Emperors Palace deploys predictive marketing

WM Circle Logo

By: Wise Marketer Staff |

Posted on July 27, 2005

Emperors Palace deploys predictive marketing

The South African casino operator, Peermont Global Group, has chosen to deploy the 'PredictiveMarketing' application from SPSS Inc. for its Emperors Palace casino in Johannesburg to better target its direct marketing campaigns for existing guests.

Emperors Palace will be using the predictive analytics software to enhance customer loyalty and increase its market share by increasing the accuracy with which direct marketing campaigns are targeted.

Growth market According to Peermont Global Group, gaming is a fast-growing market in South Africa due to a newly-emerging middle class tier in the country's society - and as that entertainment spending increases, Emperors Palace aims to enhance the impact of its marketing to make itself more competitive. The company hopes to increase its market share by 5% to 10%.

Fewer offers Emperors Palace chose SPSS' PredictiveMarketing application to help it reduce loyalty-offer mailings to guests by 35% while still retaining the same response rates as before. This more intelligent approach to targeting (i.e. selecting those who are most likely to respond favourably) allows the casino to make more effective use of its marketing spend, and thereby also expand its other marketing activities using the money saved.

Nancy Balasar, direct marketing manager for Emperors Palace, explained: "Before using SPSS' software it was quite difficult and time consuming for us to identify the right customer segments for campaigns. But PredictiveMarketing provides us with a marketing-friendly interface, which makes it easy and quick to deploy precisely targeted response models across a number of channels. This way we can target the invitations toward guests who really show appreciation for them."

Churn indicator According to Balasar, the company has also created a scoring system that allows it to identify customers whose behaviour is changing in a way that could indicate churn - a system that is helping the company to proactively increase both customer satisfaction and retention.

For additional information: ·  Visit SPSS Inc. at http://www.spss.com ·  Visit Emperors Palace at http://www.emperorspalace.co.za