? How could you have improved cash flow, yield, labor, data, events, etc.?  What goals or strategies did you employ that just did not give you the results you anticipated?  What processes or events or promotions met, or even better, exceeded your expectations and should be incorporated in to your plans for next year?

Take what you learn from this exercise to build a framework for the upcoming year.  Avoid being accused of insanity by proactively deciding NOT to repeat the things you did in 2014 and expecting a different result in 2015.

Tip 2: Get the interested parties together and hash things out

Sit down with the rest of your department and those departments whose budgets and plans are interdependent with yours and talk things through.  If your host team needs resources or new tools to identify or maintain contact with your players of opportunity, who better to ask about what they think?  If Food & Beverage wants to place steakhouse ads in the local newspaper, doesn’t marketing need to know that?  If Entertainment is planning a series of comedy shows, if the hotel is doing renovations, if slots is replacing a third of your machines…you see where this is going, right?  You can’t plan or budget in a vacuum and have the result be something you can actually stick to for an entire year.  Have a “big ole” meeting, have everyone put their ideas and plans on the table, and figure out how it all affects the other departments’ plans and cash flow.

Tip 2: Look at others’ plans for opportunities

Take what you’ve learned from the big meeting and determine what provides you with opportunities.  Is there going to be a big hotel refurbishment in your future?  Ask what they’re doing with items that can be re-purposed: some of the items could even be useful in a player giveaway or promotion, or you could have a big tag sale and drive revenue on a traditionally slow weekend after the renovation is done.  Is the slot department replacing under-performing machines?  What opportunities are there for events or promotions related to the arrival of the new machines?  Could you invite your best and most loyal players to cut a ribbon to open them up for play?  Surely there are lots of things in your peers’ plans that could provide you a chance to make a splash.  Learn about them now and incorporate them into your plans.

Tip 3: Dream realistically

Every department head has a wish list.  Brainstorm everything you’d like to have, see, or do; then cull the list by priority without regard to expense.  Then, rank according to priority with a note about how much it costs, so you can come up with a realistic scenario.  Obviously, not everything on a wish list is going to come to pass, so while you’re spending time with your friends from the other departments, ask about their wish lists and see if there are some synergies that can be leveraged to help the entire property.  Is IT buying any new computers next year?  Let them know about your technology wish list so they can spec your equipment for a combined order with a bigger discount.

Tip 5: Expect the unexpected

Clearly, some of the things you plan for will come to pass just as you envisioned them.  Others, however, will morph into something you hadn’t anticipated.  Spend the time now planning for contingencies and you will be better prepared for the unknown when it occurs.  Might you have to choose between two of your pet projects because the revenue projections were too high?  Sure.  Could you find yourself in need of a technology solution due to a hiring freeze or lack of qualified job applicants? Absolutely.  Is there the possibility that a competitor will launch a campaign or promotion to which you will have to adjust?  You betcha!

Any (or all) of these events will be easier to handle in the heat of the moment if you have spent some time preparing for them in advance.  Happily, there is no better time to plan than while you are already planning.  Look at some of the things you may have eliminated in your early planning process and decide whether any of them could readily be put on a back burner to be deployed in case of a major shift in your market or competitive set.

Tip 5: Get buy-in from the stakeholders

This is a 360-degree exercise, but totally worth the time and energy you invest in it.  Once you’ve got a first draft submitted, ensuring that your plans are in alignment with those of your boss, the department, the property and your employees will go a long way to assuring that those plans  and strategies are successful in the end.  Have a meeting with your team(s) and share the vision with them.  Ask them for ideas or suggestions to streamline their daily tasks or processes.  (It’s a good idea to do this periodically even when you AREN’T planning for the year ahead, by the way.)

This brings the process full circle and provides you with an opportunity to verify that your plans and budgets are on the right track to help you and the property achieve all you hope to in the year ahead.

 

Did we leave out an indispensable step you can’t plan without?  Please share for the edification of all our readers.