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Q&A talks about the latest slot-machine trends with Eric Pearson, Foxwoods' vice president of gaming and revenue enhancement.
Q: What are the challenges of marketing slots? How do you attract people to Foxwoods when there are so many choices within 100 miles and there will be more soon in Boston and Springfield?
A: Casinos use many of the same elements in their marketing strategies, so it's challenging to differentiate and resist merely trying to beat the other guy's offer. The challenge is finding ways to give compelling offers to our guests. Much of what allows us to remain competitive is our mix of great amenities and venues. Our best strategy for preparing for the new casinos in Springfield and Boston is service, quality and brand. If you can execute well on those three, you'll have a strong foundation. We are also continually working on ways to improve our Foxwoods Rewards loyalty program.
Q: You have diverse experience including Las Vegas and Spokane, Wash., casinos. How does East Coast gaming differentiate from those locations? What do you need to do differently in terms of marketing?
A: Obviously geography is a major influence on the business. I've worked in pure local markets in Illinois, Arizona and Washington that saw over 80 percent of the business come from guests that live within a 50 mile radius of the property. On the Las Vegas Strip, essentially all of our business was destination in nature, coming from guests who had to travel at least a few hundred miles, by either car or plane, and everyone had to stay in a hotel room.
Foxwoods engages both types of business models. We have a lot of drive-in/local business as well as destination business.
From a marketing perspective, we have to engage these different groups of guests in ways that are compelling to their individual needs. We strive to connect to each guest and speak to him or her individually to discover what matters most to them.
Q: What are the demographics of slot machine play? Do you have to market to a younger crowd to sustain growth? Do younger people want to play slots?
A: Slot players really span all adult demographic segments. In fact, the fastest-growing segment we have is 21 to 35 years old. Younger people definitely play slots, maybe not to the same degree as older guests, but that is because of a variety of factors. Slot machines are also growing more interactive and are incorporating elements that you will find in the most popular social and video games.
Q: How are you using database marketing to improve revenue at Foxwoods?
A: On a very basic level we use our database to communicate offers that our players will find appealing. We only get a fairly limited snapshot of what our players do while they are here. We try and use that information to tailor offers and promotions that we think they will find exciting.
Q: What's the future look like for slot machines? Where does the growth come locally and overall?
A: The evolution in technology has focused on slot machines as entertainment as much as they are gambling devices. Every year, I attend the industry's tradeshow called the Global Gaming Expo in Las Vegas, where the latest and greatest machines are debuted, and every year I'm blown away by a new technology or game-play mechanic that completely changes what I thought was possible on a slot machine.
I try to follow general technology trends as much as gaming trends, and in some instances the first times that I've seen an exciting new technology was in a slot machine. For example, the first time I ever saw a translucent video screen was in a slot machine; the first time I saw a curved monitor was in a slot machine; and the first commercial application that I saw where a 3D image was displayed without the need for special glasses was in a slot machine. It's a very exciting business for a tech geek like myself. I think that the industry will continue to evolve and offer exciting new games for us to feature on the casino floor.
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