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twitterCasinos saving face online
Companies use social networking to connect, lessen damage from complaints
Chris Morris
Monday, Oct. 26, 2009 | 2 a.m.
Sun Coverage
Social media's importance
- The growing influence of social media is unmistakable. As of April, time spent on Facebook increased seven-fold from a year ago, while time spent on Twitter is skyrocketing -- grabbing share from other Web sites and outpacing the use of e-mail, according to Nielsen Online. For the month of September, people spent an average of 5 hours and 24 minutes on Facebook, the fourth most visited site on the Web, with more than 200 million users worldwide.
Social media Web sites such as Facebook and Twitter are changing the face of customer relations at major Las Vegas hotels.
Resorts are setting up their own fan pages where executives can monitor customer suggestions on how to improve business, bask in guests’ kudos, offer immediate assistance to customers in distress — and cringe when unhappy patrons post critical remarks that ding their companies.
And for their part, customers are discovering that such Web sites are offering them an unprecedented voice, with their comments and reviews not only reaching casino managers but an untold number of other customers and potential customers over whom they can now wield influence.
Indeed, the world of carefully crafted resort marketing — where executives could control their message — has turned into a wild card. Witness the following incidents:
• A gambler ranted on South Point’s Facebook page last week, “Please folks ... do N-O-T gamble in this casino. They run some of the TIGHTEST machines in Las Vegas. I LOSE almost E-V-E-R-Y time I try playing at South Point.” South Point managers read every word — and let the comment ride. Before they could engage the man in a public debate about the competitiveness of their slot machines, another customer came to the property’s defense minutes later: “If you don’t like the South Point that much — then just don’t go there. But the rest of us LOVE the place ... better luck next time.”
• A woman posted on her Twitter page last week that she had “just touched down” in Las Vegas. Because Twitter posts can be monitored by keywords, a Wynn Las Vegas employee was able to immediately respond: “Welcome! Come on over to our resort to explore and discover. You won’t be disappointed.”
Wynn’s Twitter guru then posted on another member’s page who was “looking forward to staying @Wynn” to “Tweet us if you have questions or need recommendations.”
• Rather than falling back on old assumptions, the Luxor recently asked “fans” on its Facebook page whether they preferred a lower hotel rate or more add-ons such as coupons or discounts on spa services, shows or meals. Customers overwhelmingly wanted the lower rate, and the hotel has obliged.
• Caesars Palace is offering a Halloween discount travel package for Facebook and Twitter followers that will include “tweets” to guests during their stay of locations in the resort offering free food and drinks and other giveaways. Profile photos of the 251 customers who have so far booked the event are clustered on the property’s Facebook page, where people have uploaded vacation photos, trip stories and recommendations about what to do on the Strip.
This may seem like some sort of alternate universe for Las Vegas, where bankrolls traditionally determined the level of customer service received, or how closely casino managers paid attention. And yet, in this new world, Average Joes and Janes — whose comments can be viewed by thousands at the touch of a computer key — can become, in a sense, instant high rollers, whose views and perceptions matter to the corner office because of the sweeping influence they may have over other casino customers.
Playing defense
Big brands — including casinos — that don’t develop social media programs do so at their peril, said Jennifer Van Grove, an associate editor at Mashable.com, an online publication that reports on the social media industry.
“I have 8,000 people following me on Twitter. If I post something, some are going to reply and may share my (post) with the people who are following them. You could have a whole chain of comments based on one incident. These hotels have to be involved.”
Indeed, these Web sites are in part a defensive measure for hotels.
“The reality is, customers are going to talk about our brands with or without us,” said Harrah’s Entertainment Vice President of Marketing Monica Sullivan, a social-media expert who joined the company this year. “We want to be part of that dialogue. More customers are talking about the brands they love in social places on the Web rather than in e-mail.”
There is a great upside for companies that go about it the right way, Van Grove said. Social media can hold hotels more accountable to their customers, fix problems, correct misconceptions and build loyalty.
Change in culture
New technology isn’t necessarily an easy sell for the casino industry, an admittedly conservative business where managers have relied on decades-old marketing techniques, more recently borrowing ideas from other industries. Weighing against the opportunity to communicate with customers on a deeper, more personal level were many unknowns, such as the potential PR nightmare of exposing a company to unfiltered public comments that could deride the company as easily as praise it.
“The way people acquire information is no longer the passive activity it once was,” said Dave Kirvin of Kirvin Doak, a public relations and marketing firm that is building social media sites, monitoring company sites and doing social media consulting for casino companies.
“Online media ... allow consumers to be in charge of the news and information they receive. But when you engage the consumer using social media, you get the opportunity to both deliver a message and receive one. That’s very powerful.”
About two years ago, big casino companies including Harrah’s and MGM Mirage waded in with their first Facebook and Twitter sites — which have become increasingly sophisticated and which are now attracting thousands of followers.
The hotels use their Facebook and Twitter pages not just to promote themselves or drive business but to learn what people are saying about them, interact with customers and positively influence a broader audience of consumers. Given the explosive growth of social media sites, which don’t yet charge businesses or consumers, these might become more cost-effective than using traditional advertising and marketing methods.
And why not tap the new media outlets? says George Maloof, owner of the Palms. “This is part of how people live today — spending hours on Facebook.”
Although the biggest casino companies have corporate-level employees who oversee the information exchange and establish best practices, the work mostly falls to the real experts: marketing staffs of each hotel.
Taking bad with good
To maintain credibility with customers, companies don’t tend to remove negative comments or constructive criticism on their sites unless the person posting the comment uses foul language or says something offensive to others. Though that may sound surprising for an industry known for being ultra-protective of its image, companies acknowledge that consumers want to be heard and may offer valuable feedback if given the chance.
“Everyone’s entitled to their opinion,” Sally Gaughan, South Point’s director of Internet marketing, said about the negative slot machine comment. “We wanted to give people a place to talk about the South Point and we wanted it to be genuine.”
Companies have quickly caught on to the fact that the good will earned from fixing a problem or improving a situation can have a ripple effect online.
MGM Mirage, for example, recently got kudos from fans for how it responded to a couple of complaints. After a customer posted on Facebook that he was unhappy with his meal at one of the company’s Strip resorts, the property’s concierge contacted the customer, who was still at the hotel, and offered to fix the problem. In another instance, a customer who had won show tickets complained online that he couldn’t use the tickets because he had a conflict. MGM Mirage gave the man free tickets for another date.
“We have terms of use — no profanity or inappropriate content. But we’re open to all conversations,” said Lou Ragg, executive director of Internet operations for MGM Mirage. “We want the information. And we want people to know we’re listening to them.”
Station Casinos, which launched Facebook and Twitter pages this year, is recruiting people from across the company, from entertainment directors to race and sports experts, to post factoids and recommendations. When the sites are further along, customer feedback will begin to shape business decisions at the company, which traditionally caters to older gamblers but is reaching a younger audience through Facebook and Twitter, said Samar Hatem, corporate interactive marketing manager for Station Casinos.
“We’re just scratching the surface with this,” Station spokeswoman Lori Nelson said. “It’s like how Web sites started in the 1990s. The conversation we have today about social media is going to be completely different a year from now.”
Discussion: 22 comments so far…
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Whoa! whoa! wait a minute!.. tell the executives to read the postings right here on LV Sun discussion boards! they will get a healthy dose of what's wrong with their casinos these days!!!
Yeah, they can start with mine.
I was in LV weekend before last. Drove from Phoenix over the Hoover Dam.
1. Got overcharged for my room at Fiesta Ghetto (I mean Fiesta Rancho); paid $40 on Priceline (!) than I would have on the Station website. Still waiting to hear back from Priceline on what they're going to do about that. Might be waiting a long, long, long time.
2. Could not win worth squat on the Fiesta Ghetto's measly collection of machines.
3. Went to Rampart. Did pretty well there but had to leave after 45 minutes because the ratio of security was one guard to every 5 patrons and they were all eyeing me. I guess I was winning too much.
4. Suncoast, as always, was excellent. Decent play on their machines and relatively unobtrusive security. There's a reason why I like to go to Suncoast above any other property in the Valley.
5. Red Rock's machines are just as tight as Fiesta Ghetto. They have to pay for the trendy steakhouse and nightclub and "desert modern" wanna-be-Scottsdale architecture. Note to self: do not gamble at Station properties if I want a reasonable return on investment.
6. The flu bug hit me hard during my trip. I still gambled, just kept to myself, stayed out of the buffets and washed my hands a lot. Spent the final night before driving back in bed high on NyQuil. Funny how being congested affects your slot machine judgement. (Or at least now I have a new excuse for losing!)
7. Drive to and from was excellent. 3/4 of the drive is on four-lane Interstate-standard roadway. Even the Hoover Dam portion was manageable.
I still say Southtpoint has the tightest slots. If u want objective advice read Jean Scott in the Advisor.
How do you think it would be received if the County and various State and local agencies added this kind of functionality to their websites?
We just stopped playing ..go out for dinner and maybe a show if there is any real entertainment available.
Casinos are now nothing more than thieves.
Agree with tvegas: there's some much better things to do in Vegas than feeding money into a machine in exchange for a couple of minutes mindless entertainment. Unless you are born with luck, or however it works. I understand that some people do win consistently at tables. Most probably don't.
Last time I went to Red Rock, I won $271 after putting $20 worth of quarters, so I can't complain haha.
"A gambler ranted on South Point's Facebook page last week, "Please folks ... do N-O-T gamble in this casino. They run some of the TIGHTEST machines in Las Vegas. I LOSE almost E-V-E-R-Y time I try playing at South Point." South Point managers read every word -- and let the comment ride. Before they could engage the man in a public debate about the competitiveness of their slot machines, another customer came to the property's defense minutes later: "If you don't like the South Point that much -- then just don't go there. But the rest of us LOVE the place ... better luck next time.""
In a regulated gambling environment shouldn't there be"
A sign indicating the theoretical house-hold upon all parlor games?
A sticker upon every slot machine indicating the machine's current programmed house-hold?
A public notice revealing the techniques being employed upon patrons which monitor potential money-laundering activities?
A sign at every public entrance indicating the win amount in which a tax identification number is required to receive payment?
Printed upon every teaser, parlay, sport ticket, the win/lose probabilities?
A law that prohibits expiration of any patron's winning ticket requiring the parlor to make payment?
A law prohibiting gambling parlors from lending funds to patrons?
A law prohibiting ATM machines on or about the locations of gambling parlors?
A law that prohibits parlors from rejecting action from patrons displaying a habit of winning within the posted rules?
: )
Harley those are very good suggestions:
1. so good the casino lobbyists will laugh out loud and try to cover them up so they never see the light of day again
2. in states (such as Arizona where I live) that have the majority of casinos as part of Native American tribal gaming, they will come out double in force against them
But I agree: let the customer know (and this goes for Vegas, AC AND the tribal casinos which are NOT bound by the same regs as Nevada/New Jersey) what the minimum payout is by law.
And "A sticker upon every slot machine indicating the machine's current programmed house-hold?" With programmable machines, it's my understanding that house-hold for a bank of machines can be CHANGED ON THE FLY in a control room back-of-house, based on customer load or customer winnings, but someone correct me if I am wrong.
If a property or casino ONLY got good reviews, then that would rigged, right?
We have a few hotels that have received bad comments on Facebook and other guests came along to defend the hotel. One Facebook fan said "I'm sorry that you had a bad experience, we have had nothing but great service from the staff," -- this is much more powerful than any kind of a response a well trained reputation management or public relations team could produce.
You can't tell me that they are listening to their customers. Customers are leaving in droves. Word around the country is about how Harrahs is changing the odds on games like blackjack to increase their take. What a sham. If they really aren't embarrassed about also taking more on the slots then publish the payout for the machines. It used to be that you could finds banks of slots that advertised 98% or 97% payback. When they change the odds on blackjack they lose all trust for all else they do. Now, it's easy to find places outside of Vegas that do not pay 6:5 on blackjack. Facebook and twitter is their way of putting lipstick on a pig. The two monopolies really are to blame for much of what ails all of Las Vegas, especially lost tax revenue. Increase the take by five percent and cut the gambling volume by twenty percent. All the welcome tweets in the world won't compensate for the dirty deeds. Tweet that.
Why gamble at all? You don't lose and you won't feel like you lost.
you people are going to the wrong places if you want 3:2 blackjack payouts. Go Downtown Las Vegas, you get better service and no long lines.
want to know what's wrong with vegas?
go to the riviera just after noon on a saturday.
look at the complete mess their check-in line is.
remember the crazy, nutty days of talking to a PERSON when you check into a room?
GONE.
replaced by 4 or 5 kiosks for a line of about 100 people. and of course...it's all old people that have never touched anything computerized before. i guess they think it will steal their soul.
i spent 45 minutes ( the length of the playlist on my ipod ) checking into my room at the riviera only to get to my room and find that my view was of a concrete wall about 2 feet away.
there was NO WAY i was dropping a single dollar in a machine or restaurant there after that.
"Why gamble at all? You don't lose and you won't feel like you lost."
What is the point of coming to Las Vegas if you don't gamble?
Las Vegas without gambling is nothing more than a cooler-temperature version of Tucson. Boring.
One thing I didn't like about the Fiesta Ghetto is the "service fee" added to the room price. The wireless internet, which was supposedly covered in this fee, didn't work (I called the tech support which was someone at Cox who wanted to actually send an engineer up to my room - no thanks), and I used wireless internet in several hotels in Phoenix seamlessly.
I also got a teeny, tiny, measly "fun book" which was nothing more than 2 for 1 offers I could have gotten from the Entertainment coupon book or just clipping coupons from the paper.
Once last year, when I was in LV, I stayed at the Courtyard by Marriott on Rainbow. Non-gaming hotel. Excellent, clean, nicely furnished room - it's Marriott, what do you expect. Close driving distance to Suncoast and Rampart. No extra charge for wireless Internet that I can recall. $40/night on Priceline. If I could get THAT kind of deal again I will come back this coming month.
We got a little off topic, didn't we? The story is about how some hotel/casinos are using social media. Knowing the power is has, the LV Hilton welcomed attendees of BlogWorld, including great room rates and an opening night mixer with low price drinks. Peter Arceo was the very gracious host. By contrast, at the Renaissance right next door to the South Hall where the Expo was taking place, it was business as usual i.e. outrageous room rates and so-so service.
Any story that touches on any aspect of gaming, that is posted on this website, is fair game for general comments from Las Vegas locals and visitors alike, and, in fact, is a primary information source for me as I plan occasional Las Vegas trips.
And I do hope the gaming industry folks read these comments and take heed to the general feeling of lack of value for the gaming fan.
All the new social media "fad" is showing us, and believe me, the industry sees this as a fad, Las Vegas needs to get back to being Las Vegas: fun, friendly, and a great entertainment/dining/lodging value for the middle class. If you build it - and not necessarily a 73-story luxury box that's too expensive to finish - they will come.
Vegas Sux right now..People know it, and will show it...
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You will need a gun at my head, to get me back to mecca. I love and miss Vegas, but until it's not so tight, i'll game with the tribe here in FLA. No 6hr. plane ride, free room, food, play. Mecca has to win me back.
Indian casinos huting Vegas Bad. Biggesr Casino in the world Mohican Sun in Conneticut.