Case Analysis Report
“Harrah’s Entertainment”
BUSI2201U (Marketing 1)
Group #12
By
Raji Sandhu
Mohamed Mounib
Kyle Craner
Javaad Khan
Obaid Mohammed
Mohammad Malik
Word Count: 2001
Analysis-Problem/Opportunity
Harrah’s Entertainment is a huge company with many brands and properties under its name including 40,000 hotels, 60,000 slot machines, 390 restaurants, 240 retail shops and 7 golf courses which received over $10,000,000,000 in revenue in the year 2009. Harrah’s entertainments mainly cares about and focuses on its customer loyalty and relationship, reason being it strongly believes that it is the sole reason behind why they are so successful.
During 1998, Harrah’s obtained a new CEO, Gary Loveman. Loveman had turned the existing loyalty program into a total reward program which allowed people to receive points for using the card. 80% of Harrah’s customers use the improved Total rewards card implemented by Loveman. Harrah’s CEO and staff have always understood that the program was not aimed to get people into casinos but rather to maximize the customer experience. Harrah’s marketing information system is well developed and its core being the total rewards program it offers. This system has helped them focus on its specific customer target markets, as well as strive at making positive relationships with its current customers.
Harrah’s has a great opportunity to reach out to its current customers through mail, since “they have a higher-than-average direct mail response.” Harrah’s only sends relevant informational mail to each specific customer, which gives them the opportunity to reach out and market to their current customers. Harrah’s focuses on its CRM program in an effort to help them retain current customers. Although, this is an amazing objective at the same time it proves that it is aiming more towards keeping its current