Importance Of Database Technology In Harrah's Strategy

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Database technology has played a significant role in Harrah’s strategy. This database technology is able to collect information on their customers that allowed for future success, of the company, to occur. Harrah’s collects information from their total rewards customers, some being: gender, age, location of home, and which specific games they like to interact with when gambling. According to the article, the total reward applicant’s points are based on the time they spend gambling versus the number of wins or loses they acquire. This strategy Harrah’s obtains allows for the company to give their loyal customers a reward in exchange of their points for cash or other offered rewards. For example, a loyal rewards applicant was given a free night’s stay in a hotel with transportation included to and from the casino. This type of strategy Harrah’s provides to their total rewards applicants will keep bringing them back into the casino in hopes of receiving more perks. Harrah’s database technology is crucial when determining how important it is to the success of the company. This database tracks the customer’s every transaction and continually updates their profile. Due to the database being centralized, every Harrah’s casino is able to access the customer’s rewards, and points. This allows for hotel employees to view such rewards if a customer were to schedule a reservation that had been given a discount. Having the database centralized helps to not separate each Harrah’s casino singly, yet in unison. This tremendously helps keep track of every total rewards customer, allowing for special treatment to occur when seen as a loyal customer. There are some ethical problems raised by Harrah’s use of customer date. Harrah’s claimed they wou... ... middle of paper ... ... customer relationship management software helps solve many problems, it will not however solve every issue. One issue that comes to mind, that database technology and customer relationship management software cannot fix is their competition they may have to face. If one of Harrah’s competitors brings in more customers due to convenient location, high quality service, offers better rewards, and/or has better products this is one issue that database technology and customer relationship management software cannot fix. Also the database technology and customer relationship management software cannot fix issues with employees or staying up-to-date with products. These types of issues are dealt by people versus technology. Overall, Harrah’s database technology and customer relationship management software provide vital information for the company to successfully compete.

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