Diamonds in the Data Mine

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Diamonds in the Data Mine
Article by Gary Loveman Presented by Jeff
Orton Autumn Christensen Jake Jensen
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If you build it they will come
The Best in the Business.......
"One of these things is not like the others . .
. One of these things just isn't the same." -
Sesame Street
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Why is Harrahs the best casino in the business?

• 1 Data Mining
• Total Gold program The program problems the
  Data diamond mine.
• 2 Customer Service
• Competition strategy
• If you build it they will come Wow factor
  mentality focused on constantly attracting new
  customers.
• Satres vision for Harrahs Geographic divers.
  focus on cultivating lasting customer
  relationships.

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Slicing and Dicing

• Most important statistic
• Only 36 of gaming budget spent at Harrahs
• Program to induce more spending at Harrahs
• Slice and dice data to develop effective
  marketing promotions
• Loyalty strategy based on same-store sales growth

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New Program

• Goal
• To get a customer to visit regularly
• Develop a close relationship with customers
• Who are the target customers?
• 26 of gamblers generated 82 of revenues
• Who are the best customers?
• Models based on an individuals play to predict
  customer worth

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Visible Perks

• Rewarding customers for spending in ways that
  adds to their value
• Treating customers different depending on their
  value
• Gold, Platinum, and Diamond
• Customers see and aspire to reach the perks of
  the higher card
• Every experience was redesigned to drive
  customers to want to earn a higher card

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Total Rewards Program

• Link incentives to customer satisfaction
• Intensive training
• Do not reward based on financial measures
• Meeting budget _at_ expense of service is a bad idea

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Harrahs Total Reward Program

• Bonuses based on speedy and friendly service
  according to customers perceptions
• 2002 14.2 million in bonuses handed out, 43
  million since inception of program

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Let the neighbors lure tourists with knights on
horseback, fiery volcanoes, pirate ships, and
mini-Manhattans. Well just keep refining what
were already pretty good at