FanDuel goes “George”; So long, Lucky Dragon

While the week is young, it hardly seems premature to hail FanDuel as our “George of the Week” after it agreed to honor erroneously generated 750-1 odds on the outcome of yesterday’s Denver Broncos/Oakland Raiders tilt. (Hey, Las Vegas, how are you liking those 0-3 Raiders now?) Anthony Prince saw the glitch-born 750-1 line and put down a $110 wager that will now bring him winnings of $82,000. Other computer misfires caused betting disputes for FanDuel patrons. The company took the high road — after a little chit-chat with New Jersey gambling regulators — saying, “Above all else, sports betting is supposed to be fun. As a result of a pricing error this weekend, it wasn’t for some of our customers.” One hopes that FanDuel is now vetting its software … and considering the virtues having odds set by human beings.

“These kinds of issues are rare, but they do happen. So, this one’s on the house. We are paying out these erroneous tickets and wish the lucky customers well.” Translation: Don’t expect FanDuel to be so generous the next time around. Prince wouldn’t have made the big bet had FanDuel’s computers generated the correct odds: a hideous 1-6. FanDuel COO Kip Leven said the big goof would be a chance “to use this as a learning experience for our new customers about how sports betting works.” Yeah, good luck with that.

* So long, Lucky Dragon. Its last operating vestige, its little hotel, is expected to go dark on Oct 2. There will be plenty of lessons to be drawn from the Lucky Dragon saga … such as, don’t narrowcast your property’s appeal if you don’t have a deep database of customers to back it up. Also, don’t sweat the comps. (Good advice at any time.) We hope Resorts World Las Vegas is paying attention, especially since it also intends to predicate its business plan on Chinese players. That was supposed to be the key to Lucky Dragon’s success and it turned out to be the kiss of death instead.

* According to a new study from Cornell University, when you check into a casino resort you’re not going to use the spa as much as you think — and you’re going to employ the parking garage more than you think, which must make parking fees doubly galling. Says Professor Chekitan D. Dev, “free Wi-Fi helps bring in guests and bottled water brings guests back … While the spa in our sample had low usage, if it is critical for high-value guests it may be worth keeping.” The metrics are fascinating and should be required reading for all casino-industry executives.

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