Harrah`s

소개

HBR case `Harrah`s entertainment`에 대한 케이스 분석 및 솔루션

목차

1. Why is it important to use the "customer worth" in the DBM efforts rather than the observed level of play?

2. What are the objectives of frequency upside, budget upside, retention programs and are they working appropriately in terms of key performance and profit contribution?

3. Do you consider that Harrah`s DB marketing programs are sustainable?

본문내용

Profitability: Profitability is one of main elements for deciding programs’ sustainability. As you see the result of question number 2, Harrah’s DB marketing programs are profitable enough to be sustained. Overall, Incremental revenues generated by the effects of DB marketing programs were larger than incremental costs.
Measurability: Marketing actions are considered as hard to measure its effectiveness. If company can see the efficiency and effectiveness of its marketing, the possibility of sustaining programs could increase. Harrah’s customer’s response data to the campaign is tracked and analyzed in detail. Not only are response rates measured, but other metrics as well, such as revenues generated by the incentive and other marketing actions. By doing so, Harrah’s marketing team can keep improving and modifying its programs and that makes Harrah’s DB marketing programs sustainable.
Customized marketing: Gaming industry is considered as discrete and multi-brand relation industry but Harrah’s DB marketing programs made Harrah’s unique like telecommunication, and financial services. Harrah’s marketing programs has had a successful history of reaching the customer on a personal level by trying to learn as much as possible about them. This knowledge helped the company to serve its clients better and also significantly improved its operational effectiveness.

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