How Being Data-Rich Allows Casinos to Leverage Total Guest Value

Author: Avanti Joglekar

Guest valuation is a critical aspect of revenue management for any property, especially casinos. With constant pressure from a growing competitive landscape in Gaming, it’s as important as ever for RMs to identify those guests who have the biggest impact on the casino’s bottom line. Luckily, casinos are ahead of the curve when it comes to capturing and understanding critical guest data. Here's how.

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The casino industry is data-rich. Within a casino there are multiple touch points to track guest spend, while many traditional hotels are largely limited to tracking room revenue.

Casino properties also have more advanced methods of collecting spend data when compared to traditional hotels. One study showed that nearly 70% of casino-goers use loyalty cards instead of cash, tickets or other payment methods. These loyalty cards are a win-win for guests and properties alike. From the guests’ standpoint, special offers and comps are designed to suit each individual customer. Since casinos collect behavioral insights from the loyalty cards, they understand everything the customer does: what games they prefer, how long they play, how much the guest spends per game and so forth. Using that information, casinos tailor offers and rewards specifically for that customer profile.


From the property’s standpoint, loyalty cards are a wildly successful means of collecting data on their guests. From spending to demographic information, loyalty cards can return data to the RMS to determine guest valuation profiles at a granular level. Casino properties can look at their customers at the player-value level, where metrics such as Average Daily Worth are crucial in determining a guests' value. Those metrics are used by the property's RMS to determine which segment contains their highest value customers.

In many ways, the traditional hotel world can learn a vast amount about guest valuation from the Gaming industry. Even though traditional properties cannot gather the richness of information in the typical casino's data set, there are still ways to improve on current methods. Traditional hotels need more data to properly evaluate the profitability of their customers. Thankfully, current ways of collecting data on hotel customers are being improved and new methods are being developed every day. In the meantime, the best way for traditional hotels to ensure that they’re using the most accurate and most current data available is to have a modern, integrated RMS. That way, the property can optimize the data they have to segment more accurately and target the right customers at the right time.

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