In Romania, the gambling market is extremely competitive, competition being the number one factor influencing the performance of our casino. Therefor, differenciation, positioning and development of an efficient competitive strategy are crucial for the casino’s success.
In this respect we must consider 3 key elements: the casino clients, our casino and the competition. These 3 elements are in a continous and dynamic interraction and it is obvious that at any given moment our casino competes against the other for being the players’ first choice.
For more details regarding how do people make choices in general and how players choose casinos in particular, I invite you to read „The Orange’s Test” inside the Blog section.
Considering the first of these 3 elements – The Casino Clients – it is important to find out what are their needs, wants, expectations and desires regarding their casino experience and which are those aspects of this experience associated with value for clients. Eventually we are going to present these information by drawing a circle that contains the list of all findings of this research on clients.
The second circle belongs to our casino or, according to our specific case, our gaming hall, network of gaming venues, online gaming platform, etc. This circle contains the list of all activities taht we execute and all offers we have for our clients. This list will include of course the all gaming offers and all the auxiliary services such as restaurant, buffet, bar, parking, reception, wardrobe, etc. It is importnat to build this list based on clients’ perceptions and opinions and not on what we think about ourselves. In many situations the management point of view about the casino proved to be very different from the clients’ perspective.
In the end we will draw the circle that belongs to the Competition, that contains all the activities of the main competitor. The same as above it is important to be objective and to list the items according to clients’ opinions.
After drawing these 3 circles the next step is to analyze the content using the model of the 3 circles that are partially overlaped. It is obvious that no matter how much we try we will never be able to overlap completely the circle of our casino ever the Clients’ circle. The same happens with the Competition’s circle and the Clients’ circle. Due to the differenciation efforts our Casino’s circle and the competion’s one also overlap only partially.
The image of the 3 overlapping circles is a very useful tool for developing a competitive strategy. This image reveals a number of areas defined by the borders of the 3 circles.
The most important area on this image is area A where we can find all those aspects that differentiate our casino from the competition and that are relevant and valuable for clients. This is the area where we must focus our efforts and ressources in order to better promote it towards the clients and, in the same time, to protect it from the competition. In conclusion, area A is the core of our competitive strategy.
But we should not forget the other areas in the picture. In this respect inside area F we find all those elements that are relevant for the clients but that are not covered by our casino and also not covered by the competition. Therefor, this is the area where we could look for innovations and for developing new offers that may lead to increasing the performance of our casino. It is also important to discover this area and take action before the competition as most of the times it is more productive to be the first in oppening a new activity that to be able to do it better but starting late.
In area B we find those elements desired by clients and that are offered both by our casino and by the competition. In this case it is useful to use the most efficient communication tactics in order to create the perception of the superiority of our casino in comparison with the competition in order to be the clients first choice.
Area D contains the elements that support the differenciation of the competition from our casino. Although we may investigate the possibility to invest in this area we should not forget that a strong position on the market is created not only by the elements that we include in our offer but also by our decission to not include some other elements and to leave them in purpose outside our offers.
Because areas E and C contain the elements that are not relevant for clients it is better not to waste ressources with activities from these areas. However in many cases we cannot eliminate them completely, some of them being related to restrictions or mandatory actions generated by the law or by internal procedures.
Eventually we arrive to area G that contains the list of activities executed by the competition but not relevant for clients. Once again it is a waste of ressources to focus on this area but in many cases the impuse to cpy or follow the competition is stronger than a rational and onjective analysis of the clients’ perceptions.
Before ending this subject, I would like to add, as usually, just one more remark: Action is the first condition for being successfull! Therefore, use this simple model and develop an efficient competitive strategy for your casino. Good luck!