Players clubs were developed to provide casino operators
with computerized tracking of slot play to create customer data bases
for the purpose of issuing comps, but do you ever get the impression
they have evolved into "carrot-on-a-stick" marketing ploys?
The first step toward that end was structuring the
clubs in tiers, as many casino operators have done, starting with the
entry level and progressing upward to two and in some cases even three
plateaus. It provides players with tangible goals for which to aim.
The strategy was to show players that if they just
made a few more visits and bet a little more, the next tier level and
the benefits that went along with it was within reach.
This encourages increased play and brand loyalty, but
rather than being rewarded for patronage that fits an individual's comfort
level, in the manner of frequent flyer miles or retail purchases, gamblers
began feeling the pressure.
It has gotten to the point that players at some casinos
in gaming markets around the country, including Greater Chicago, are
not even being rewarded proportionately on a dollar for dollar basis.
Players who are members of higher tiers can earn cash back at an increased
rate.
At Delta Downs Racetrack & Casino in Louisiana, if
a player earns 6,500 points during an evaluation period, he or she ascends
to VIP level and earns cash back at 1.5 times the regular rate. Earning
20,000 points vaults the player to Chairman's level where cash back
is earned at twice the entry level rate.
At the Hollywood Casino in Tunica, Mississippi, members
of the basic Screen Test level receive 10 cents cash back for every
Star Point earned, but Marquee card holders receive 15 cents back for
that same point.
Another disturbing trend on behalf of some gaming companies
is direct mail solicitation that offers to reward players with a bonus
only if they maintain their historical rate of play and not what may
be comfortable for them during the rating period. In other words, the
casino sets the goals and not the players.
For example, a player who has been tracked as a bigger
gambler may have to earn 3,000 points to even see the minimum bonus
amount kick in whereas a more conservative player will only have to
reach half that goal for his bonus to apply.
Certainly upper echelon players are delighted with
the perks that they derive from the system. It's a way of rewarding
people who are inclined to wager larger amounts and who would be high
rollers regardless of tiers.
If used wisely, club participation enhances the gambling
experience by adding value to the money a customer wagers. The cash
back and other incentives represent a return on investment that can
be leveraged against the house advantage on the games. But it works
only if you refuse to chase the carrot.
CASINO NEWS: More bad news for video poker players
in the Chicago area. Argosy's Empress Casino in Joliet decided last
month to reduce the deuces wild pay tables on the one dollar Game King
machines from the so-called "Not-So-Ugly-Deuces" which return 99.7 percent
with optimum play to the less desirable "Illinois Deuces" at 98.9 percent.
Also, the full house payoff on the "Super Aces" games on the casino's
one dollar Triple Play machines has been knocked down from 8 for 1 (99.8
percent pay table) to a budget busting 7 for 1 (98.7 percent pay table),
slashing more than one percent off the expected long term return with
optimum play.
Harrah's Joliet Casino Hotel recently celebrated the
grand opening of its new fine dining destination, The Reserve. The accent
is on prime steaks and chops complemented by a 150-item wine list available
in a broad array of bottles including 28 half bottles and 25 Cabernet/Meritage
options. The 120-seat venue, which has an open kitchen, features traditional
seating as well as secluded booths located in nooks throughout the restaurant
and a private dining area with seating up to 16. Entr�e prices range
from $26 to $40. The Reserve is open Wednesday and Thursday from 4:30
pm to 10 pm; Friday and Saturday from 4:30 pm to 10:30 pm; Sunday from
4 pm to 9:30 pm. Call 815-740-2467 for reservations.