How patrons value casino promotional offers: A conjoint study
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Mark Legg [1] ; Murat Hancer [2]
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[1] Boston University
Boston University
City of Boston, Estados Unidos
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[2] University of Central Florida
University of Central Florida
Estados Unidos
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- Localización: Tourism economics: the business and finance of tourism and recreation, ISSN 1354-8166, Vol. 26, Nº. 4, 2020, págs. 640-657
- Idioma: inglés
- Texto completo no disponible (Saber más ...)
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Resumen
Casinos rely extensively on free slot play (FSP) offers for incentivizing patron visitation. However, there has been a lack of understanding its influence on driving patron visitation and patrons’ valuation of FSP compared to other casino promotional offers. This study conducted a conjoint analysis on patrons’ valuations of FSP compared to other promotional offerings at a casino resort.
Moreover, this study investigated the roles inter-casino competition and visitation frequency have on patrons’ perceived valuation of FSP through a hierarchical Bayes model. The results show that competition plays a significant negative role on patrons’ valuation of FSP, while competition held insignificant influence on patrons’ valuation of food and beverage (F&B) comp offers. Additionally, patrons who visited the casino more frequently valued FSP greater, while less active patrons valued F&B comp offers more. Using the study’s results, casinos can increase their margins through increased efficiencies with their promotional offering mix.
