|In tough market conditions and tight competition, technology could give you the edge to win the ‘war for the wallet’ and to retain customers says Les McMackin III, senior vice president of marketing at the $1 billion Isle of Capri Casinos.|
The first step - move its offline database online, improve modelling and clustering, and get in tune with the customer cycle.
The challenge he says is to win the long-term-loyalty battle through customer rewards and loyalty programs. Most companies like Capri have huge amounts of data, which haven’t been capitalized on. Using the same data-modelling techniques used by financial services and telecom companies, raw data is turned into a competitive advantage.
Isle of Capri will intelligently capture customer data into a database and model its base by taking those transactions and applying clustering to the results using a sophisticated CRM (Customer Relationship Management) back-end.
For instance, if the data suggests a particular customer frequents the Casino mostly on Friday nights, then it will adopt a two-forked strategy – first step-up the incentives for Friday, so he’ll spend more, then increase the lure during the other days of the week to draw him back.
Put into practice, this information is ‘mined’ and then selectively targeted by sending out 7 million mails yearly to 1.5 million active customers.
McMackin says it’s all about knowing the customer. 'The more I start to learn about the customer, the more I can influence his behaviour that benefits me, the operator, and maybe give some additional reward to you, the customer'.