Harrah's Entertainment Incorporated
Essay by john222222 • April 3, 2014 • Essay • 324 Words (2 Pages) • 1,286 Views
Harrah's CRM
As mentioned in the introduction, Harrah's Entertainment Incorporated realized that about 90 percent of its revenues came from its casinos business and not from associated ventures. This made Harrah's adapt a consumer relationship management program.
Customer relationship management (CRM) is building and designing a customer-driven marketing strategy, in order to build profitable customer relationships. This involves database marketing, which is managing detailed information about each customer to maximize his/her loyalty.
Harrah's initiated CRM program aimed to capture a bigger market share in the gaming business and enhance customer loyalty as soon as they discovered that its customers spent only 36% of their annual gained budget with the company. According to Bligh and Turk, in the 2004 issue of CRM Magazine, Harrah's Entertainment Inc. has had a great success in targeting "low-rollers" in recent years.
Harrah's applied the CRM program consisted of a main key element which is database marketing under the title of a loyalty program called Total Rewards. This, IT powered customer loyalty program, was based on recording customer activity at various points of sales including slots, machines and restaurants and gather valuable information about customer preference and spending habits in order to offer them powerful incentives.
Harrah's Senior Vice President of marketing explained how they (Harrah's) aim to know customers by enrolling them in this program. This program has an electronic card and rewards account. Each time a customer plays a game or slot machine, he inserts the card. A readout will show how many regular and bonus points he or she acquired. After a certain number of regular points reached the card holder qualifies for a gold, platinum or diamond membership with different rewards upon each. And the bonus points are turned to free food and other perks at the casinos.
At the meantime Harrah's is gathering information about their customers' preferences and collecting data about them to satisfy them with that they need and create a customized guest experience during their visit.
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