Casino and hospitality section from the book Going Mobile: Going Social

From
chapter
seven
of
Andrew
Pearson’s
book
Going
Mobile:
Going
Social,
available
at
Amazon.com
–

• Kindle:http://www.amazon.com/Going-‐Mobile-‐Social-‐Andrew-‐Pearson-‐
ebook/dp/B00Q49WHD4/ref=sr_1_1?ie=UTF8&qid=1420254894&sr=8-‐
1&keywords=going+mobile%3A+Going+social

• Createspace:
https://tsw.createspace.com/title/4573169

Casino,
Gaming
and
Hospitality

The
rise
in
popularity
and
the
rapid
growth
of
the
gaming
industry
has
created
a
highly
competitive
environment
for

casino
companies
worldwide.
Industry-‐leading
gaming
companies
have
expressed
the
need
to
identify
and
develop

their
clientele
so
that
they
can
enhance
their
guest's
experience,
as
well
as
to
increase
customer
loyalty
and
generate

new
business
leads,
whether
they
are
in
Las
Vegas,
Macau,
Singapore,
Vietnam,
Cambodia,
Australia
or
a
whole
host

of
other
worldwide
gaming
destinations.
The
casino
industry
is
exceptionally
robust
and,
throughout
the
Far
East,

casinos
are
either
currently
being
built
in
places
like
South
Korea,
Vietnam,
The
Philippines
and
Russia
or
close
to

receiving
parliamentary
approval
in
countries
like
Japan
and
Taiwan,
so
the
competition
is
only
going
to
get
fiercer.

The
old
methods
of
direct
mail
and
email
marketing
aren’t
going
to
excite
the
casino
patrons
of
today,
who
have

become
highly
sophisticated
and
not
only
expect
information
at
their
fingertips,
literally,
but
expect
it
to
be
delivered

to
them
immediately.
Today,
casino
patrons
want
to
be
able
to
pull
up
their
points
balances
on
their
phones;
soon,
they

will
want
to
pay
for
things
within
the
casino
on
their
phones
as
well.

Casino
and
hotel
operators
can
use
social
media
to
manage
their
brand,
enhance
brand
loyalty
as
well
as
engage
both

their
current
customers
and
their
potential
customers.
The
social
media
world
is
also
the
perfect
place
to
harvest
customer

feedback,
provide
real-‐time
customer
service,
build
fanbases
and
drive
traffic
to
a
casino’s
Website.
Casino
and
hotel

operators
should
not
be
reluctant
to
dive
into
social
media
because
of
its
unfiltered
nature.
These
forums
will
exist
with
or

without
the
casino’s
involvement,
therefore
it
is
better
to
stay
ahead
of
the
curve
rather
than
be
painfully
stuck
behind
it.

As
with
every
other
industry
mentioned
in
this
book,
engagement
is
the
key
when
it
comes
to
a
successful
ROI

and
profitable
customer
relations.
For
the
casino
and
hospitality
industry,
mobile
and
social
media
can
be
vital

components
of
this
success;
augmented
reality,
blogs,
brand
and
anti-‐brand
management,
content
communities,

geofencing
apps,
mobile
dynamic
pricing,
OTT
services,
mobile
search
and
many
of
the
other
platforms
I
have

discussed
in
this
book
can
be
exploited
in
a
myriad
of
ways
to
engage
a
highly
motivated
audience.
And
these
patrons

are
motivated,
at
least
the
ones
I
see
here
in
Macau,
which
is,
unquestionably
the
worldwide
destination
when
it

comes
to
gambling
in
this
day
and
age.
Macau
was
once
dubbed
the
“Las
Vegas
of
the
Orient,”
but,
today,
gaming

revenues
in
Macau
dwarf
those
of
Las
Vegas
and
they
have
reached
US$
45B,
1

seven
times
those
of
Las
Vegas.

To
compete
in
this
highly
competitive
industry,
casino
companies
are
recognizing
the
importance
of

personalization
when
it
comes
to
customer
interactions.
Most
casinos
today
have
customer
loyalty
programs
that
are

a
part
of
a
CRM
and/or
a
SCRM
initiative
to
provide
their
guests
with
an
intimate
experience
that
will
make
them

want
to
return
again
and
again
and
again.
Mobile
and
social
media
channels
are
some
of
the
best
ways
to
reach
these

customers.

Lovelock
and
Wirtz
(2010)
created
the
“Wheel
of
Loyalty”
as
an
organizing
structure
to
help
businesses
build

customer
loyalty
and
it
is
highly
relevant
to
the
gaming
industry.
The
first
of
its
three
sequential
steps
include
building

a
foundation
for
loyalty,
including
“targeting
the
right
portfolio
of
customer
segments,
attracting
the
right
customers,

tiering
the
service,
and
delivering
high
levels
of
satisfaction”
(Lovelock
and
Wirtz,
2010).

The
second
step—creating
loyalty
bonds
that
either
deepen
the
relationship
through
cross-‐selling
and
bundling

or
adding
value
to
the
customer
through
loyalty
rewards
and
higher
level
bonds—can
be
achieved
by
the
casino

gaining
a
fuller
understanding
of
the
patron
(Lovelock
and
Wirtz,
2010).
It
is
important
to
understand
as
much
about

the
patron
as
possible,
his
wants,
desires
and
needs,
all
the
way
down
to
his
preferred
choice
of
game,
his
preferred

type
of
food
and
drink,
etc.,
etc.

The
third
factor—identify
and
reduce
the
factors
that
result
in
“churn”—is
also
extremely
important
to
a
casino’s

bottom
line
(Lovelock
and
Wirtz,
2010).
Engagement
is
important
here
and
mobile
apps
are
a
great
channel
to
keep

customers
interested.
Patrons
who
are
baccarat
or
poker
players
can
be
made
aware
of
upcoming
tournaments

through
these
apps
and
reminder
calendars
can
be
set
up
to
ping
customers
as
the
tournament
dates
approach.

Augmented
reality
has
many
potential
applications
in
the
gaming
and
hospitality
industry
as
well
and
the

following
ideas
might
seem
a
little
like
science
fiction,
but
they
are
certainly
within
the
realm
of
technical
possibilities,

and
today
there
is
no
question
they
would
take
the
concept
of
personalization
to
a
whole
new
level.
These
ideas

might
be
a
little
ahead
of
their
time,
but
they
are
perfect
for
the
gaming
industry
as
it
might
be
one
of
the
rare

industries
that
could
implement
such
a
system
because
it
has
the
financial
muscle
to
develop
AR
applications,
the

1

http://money.cnn.com/2014/01/06/news/macau-‐casino-‐gambling/
(Retrieved:
7
July
2014.

need
for
in-‐memory
computing
platforms
as
well
as
the
databases
that
contain
all
of
the
necessary
patron

information
that
is
required
to
make
these
complicated
and
holistic
systems
work.

In
his
article
Augmented
Reality
and
Hospitality…the
Next
Generation
of
Hotels?,
Matt
S-‐J
(2013)
lays
out
a
very

interesting
scenario
for
AR
in
a
hospitality
environment,
whether
that
is
for
a
hotel,
a
standalone
casino
or
an

integrated
resort.
If
a
casino
property
provided
its
front
desk
staff
with
a
pair
of
Google
Glasses
that
connected
to
its

company
data
warehouse
that
provided
real-‐time
patron
information,
the
staff
would
be
empowered
to
greet
and

interact
with
a
patron
on
a
truly
personal
level.
The
clerks
could
know
all
of
the
customer’s
past
history
and,
perhaps

even
if
these
were
well-‐known
VIPs,
the
recent
news
headlines
associated
with
them.
This
type
of
engagement
would

bring
the
concept
of
customer
service
to
a
whole
new
level,
a
level
that
would
be
unlike
anything
these
patrons
had

ever
seen
before,
even
if
they
were
high-‐level
celebrities
(Matt
S-‐J,
2013).

A
guest
who
had
stayed
at
the
property
in
the
past
would
immediately
be
identified
and
all
of
his
or
her

preferences
and
necessary
patron
information
could
appear
on
the
Google
glass’s
virtual
screen
(Matt
S-‐J,
2013).
“The

guest
could
be
checked
in
before
they
even
reach
the
door.
The
extent
goes
further
as
restaurants
could
identify

guests
allergies
or
preferences,
orders
would
be
recognized
by
dish
then
linked
to
the
table
and
guest
images
shown

to
see
who
has
ordered
what
so
the
food
is
served
to
the
correct
person”
(Matt
S-‐J,
2013).

Birthday
or
anniversary
greetings
could
be
offered
up
without
having
to
research
a
patron’s
profile
or
staff
who

interact
with
VIP
guests
could
be
informed
of
sensitive
topics
to
be
avoided
(Matt
S-‐J,
2013).
Many
of
these
things
can

be
achieved
through
excellent
staff,
but
they
all
require
research,
time
and
a
good
long
memory,
which
not
everyone

possesses
(Matt
S-‐J,
2013).

The
one
big
drawback
that
might
make
this
scenario
difficult
to
implement
is
the
fact
that
facial
recognition

technology
isn’t
yet
robust
or
quick
enough
to
match
patrons
with
a
live
person
entering
the
casino
in
time
to
alert

customer-‐facing
employees
(Matt-‐S-‐J,
2013).
However,
facial
recognition
technology
might
not
be
needed
at
all

because
most
people
already
carry
around
a
very
powerful
tracking
device
with
them,
it
is
called
their
mobile
phone

(Matt
S-‐J,
2013).
Provided
the
Telcos
or
an
OTT
service
like
WeChat
or
a
system
like
iBeacon
pushes
the
location
data

to
the
hotel
staff,
this
scenario
could
be
realized
today.

For
the
casino
patron,
AR
could
enhance
his
or
her
on-‐property
experience
considerably.
By
simply
downloading

the
casino
property’s
AR
app
onto
his
mobile
phone,
the
patron
could
be
checked
in
virtually
and
then
be
given

personalized
directions
to
his
room,
where
hotel
staff
members
could
greet
him.
A
free
bottle
of
champagne
or

Chateau
Lafite
wine
could
be
awaiting
him
(Matt
S-‐J,
2013).
The
casino’s
general
manager
could
even
appear
in
a

video
to
offer
a
personalized
greeting
(Matt
S-‐J,
2013).

Continuing
with
the
AR
journey,
a
patron
could
go
to
one
of
the
integrated
resort’s
restaurants
and,
when
seeing

an
appetizing
meal
being
brought
out
from
the
kitchen,
he
could
whip
out
his
mobile
phone,
snap
a
picture
of
the

meal,
quickly
scan
it,
discover
that
it
is
a
dish
of
beef
wellington,
and
then,
potentially,
place
an
order
for
it
(Matt
S-‐J,

2013).
If
interested,
the
patron
could
even
pay
for
the
dish
on
his
mobile
device,
possibly
paying
with
patron
points

should
he
chose
to
use
that
method.

After
dinner,
if
the
patron
is
interested
in
going
to
one
of
the
hotel
bars,
a
quick
scan
of
the
line
of
people

waiting
to
get
into
the
bar
would
reveal
the
wait
time.
If
the
AR
system
connected
with
the
hotel’s
patron
system

(which
revealed
that
he
was
a
high-‐roller
whose
card
allowed
him
to
skip
the
line),
the
patron
could
be
notified
that

he
could
jump
the
queue.
If
the
patron
didn’t
have
such
a
vaunted
status
and
didn’t
want
to
wait,
he
could
be
shown

the
name
and
location
of
the
hotel’s
other,
not
so
crowded,
bars
(Matt
S-‐J,
2013).

The
AR
app
could
also
help
with
hotel
maintenance.
As
a
user
scans
his
or
her
hotel
room,
the
app
could
take

notice
of
any
minor
maintenance
issues
(Matt
S-‐J,
2013).
These
issues
would
not
be
highlighted
for
the
user,
but

would
be
relayed
to
the
appropriate
hotel
maintenance
departments
so
that
they
could
be
fixed
(Matt
S-‐J,
2013).

This,
of
course,
does
raise
privacy
issues,
but
they
are
probably
nothing
a
good
corporate
lawyer
couldn’t
overcome.

Continuing
on
the
patron’s
AR
journey:
if
the
patron
liked
to
play
golf,
a
quick
scan
of
the
golf
course
with
the
AR

app
would
reveal
the
average
par
shots
(Matt
S-‐J,
2013).
If
she
chose
to
play,
the
app
could
keep
track
of
her
score

(Matt
S-‐J,
2013).
Nearby
structures
could
also
be
explained
so
that
she
could
actually
discover
local
areas
of
interest

(Matt
S-‐J,
2013).
Discounts
on
services
could
also
be
pushed
out
to
her
and,
if
they
were
coupled
with
a
dynamic

pricing
system,
these
discounts
could
actually
help
sell
what
might
otherwise
be
empty
seats
in
one
of
the
integrated

resort’s
venues
(Matt
S-‐J,
2013).
Why
would
the
user
scan
his
hotel
room?
I’m
sure
any
good
casino
marketing

department
could
figure
out
many
interesting
ways
to
augment
printed
materials,
digital
content
and
in-‐room

collateral.
With
AR,
the
imagination
can
truly
run
free.

Pit
bosses
could
also
use
Google
Glass
in
a
way
that
could
help
them
adjust
table
game
minimums.
The
patron’s

information
(such
as
his
past
history,
including
his
average
bet,
daily
theo,
how
long
he
normally
plays
for,
whether
he

tends
to
buy
back
in
or
not)
could
be
projected
on
a
Google
Glass
headset.
This
information
could
help
the
pit
boss
to

raise
or
lower
his
table
minimums
much
faster
than
he
currently
can;
solid
analytics
would
replace
gut
instinct.
The

fact
that
all
of
this
information
was
instantly
available
would
make
it
very
actionable.

For
a
sports
betting
website,
augmented
reality
could
be
used
to
offer
live
odds
on
players
during
a
soccer

match,
a
basketball
game
or
on
a
horse
being
paraded
before
a
race.
A
punter
could
point
his
phone
at
a
player
on
a

soccer
pitch
or
on
a
basketball
court
and
see
live
odds
of
that
player
being
the
next
scorer
or
being
the
Man
of
the

Match.
Bets
could
be
done
in
one
easy
click
and
odds
would
be
updated
live
throughout
the
games,
or
even,

potentially,
during
a
horse
or
dog
race.

Blogs
and
micro-‐blogging
sites
are
also
important
mobile
and
social
media
channels
and
casinos
should
monitor

Twitter
feeds
for
both
their
satisfied
and
dissatisfied
customers.
This
is
where
brand
and
anti-‐brand
management

comes
in.
The
invert
of
that
old
Paul
Newman
gambling
chestnut
that
“Money
won
is
twice
as
sweet
as
money

earned”
is
probably
“Money
gambled
away
is
twice
as
painful
as
money
spent,”
so
casinos
must
be
cognizant
of
the

emotional
toll
that
gambling
losses
can
induce
and
monitoring
what
losing
gamblers
are
saying
on
social
media
is

paramount
to
any
good
CRM
strategy.

In
his
article
Casinos
Saving
Face
Online,
L.
Benson
(2009)
states
that
“Social
media
Web
sites
such
as
Facebook

and
Twitter
are
changing
the
face
of
customer
relations
at
major
Las
Vegas
hotels”
(Benson,
2009).
“Resorts
are

setting
up
their
own
fan
pages
where
executives
can
monitor
customer
suggestions
on
how
to
improve
business,
bask

in
guests’
kudos,
offer
immediate
assistance
to
customers
in
distress—and
cringe
when
unhappy
patrons
post
critical

remarks
that
ding
their
companies”
(Benson,
2009).

As
part
of
the
ongoing
dialogue
that
a
casino
should
foster,
the
casino
patrons
are
doing
their
part,
“with
their

comments
and
reviews
not
only
reaching
casino
managers
but
an
untold
number
of
other
customers
and
potential

customers
over
whom
they
can
now
wield
influence”
(Benson,
2009).
Casino
executives
can
no
longer
carefully
craft

resort
marketing
messages,
but,
as
the
following
example
shows,
they
have
allies
in
their
patron
ranks
coming
to
their

defense:

A
gambler
ranted
on
South
Point’s
Facebook
page
last
week,
“Please
folks
...
do
N-‐O-‐T
gamble
in

this
casino.
They
run
some
of
the
TIGHTEST
machines
in
Las
Vegas.
I
LOSE
almost
E-‐V-‐E-‐R-‐Y
time
I

try
playing
at
South
Point.”
South
Point
managers
read
every
word—and
let
the
comment
ride.

Before
they
could
engage
the
man
in
a
public
debate
about
the
competitiveness
of
their
slot

machines,
another
customer
came
to
the
property’s
defense
minutes
later:
“If
you
don’t
like
the

South
Point
that
much—then
just
don’t
go
there.
But
the
rest
of
us
LOVE
the
place
...
better
luck

next
time”
(Benson,
2009).

The
tweeter
who
came
to
the
defense
of
the
casino
could
have
been
rewarded
for
his
or
her
loyalty.
Perhaps

tweeting
him
or
her
some
free
matching
slot
play
may
have
been
seen
as
too
blatant
an
act
of
quid-‐pro-‐quo,
but

there
is
no
reason
why
(if
the
casino
can
link
this
gambler
with
his
or
her
patron
profile)
South
Point
didn’t
offer
a
nice

reward
for
such
loyalty
in
a
future
marketing
campaign.

Casino
companies
should
also
feel
compelled
to
reward
their
customers
through
Facebook,
Twitter,
WeChat,
and

Weibo
or
any
number
of
blogging
and
micro-‐blogging
services.
The
beauty
of
using
these
channels
is
the
ability
of
the

customer
to
share
these
awards
or
stories
of
these
awards
with
friends
and
contacts.
It
wouldn’t
be
that
hard
to
do,

either,
as
a
casino
can
ask
patrons
for
their
social
media
accounts
upon
sign
up.

Customer
satisfaction
is
the
foundation
of
true
customer
loyalty,
while
customer
dissatisfaction
is
one
of
the

main
reasons
why
customers
leave
(Lovelock
and
Wirtz,
2010).
This
may
sound
obvious,
but
its
importance
cannot
be

stressed
enough.
According
to
Jones
and
Sasser
(1995),
“the
satisfaction-‐loyalty
relationship
can
be
divided
into
three

main
zones:
Defection,
indifference,
and
affection.
The
zone
of
defection
occurs
at
low
satisfaction
levels.
Customers

will
switch
unless
switching
costs
are
high
or
there
are
no
viable
or
convenient
alternatives.”
This,
obviously,
isn’t
the

case
with
casinos,
where
switching
often
constitutes
little
more
than
walking
across
the
street
to
a
competing
casino's

gaming
floor
or
browsing
to
another
sports
betting
website
(that
is
probably
willing
to
give
you
a
sign-‐up
bonus
for

your
patronage).
With
the
vast
echo
chamber
of
social
media
against
them,
losing
only
one
disgruntled
patron
could

be
the
least
of
the
casino’s
problems.

Jones
and
Sasser
(1995)
warn
that,
“Extremely
dissatisfied
customers
can
turn
into
‘terrorists,’
providing
an

abundance
of
negative
feedback
about
the
service
provider.”
Through
social
media
channels,
negative
feedback
can

reverberate
around
the
world
within
seconds.
Today,
more
than
ever,
casinos
must
spot
dissatisfied
customers
and

approach
them
before
they
do
irreparable
harm
to
the
company’s
image
and
reputation
and
social
media
is
one
of

the
best
channels
in
which
to
engage
them.

Casinos
need
to
empower
their
patrons
to
post
on
Facebook
or
WeChat
or
Twitter
or
comment
about
their

experience
and,
hopefully,
turn
them
into
apostles.
In
Jones
and
Sasser’s
zone
of
affection,
satisfaction
levels
are
high

and
“customers
may
have
such
high
attitudinal
loyalty
that
they
don’t
look
for
alternative
service”
(Jones
and
Sasser,

1995).
It
is
within
this
group
that
“Apostles”–members
who
praise
the
firm
in
public–reside
and
this
is
the
group
that

is
responsible
for
improved
future
business
performance
(Wangenheim,
2005).
A
simple
search
of
the
Twitter
feed
on

the
multiple
services
I
mentioned
in
the
previous
chapter
will
probably
reveal
a
list
of
patrons
who
could
be
courted

for
marketing
purposes.

Dovetailing
the
above,
another
example
from
Benson’s
(2009)
article
is
of
a
woman
who
posted
on
her
Twitter

page
that
she
had
“just
touched
down”
in
Las
Vegas.
“Because
Twitter
posts
can
be
monitored
by
keywords,
a
Wynn

Las
Vegas
employee
was
able
to
immediately
respond:
‘Welcome!
Come
on
over
to
our
resort
to
explore
and

discover.
You
won’t
be
disappointed’”
(Benson,
2009).
Having
a
social
media
monitoring
command
center
is
a
must

these
days.
Searching
for
keywords
like
“Las
Vegas”
or
“Macao”
or
“baccarat”
or
any
of
a
hundred
other
iterations

that
reference
gambling
could
be
a
good
start.
In
Macau,
the
Chinese
government’s
restrictions
on
gambling
wouldn’t

come
in
to
play
as
Twitter
is
not
officially
available
in
China.

As
for
building
fanbases,
“Big
brands–including
casinos–that
don’t
develop
social
media
programs
do
so
at
their

peril,
said
Jennifer
Van
Grove,
an
associate
editor
at
Mashable.com”
(Benson,
2009).
With
over
8,000
Twitter

followers,
Van
Grove
makes
the
point
that
if
she
posts
something,
some
of
her
followers
are
going
to
reply
and
may

share
her
Tweet
with
their
followers
(Benson,
2009).
As
she
so
succinctly
warns,
“You
could
have
a
whole
chain
of

comments
based
on
one
incident.
These
hotels
have
to
be
involved”
(Benson,
2009).

In
Macau,
I
have
heard
stories
about
certain
sports
betting
websites
that
pay
handsome
fees
to
Chinese
bloggers

who
tout
these
websites
as
they
make
their
weekly
Premiere
League
picks.
They
have
followers
who
number
in
the

hundreds
of
thousands
and,
trust
me,
Chinese
gamblers
are
an
industrious
lot,
they
have
found
it
easy
to
get
past
the

not-‐so-‐great
Internet
firewall
of
China.
While
visiting
different
cities
in
China,
I
often
do
a
test
to
see
which
sports

betting
websites
are
available
on
the
Mainland.
A
few
American
horseracing
sites
are
unavailable,
but
most
of
the

European
and
Australian
sports
books
are
available
and
seemingly
open
to
taking
bets.
Getting
money
into
these

accounts
might
be
tricky,
but
not
impossible.

Real
time
technology
gives
hotels
and
casinos
the
ability
to
see—and
know—what
is
going
on
in
real
time
around

them,
and
this
allows
them
to
easily
counter
negative
perceptions
instantly.
As
was
the
case
with
the
negative
South

Point
Casino
and
Resort
diatribe,
the
countering
positive
comments
would
be
considered
more
trustworthy
as
they

came
from
an
actual
user,
rather
than
a
press
release
from
the
criticized
company,
which
are
usually,
and,

understandably,
viewed
with
skepticism.
“There
is
a
great
upside
for
companies
that
go
about
it
the
right
way,
Van

Grove
argues
(Benson,
2009).
“Social
media
can
hold
hotels
more
accountable
to
their
customers,
fix
problems,

correct
misconceptions
and
build
loyalty,”
she
adds
(Benson,
2009).

In
March
2008,
MGM
created
its
Facebook
page
and
it
has
now
attracted
tens
of
thousands
of
followers.
MGM

also
started
a
Twitter
page
around
the
same
time
and,
today,
MGM
uses
both
Facebook
and
Twitter
to
promote
and

drive
business
to
its
establishments,
as
well
as
to
learn
what
people
are
saying
about
them
(Benson,
2009).
MGM
also

uses
these
social
networks
to
interact
with
customers
and
positively
influence
a
broader
audience
of
consumers

(Benson,
2009).

Social
media
marketing
makes
good
economic
sense
as
well.
Given
the
explosive
growth
of
social
media
sites,

“these
might
become
more
cost-‐effective
than
using
traditional
advertising
and
marketing
methods”
(Benson,
2009).

Social
media
is
also
universal,
for
every
Facebook
in
the
US,
there
is
a
corresponding
RenRen
or
WeChat
in
Asia,
yet

there
is
no
reason
why
a
casino
in
Macau
isn’t
on
Facebook
today;
in
reality,
most
of
them
already
are.
Facebook

helps
Macau’s
integrated
resorts
to
market
their
properties
and
services
to
customers
in
Hong
Kong,
Japan,
South

Korea,
Taiwan
and
even
such
faraway
places
as
Singapore
and
Indonesia.
Conversely,
there’s
no
reason
why
a
US

land-‐based
casino
shouldn’t
market
itself
on
WeChat
either.
The
fact
that
the
Chinese
market
is
such
a
lucrative

market
would
seem
to
dictate
that
Las
Vegas
casinos
should
use
such
channels
to
court
these
highly-‐motivated
Asian

customers,
many
of
whom
can
easily
afford
a
trip
to
Las
Vegas.

To
maintain
credibility
with
customers,
casino
companies
shouldn’t
remove
negative
comments
or
constructive

criticism
from
these
social
media
sites
unless
the
person
posting
the
comment
uses
foul
language
or
says
something

offensive
to
others
(Benson,
2009).
“Everyone’s
entitled
to
their
opinion,”
Sally
Gaughan,
South
Point’s
director
of

Internet
marketing,
said
about
the
negative
slot
machine
comment
(Benson,
2009).
“We
wanted
to
give
people
a

place
to
talk
about
the
South
Point
and
we
wanted
it
to
be
genuine”
(Benson,
2009).

Fostering
this
kind
of
goodwill
can
reap
many
rewards.
Another
example
of
great
near
real-‐time
customer

service
is
from
the
MGM
Mirage,
which
won
plaudits
from
fans—and
perhaps
more
business—for
how
it
responded

to
a
disgruntled
dinner
couple
(Benson,
2009).
“After
a
customer
posted
on
Facebook
that
he
was
unhappy
with
his

meal
at
one
of
the
company’s
Strip
resorts,
the
property’s
concierge
contacted
the
customer,
who
was
still
at
the

hotel,
and
offered
to
fix
the
problem”
(Benson,
2009).
“In
another
instance,
a
customer
who
had
won
show
tickets

complained
online
that
he
couldn’t
use
the
tickets
because
he
had
a
conflict.
MGM
Mirage
gave
the
man
free
tickets

for
another
date”
(Benson,
2009).
This
kind
of
social
media
proactivity
will,
undoubtedly,
go
far
in
customer
relations.

I
highly
doubt,
on
that
customer’s
next
visit
to
Vegas,
he
or
she
won’t
think,
first
and
foremost,
of
MGM
when

deciding
where
to
stay
and
gamble.
The
fact
is,
this
is
the
kind
of
service
that
people
love
to
tell
their
friends
about
so,

for
the
small
price
of
a
steak
dinner
and
some
concert
tickets,
MGM
probably
got
some
invaluable
word-‐of-‐mouth

marketing.

Facebook
should
be
a
part
of
every
casino’s
social
and
mobile
media
marketing
plan,
but
simply
putting
up
a

Facebook
page
won’t
cut
it
these
days;
creativity
and
uniqueness
are
needed
to
get
noticed
in
today’s
highly
competitive

social
media
market.
Gamification
is
also
a
good
way
to
stand
out
from
the
crowd.

A
few
years
ago,
California's
Pechanga
Resort
&
Casino
used
Facebook
to
increase
brand
awareness
in
a
unique

and
innovative
way.
Pechanga
created
Slot
Wars™,
an
interactive
Facebook
game
that
allowed
fans
to
“battle”
with

each
other
on
competing
slot
machines.
Players
could
customize
their
slot
machines
by
uploading
personal
images

and
these
became
part
of
the
slot
wheels.
At
its
peak,
Slot
Wars™
had
over
10,000
active
players
from
Southern

California
alone.
Pechanga
also
saw
significant
increases
in
its
on-‐property
slot
play,
which
was,
the
casino
believed,

directly
attributable
to
its
Facebook
presence.

Mohegan
Sun
also
used
Facebook
to
attract
patrons.
Through
the
Facebook
Connect
feature,
Mohegan
Sun

pulled
a
user's
Facebook
profile
into
its
Shine
Maker
app,
where
a
customized
experience
was
created
for
him
or
her.

By
asking
users
to
rate
their
desires
according
to
a
series
of
six
scales,
a
customized
video
catered
specifically
to
the

individual
was
built.
The
individual
could
then
distribute
the
video
to
his
or
her
social
media
friends
and

acquaintances,
spreading
word
of
the
casino’s
brand
far
and
wide.

Perhaps
as
more
of
a
marketing
gimmick
than
anything
else,
in
August
of
2013,
The
Casino
at
The
Empire
in

London,
performed
the
world’s
first
ever
casino
crowdsourcing
experiment
(Amsel,
2013).
Leveraging
the
powers
of

social
media,
The
Casino
at
The
Empire
gave
Dave
Sargeant
(the
lucky
punter
who
earned
his
role
as
a
social
casino

lab
rat
via
a
Facebook
contest)
“£1K
with
which
to
wager,
with
any
winnings
going
straight
into
his
pocket”
(Amsel,

2013).
“The
kicker
was
his
every
wagering
decision—whether
to
hit,
stay,
pick
red
or
black
or
play
a
three
card
poker

hand—would
be
crowdsourced
via
the
Empire’s
Twitter
followers”
(Amsel,
2013).
“It
took
three
hours
for
Sargeant
to

go
through
his
stack
of
chips,
making
a
total
of
63
wagers
on
the
advice
of
his
digital
backseat
drivers.
The
net
result

was
a
£932.50
payday
for
Sargeant,
who
said,
‘All
that
tweeting
was
hard
work’
but
he
wasn’t
complaining”

(Amsel.com,
2013).

Geofencing
applications
like
Jiepang
and
Foursquare
are
useful
services
for
hotel
and
casino
marketers
as
well.

Macau
casinos,
specifically,
should
be
exploiting
this
medium
because
of
its
high
concentration
of
mobile
subscribers

(Weiners,
2012).
SMS
is
a
bit
passé
now.
In
his
article
LBS
Opportunities
for
Casino
Marketers
in
Macau,
Chris
Weiners

(2012)
offers
the
following
ideas
for
casino
operators
to
get
their
LBS
promotions
rolling:

1. Pick
your
LBS
service
and
claim
your
location.

2. Offer
tips
to
customers
via
LBS.

3. Reward
loyalty
creatively.
Start
by
offering
your
most
loyal
customers
rewards,
special
access,
and
other

promotions.
Those
that
become
your
“Mayor”—or
any
other
significant
title—should
be
rewarded
for
their

loyalty.
This
is
a
great
way
to
identify
potential
social
influencers
and
utilize
them
to
further
promote
your

venue.

4. Reward
new
customers:
First
time
check-‐ins
should
receive
special
promotions
or
incentives
and
give

people
a
reason
to
check
in
to
your
establishment.

5. Understand
who
your
loyal
customers
are
online,
and
work
with
them.
“Develop
a
plan
to
utilize
these

‘influencers’
and
tap
into
their
social
networks.
“Casinos
do
it
offline
all
of
the
time;
develop
a
similar

approach
for
high-‐valued
customers
online
through
social
connections.
Encourage
your
followers
to

promote
their
checked-‐in
status
to
their
friends
via
social
networks
and
micro
blogs
like
Sina
and
Twitter”

(Weiners,
2012).

6. Promote
your
services
both
on-‐
and
off-‐line.

In
May
of
2013,
Lighthouse
Signal
Systems
launched
its
indoor
positioning
system
as
an
open
service
for
Android

app
developers
(Takahashi,
2013).
Developers
can
use
the
technology
to
create
Android
apps
that
will
help
users
find

their
way
through
the
vast
indoor
terrain
of
Las
Vegas’
hotels
and
casinos
(Takahashi,
2013).

Although
global
positioning
systems
have
made
outdoor
navigation
as
simple
as
following
directions
on
a
mobile

device,
indoor
navigation
isn’t
so
simple,
it
is
actually
one
of
the
last
major
hurdles
that
smartphones
have
yet
to
truly

conquer
(Takahashi,
2013).
However,
Cambridge,
Mass.-‐based
Lighthouse
Signal
Systems
has
launched
a
service
that

covers
20
million
square
feet
of
entertainment
and
retail
space
at
leading
casinos
and
hotels
on
the
Las
Vegas
Strip

(Takahashi,
2013).

Lighthouse
is
“making
its
service
freely
available
to
Android
app
developers,
resort
operators,
retailers,
and

others
seeking
to
enhance
the
visitor
experience
in
Las
Vegas.
Indoor
navigation
is
the
Holy
Grail
for
the
mobile

industry,
and
Lighthouse
says
it
is
the
first
to
provide
GPS-‐like
indoor
positioning
on
a
wide
scale
in
a
major
U.S.

metro”
(Takahashi,
2013).

“We
are
excited
to
support
app
developer
partners
as
they
create
new
mobile
experiences
with
indoor

positioning
in
Las
Vegas,
where
large
resort
interiors
have
traditionally
presented
a
vexing
challenge
for
visitors,”
said

Lighthouse
co-‐founder
Parviz
Parvizi
(Takahashi,
2013).

The
standard
line
is
that
casinos
want
you
to
get
lost
on
their
floors
so
you
spend
more
money
so
they
create

circular
floors
that
differ
little
from
whichever
direction
you
enter
or
exit,
but
times
are
changing.
Casino
operators

now
recognize
the
importance
of
getting
their
gamblers
in
front
of
their
preferred
gaming
table
or
slot
machine
as

quickly
as
possible.
A
line
stretching
out
the
door
at
the
entrance
of
a
casino
in
Singapore
(because
every
guest’s

passport
must
be
checked
to
ensure
a
Singapore
local
isn’t
attempting
to
slip
in
without
paying
the
local’s
entrance

fee)
means
minutes
of
lost
gaming
time,
which
can
add
up
to
thousands
of
dollars
of
lost
revenue
per
day.
Giving
a

gambler
directions
to
his
favorite
slot
machine
bank
or
preferred
Baccarat
table
could
mean,
at
minimum,
decreasing

a
player’s
frustration
at
not
being
able
to
find
what
he
or
she
is
looking
for
or,
at
best,
increasing
gaming
floor

revenue
by
increasing
the
gaming
handle.

“Providing
location-‐based
services
does
not
really
reduce
how
much
time
people
spend
at
the
resorts
but

instead
has
the
potential
to
enhance
the
overall
experience,”
said
Parviz
Parvizi
(Takahashi,
2013).
“From
a
resort

owner
perspective,
the
time
that
a
visitor
spends
wandering
around
being
lost
is
a
wasted
opportunity
that
could
be

better
and
more
profitably
spent
on
gaming
or
entertainment”
(Takahashi,
2013).

Lighthouse’s
platform
“includes
indoor
geofencing:
a
hosting
platform
for
location-‐based
offers
and
user

analytics”
(Takahashi,
2013).
The
apps
include
user
opt-‐in
agreements
and
developers
cannot
use
the
service
to
track

mobile
phone
users
without
user
consent
(Takahashi,
2013).

The
technology
uses
“a
combination
of
WiFi
fingerprinting
and
sensor
data.
As
long
as
there
are
WiFi
networks
in

the
area,
Lighthouse
can
provide
positioning
info”
(Takahashi,
2013).
Google,
Cisco,
Ekahau,
Euclid,
Shopkick,

PointInside,
Aisle411,
Sensionlab,
Indoor.rs,
Yfind,
and
CSR
are
all
developing
similar
systems
(Takahashi,
2013).

Mobile
marketing
in
general
and
OTT,
MMS
and
SMS
marketing
in
particular
can
help
casinos
create
a
one-‐to-‐
one,
two-‐way
interactive
experience
with
its
patrons.
These
channels
are
not
just
about
sending
out
a
simple

message,
but
rather
they
are
about
starting
a
customer
relationship
that
can
be
analyzed
so
that
the
casino
has
a
360

degree
understanding
of
its
patron.
It
is
an
understanding
that
includes
his
or
her
wants,
desires
and
needs.

Signing
onto
an
OTT
service
like
WeChat
in
Macau
should
give
a
user
access
to
all
kinds
of
information,
such
as

his
player
card
point
balance,
coupons
to
onsite
restaurants
or
bars,
signups
to
gaming
tournaments,
as
well
as
free

play
gambling
coupons.

By
giving
customers
instant
access
to
the
information
they
need
when
they
need
it
most,
a
casino
can
enhance

their
patron’s
on-‐property
experience.
Whether
its
patrons
are
on-‐property
to
play
baccarat,
poker,
blackjack,
slots,

bingo,
or
if
they
want
to
gamble
in
the
sports
book,
these
instant
messaging
services
can
provide
a
patron
with

instant
information
that
can
not
only
enhance
their
experience
but,
potentially,
shape
it.

As
previously
mentioned,
Snapchat
teamed
up
with
Betfair
to
offer
“self
destructing”
odds
to
gamblers
during

two
football
games
in
February
2014
(Sparkes,
2014).
“The
offer
was
extended
to
anyone
following
the
company’s

official
Shapchat
account,
betfairofficial,
during
the
Chelsea
versus
Everton
and
Crystal
Palace
versus
Manchester

United
Premier
League
fixtures”
(Sparkes,
2014)
and
enhanced
odds
were
given
to
bettors.
This
may
seem
like
a

gimmick
but,
in
this
day
and
age,
this
is
the
kind
of
thing
that
gets
you
noticed.

Ceasars
is
one
company
that
has
been
able
to
use
social
media
to
measure
marketing
data.
“While
social
media

networks
like
Facebook
provide
metrics
that
measure
activity
within
its
platform,
integrating
that
data
to
enable

visibility
across
a
brand's
entire
marketing
organization
is
difficult.
Caesars,
however,
unites
information
from

customers
coming
through
social
channels
across
business
units,
program
teams,
time
zones,
and
languages.
A

content-‐building
component
allows
Caesars'
marketers
to
listen
in
and
respond
in
real
time
(Urbanski,
2013).

No
matter
where
the
customer
interaction
originates,
engagement
is
a
key
factor
in
moving
those
interactions

from
the
top
of
the
sales
funnel
to
an
eventual
purchase
(Urbanski,
2013).
“It
doesn't
matter
where
customers
come

in
or
leave
or
reenter,”
says
Chris
Kahle,
Caesar’s
Web
Analytics
Manager
(Urbanski,
2013).
“If
they
come
to
your

social
page
and
click
your
button,
or
if
they
go
into
your
content
or
email
and
click
on
that,
it's
all
the
same
app
and

you've
got
them.
[The
app
we
use]
IDs
a
cookie
and
if
[prospects]
come
back
around
on
paid
search
three
days
later,

we
can
track
them.
We
can
track
them
on
every
website,
even
if
they
came
in
on
a
Las
Vegas
site
and
then
jump

markets
to
Atlantic
City,”
adds
Kahle
(Urbanski,
2013).

Caesars
also
tracks
activity
in
real
time,
while
responding
to
customer
cues
(Urbanski,
2013).
Unsurprisingly,

different
types
of
customers
are
more
responsive
to
different
interactions
from
Caesars.
Aside
from
dividing

customers
into
categories
such
as
“Frequent
Independent
Traveler”—or
FITs
and
Total
Rewards
members,
the

Ceasar’s
team
uses
tracking
data
to
further
segment
customers
by
property
or
market
as
well
as
determine
how
each

of
their
various
segments
respond
to
content
(Urbanski,
2013).
Using
this
data,
Caesars
evaluates
campaigns
in
regard

to
KPIs,
such
as
number
of
nights
booked,
and
adjusts
them
on
the
fly
to
ramp
up
conversion
rates
(Urbanski,
2013).

“When
Caesars
sponsored
free
concerts
by
top
artists
at
several
of
its
properties
last
year,
for
instance,
it
streamed

the
events
live
on
the
Web
and
used
its
new
analytics
suite
to
fine-‐tune
loyalty
program
offers
on
its
websites.
It

resulted
in
a
dramatic
spike
in
Total
Rewards
program
sign-‐ups
during
the
concerts”
(Urbanski,
2013).

“What's
really
dramatic
about
this
is
that
you
can
determine
what
is
engaging
individuals
and
target
them
with

it,”
Adobe's
Langie
says
(Urbanski,
2013).
“The
high-‐roller
segment,
for
example.
They
might
respond
to
a
very

different
Web
design
than
the
casual
visitor
and
Caesars
tailors
the
page
view
to
who
is
visiting.
Think
of
the
website

as
a
canvas.
You
can
paint
a
still
life
of
a
fruit
for
one
person
and
something
different
for
another.
The
canvas
is

dynamic”
(Urbanski,
2013).

“The
speed
and
the
manner
with
which
the
chosen
website
designs
and
digital
marketing
tactics
are

implemented
across
the
Caesars
network
may
well
be
the
most
transforming
development
of
the
company's
new

data
culture”
(Urbanski,
2013).
And
this
was
no
easy
task
as
the
Caesars
landscape
extends
over
60
websites
for
its

various
properties
and
services
as
well
as
40
Facebook
pages.
“Prior
to
implementing
a
data-‐centric
approach
to
the

decision-‐making
process,
it
could
take
as
long
as
two
weeks
to
furnish
the
field
with
actionable
data.
They
now
get
it

done
in
a
matter
of
hours”
(Urbanski,
2013).
In
2013,
Ceasars’
implemented
Adobe’s
Digital
Marketing
Suite,
which

“includes
real-‐time
tracking
and
segmentation
of
digital
site
visitors,
analysis
of
social
media’s
role
in
purchasing,
and

content
testing
by
segment
or
individual
visitor”
(Urbanski,
2013).

“The
people
at
the
individual
properties
who
are
managing
the
content
of
the
websites
are
not
all
technically

sophisticated,
but
Adobe
system
provides
them
with
built-‐in
capabilities,”
Kahle
says
(Urbanski,
2013).
“Say
one
of

our
properties
wants
to
track
social.
Before,
they'd
have
to
spend
a
lot
of
time
manually
adding
tracking
codes.
With

Adobe,
tracking
codes
are
integrated”
(Urbanski,
2013).

In
this
day
and
age
it
is
all
about
one-‐to-‐one
marketing.
“There's
a
competitive
advantage
to
using
customer
data

to
track
and
customize
marketing
appeals
for
targets
of
one
as
opposed
to
solely
focusing
on
the
general
masses.

High
rollers
frequently
drop
tens
of
thousands
of
dollars
at
gaming
tables,
and
they
are
the
segment
being
lured
to

brand
new,
luxury
casinos
in
Macau,
Singapore,
and
South
Korea”
(Urbanski,
2013).

“Right
now
we
can
assign
a
percentage
value
to
social
media
if
a
booking
doesn't
result
right
away,”
Kahle
says

(Urbanski,
2013).
“But
with
social
we're
going
to
be
experimenting
with
a
longer
funnel,
maybe
a
two-‐week
time

frame”
(Urbanski,
2013).
“Values
are
ascribed
to
social
media
for
being
the
site
of
initial
contact
with
a
new
customer,

for
instance,
or
for
numbers
of
positive
reviews
by
current
customers”
(Urbanski,
2013).

Currently,
Caesars
can’t
measure
the
total
value
of
a
reservation
booked
online
and
also
can't
determine
how

much
an
online
booker
spends
at
the
tables
during
his
or
her
stay
(Urbanski,
2013).
This
is
important
information

when
it
comes
to
truly
understanding
a
patron.
Caesars
would
also
like
to
know
if,
for
example,
“customers
left
the

Caesars'
casino
in
Las
Vegas
and
went
to
dinner
at
Gordon
Ramsay's
restaurant
at
the
Paris
Las
Vegas,
so
they
could

offer
them
a
free
dinner
at
the
restaurant
to
close
the
deal
on
a
future
booking”
(Urbanski,
2013).

“Eventually
we're
going
to
set
a
time
frame
that
will
never
expire
[on
the
sales
funnel],”
Kahle
says
(Urbanski,

2013).
“But
for
now
we've
built
a
sales
allocation
model
that
goes
beyond
the
last
click,
and
that's
OK.
Most

organizations
using
multiple
marketing
channels
are
still
stuck
on
that
last
click”
(Urbanski,
2013).

Mobile
and
social
media
are
going
to
be
important
channels
for
casino
marketing
and
operations
departments

for
years
to
come.
The
mobile
phone’s
ubiquity,
however,
could
be
a
double-‐edged
sword.
It
allows
a
casino
to

market
directly
to
its
patrons
while
they
are
not
just
on
their
property
but
also
anywhere
they
might
be
standing.
In

this
changing
digital
world,
If
a
casino
isn’t
constantly
marketing
to
its
patrons,
some
other
casino
might
be
and
an

offer
for
a
rival’s
buffet
received
while
its
patron
is
in
“decision-‐mode”
could
result
in
that
patron
leaving
one

property
and
eating—and
later,
potentially
gambling—at
another.

You
can’t
get
faster
than
real-‐time
and,
if
patrons
recognize
that
they
are
being
treated
in
real-‐time
(or
very

close
to
it),
they
will
be
impressed,
I
have
no
doubt.
The
day
when
a
gaming
company
fully
understands
its
patron

because
it
is
seamlessly
integrating
information
from
the
gaming
floor,
the
restaurants,
the
hotel
spa
or
one
of
the

other
onsite
retail
locations
is
fast
approaching.
Companies
that
can
provide
patrons
with
a
one-‐to-‐one
personalized

experience
filled
with
engagement
in
the
channels
that
they
want
will
be
the
winners
in
this
new
gaming
world.

References

Amsel,
P.
(2013,
August
14).
Zynga
Slingo
death
watch;
Empire’s
social
casino
experiment
a
net
win.
Retrieved
from

Calvinayre.com:
http://calvinayre.com/2013/08/14/business/empire-‐social-‐casino-‐crowdsourcing-‐
experiment/

Benson,
L.
(2009,
October
26).
Casinos
saving
face
online.
Retrieved
from
Las
Vegas
Sun:

www.lasvegassun.com/news/2009/oct/26/saving-‐face-‐online/

Jones,
Thomas
O.
and
Sasser,
Earl
W.,
Jr..
1995.
Why
satisfied
customers
detect,
Harvard
Business
Review.

November
–
December
1995,
pp.
88-‐99.

Lovelock,
C.
a.
(2010).
Services
Marketing,
People,
Technology,
Strategy,
Seventh
Edition.
Prentice
Hall.

Matt,
S.J.,
Augmented
reality
and
hospitality…
the
next
generation
of
hotels?

The
Chocolate
Pillow.
January
22,
2013.

http://chocolatepillow.com/augmented-‐reality-‐and-‐hospitality-‐the-‐next-‐generation-‐of-‐hotels/

Sparkes,
M.
(2014,
February
24).
Betfair
to
offer
‘self-‐destructing
odds’
via
Snapchat.
The
Telegraph.

Takahashi,
D.
(2013,
May
22).
Lighthouse’s
new
Android
location
service
could
give
you
indoor
navigation
for
Las

Vegas’
casinos.
Retrieved
from
Venturebeat.com:
http://venturebeat.com/2013/05/22/lighthouse-‐signal-‐
systemss-‐android-‐app-‐will-‐let-‐you-‐find-‐your-‐way-‐inside-‐the-‐biggest-‐las-‐vegas-‐casinos/

Urbanski,
A.
(2013,
February
1).
At
Caesars,
Digital
Marketing
Is
No
Crap
Shoot.
Retrieved
from
DM
News:

http://www.dmnews.com/at-‐caesars-‐digital-‐marketing-‐is-‐no-‐crap-‐shoot/article/277685/

Wangenheim,
F.
v.
(2005).
Postswitching
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Word
of
Mouth.
Journal
of
Service
Research,
8,
No.
1,
67-‐78.

Weiners,
C.
(2012,
March
30).
LBS
Opportunities
for
Casino
Marketers
in
Macau.
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from
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