Superior Customer Value
Beginning in 1998, Harrah's decided that it wanted to change its business culture from an operations-driven company that viewed every casino as a stand-alone property to a marketing-driven company with a holistic view of its properties and customers (Blight and Turk, 2004). The organization structure was revamped to become a national distribution network with a single, unifying brand. The company was then able to execute its corporate growth strategy, one that sought loyalty to increase same-store-sales growth. This required convincing gamblers to spend less at competitors and more at Harrah's. As discussed in this paper, enterprise collaboration, competitive positioning focused on customer service and gaming in the middle market, supply chain optimization, and regulatory considerations are all significant factors affecting Harrah's ability to deliver superior customer value.
Collaboration
Instead of building glitzy casinos with attractions such as volcanoes, sinking ships and replicas of the Eiffel Tower, Harrah's developed a service-oriented strategy based on collaboration (Levinson, 2001). In the mid-1990's, Harrah's implemented Winner's Information Network (WINet), a system that linked all its properties and allowed the company to collect and share customer information across all properties. WINet consolidates data from all of the company's transactional, slot machine, hotel management and reservation systems. All reservation agents have access to a customer's history and marketing uses...
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