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Isle of Capri is a unique and innovative player in the gaming industry. After entering the market in Biloxi, Mississippi, in 1992, Isle has grown into one of the countrys largest publicly traded gaming companies, mostly by establishing properties in the southeastern United States and in the countrys heartland. Isle of Capri Casinos, Inc., is currently operat- ing 18 casinos in seven states, serving nearly 2 million visitors each year.

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Even though they seem to have a differentiating edge, compared to others in the highly competitive gaming industry, Isle is not entirely unique. Like any gaming company, Isles success depends largely on its relationship with its customersits ability to create a gaming, entertainment, and hospitality atmosphere that anticipates customers needs and exceeds their expectations. Meeting such a goal is impossible without two important components: a company culture that is laser-focused on making the customer experience an enjoyable one, and a data and technology architecture that enables Isle to constantly deepen its under- standing of its customers, as well as the various ways customer needs can be efficiently met.

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After an initial data warehouse implementation was derailed in 2005, in part by Hurricane Katrina, Isle decided to reboot the project with entirely new components and Teradata as the core solution and key partner, along with IBM Cognos for Business Intelligence. Shortly after that choice was made, Isle brought on a management team that clearly understood how the Teradata and Cognos solution could enable key decision makers throughout the operation to easily frame their own initial queries, as well as timely follow- up questions, thus opening up a wealth of possibilities to enhance the business.

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Thanks to its successful implementation of a comprehensive data warehousing and busi- ness intelligence solution, Isle has achieved some deeply satisfying results. The company has dramatically accelerated and expanded the process of information gathering and dispersal, producing about 150 reports on a daily basis, 100 weekly, and 50 monthly, in addition to ad hoc queries, completed within minutes, all day every day. Prior to an enter- prise data warehouse (EDW) from Teradata, Isle produced about 5 monthly reports per property, but because they took a week or more to produce, properties could not begin to analyze monthly activity until the second week of the following month. Moreover, none of the reports analyzed anything less than an entire month at a time; today, reports using up-to-the minute data on specific customer segments at particular properties are available, often the same day, enabling the company to react much more quickly to a wide range of customer needs.

Isle has cut the time in half needed to construct its core monthly direct-mail cam- paigns and can generate less involved campaigns practically on the spot. In addition to moving faster, Isle has honed the process of segmentation and now can cross-reference a wide range of attributes, such as overall customer value, gaming behaviors, and hotel preferences. This enables them to produce more targeted campaigns aimed at particular customer segments and particular behaviors.

Isle also has enabled its management and employees to further deepen their under- standing of customer behaviors by connecting data from its hotel systems and data from its customer-tracking systemsand to act on that understanding through improved marketing campaigns and heightened levels of customer service. For example, the addi- tion of hotel data offered new insights about the increased gaming local patrons do when they stay at a hotel. This, in turn, enabled new incentive programs (such as a free hotel night) that have pleased locals and increased Isles customer loyalty.

The hotel data also has enhanced Isles customer hosting program. By automatically notifying hosts when a high-value guest arrives at a hotel, hosts have forged deeper rela- tionships with their most important clients. This is by far the best tool weve had since Ive been at the company, wrote one of the hosts.

Isle of Capri can now do more accurate property-to-property comparisons and analyses, largely because Teradata consolidated disparate data housed at individual properties and centralized it in one location. One result: A centralized intranet site posts daily figures for each individual property, so they can compare such things as performance of revenue from slot machines and table games, as well as complimentary redemption values. In addition, the IBM Cognos Business Intelligence tool enables additional comparisons, such as direct-mail redemption values, specific direct-mail program response rates, direct-mailincented gaming revenue, hotel-incented gaming revenue, noncomplimentary (cash) revenue from hotel room reservations, and hotel room occupancy. One clear benefit is that it holds individual properties accountable for constantly raising the bar.

Beginning with an important change in marketing strategy that shifted the focus to customer days, time and again the Teradata/IBM Cognos BI implementation has dem- onstrated the value of extending the power of data throughout Isles enterprise. This includes immediate analysis of response rates to marketing campaigns and the addition of profit and loss data that has successfully connected customer value and total property value. One example of the power of this integration: By joining customer value and total property value, Isle gains a better understanding of its retail customersa population invisible to them beforeenabling them to more effectively target marketing efforts, such as radio ads.

Perhaps most significantly, Isle has begun to add slot machine data to the mix. The most important and immediate impact will be the way in which customer value will inform purchasing of new machines and product placement on the customer floor. Down the road, the addition of this data also might position Isle to take advantage of server-based gaming, where slot machines on the casino floor will essentially be computer terminals that enable the casino to switch a game to a new one in a matter of seconds.

In short, as Isle constructs its solutions for regularly funneling slot machine data into the warehouse, its ability to use data to re-imagine the floor and forge ever deeper and more lasting relationships will exceed anything it might have expected when it embarked on this project.

Course Code: 0677313 3.1 Opening Vignette: Isle of Capri Casinos Is Winning with Enterprise Data Warehouse Chapter 3 Data Warehousing Read the above case and answer the following questions. 1. Summarize the business challenges or ooprtunities that Isle of Capri Casinos was facing. (01 Mark) 2. What was the process Isle followed to realize EDW? Comment on the potential challenges Isle might have had going through the process of EDW development. 3. Why do you think large enterprises like Isle in the gaming industry can succeed without having a capable data warehouse/business intelligence infrastructure? (01 Mark) 4. Go through the list of data warehousing risks described in Chapter3 (Data Warehousing) and find two examples of each in practice. (02 Marks)