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Managing the Slot Operations of a Hotel Casino in the Las Vegas Locals’ Market

Anthony F. Lucas

University of Nevada, Las Vegas, anthony.lucas{at}ccmail.nevada.edu

K. Pearl Brewer

University of Nevada, Las Vegas, brewer{at}ccmail.nevada.edu

This exploratory study was designed to identify and explain the sources of variation in the daily slot handle of a locals’ market hotel casino in Las Vegas, Nevada. A regression model was used to analyze the effects of temporal, operational, and marketing variables hypothesized to influence slot handle. A simultaneous regression analysis was conducted with audited, secondary data using variables adapted from prior research. Significance tests were conducted at the .05 alpha level. The model failed to produce a significant effect for the food covers variable. The buy-in incentives (direct mail) and bingo headcount variables were significantly and positively related to slot handle. The temporal variables emerged as powerful predictors of slot handle. Finally, the results demonstrate the questionable economic significance of the buy-in incentives program and the bingo operation.

Key Words: slot handle • food covers • casino analysis • slot analysis • direct mail • casino marketing

Journal of Hospitality & Tourism Research, Vol. 25, No. 3, 289-301 (2001)
DOI: 10.1177/109634800102500304
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