Technology tracks loyal casino fans

You have a favorite pub.

You visit it on a regular basis.

You may have a favorite table or bar stool.When you sit down, the bartender hands you your favorite beverage without asking.

Like the song from the TV sitcom Cheers, it's a place where everybody knows your name.

Today, northern Nevada casinos are pushing the personal habits envelope into uncharted territory through use of sophisticated software and attendant technology.

Most are banking heavily on technology to help them identify those local gaming visitors who will become "loyal" patrons.

Even before tribal gaming establishments in California began to siphon off revenues that would have flowed into Reno, Sparks, Carson City or the Carson Valley, the more savvy casinos here knew that future success would depend upon how well they understood the likes and dislikes of their patrons.

Since the opening near Sacramento of the Thunder Valley tribal casino, the stakes got a lot higher.

It's called customer relationship management, or CRM.

Casinos encourage guests to sign up for one of their player's cards.

On the back is a magnetic strip that, initially, has basic information about the player name, address, age and so on.

Over time, however, additional information about that player is gathered in the casino's database.

So, each time a player swipes his or her card at a gaming table or inserts it into a slot machine, a network of databases leaps into action.

Casino workers can be fed instant information about how to treat a given customer based on how much he or she is worth to that casino.

"It is getting pretty sophisticated," says Bill Henderson, director of sales and marketing for Minden-based Carson Valley Inn.

The CVI has invested considerable money in a new software system that will enable the casino to track the play of not only locals, but visitors from outside the area who return periodically.

"When we used to do direct mail to our visitors, we were essentially using a shotgun approach," he says.

"Today, with our new system, it's more targeted.We target our promotions to individuals based on what we know about them, about the type of games they like to play, and about their hobbies on which we can piggyback other activities."

Bill Hughes, director of marketing for The Peppermill Hotel and Casino on South Virginia Street, says savvy casino properties understand that they are not in the gambling business.

"We are in the entertainment business," he says.

"Locals will not come back if you don't provide them with a good product and great personal service.We've always had a good, strong local following."

The Peppermill, like most casinos, uses the player's card to mine key information about each player who sits at a gaming table or in front of one of the 1,600 slot machines available.

The more time played, the more "comps" are accrued for that player.

Hughes says that comps used to be viewed as an incentive to get people to play.Today, they are now viewed by both the casino and the player as part of a total rewards program.

Comps may result in a free room, free meals, show tickets or gifts.

But the real purpose of CRM is to track the habits of each customer and tailor a marketing plan that will keep players coming back.

If the customer is a big bettor, information might be forwarded to a pit boss or floor manager on his or her PDA.

A hostess might show up with that person's favorite beverage.

This may be followed by the offer of a free dinner in the casino's most prestigious restaurant.

"Gee, I had a wonderful evening there last month," says the high roller.

"I think I'll go back tonight."

Annette Means, publicist for the Atlantis Resort Hotel and Casino, estimates that 50 percent of their guests are locals.

"We don't have the downtown traffic for people to deal with and many tell us that's one reason they visit us," she says.

"We are also in the heart of the restaurant section and close to the Meadowood Mall.

We also offer great dining, an awesome spa and salon.Our guests have told us these are amenities that are important to them."

Steve Brown, vice president of Raving Consulting based in Reno, said he believes most of the casinos in the Reno-Carson City area "have figured it out.

They know that the local market is one they simply have to pay attention to and, for the most part, they are doing a good job."

Brown says the local market will continue to grow if for no other reason than more people are moving to Northern Nevada each year.

"Reno will always have a healthy gaming industry," he says.

The closest a local casino comes to being a "Cheers," in Brown's opinion, is the Cal Neva.

"It might as well be a corner bar.

The Cal Neva has wonderful customer loyalty.

And that's what all the others are trying to achieve.

"You are never going to lock all of your customers up," he says.

"What you can do is achieve a certain share of their wallet."

What determines how much of that wallet's share a casino achieves depends upon providing three basic things.

The first is service.

The second is liberal payouts.

And the third is good, inexpensive food.

These are the cornerstones of a casino that will be successful," he says.

Perhaps most importantly, says Brown, is how well a casino integrates the information received on individual customers and conveys such information to other key personnel.

"We (Raving Consulting) have a training department and we offer our services to gaming clients.We can help our clients in their retention programs but our success rate is totally dependent on how each of our clients use their database system."

Industry experts say that Harrah's is the leader in customer retention efforts.

The company has several patents on software programs used to create solid customer loyalty relationships.

Information gathered goes well beyond gaming likes or dislikes, they say.

Such customer profiles culled by Harrah's include the kind of music certain guests like: dining habits; hobbies; where they like to go on vacation; information about their family.

But the bread-and-butter software tracks player activity including the time and amount spent, betting strategy, the win-loss ratio and so on.

Says Brown, "The really good old school casino guys like Bill Harrah and Bill Fitzgerald understood these things well.

They knew their customers.

And they also knew how to show them a good time.

These software products, coupled with proper training and marketing approaches, can provide the desired results if done well."

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