Offering high value to its customer Using CRM Having a big customer base Does customer loyalty program

1. Presented By:
 Vikas Pandey
 Avinash Tripathi
 Kritika Singh
 Akash Tewari

2. INTRODUCTION
 Founded- October 29,1937
 Founder- William F. Harrah
 H.Q- Paradise,Nevada,United State
 Chairman- Gary Love man
 C.E.O- Mark Frissora
 Industries- Gambling, Hospitality
 Product- Hotels, Casinos

3. INTRODUCTION
 Revenue- 4.654 Billion US$ (2016)
 Total Assets- 12.195 Billion US$ (2016)
 No of Employees- 33,000 (2016)

4. CHAIRMAN & CEO

5. SUMMARY
 Offering high value to its customer
 Using CRM
 Having a big customer base
 Does customer loyalty program

6. WHAT THEY DID ?
 Customer loyalty program
 Decision science based tools
 Hotel revenue management
 Personal content management.

7. WHAT THEY DID ?
 1997 loyalty program was initiated
 Data is gathered at all points of scale
 1998 they started mining and analyzing the data.
 A Harrah's customer only spent 36% of gaming dollars
with them.
 26% of customers produced 82% revenue.
 Best customers were not the high rollers
 They are slot playing middle aged folks, retired teachers,
bankers and doctors with time and discretionary income.

8. WHAT THEY DID ?
 They often did not stay at the hotel, but visited in
evening to game.
 The reason they visited was the anticipation and
excitement.
 Collect customer data from various source systems.
 Integrate the data around the customer.
 Identify market segments and customer profiles.
 Create appealing offers for customers to visit Harrah's
casinos, and make the data available for operational and
other analytical purpose.

9. PROBLEMS
 Harrah needs to decide how can they have maintain the
competitive advantages attracting new customer ,
retaining the existing one.
 Getting back the lost customers and to keep the
competition

10. CHALLENGES
 Inappropriate IT infrastructures and advanced data
analysis.
 In 1999, increased competition in the casino market
 Increase in gaming taxes.
 Competitors can copy Harrah’s strategy ( with regard to
Database Marketing and Reward Programs).
 Harrah is far behind the competitors, most of them
invested heavily in facility.

11. HARRAH’S CRM EFFORTS
 A massive data warehouse and business intelligence (BI)
initiative was undertaken that enabled Harrah's to collect
and consolidate customer data.
 It has used customer-behaviour and financial data to plan
product mixes and property configurations.
 Harrah's then used decision science tools from SAS and
Congo's on the collected data to better understand its
customers and gain insight into their gaming preferences.
Complimenting Harrah's on its CRM program, Cinda A.

12.  What type of information is collected?
 Demographic Information-
 Name
 Age
 Gender
 Distance from Harrah’s property
 Transactional Information-
 Types of games played
 How many machines played?
 How many wagers placed?
 Value of the average bet/total coin.in
HARRAH’S CRM EFFORTS

13.  Continue to create new programs and implement unique
and different programs and marketing campaigns that
would strengthen customer relationship and increase
customer visits.
 Hallman, Former Senior Vice-president of Global
Systems and Processes for DuPont commented,
"Harrah's is an outstanding example of a company that is
aggressively and smartly using technology to understand
the behaviour of its customers
HARRAH’S CRM EFFORTS

14. WHAT THEY DID ?
 Change in gaming laws, started rivalry, instead of
opening lavish properties, Harrah initiated CRM.
 Leveraging IT, Harrah’s decided to compete using a
brand strategy supported by information technology.
 Needed to know their customers exceptionally well.
 Harrah’s CRM was customer loyalty program called total
reward.
 A happy customer will increase spending by 24% year.
 An unhappy customer decrease spending by 10%

15. OBJECTIVES
 Customer acquisition
 Building customer loyalty
 Customer retention

16.  Collect customer data from various source systems.
 Integrate the data around the customer.
 Identify market segments and customer profiles.
 Create appealing offers for customers to visit Harrah's
casinos, and make the data available for operational and
other analytical purposes.
Wi-net : Creating A Single Customer View

17.  A brand identity for Harrah's casinos
 An increase in customer retention worth several million
dollars
 A 72% increase in the number of customers who play at
more than one
 Harrah's property, increasing profitability by more than
$50 million
 62% internal rate of return on the information technology
investments.
Benefits

18.  Harrah's entertainment was bought by private equity firms
Apollo Management and Texas Pacific Group
 Deal size $30.7 billion
 Including $12.4 billion debt and $1billion transaction cost.
Recent changes

19. 65%
16%
12%
7%
Net Revenue Breakdown
Casino
Food & beverages
Lodging
Others
Current Scenario