Spring 2010 issue of Horizons

Cashless wagering systems will be a revolutionary feature that will assist properties in maintaining their competitive advantage. The systems will allow patrons to maintain a balance at the property that can be used for wagering, food and merchandise purchases. Credits and rewards can automatically be awarded to patrons during play, without an interruption in gaming. Promotions could be sponsored through the player’s access to Web-based accounts. Overall, the capabilities of the cashless wagering system will improve the properties’ ability to monitor play, reduce physical cash and paper TITO tickets used in play, and improve contact and communication with patrons. Just as cashless wagering will impact the player experience, server-based gaming will revolutionize the operations of slot machines/electronic gaming devices (EGDs). With server-based gaming, the actual game will be housed on a server and the game will be downloaded and displayed on the EGD unit. Instead of replacing the entire unit, games will be rotated by updating the external plates and downloading a different game directly from the server. Subject to regulatory approval, server-based gaming would allow patrons to select their preferred game from a single machine, as opposed to physically moving to different locations on the casino floor. As EGDs continue to be developed, the administrative side of gaming will continue to advance as paperless documentation emerges. The traditional method of printing numerous reports and using massive off- site storage facilities will become a way of the past.

To ensure the patron feels that his/her loyalty is appreciated, every dollar spent by a patron should be captured and recognized by the rewards program. To provide an incentive to participate, the program must be simple to understand and should incorporate a system of tangible rewards so the patron can identify his/her play with an effort to obtain a gift or prize. The program also should incorporate affiliated properties and facilities to encourage regional and/or national loyalty. The reward program should be integrated into the casino operations to allow employees to personalize their communications with each individual patron. Properties must work to synchronize their IT systems to allow for communication and data tracking of patron activity and history. Purchases in the gift shop, restaurant, hotel, bar and concert venue should be tracked and categorized in a way that is concise and can be used in routine operations. By capturing the patron’s preferences, the casino will be able to offer personal incentives based on the patron’s history. In addition, employees will be able to offer a unique personalized experience that facilitates patron loyalty. Staying at the forefront of technological innovation will be critical for increased profitability within an increasingly competitive environment. In the last 10 years, the gaming industry has seen the evolution of slot machines from coin to ticket- in ticket-out (TITO) systems. In the next 10 years, the industry and regulators will continue the technological progression with the implementation of cashless wagering, server-based gaming, remote access and paperless documentation. LEADING TECHNOLOGICAL INNOVATION

35 u spring 2010 issue