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Basic Guidelines for Campaign Segmentation Strategy

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An effective casino campaign strategy requires the effective implementation of segmentation. Why? Because the target audience drives the campaign strategy.

Let’s start by looking at a basic active customer program:

  • The campaign strategy should be different for each of the segments below.
  • The goal of the overall campaign is to grow and maintain guest loyalty.
  • Then there are target-specific goals for each segment within the campaign.

A strategy for low frequency customers would be to drive incremental trips through offer cadence. This is not a good strategy for high frequency customers, they are already coming in. A goal for them would be longer time on device. A good idea here could be play, earn and get for high frequency, low AMT customers. You can offer more value in freeplay, but not lose money in over reinvestment, since the customer has to earn a certain level of play to receive the reward.

Now that we have walked through an example, here are some high-level tips to get you started:

1. The Cadence of Offers

Your campaign strategy should include a cadence of offers. Your cadence of offers is another way to help align reinvestment, but also award offers at the time the customer is wanting to go to the casino and hopefully driving that one more trip. Think about how often each target segment should receive an offer that would be timely to them.

2. Reinvestment

Should be aligned so that you can use more money on new, incliner, and decliner customers. Many companies spend their reinvestment dollars on customers that come often, regardless. You don’t want to upset and lose your loyal guests. Remember, however, you don’t have to buy their business. Use test and control to understand how much you can lower your reinvestment in them without losing them (Hint: test this on lower tiered customers first to find your property sweet spot), then move some of that money to a program to capture second/third trippers or decliners.

3. Offer Types

Players love their cash in Freeplay and Matchplay. Resorts are good at including their food, hotel, spa, etc. if available. Other offers can be included in your programs that can change guest behavior. Be creative and find ways to extend a customer’s length of play or getting that extra trip. Brainstorming here is fun and with test and control you can try ideas (even some crazy ones) and see what works.

Your campaign strategy is a part of your larger marketing picture, which includes many aspects of guest communication. It is important to keep your customer communication consistent and relevant, which can be a whole series of articles in itself. For assistance on developing, updating, and/or modifying your current campaign strategy, contact Raving today.

Lynette O’Connell

Lynette O’Connell