5 Trends Shaping Your Hotel-Casino Revenue Strategy
By Kacey Bradley, Lifestyle Blogger for The Drifter Collective
For guests with extra funds and time, hotel-casinos are a lucrative attraction, and the destination appeal of casinos is profitable for tourism. As the hospitality industry incorporates more casinos, the reach of this entertainment form will grow.
Understanding your guests and the current trends is crucial for continued healthy growth and performance. Here are five trends shaping your hotel-casino revenue strategy.
1. Marketing to a Younger Audience
The marketing focus of hotel-casinos is moving from baby boomers to younger generations, which requires a fresh mindset and the implementation of different strategies.
Marketing messages are capitalizing on images and simplified text to stick with the younger audience. Some casinos are also trying to partner with social media influencers to bridge the gap between this leisure activity and millennials. This promotional effort aims to stay relevant and personal.
Strategies for younger generations rightly include social engagement. Casinos are highlighting group games over isolated ones to give a richer layout, which is complementing tourism and hospitality practices.
2. Increase in Frequency, but Decrease in Spending
The popularity of casino gaming has grown, and experts project the global casino gaming market will reach $191 billion by 2022. Frequency in gaming is a significant part of this surge in occupancy. As more people fill casino rooms and try their hand at table games, it's possible that will result in an influx of returners or a higher level of new players. However, there's a disconnect in the spending and occupancy levels.
The experience of a casino still draws many visitors, because the ambiance is unique. Although visitors are ready to enjoy the venue, they aren't as willing to part with their money. This trend is especially true for millennials, who are conserving their funds for refreshments and less risky entertainment.
With customers spreading out their money for a higher number of trips, it's essential to ensure these visitors come back to your facility. Although there's currently a reduction in spending, these trends may even each other out.
3. Shift to Online Gambling and Apps
Now that most people have smartphones and mobile devices, gambling online has intensified. Virtual casinos can prevent visitors from attending physical locations to gamble. Some casinos are combining location-based gambling and digital platforms to revamp tourism.
Mobile apps for the lottery are useful for keeping track of tickets and promotions. They also direct players to physical retail locations in their areas. Hotel-casinos are encouraging mobile engagement to benefit from the interest in technology-based gambling.
Both the hospitality and casino industries are extending their services through mobile apps. Apps are acting as a tool to connect to customers and streamline wagering.
4. Change in Reward Strategy
Loyalty pricing for hotel-casinos is an untapped area with potential. Worthwhile rewards spanning both the hotel amenities and the casino services are set to bring a better public cash rate.
Hotel-casinos are restructuring their policies for reinvestment based on customer value. Although the qualifications are changing, customer loyalty possibilities within these facilities are widening.
Private accounts allow hotels to offer personalized rates for rooms based on data rather than a fixed rate. Retaining guests with segmentation in an advanced reward system is a rising trend in hotels with casinos.
5. Elevation in Competition
Expanding gaming venues put casinos in a highly competitive atmosphere. Regional development has put further strain on available discretionary income, so each establishment is fighting for guests.
Hotel-casinos are contending in this niche market to provide the best restaurants, amenities, gambling options and accommodations possible. As they try to harness the disposable income of visitors, other tourist enterprises are vying for customer attention, too.
Refine Your Revenue Strategy
With these emerging trends, hotel-casinos must form a specialized approach to build and maintain customer relationships. Implementing a promising plan of action can put your hotel-casino in a profitable position. Construct an effective revenue strategy to keep up with the evolving market.