Harrah's Case Brief

Harrah's Case Brief

Problem Statement:

Harrah's Entertainment Inc. must continue creating a marketing program to obtain the steady interest of their target market without allowing the competition to take over with its new inventions. Without

Background Issues:

Trump Hotels and Casino Resorts Inc.

Trump Hotels and Casino Resorts Inc. have created a Trump card to intrigue new customers just as Harrah's. With 1999 being a bad year for Trump, their data mining programs could very well be on the same path as Harrah's with the customer loyalty program. With the variations of Trump casinos targeting the different sections of the target markets (the younger affluent customers to the lucrative high-end customers) could possibly be a threat to Harrah's marketing program.

Customer Relation Management

Customer Relation Management has been a successful driver so far to keep the company alive but what is to be expected throughout the next ten years. The Total Rewards Program may be the working incentive at this time to keep customers loyal to the company. However, at the turn of the century the customers may want the newest attractions in the casino as well as the gambling and restaurants.

Can Harrah's assume their data mining skills, in determining appropriate consumer promotions, are sustainable competitive advantages?

At this time the consumer promotions are keeping the customers happy and content so it is a short-term sustainable competitive advantage. However, Harrah's needs to also look at the future seeing what the newest inventions and interests are from the consumer. If the target market is turning more family oriented then who is to say that adding a roller coaster or a water park should not be in the back of their minds. If the target market is becoming more high-roller oriented then the standards should be set a little higher in the that department with possible revamping or renovation. Harrah's should be looking into long-term sustainability as well as short-term to be ahead in the next big trend. Many marketing programs can be assessed to keep Harrah's in the original form but to attract the newest consumer base at the same time.

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