HTM 472 - Casino & Resort Marketing Final Exam

HYM 472 | USM | Gary Burrus Jr. | Spring 2026

Actual Win (Slot)

Coin in - (coin out + jackpots)

Actual Win (Table Game)

(Beginning Bank + Buy ins) - (Ending bank + credits)

Advantage Play

Any legal method used by gamblers to gain an edge over the casino.

Advertising

Get attention, gain interest, and create desire to cause action

AIDA

Attention, Interest, Desire, Action

Average Daily Theoretical (ADT)

Average win per day for a customer.
(Total Theoretical Win / Number of Days Played)

Average Daily Worth (ADW)

A measure often sued by casinos to factor in the sometimes large difference between a players actual and theoretical win.
(ADT or 40% of average actual win - which ever is greater.)

Average Trip Theoeretical (ATT)

Represents a player's average loss per trip.
(Total Theoretical Win / Total Number of Trips)

Behavioral Segmentation

A segmentation method that divides customers into groups based on how they use the product or service. Some common behavioral measures include occasion and loyalty.

Buy-In

The sum of money a player exchanges for chips.

Carded Coin-In

The amount of coins actually inserted into the coin slot or played off of the credit meter. Each machine has multiple electronic meters that are used to monitor the operation of the slot machine.
((Total Coin in Generated with Card / Total Coin In) x 100)

Carded Headcount

Typically refers to the number of patrons who are actively playing with a player's club card inserted into a slot machine or presented at a table game; helps casinos track the volume of players participating in gaming activities.
(Number of Players using Card / Total Number of Players) * 100.

Casino Environment

Overall atmosphere and setting within a casino establishment.

Casino Host

A casino employee who provides a personal service link between the casino and premium players.

Coin-In

Total amount of money wagered by players on slot machines or other electronic gaming devices.

Comp Balance

Amount of complimentary services, goods, or rewards that a player has accumulated through their gaming activity at a casino.

Comps

Short for complimentary goods or services; marketing tool.

Compulsive Gamblers

A progressive behavior disorder in which an individual has an uncontrollable urge to gamble.

Consumer Behavior

The process by which individuals decide what, when, where, how, and from whom to purchase goods and services.

CVB

Convention and Visitor Bureau.

Demographic Segmentation

Dividing the market into segments based on variables such as age, life-cycle stage, gender, income, occupation, education, religion, ethnicity, and generation.

DINK

Dual Income - No Kids

Direct Mail Offers

Tied to reinvestment rates based on the nature of the offer, the strategy behind it, and other factors such as market stability; are set at a rate of reinvestment equal to the amount of theoretical win they are designed to engender in the customers spending patterns.

Offer Value Calculation

Player Theoretical * Reinvestment Percentage

Direct Marketing

Direct connections with carefully targeted individual consumers to both obtain an immediate response and cultivate lasting customer relationships.

DMC

(Destination Management Company) Professional services company possessing extensive local knowledge, expertise, and resources and specializing in the design and implementation of events, activities, tours, transportation, and program logistics.

Economic Impact

Employment opportunities, bringing in revenue, bringing in tourists, etc.

F&B

Food & Beverage.

Frequency

How often a machine will stop on a winning combination

Geographic Segmentation

Dividing a market into different geographical units, such as nations, states, regions, counties, cities, or even neighborhoods.

Handle

The amount of money wagered by bettors.

House Advantage

Mathematical Winning edge that the casino gives itself by manipulating the rules of the games to ensure profitability.

IMC

Integrated Marketing Communications.

Incentive Travel

Travel by persons who have received travel packages as a reward for outstanding performance.

Junket

A form of casino comp in which a group of known and rated gamblers are brought to the casino on an all-inclusive trip paid for by the casino and are expected to participate in a given level of casino action.

Leverage

Financial concept that compares the proportion of funds provided internally to those proved by external creditors.

Lifetime Average Worth

The amount of revenue a player generates or is projected to generate over the course of their 'lifetime' within a game.
(Customer Lifetime Value = Customer Value * Average Customer Lifespan)

Market Positioning

Think about how to position the casino to attract the target demographic groups.
-Design the product.
-Establish the price.
-Determine the location.
-Design the promotions.

Market Research

Systematic gathering, analysis, and interpretation of data related to the casino industry and its various components. The goal of casino market research is to gain insights into market trends, customer preferences, competitive dynamics, etc.

Behavioral Segmentation

In gaming there appears to be no demographic profile to pinpoint exactly who will be a gambler; One of the ways that casinos identify new players is through loyal, regular customers recommending friends and family; The segment must be measurable, The segment must be accessible, and large enough, Can we create an effective cost-effective program to attract them? Be open to looking at all demographics.

Offer Value

Perceived benefits and advantages that a casino provides to its customers through various promotional offers, incentives, and rewards.

Percentage of Coin-In

(NOT * HOUSE ADVANTAGE) 1 ÷ (# of Points Earned Per $1 of Coin-In x # of Points Required to Redeem $1 of Value) x 100.

Percentage of Theoretical

Represents the expected theoretical profit for the casino over time based on the player's betting patterns and the house edge.
1 / (Points earned Per $1 of Coin-In * Points to Redeem $1 of Value * House Advantage) *100.

Player Profitability

Involves assessing whether a player's wins and losses result in a net profit or loss over a given period of time.

Player Reinvestment Percentage

Cost of Benefit / Theoretical Win * 100.

Player Tracking

Collect data on players' behavior, preferences, and spending patterns to better understand and serve their needs.

Player Worth

Expected profit the casino can generate from their gambling activities over time,

Pleasure Market

Segment of the entertainment industry focused on providing enjoyable and entertaining experiences within a casino setting.

PMS

(Property Management System) Software systems used by casinos to track and manage player activities.

Points

Loyalty or reward points earned by players through their gambling activities at a casino.

POS

(Point-of-Sale) Systems used for processing transactions such as purchases of food, drinks, merchandise, or other services within the casino premises.

Positioning

Developing a specific marketing mix to influence potential customers' overall perception of a brand, product line, or organization in general.

Premium Players

Individuals who wager significant amounts of money at the casino.

Primary Data

Refers to new, original information collected directly from the source—such as patrons, employees, or internal operational systems—for a specific research goal.

Pro Forma

Financial statements or projections that estimate the potential financial performance of a casino project or business venture.

Promotions

• Mass: Entries earned over period of time; drawing held on 1 specific day.

• Daily: Specific to certain day(s) of the week to drive incremental business mid-week.

• Mass Invitational: Specific to a select group of patrons based on ADT and demographics.

Psychographic Segmentation

Dividing a market into different segments based on social class, lifestyle, or personality characteristics.

Public Relations

The strategic management of communication to shape public perception, build credibility, and foster brand loyalty for gaming and hospitality venues.

Pull Strategy

Using advertising, promotions, player rewards programs, and partnerships to attract customers.

Push Strategy

Involves actively promoting the casino's offerings to intermediaries or partners who then encourage their customers to visit the casino.

Reach

Refers to the ability of the casino to make direct contact with a specific, targeted player—usually through personalized offers, invitations, or incentives designed to drive foot traffic or return visits.

Recency

Represents the recency of the players last trip; Often determines eligibility for an offer.

Responsibiltiies of Hosts

Responsible for providing personalized service to high-value players, such as arranging exclusive VIP events and ensuring their needs are met promptly.
They also manage player comps, offering perks like complimentary rooms or meals to incentivize continued patronage and foster loyalty.

ROI

(Total Revenue / Cost of Goods Sold) * 100

Sales Promotion

Marketing strategies designed to attract, engage, and retain players by offering rewards, incentives, and unique experiences.

Secondary Data

Refers to information and data that has been previously collected, recorded, and published by another entity—such as government bodies, industry regulators, or the casino itself—for purposes other than the specific research currently being conducted.

Social Exchange Theory

The theory that our social behavior is an exchange process, the aim of which is to maximize benefits and minimize costs.

Special Events

Planned occasion or activity designed to attract patrons and enhance their overall gaming and entertainment experience.

SWOT Analysis

Shows the Strengths, Weaknesses, Opportunities, and Threats to the casino from a security perspective.

Target Analysis

The strategic process of identifying, segmenting, and understanding specific customer groups to optimize marketing, enhance player experience, and maximize profitability.

Theoretical Win

House Advantage * Coin-In

Tournaments

Competitive events where players engage in designated games to earn points and climb a leaderboard.

Transit Market

Segment of the casino industry that caters to travelers who visit casinos as part of their journey or transit.

Volume Segmentation

Defining consumers as light, medium, or heavy users of products.

Whales

High-rolling players who wager extremely large amounts of money.

Yield Management

Optimizing the pricing of various services and amenities, such as hotel rooms, dining options, show tickets, and gaming experiences, to maximize profitability.