Casino Client B is located near a major metropolitan city, and it has at least 20 competitors within 50 miles. In fact, the state has more than 70 casinos, which makes competition fierce. Over the past two years, Casino Client B has dealt with several challenges stemming from massive interstate construction. As construction expands down the interstate, Casino Client B continues to suffer business losses as large sections of the metroplex avoid that area due to traffic congestion. Casino Client B asked Romph & Pou to assist them with its SCORPIO database and analysis services.
Strategy & Execution.
SCORPIO reviewed all possible client-customer relationships. Then, it determined which customers were predicted to return in subsequent months. The customers deemed NOT likely to return were associated with a risk/return factor to determine the optimal reinvestment level based on the probability of successfully driving a visit. This exercise was critical to Casino Client B in order to determine the true impact of incremental business versus predicted business.
- Impacted Marketed Guests 24% 24%
- Yielded Incremental Value 50% 50%
- Increase in Revenue 8% 8%
- Reduction of Reinvestment 40% 40%