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Archive 2000 *
Archive 2001 *
Archive 2003/4 |
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December 23,
2002: |
| A personal
note To end the year
As
I advanced through the ranks in casino marketing at the old Del Webb Sahara
in Las Vegas, I learned that you don't pull yourself up by your bootstraps--you
get pushed up by the people below you. I went out of my way to keep my staff
informed, to create a pleasant working environment and to praise their good
work--in writing, to the general manager. I was on their side and they knew
it. I did it in every business I owned, and they all succeeded. (Thanks for
visiting and best wishes for 2003.) |
December 12,
2002: |
| To reward
good customers Just think added value
How
well do you reward your frequent casino customers? Sure, their slot club
card carries a load of benefits, but a nearby competitor may be offering
much more. If you suspect you're falling behind, think "added value," which
is code for small improvements that have high perceived value. In the outside
world, for example, Hertz Gold Club members who arrive in cold weather find
their cars already have the heaters running. Pretty neat, huh? Cost, almost
nothing. See what I mean? |
December 1,
2002: |
| Top Web
site goofs: Read 'em and weep
Most
casino Web sites are attractive, but do they sell? The answer in too many
cases is a blunt "No." Now comes Jakob Nielsen, who is on tour plugging his
new e-mail newsletter and giving "usability" seminars to direct marketers
and business groups. Among Nielsen's Top 10 Design Mistakes in Web designing
are these: No prices; horizontal scrolling; Fixed font size; Blocks of text;
Infrequently asked questions in FAQ, and URL longer than 75 characters. (As
revealed by Ken Magill in DM News.)
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November 21,
2002: |
| Do you
know your customers? If not, ask and they'll tell you
Do
you think you know your customers? Think again. Despite the growth of casino
databases filled with information, the misunderstanding of customer preferences
remains a problem. Too many casinos try to impose their will instead of simply
asking their customers. A retail example: When the makers of Brawny paper
towels asked 4,100 women to tell them what makes a man "brawny," they were
stunned at the replies. Instead of body builders, the bulk of the nominees,
says the Wall Street Journal, were "flabby fathers and balding husbands."
Character topped appearance. |
November 12,
2002: |
| Privacy
legislation looming; Watch those questionnaires
Direct
Magazine, one of the best of the direct marketing publications, says
the next Congress is a cinch to pass strong privacy legislation. Marty Abrams,
writing in Direct, gives ten reasons why. Reason No. 5 goes right along with
my tip of Nov. 1. Abrams puts it bluntly: "We have more and more state
do-not-call lists but consumers are still being bothered at dinnertime (by
telemarketers)." Make sure your customer questionnaires that ask for home
phone numbers follow that with, "Best time to call." Never call outside the
customer's preferred time. |
November 1,
2002: |
| "Opt in"
phone numbers A must for casinos
Given a chance to block out telemarketing calls by
a new law that took effect this summer, Colorado residents have responded
in amazing numbers. Colorado's official "no call" list has grown to nearly
half the state's two million residential phone numbers in just a few months.
If other states begin to adopt the law (which is a cinch), casino telemarketers
could find one of their most effective tactics defeated. Make sure your current
numbers are all "opt in" or you may be in trouble. (More about this in our
Nov. 12 "Tips" section.)
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October 24,
2002: |
| The rap
on small type: It's hiding something
Joe Karbo's famous, "The Lazy Man's Way to Riches,"
published in 1973, is filled with priceless advice on direct marketing. Here's
one of my favorites about ads: "Don't use small type that's difficult to
read. Anything that's worth saying is worth saying aloud. And small type
is associated with something you're trying to hide." True! |
October 12,
2002: |
| Two customer
types, But which is better?
Who's the better customer--one with a favorable view
of your brand or one with a favorable outlook on life in general? Research
by Direct magazine and Yankelovich, Inc., shows it's the second--by a
surprisingly wide margin. Problem is, there are few, if any, lists that include
"attitudinal information." J. Walker Smith, president of Yankelovich, advises
you make an attempt to identify and target the optimists among your customers.
P.S. Let me know when you find out how to do that. |
October 1,
2002: |
| Use mail
to build trust; Forget the gimmicks
Direct mail should build trust as well as deliver
offers. Trust is the glue that makes regular customers stick around. But
try to deceive them and they're gone in an instant. In the world of direct
mail outside the casino business, deceptive offers such as the negative option
are staples. My best advice: play straight, keep your offers crystal clear
and forget the hidden gimmicks. It's just not worth it.
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September 23, 2002: |
Direct vs. general:
A brief definition
The seventh edition of Which Ad Pulled Best contains
a priceless quote from Andy Byrne on the difference between direct response
advertising and general advertising. Said Andy, "Direct response advertising
tends to have considerably more copy than general advertising. Those in general
sometimes forget that what is "copy" to them is "information" to the reader.
And because the direct response ad has used its headline to pick out only
those who are genuine prospects, the information is welcome." |
September 12,
2002: |
Why don't casinos
use a guarantee?
In his classic book Direct Marketing, published in
1982, Ed Nash laid down hundreds of rules that still apply. He put particular
emphasis on the guarantee. "In direct marketing," he wrote, "a guarantee
of some sort is not an option. It is a necessity." Nash pointed out that
companies with the most generous policies seem to be consistently among the
most successful. Now count the casinos with guarantees. Too bad that most
of the industry passes on such an effective tactic. |
September 1,
2002: |
Don't throw
away an envelope teaser
Teasers! That's what they call those messages on
the front of envelopes. Never has a tactic been so ill-named. Too many casinos
think "Teasers" are supposed to actually tease, so you see silly and irrelevant
lines that hide the offer. Because a "Teaser's" job is to get the envelope
opened, it should always contain a benefit or a promise. Next to your own
name and address, "Teasers" are the best-read copy on an envelope, says my
pal and direct marketing genius Ray Jutkins. Make them work for you; don't
throw them away.
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August 23, 2002: |
Kinder, gentler
approach Instead of dunning notes?
Will casinos soon be collecting debts with a kinder,
gentler approach? Alicia Orr Suman, editor of Target Marketing magazine,
reports that Discover card, Hallmark and Bank of America have seen a big
lift in response from gentle reminders instead of dunning notices. Discover's
card says, in part, "We understand life's unexpected detours." It has a babbling
brook on the front, says Suman. Will casinos follow? My opinion: no chance.
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August 12,
2002: |
"You" and "Your"
Are OK, But get rid of "We"
Every now and then one of the direct marketing magazines
will ask a group of copywriters to list their favorite selling words. The
results are predictable. They always begin with "You," "Your," "Free," "New"
and "Now." I've never seen a single writer who listed "We." Maybe you should
check your direct mail copy one last time before it hits the printer. |
August 1,
2002: |
| What's more
effective? Full page or half page?
Casino ad directors take note. In a recent "Target
Marketing" magazine article, direct marketing pro Margaret Rose Roberts advises
the use of full page ads when running sell-off-the-page campaigns. She claims
they're more cost effective. Beg to differ. In my first book, "Casino Marketing,"
I explain the results of a test by the Cahners Publishing Company. The test
showed quarter page ads were far more cost effective. They delivered almost
as many inquiries as a full page, but the cost-per-inquiry was just $7.97
compared to $20.44 for the full page.
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July 22, 2002: |
| Talking
about themselves killed a possible deal
Here's a good lesson for casino marketers. The other day I received
an unsolicited letter from a mortgage company that wanted to refinance my
house. Enclosed were eight, three-cent stamps. The letter bragged about the
company's cleverness, and how the three-centers would not only help me use
up my 34-centers when postal rates went up, but would help the economy! It
never mentioned the cost of refinancing nor how it would lower my monthly
payment. It talked about the company--not about me. A fatal error. I kept
the stamps, tossed the letter. |
July 11,
2002: |
| Local prints
want ads? Here's the solution
In virtually every casino market you'll find a slew of small
publications and visitor guides, all clamoring for your advertising dollar.
Each one claims it's best, and local prints are persistent and hard to turn
down. What to do? Make one direct response ad that requires the reader to
bring it in to get the offer. (Work hard on your headline so it pops out
a benefit.) Run the ad simultaneously in all the local pubs, and for the
same length of time. Winner gets most or all of your budget. Losers have
no comeback. |
July 01,
2002: |
| Compelling
subject lines always contain benefits
Regina Brady (Reggie Brady Marketing Solutions) passes along the
following e-mail tips in Target Marketing Tipline: "Keep subject lines to
35 characters or less. According to a survey by Brooks Brothers, the average
subject line length of e-mails sent by its competition is 34. Gap, J. Crew,
Lands' End, Neiman Marcus and Polo were just some of the companies identified
in the study. Compelling subject lines contain benefits, are personal ("you"
and "your"), use strong verbs, ask a question and use direct marketers' favorite
word, FREE (only if you are a consumer marketer, she says).
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June 23,
2002: |
| When you
get nailed in print, Resist the urge to fire back.
In May, the Wall
Street Journal published a not-too-complimentary editorial on Indian gaming.
The piece, entitled "Casino Nation," deplored the Seneca compact that will
bring casinos to western New York. The Indian side fired back with some
not-too-complimentary words about the WSJ. The Journal ran a second editorial;
the Indians fired back again. It's natural to get mad when someone nails
you in print, but in this case the Indians would have been better off to
keep quiet. Why pick a fight with such a powerful adversary? Indian casinos
are nationwide and their influence is growing. When the tide is running in
your favor, who needs controversy? |
June 11,
2002: |
| Want to
make an impression? Try writing a personal note
Recently, my wife
and I segmented and examined our mail for a month. She got two personal,
handwritten letters; I got one. Talk about endangered species--this is
ridiculous. Just goes to show you how e-mail, fax and the telephone have
taken so many of the simple joys out of our lives. So the next time you want
to make a big impression on a few of your best customers, write them--in
longhand. Keep it short. Don't include an offer. Tell them how much you
appreciate their business. And at the end say, "Thank you." Then mail it--using
a first class postage stamp. I guarantee it will be the best 34 cents you
ever spent. |
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May 22,
2002: |
| Relationships
start the success process; But one key remains
Relationships
are the base of any casino's business, the floor under your feet. Only a
crew of happy, friendly employees, eager to please, can create the climate
in which relationships begin. Once you achieve that, only one key point remains:
fulfill the expectations you create. From there it's a short walk to the
bank. |
May 11,
2002: |
| Just exactly
what are casinos selling? Here's the answer
I tell
this story in my first book, "Casino Marketing," because it's such a wonderful
lesson for all casino marketers: Charles Givens, the millionaire author of
"Wealth Without Risk," says he was a flop trying to sell real estate at Beach
Mountain in his early days. An old sales pro took him aside and pointed out
the problem. "You're out there trying to sell mountain dirt," he told Givens.
"Nobody wants to buy mountain dirt. They want to buy dreams." |
May 1,
2002: |
| For floor
promotions, check out opposition then set the drawings
This doesn't apply
in every locale, but it sure worked for me in Las Vegas at the old Del Webb's
Sahara. When I put together a casino floor promotion, I'd always check the
times of the opposition's shows before setting my cash drawing times. I'd
run my "leader," which was The $100,000 Shower of Money drawing, against
the opposition's first show. Then I'd set up another (smaller) midnight drawing
to counter their second show. Since most of our attendance came from our
occupancy, I'd force our guests to make a decision. Many times our guests
asked me if I would hold the drawings earlier so they could see a show on
the Strip. "I'll think about it," I always said. And I did.
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Apr 22,
2002: |
| Casino floor promotions need clear objectives, solid format
Planning a casino
floor promotion? There are five sacred rules. The first is, "It must have
a specific objective (such as increasing slot revenue by 30%, occupancy by
15%, and traffic by 5,000 a day) and a way to measure that objective during
and after the event. The easiest thing is creating a format; the hardest
is creating a format that makes money for the casino. |
Apr 11,
2002: |
| Does the
GM give you ulcers? Talk to yourself--out loud
In Jeffrey Dobkin's
"Uncommon Marketing Techniques," a gem of a book, he devotes a chapter to
changing your attitude at work. Under No. 3, he writes, "Talk to yourself,
out loud, in your car on the way in. If you're not comfortable with you,
and if you can't talk to yourself out loud and be comfortable with that,
better learn. You should be your own best friend. Make a joke. Spring forth
with a dialogue. Do it out loud. Plan the day. Say what you're going to say
to someone who's on your mind. Yell if you want. Make noise. Above all, get
comfortable with yourself." |
Apr 1,
2002: |
| For small
budget casinos, selling beats "branding"
If you're the
ad director of a small or mid-size casino and your budget is modest, spend
it on measurable, accountable ads. Don't get caught in the "branding" strategies
of large advertisers. Miller beer, for example, recently unveiled a multimillion
dollar branding campaign that is plain silly. One TV ad, says the Wall Street
Journal, "recalls the plight of a guy who accidentally swallows a sexual
stimulant before a barbecue and stays in the pool due to his excited state."
Another shows "a 20-something guy who, upon waking, is stunned to see a
makeup-streaked face staring back at him in the mirror." Fun? Sure. But you're
better off with a benefit or a promise.
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Mar. 22, 2002: |
| Dean
Rieck, one of my favorite direct marketers and writers, lists 12 fast fixes
to boost direct mail response in the Feb. 11 issue of DM news. Casinos, pay
attention. They include two of my standbys, taking the brochure OUT of the
package and setting a time limit on the offer. Re the brochure: it says,
"This is advertising material." The letter in the package says, "This is
personal correspondence." I agree with Dean. Junk the brochure. |
Mar. 11,
2002: |
| Attention
casino e-mailers. The Direct Marketing Association has issued new guidelines
for commercial e-mailers. Guideline No. 2 covers one of biggest problems,
phony subject lines. Says the DMA, "Subject lines should be clear, honest
and not misleading." I go through my e-mail every morning looking for obviously
dishonest subject lines (and I'll bet you do, too). The penalty for offenders
is a click on the "delete" button. |
Mar. 1,
2002: |
| Sure,
e-mail is faster and cheaper, but don't forget the fax. Lee Simonson, account
manager for Xpedite Inc., suggests you fax, not e-mail, your surveys. "In
surveys, businesses prefer fax over e-mail by a huge margin...faxes are more
convenient, don't have to be printed out and can be easily routed to the
proper contacts," says Simonson. He's right. Casinos, please don't stop
collecting fax numbers.
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Feb. 21, 2002: |
| If
you're only using your publicity department to send out an occasional press
release and edit the employee newsletter, you're not using all your weapons
in the fight to find business. Get your publicity people into the sales loop.
Invite them to the marketing meetings. Make sure they talk to your advertising
department. Well-placed publicity builds credibility, attracts attention
and often gets more readership than ads. To ignore this advantage is
crazy. |
Feb. 11,
2002: |
| This
week's tip is for all you readers who get furious when you find your online
mailbox cluttered with spam. It comes courtesy of Alan Rimm-Kaufman, VP of
Marketing for the Crutchfield Corp., Crutchfield, VA. To protect yourself,
says Alan, "Give your real address only to organizations you know and
trust...never allow your real e-mail address to be posted online, not on
corporate web sites, discussion groups or usenet...when you receive unsolicited
e-mail, never use the opt-out link (it tells spammers your address is good).
Just delete the e-mail." NOTE: For more on spam, click over to NEWS for Feb.
11. |
Feb. 1,
2002: |
| One
of the reasons for the recent bankruptcy filing by Kmart Corp., was its heavy
reliance on weekly ad circulars to generate store traffic. The circulars
accounted for 10.6% of Kmart's operating expenses, compared to 2.2% at Target
Corp., and 0.4% at Wal-Mart, the Wall Street Journal reported. It's a good
lesson for casinos who spend fortunes on the production of ads and direct
mail. Die cuts, embossing, pop-ups and 4-color printing run the price up
fast. If you want to get a shock, check your ad and direct mail production
expenses.
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Jan. 23, 2002: |
| Casino
marketers take note. This tip comes from Dean Rieck, president of Direct
Creative, Columbus, OH, and one of my favorite writers. In a recent column
in DM NEWS, Dean talks about the "Duh" Factor (marketing basics you should
have been doing all along, but forgot). No. 3 on his list is "Sell to buyers
and ignore the rest." Says Dean, "If one in a hundred people wants your product,
you should be talking to that one person. That's where you'll make a sale.
Who cares about the other 99? Talking with them is a waste of time." |
Jan. 12,
2002: |
|
Better check the wording in the privacy policy you have posted
on your Web site. The Federal Trade Commission (FTC) has announced that it
will consider privacy policies posted on a company's Web site to represent
its OFFLINE data collection policy as well--unless your privacy policy clearly
states it applies only online. |
Jan. 1,
2002: |
|
Let's say you've decided to cut back on promotional spending
in 2002. The first area to get the axe is your advertising budget. But where
do you start? Here's how I've always made that decision. First, I look at
the three major groups that provide the business for my casino. They are
(1) my regular customers, whose frequency of visit and whose theoretical
worth are well established (2) my best prospects, who are in the casino playing
at this moment but who have not given us their names and addresses, and (3)
the rest of the unknown prospects in my market area. Most of my cuts will
come in the ads that solicit the unknowns in group three. A few more may
come in group two, my best prospects. Few if any cuts ever come in the tactics
I use to guarantee the continuity of group one. NOTE: If you still embrace
the mass marketing mentality, chances are this will be the exact opposite
of your current strategy.
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