Analytics in las vegas

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©2013 Tableau Software Inc. All rights reserved. From Bugsy to Big Data How Modern Analytics is (reluctantly) Changing Las Vegas PRESENTED BY Lon O’Donnell [email protected] @lonodonnell www.facebook.com/ lonodonnell www.linkedin.com/in/ lonodonnell

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From Bugsy to Big Data - How modern analytics is transforming Las Vegas

Transcript of Analytics in las vegas

  • 1. 2013 Tableau Software Inc. All rights reserved. From Bugsy to Big Data How Modern Analytics is (reluctantly) Changing LasVegas PRESENTED BY Lon ODonnell [email protected] @lonodonnell www.facebook.com/lonodonnell www.linkedin.com/in/lonodonnell

2. 2013 Tableau Software Inc. All rights reserved. Agenda Casino Operations: Legends and Reality Analytics in the Modern Megaresorts Opportunities and the future Q&A 3. 2013 Tableau Software Inc. All rights reserved. About Me 18 years experience in Casino Operations Management 14 years with MGM Resorts International Slots, Casino Marketing, IT Consulting Manager for IGT 4. 2013 Tableau Software Inc. All rights reserved. TCC 13 Casino 101 5. 2013 Tableau Software Inc. All rights reserved. Casino 101 Step 1: Forget everything you think you know about Casinos. 6. 2013 Tableau Software Inc. All rights reserved. Ten Million Handle Pulls One Million Handle Pulls 7. 2013 Tableau Software Inc. All rights reserved. Which of these guys is more valuable to the casino? Spends all day by the pool drinking. Lost $50,000 at Blackjack 8. 2013 Tableau Software Inc. All rights reserved. Which of these guys is more valuable to the casino? Spends all day by the pool drinking. 9. 2013 Tableau Software Inc. All rights reserved. Two words: Bottle Service 10. 2013 Tableau Software Inc. All rights reserved. Two words: Bottle Service 11. 2013 Tableau Software Inc. All rights reserved. Which of these guys is more valuable to the casino? Lost $50,000 at craps Comp Room Comp Food Airfare Reimbursement (16%) Core Benefits (30%) 12. What they are NOT Big, scary, secretive operations run by shady people They cannot arbitrarily change the odds of a slot machine from a back room* They do not pump oxygen or use other dirty tricks to entice gaming. What they ARE Large, behemoth corporations just like the one you work for. Highly regulated *Regulators are not necessarily company-friendly Modern Casinos *They can, just not arbitrarily 13. 2013 Tableau Software Inc. All rights reserved. Casino Lore and Myths #1 rated Las Vegas Radio Show 14. 2013 Tableau Software Inc. All rights reserved. Casino Lore and Myths 15. 2013 Tableau Software Inc. All rights reserved. Megaresort Revenue 16. 2013 Tableau Software Inc. All rights reserved. 17. 2013 Tableau Software Inc. All rights reserved. 18. 2013 Tableau Software Inc. All rights reserved. DailyWeekend Revenue 883,908$ Hotel Revenue 500,000$ Dayclub Revenue 756,000$ Slots 2,139,908$ 19. 2013 Tableau Software Inc. All rights reserved. Analytics in Modern Megaresorts How resorts are embracing analytics to solve problems and identify opportunities 20. 2013 Tableau Software Inc. All rights reserved. How big is Big Data? 1,000 Slot Machines 21. 2013 Tableau Software Inc. All rights reserved. Average Casino 1,000 Slot Machines 6 Sub-Games per Machine 22. 2013 Tableau Software Inc. All rights reserved. Average Casino 1,000 Slot Machines 6 Sub-Games per Machine 3 Denominations (5, 25, $1) 23. 2013 Tableau Software Inc. All rights reserved. Average Casino 1,000 Slot Machines 6 Sub-Games per Machine 3 Denominations (5, 25, $1) 6 Meters per game 24. 2013 Tableau Software Inc. All rights reserved. Average Casino 1,000 Slot Machines 6 Sub-Games per Machine 3 Denominations (5, 25, $1) 6 Meters per game -------------------------------------------- 108,000 fields per hour 2,592,000 fields per day 946,080,000 fields per year 25. 2013 Tableau Software Inc. All rights reserved. SomeTerms Coin In or Handle The amount of money recycled through a slot machine during play. The most widely used indicator of game performance TheoreticalWin Amount of money the machine should make, assuming it held exactly its percentage. Hold Percentage The percentage of the Coin In that the machine is designed to hold, also refers to tight or loose. Volatility and Hit Frequency Measurements of the size and frequency of payouts 26. 2013 Tableau Software Inc. All rights reserved. Slot Machine Analytics SMARTScoring Revenue Metrics Player Experience Metrics Heavily Weighted to Theoretical Win Attribute Indexing Volatility/Hit Frequency/Line Bets, more Forensics and Outliers Game Lifecycle reports Operations and Service Reporting 27. 2013 Tableau Software Inc. All rights reserved. Reporting on Operations 28. 2013 Tableau Software Inc. All rights reserved. Reporting on Operations (insert ops performance viz here) 29. 2013 Tableau Software Inc. All rights reserved. Advanced Player Analytics 30. 2013 Tableau Software Inc. All rights reserved. Loyalty Play and Game Lifecycle 31. 2013 Tableau Software Inc. All rights reserved. Everybodys Favorite Topic: Freeplay 32. Heat Mapping 33. 2013 Tableau Software Inc. All rights reserved. Real World Exercises Customized consulting engagements 34. 2013 Tableau Software Inc. All rights reserved. High Limit Rooms Do I need a High Limit Room? 35. 2013 Tableau Software Inc. All rights reserved. Hold Percentage Will guests really even notice if I adjust the hold percentage of my floor? 36. 2013 Tableau Software Inc. All rights reserved. Hold Percentage vs.Time on Device 37. 2013 Tableau Software Inc. All rights reserved. Opportunities and the Future Online, land-based, mobile, and free-to-play 38. 2013 Tableau Software Inc. All rights reserved. Your new buzzword: Convergence Games that are popular in casinos are popular online Average age online: 36 Average age on land: 50 Gaming OS based on Unity Build once, deploy many Developed game can deploy on web, mobile, and/or B&M 39. 2013 Tableau Software Inc. All rights reserved. What we dont know Predictive analytics across platforms Understanding player behavior Understand player preferences Merging data between spaces Marrying data Understanding patterns Where are the marketing opportunities? What do the spaces have in common? Different? Is there cannibalization between the spaces? Do we care? Does it make sense to convert players across spaces? 40. 2013 Tableau Software Inc. All rights reserved. Thank you. Getting in touch Email: Twitter: Facebook: Linkedin: [email protected] @lonodonnell www.facebook.com/lonodonnell www.linkedin.com/in/lonodonnell Questions/Comments/Concerns/Criticisms