Caesars Entertainment Introduces Technology Initiatives

19 October 2004

LAS VEGAS -- (PRESS RELEASE) -- Caesars Entertainment Inc., one of the world's leading gaming companies, today announced the latest milestone in its strategy of incorporating more advanced technology tools into its operations. The company is introducing a new point-of-sale solution at Caesars Palace Las Vegas, called Revelation, which is designed to integrate and streamline 41 different food and beverage operations throughout the renowned casino-hotel resort.

The new system, by InfoGenesis, gives Caesars' management instant access to real-time sales data and comprehensive reporting capabilities. It is scalable, so that Caesars Entertainment can use it to run all of its casinos as a single system.

Revelation is the latest in a series of technology investments by Caesars Entertainment which are intended to bolster the bottom line of its casino resorts by increasing their operating efficiency and improving their guests' experience.

"Caesars Entertainment continues to look for new ways to make sure our guests have a great time at our resorts, and to make sure we're improving our financial performance," said Carol Pride, Chief Information Officer and Vice President of Corporate Information Technology. "Advanced technology, such as Revelation, has helped us make great strides toward both goals in the past few years, and we're continuing to invest in new technology that makes good business sense."

Since January, Caesars has begun using several new advanced technology systems in a variety of locations, not only in restaurants and beverage stands but in hotel reservation operations and casino games themselves. The major initiatives include:

-Table Games:

-In June, the Flamingo Las Vegas became one of the first casinos to introduce a new automated blackjack system, called MindPlay MP 21, by the Bally Gaming and Systems unit of Alliance Gaming Corp. The system, in use at 12 blackjack tables in the Flamingo, uses sophisticated optical technology to track betting and card play. The system improves the accuracy of player "ratings" and comps, and helps prevent fraud.

-A similar form of automated table gaming, called TableTouch by IGT, is being tested at Caesars Palace Las Vegas. This system also helps managers identify and rate players, supervise tables and report a variety of results.

-Food and Beverage Operations:

-In July, the company began using a business intelligence software system from Avero Inc. called Slingshot, to integrate and manage all 55 food and beverage operations at three of its hotel-casinos in Las Vegas: Bally's Las Vegas, Flamingo Las Vegas and Paris Las Vegas. The system converts point-of-sale data about customer menu and bar selections into actionable business intelligence. Slingshot helps improve customer service and server productivity, and also helps manage the cost of food, beverages, labor and promotion more efficiently.

-Slingshot integrates with the Revelation point-of-sale system at Caesars Palace in Las Vegas to convert sales data into business intelligence numbers to help enhance revenue and lower costs. Revelation allows Caesars to manage 41 separate restaurants and bars as a single food and beverage system, to provide improved guest service and to streamline operations. It provides real-time access to sales data and comprehensive reporting capabilities.

-Hotel Reservations:

-Caesars recently selected an advanced revenue management system, NetWORKS(TM) Hospitality Revenue Optimizer for the Gaming Industry, developed by Manugistics and implemented by The Rainmaker Group, to manage room availability based on forecasted demand and anticipated spending by guests on gaming or other resort amenities. By allocating rooms based on how much customers are willing to pay, or how long they'll stay, or how much they'll spend elsewhere at a resort, the system helps ensure the hotel is getting the most value for its rooms and appropriately recognizes and rewards loyal customers.

-Marketing and Promotion:

-Caesars has been using the E.piphany 6.5 CRM (customer relationship management) solution to develop a wide variety of promotional offers to past or potential guests -- including hotel accommodations, dining, entertainment, golf, shopping, etc. The system tailors its offers to the interests of individual customers, based on previous visits or experience, to provide the best offer for each customer.

It also tracks responses to the various offers, and after the guest visits, it looks at the actual activities that the customer took advantage of during their stay, and uses that information to intelligently serve the customer during future interactions. E.piphany CRM is designed to reward the people who enjoy spending time and money at Caesars' resorts.

These recent initiatives by Caesars Entertainment build on numerous technology accomplishments over the past few years. Caesars has been steadily upgrading its tech infrastructure and revamping its systems to provide for the latest in products and applications that enhance the guest experience, grow its business and improve operating efficiency. For example:

-In 2002, Caesars was the first hotel-casino company to link all 18 of its U.S. properties with an advanced "ATM" (asynchronous transfer mode) communications network, allowing a wide range of information applications for guests and internal use.

-In 2003, Caesars was the first to offer a company-wide comp rewards program based on total spending on hotels, dining, shopping, entertainment, as well as gaming, across all of its U.S. properties.

-In 2003, Caesars launched new Web sites for all its domestic casino resorts, resulting in a 54 percent increase in online room reservations over 2002. In 2004, Caesars' Web sites were ranked highest among gaming-hotel companies in treating online customers with respect.

-Caesars has led the industry in cashless "ticket-in, ticket-out" technology. At the end of 2003, 60 percent of Caesars' slots in the U.S. used "ticket-in, ticket-out"; by end of 2004, 80 percent will be on the system.

-Caesars was the first hotel company to announce it would offer airport check-in at Las Vegas' McCarran International Airport.

-Caesars has developed an extensive database to support a sophisticated CRM system that stays in touch with past guests and reaches out to potential new visitors with promotional offers tailored to their interests.

-Caesars deployed kiosks throughout its properties to offer guests more convenient ways to check in and redeem comps, as well as to manage labor costs.

"Caesars is committed to using technology intelligently, not just because it's new or 'hot,'" Pride said. "We invest in technology because it pays off and helps us achieve our goal of being the ultimate gaming experience for our guests."


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