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Harrah’s—Gambling Big on Technology

Harrah’s—Gambling Big on Technology. Chapter 6: Closing Case Two By: Brandon Knight. Harrah’s History. Opened by Bill Harrah in 1937. Started as a small bingo parlor. Now 26 casinos across 12 states. Harrah’s current CEO is Phil Satre .

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Harrah’s—Gambling Big on Technology

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  1. Harrah’s—GamblingBig on Technology Chapter 6: Closing Case Two By: Brandon Knight

  2. Harrah’s History • Opened by Bill Harrah in 1937. • Started as a small bingo parlor. • Now 26 casinos across 12 states. • Harrah’s current CEO is Phil Satre. • In 1984 Phil Satre decided to commit to improving customer satisfaction through investing in an enterprise wide infrastructure.

  3. Winner’s Data Network (WINet) • Harrah’s used their innovative WINet as their form of Data Warehouse. • Tracks the gambling history of the 90 million customers annually. • Determines what casino and specific gaming machines that the customers prefer. • Marketing analyzes the information for patterns and insights, in attempt to make the casino more profitable.

  4. Total Rewards Program • Harrah’s recently implemented its patented Total Rewards program. • Different levels of member programs depending on average time spent while playing the games. • Free entry fee, which attractive to customers because it makes for free benefits and rewards. Harrah’s

  5. Rewards • Free dinners • Hotel rooms • Tickets to shows • Cash • Diamond loyalty level, which is the highest level of membership, allows the customers to skip all lines and receive free upgrades to the most expensive rooms.

  6. Investment’s Results • 10% annual increase in customer visits. • 33% increase in gross market revenue. • Yearly profits of over $208 million. • Highest three-year ROI in the industry. • A network that links over 42,000 gaming machines in 26 casinos across 12 states. • Rated number six of the 100 best places to work in IT for 2003.

  7. Question 1 • On Average, how many customers does Harrah have annually? 80 million 150 million 20 million 90 million

  8. Question 2 • How much does it cost to become a Total Rewards Member? • $20 • $10 • Free • $50

  9. Discussion Question Will Harrah’s continue to grow at such a substantial rate, or was it just a phase for this newly implemented rewards program?

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