Casino Client C & SCORPIO® Volatility Model

Challenge

Traditionally, a casino patron’s value is measured by ADT, which serves as the primary consideration when selecting guests for VIP initiatives. Because the number of high-value players is typically limited to 3% to 5% of an active database, it’s likely that the same group of individuals are being solicited for all VIP efforts. This stagnant approach leads to a high risk of burnout and erosion of the top-tier guests, as well as missed opportunity from patrons who have the ability to play more than their play calculation may indicate.

Strategy And Execution

In order to create a more robust approach to VIP solicitation, Romph Pou Agency (RP) developed a more complex worth measurement by quantifying the uncertainty in their value. This uncertainty is expressed in terms of Volatility, which is a patron’s tendency to play outside their typical worth tier. A model is developed for each patron to produce a Volatility score, assigning each as either Upside (the patron’s tendency to play above their typical worth tier) or Risk (the patron’s tendency to play below their typical worth tier). RP applied this new Volatility score to a monthly VIP event model for Casino Client C, and began soliciting guests with upside potential for these events.

Measurable Results

By adding upside potential guests to monthly VIP events, Casino Client C saw a 62% lift in eligible guests, coupled with a 6.7% average increase in Theo generated from the event.

62%

Average Increase in Eligible Guests

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