If you play video poker at any Station or Fiesta Casino and have felt a lack of love there these last months, you aren’t being paranoid. The trend to reduce the rewards for video poker players has been quite noticeable – and discussed with increasing frustration on the Internet forums.
This lack of love for video poker players had even crept into Station promotions. Many VP players were being banned from the Wednesday Senior Days, unable to earn point bonuses. Then came their mailer about the November drawings. Whereas in the past, those holding higher-tier players cards (meaning they had played more in the past – on video poker or slots) might get extra entries, this month those who played video reels and reel slots would earn double entries.
And now today I see a full-page ad in the Las Vegas Review-Journal that plainly shows the new direction in which Stations is going – and I quote from that ad – “A NEW JUMBO only for REEL PLAYERS.” (This replaces their old Jumbo Jackpot that they discontinued some months ago.)
I know the company is in deep financial straits. And I realize a company may have to make deep and painful cuts and perhaps change their marketing tactics. But a locals casino that is cutting themselves off from a major segment of their customer base – I find that hard to understand.
Of course a casino makes more profits from slot machines than from video poker machines. But does a promotion that is open only to slot players going to cause enough people to switch from VP to slots, enough to cover the loss of the play of thousands of VP aficionados (most who will still provide the casino some profit) who will simply go to another casino – one that will reward their VP play.
It seems like a terrible PR move. I guess I will just wait and see how it works out for them. But in the meantime, I hope this full-page ad in the newspaper might just convince some players I have not been able to “convert, “ even with four books and never-ending articles and blogs – that you will, in the long run, lose less money in a casino sticking with video poker rather than hitting the slots. And, remember, you can’t study to improve your results on the slots – you can on video poker!
Station Casinos rewards loyal customers
25 November 2009
By Howard Stutz
LAS VEGAS, Nevada — Casino companies have seen loyal customers remain loyal, even through the worst-ever recession to strike the gaming industry.
Station Casinos, zapped hardest of all the locals casino operators, wanted to do something special for its die-hard, high-end followers.
Company executives realize promotions, marketing and rewards programs need to be targeted toward devoted players as Station Casinos weaves its way through Chapter 11 bankruptcy protection and reorganizes its debt structure.
The company put together a special VIP weekend celebration earlier this month at Red Rock Resort, bringing together 250 high-end customers from every Station Casinos property. It was the first such event in its history.
Players took part in an all-out weekend that included dining trips to several Station Casinos high-end restaurants, spa excursions through the Red Rock Resort spa, golf outings and summer-camp-style classes, such as sushi rolling and pastry making, all taught by the company’s executive chefs.
“Now more than ever it’s important to recognize and reward guest loyalty,” Station Casinos Chief Operating Officer Kevin Kelley said. “We wanted to step out of the box and thank them for their loyalty in a way that our competition just couldn’t.”
The highlight event was a Saturday night dinner featuring actor Mario Lopez, a finalist on the television series “Dancing with the Stars.” Lopez hosted a “Dancing with the Stars-style” competition between several casino hosts.
All 250 customers received a free seven-day cruise. One customer won a $100,000 Mercedes S550. Another 10 players won cash prizes totaling $100,000.
“We had an overwhelmingly positive response from the players that attended this weekend,” Kelley said. “It made them feel valued and that’s how you grow guest loyalty.”
Thanks for the heads up on Station Casinos. I will be leaving from Boston to LV on Tuesday. I usually play
at Texas and Alianti. Because your book “The Frugal Gambler” is my Bible, I generally come out ahead.
I was there in September and came home with more money then I went with.
I stay at my Sister’s house 2 miles from Aliante, which keeps me from be tempted to gamble when I know I shouldn’t.
Positive VP players DO spend money in the casino. For one thing, they don’t always play positive games–some bet on sports, some play craps, etc. They often have spouses who play -EV games. They also eat in the restaurants, patronize the other amenities, see shows, etc. etc. etc.
And as far as comps go, a positive VP player at Stations currently earns four cents in comps for every hundred dollars he or she puts through the machine, so it would take about $25,000 in play to earn a movie ticket, or breakfast in the coffee shop. I doubt that very many people are “using their comps or points” any more—that’s been pretty much snuffed out by Stations.
And if they’re losing money, it’s because they’ve been too stupid and arrogant to change their marketing strategies to reflect current realities. George Maloof and others proved long ago that it is a profitable strategy to offer positive EV video poker games. Stations USED to understand that.
Do you expect them to continue losing money? They are only trying to stem the tide of losses.
Have you ever noticed that positive VP players never spend a dime in the casinos? They only use their comps or points and then they are always complaining that the casinos don’t give them more.
I have had an abiding hatred for Stations ever since yea, these many moons ago when their grand strategy was to buy up every locals’ casino in Las Vegas, North Las Vegas, and Henderson, thereby eliminating the competition, and then ruin the VP. I cried when they ate the Reserve. I threw up when they devoured the Santa Fe. And I choked when they murdered the Fiesta. I watched as VP heavens were slowly turned into VP wastelands. Then they started cutting back on comps, cashback, mailers, etc. The height of absurdity was reached with an 0.004% points rate on all their remaining decent machines. Now, they think that the way to survive in a bad economy is to drive away a large portion of their customer base. They deserve to fail. Die, Stations Casinos! Die! Die! Die!
I am really sorry to hear this news. My husband and I have made Palace Station our new “home” casino since our beloved Stardust and Westward Ho closed. We also stay at the Orleans every trip. I guess we will have to rethink our strategy, staying longer at non Station properties. I am really disappointed in their marketing department. I think they are making a bad situation even worse with this change.
A second rate organization making third rate decisions trying to keep it’s head above water. Plenty of competitors out there, and they will be picking up serious players action.
About a year ago, I noticed significant payback reductions on Stations’ vp machines and I switched casinos. (I now ferequent Boyd/Coast casinos.) Now I see this article, which just confirms my decision. I often hear former Stations’ vp players who now play at the Coast casinos say that they will “never” go back to Stations; they aren’t being treated very well at Stations. This, of course, leads into some very interesting discussions. Stations is making a very poor marketing call here and are losing their vp customer base in droves. I just hope Boyd’s takeover offer comes to pass.
Jean,
I agree completely. As one who plays video poker almost exclusively, I won’t be tempted to play slot machines just for extra points, over vp points… I’ll go someplace where my vp play is more welcome.
BTW, the only time I play slots is when I get free plays as a promotion; besides, the newer slots look so complicated that I just don’t want to invest the time and money it would take for me to learn how to play them!