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Can casino owners more accurately identify and predict which of their regular customers will lose the most money?
How often will these customers visit? How will they allocate their bets among slots and tables? By targeting those players, can casinos follow up with a more effective direct marketing campaign?
Hui, a marketing professor at Stern — say that the answer is an unqualified yes. In addition, the team looked at ways that demographics could provide casino owners with valuable marketing insights.
The data suggested, for example, that women devote more of their spending to slot machines than to table games like blackjack, and that men have a higher level of skill at the gaming tables than women.
Iyengar and Eliashberg suggested that more useful information could have been gathered if they had been given more specific demographic data.
While the characteristics they studied are fairly unique to the gaming industry, the authors said there are other business situations in which customers can be identified and targeted based on their specific skills or unusual customer behavior.
For instance, they noted that better modeling of customer behavior might help hotel managers to more intelligently market the use of mini-bars or business centers, or allow car-rental firms to target extra-cost products like GPS units or satellite radios.
But it is the sheer size of the casino industry in the United States that makes it such a strong candidate for this kind of individualized predictive modeling, more commonly known as database marketing.
Americans spend more money on gaming than on trips to the cinema by a ratio, and more money is lost during a typical casino visit than is spent in an average visit to a mall.
Unique aspects of the casino industry suggest that casino operators should be developing different tools for customer relationship management than, for example, mall operators — who analyze how much customers spend on a typical visit to a store and what products they purchased.
Through the use of gaming loyalty cards and other tools, casino executives have the ability to more closely track the performance of individual gamers.
Does the customer wager more on slot machines or at the tables? You also have to look at the skill level. These upgraded amenities are primarily located in the guest room and the bathroom and are generally upgraded brands or resort brands.
Logos are a mainstay for amenities. Keep in mind that amenities in many full service hotels now include in room coffee, hair dryers, iron and ironing board, Internet phone hookups, and two phones.
All these amenities and upgrades are provided at no cost. Resort room rates are generally significantly higher and guest expectations are higher also for their guest room.
Therefore resorts can provide larger sizes, name brands, and a wide range of amenities. Resorts provide many recreational and cultural activities and therefore are expected to provide the guests with the services to participate in these activities.
Full service hotels might provide concierges to assist with these services. In resorts, the difference is that you will probably have more concierges working and for longer hours.
They must be able to answer guest questions, make suggestions, and ultimately make the reservation. Guest requests and expectations can be quite detailed and specific and also cover a wide range of requests.
The Concierge must be able to handle all of these request to the guests satisfaction. For example, in a resort destination known for outstanding golf, the concierge will be expected to know the number of golf courses and their location, the type of golf course, fees, level of play and availability of tee times.
Often material is available to give to the guests to assist them in making their plans. In a beach location, the concierge is expected to know the type of beach, distance from resort, special activities such as shelling, fishing, water sport rentals and even when the high and low tides are.
Another service that is expected at a resort is turndown service. This service is performed in the evening or night and includes refreshing towels, emptying trash, turning the bed covers down, providing mints or cookies, turning on lights, and turning on music to a relaxing station.
This service is intended to give the guest personal service and create a relaxing atmosphere. Seasonally defines resort operations.
It is climate driven and generally involves a wide range of weather. The high season is the most attractive season that provides moderate temperatures, minimal rain and maximum sunshine, and enables guests to enjoy the many activities found at a resort destination.
Winter resorts can provide tropical or desert climates and guests can choose between humid and dry climates. Traditionally the high season has been defined by holidays, beginning after Christmas and New Years and ending at Easter.
In current times, the high season has been defined more by the climate and can range from October through April. The off season is when the climate goes to the opposite extreme.
Guest do not prefer to be in resort locations in the off season because of hot and dry conditions in the desert and hot and humid conditions in the tropical locations.
June through September can see temperatures above degrees in the deserts and above 90 degrees in the tropics, both of which can be unbearable.
Shoulder seasons are transition months when the climate is not as favorable as high season but not as unbearable as off season.
April and May can be very delightful months one year and extend the high season. The next year they could be very hot and uncomfortable and more resemble the off season.
September and October can also be shoulder months. The winter months are also the high season for winter sports such as skiing and snow mobiles.
While warm moderate temperatures can define the high season during winter, so does lower temperatures and plenty of snowfall for the winter ski resorts.
Generally January through March are the prime skiing months, but they can be extended from November through April based on snow levels and temperature.
A recent development in ski resorts is the conversion of their summer off-season to a mountain experience high season. Because these ski resorts are located away from populated areas in high mountains, they offer welcome relief during the summer.
Ski resorts such as Sun Valley in Idaho and Park City in Utah are now also well known for their summer activities offering clean air, mountain vistas, and moderate temperatures.
Many operate their ski lifts to take guests up the mountain for hiking and pick nicks. Mountain biking and fishing are other activities that make these ski resorts popular summer destinations.