Caesars to cut comps to further bring down costs

https://www.reviewjournal.com/?p=1653978

The article is about various financials of Caesars, but it is mentioned that they will cut comps via "more efficient marketing".

Presumably they are trying to analyze which players are low-profit "basic strategy" types, and which are gambling fish likely to lose very often, and then cutting the costs regarding marketing to the basic strategy players.

This is part of the basic rebellion of casino operators against non-APs who still know what they're doing regarding correct strategy and recognizing better odds spots.

You would think that Ceasars bankruptcy would have already shaved all the "fat" from the program. I think that any further comp cuts would start cutting bone and just encourage people to go elsewhere. In Vegas the wife and I are transitioning to Venetian/Palazzo. Notably, years ago we used to give Venetian/Palazzo some decent action until Sheldon decided he would no longer comp anyone other than whales. So we fled. Now at Venetian, we see better offers in V/P for less action than at Ceasars in Vegas.

I wonder how this cut in comps relate to the possible sale of Ceasars. A couple of weeks ago I was playing craps in Harrahs Lake Tahoe with only one other player. The female dealer was telling us that the dealers expected Ceasars to be sold. But just wasn't sure who it would be sold to. She did not seem particularly concerned - in fact it appeared she thought the change was a positive. Notably, the other craps player complained of how tight the table games were in issuing Rewards Credits. He said he was there for three days (it looked like he was betting an ave of $75 on the layout) and he only got 1,400 Reward credits all those days. The dealer told him that Harrahs and Harvey's Tahoe were notoriously bad at table comps. "This is a 'resort destination' so we have the worst table comping formula in whole Ceasars system." She also said that your first three bets were the basis of computation.

Thanks for the info FAB. We’re going to Harrahs Tahoe in a couple weeks. I have noticed that Harrahs Reno has the better payoffs on the ATS craps bet, but is a much less desirable property than being at the lake. Will take heed with your tip on the first three bets. Thanks again.

In a recent article about the Ocean Casino finally becoming profitable, I found the following statement interesting.

"A new marketing plan and more deals for customers have helped increase slot revenue and hotel occupancy."

Imagine that--give the customers something to get them in the door rather than keep gouging them.

In a way, I think the changes in comp policy, while crappy for most people reading this forum, are somewhat correct from a business standpoint.

If I owned a casino, I would also be focusing upon the ploppies.

Video poker players willing to play bad paytables are also less likely to play correct strategy. That's who you want in your casino

Blackjack players willing to play 6:5 are also less likely to play correct strategy.

In both cases, you are also pricing out APs.

There's all kinds of other ways you can identify ploppies with nearly 100% accuracy, and then similar ways you can start picking off who knows what they're doing. For example, if you have 300 VP machines in your casino, and a player focuses upon the 2 best paytable machines in the joint, then you know you have a knowledgeable player.

I think the right way of doing things is to really push your marketing efforts in the direction of the ploppies -- especially the ones playing decent limits -- and then give promotions to the basic strategy type players for dead periods midweek, when you need bodies in the place.

Hotel-casinos also need some sort of VIP department which is empowered to solve minor/medium problems. Most places don't have this. Often this duty falls upon the host's shoulders, who is already overburdened and also doesn't understand the hotel side particularly well. So often I see stupid crap going on to where a (clearly -EV) player is upset with something, and there's nobody to help him. He either has to put in a ton of time and effort to advocate for himself, or he just has a crappy experience, and then he never comes back. I've seen Caesars lose tons of players for this reason, and I just roll my eyes.

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Originally Posted by dannyj

Thanks for the info FAB. We’re going to Harrahs Tahoe in a couple weeks. I have noticed that Harrahs Reno has the better payoffs on the ATS craps bet, but is a much less desirable property than being at the lake. Will take heed with your tip on the first three bets. Thanks again.

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Hi Danny:

Hope you are doing fine. Good luck at Tahoe. The VPFree2 data regarding Harrahs and Harveys Tahoe Video Poker are somewhat dated. There is a lot less full pay video poker than before But there are still some 8/5 Bonus and 9/6 JOB if you look around enough. In particular, there is still is the bank of six 8/5 Bonus with progressive at the $1 denomination in Harveys near the poker room. There are still some full pay video poker in Harrah's high limit area. I could not, however, find any full pay video poker at ANY of the bars.

FAB

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Originally Posted by FABismonte

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Originally Posted by dannyj

Thanks for the info FAB. We’re going to Harrahs Tahoe in a couple weeks. I have noticed that Harrahs Reno has the better payoffs on the ATS craps bet, but is a much less desirable property than being at the lake. Will take heed with your tip on the first three bets. Thanks again.

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Hi Danny:

Hope you are doing fine. Good luck at Tahoe. The VPFree2 data regarding Harrahs and Harveys Tahoe Video Poker are somewhat dated. There is a lot less full pay video poker than before But there are still some 8/5 Bonus and 9/6 JOB if you look around enough. In particular, there is still is the bank of six 8/5 Bonus with progressive at the $1 denomination in Harveys near the poker room. There are still some full pay video poker in Harrah's high limit area. I could not, however, find any full pay video poker at ANY of the bars.

FAB

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Wow. Thanks FAB. Last time I was there they had 8/5 bonus at blue moon bar next to poker pit at Harvey’s as well as California bar I think. I see on vpfree2 they have 9/6 job as well as 9/7 TDB 50 play in high limit. We’ll see what happens. Thanks again.

I first noticed the reduction in comps when for the first time I received a Vegas room offer for only 2 nights and $10 free play!!!!! I had almost 600,000 TCs last year! Not playing nearly as much this year, but even so I still have almost 40,000 TCs so far.