Using SAS® Enterprise MinerTM for Resort Profit Optimization: How to Systematically Provide Individual Consumers with Personalized Rates and Offers to Unleash Total Profit Optimization

The continued increase in competition in the gaming and resort industry combined with one of the worst recessions in history make traditional revenue management and marketing strategies ineffective and obsolete. Traditional approaches maximize top-line revenue or, at best, they maximize the income of a specific segment of business. Unfortunately, most companies are using traditional methods and during the recession have focused on deep discounts and cost-cutting because there did not seem to be any other options. Profit optimization is the ideal solution because by providing individual consumers with personalized rates and offers resorts can offer high value services and products to customers willing to pay for them while discounting selectively to price-sensitive customers. This can be tough to achieve but with clear objectives, modern systems, including a data warehouse, SAS® Enterprise MinerTM and a revenue management system, the right talent, effective training, aligned incentives, and updated processes, companies can unlock tremendous profit opportunities. This strategic marketing approach will allow companies to grow EBITDA significantly without focusing on cost-cutting initiatives that risk compromising customer experience.