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How To Play Craps - Las Vegas Table Games - Caesars Entertainment

With Frank Sinatra now on the books as director of entertainment, Caesars became the home to his band of aging swingers and crooners, signed up for package deals in multiple Caesars properties. This was intended to complement the other family attractions on offer which made Caesars Palace a must-see for the new class of visitor. Halfway through the decade, the corporate hospitality world re-engaged with Las Vegas once again, seeing the profitability of gaming, as Mirage Resorts, MGM and Circus Circus demonstrated to the market. He was However, in Caesars Palace took a bold step by announcing the development of a new concert arena in place of the Circus Maximus, and the closure of some of the kitschy aspects of the property, including The Magical Empire.{/INSERTKEYS}{/PARAGRAPH} Could it get better for Las Vegas? Internally, Park Place Caesars' new parent company built Paris in Las Vegas, which was positioned as a higher end property in the portfolio but with little discernible differentiation other than theme, which shows a valuable insight into the thinking of this era. It was around this time that a group of Harvard academics wrote a paper called Putting The Service Profit Chain To Work, which formed the basis of what we know today as relationship marketing. Unbeknownst to Sarno and Mallin, that manager was acting for external interests. Caesars World continued to diversify in the gaming sphere as per the PIMS maxim, operating casinos on cruises and other jurisdictions. A new Las Vegas was born that allowed Kerkorian to go from landlord to casino developer, building the International as the largest hotel in the world, which opened in , and paved the way for casinos to be more than just gambling houses. In the quest for ever increasing profits, once manageable businesses had led to highly diversified sprawling conglomerates which were becoming increasingly difficult to manage. With customers defecting to newer hotels, those managing Caesars in the first half of the s sought to build the business by offering more to the customers in order to capture their loyalty. It was also in the s that strategic management became a dominant business philosophy, advocated by the likes of Peter Drucker and Igor Ansnoff. Secondly, Caesars was a cash-cow and provided the base for both expansion and diversification that would suit this management philosophy. In his later years, Sarno planned his great uncompleted project, Grandissimo, as well as offering classes to emerging casino executives, including a young Steve Wynn. ITT held diverse interests ranging from insurance companies to hotels and casinos, which made it attractive to suitors that wanted to acquire specific industries, with the new thinking, opposite to PIMS, that refined business processes management theories dedicated to specific sector growth could lead to greater efficiencies and profits. In the period when it seemed that each quarter brought a new Strip opening or two, the prevailing thinking was that there was an under-supply to the market and differentiation strategies such as theme and architecture were sufficient to capture market share. Again as the decade closed, Caesars Palace proved it had been reinvented for s Las Vegas, but was no longer representative of the brand above the door. Everyone was classy. Some made it, others did not. Having met at college in Missouri, the pair built and operated the Cabana Hotels in Georgia, California and Texas before turning to Nevada with the idea to build the luxurious Caesars Palace, a room, 14 story tower in Las Vegas. With many older stars moving into retirement, the entertainment offering was bland, with the nadir being the hosting of WWF Wrestlemania; seeing toga-wearing wrestlers simulate fighting moves where Sinatra once strode was a new low. That is, getting a mix of everyone, from the extremely high roller to the low-end player. However, Sarno and Mallin had two problems; no land and no money. Already a highly successful businessman when he joined Caesars World, his expertise was not in gaming, hospitality or fulfilling the wishes of customers. This was initially much derided, but proved to be a lasting legacy for Caesars Palace. Yet it was Caesars Palace that had the most to lose, and like the former boxer and Caesars host Joe Louis, fight it did, throwing punches left and right, with some hitting and others missing badly. Vegas was no longer attracting just gamblers, but actual tourists coming to see the spectacle of fountains, wild animals, a reimagined circus in Cirque Du Soleil and even an Eiffel Tower. The brand had moved from elegant, escapist luxury to wrestlers in togas, with aging singers, magicians and rows of seniors popping quarters into slot machines. They paid the highest price, initially a rental deal with an option to buy. Drivers for competitive advantage, as we now can assess, are very few. In , Las Vegas had 6. What Caesars Palace had as a competitive advantage to those other properties was a globally recognisable brand, but behind the columns and statues the experience was unrecognisable from the glory days. They established a brand that entered public consciousness that has lasted five decades. {PARAGRAPH}{INSERTKEYS}Gambling Insider takes a look back at the storied history of one of the most famous brands in gambling in search of timeless lessons for casino operators. Gluck retired again shortly after. No longer an adult Disneyland, it was a place for entire families to spend their vacation. Fred Kolman came to Caesars Palace in the s, ending up as a long-standing member of staff. The view was to give the customer more, rather than better; quantity was valued above quality. Las Vegas really was the global capital of gaming and much of this was down to the Perlmans expanding Caesars Palace to be the dominant player, increasing the market size, and by extension its market share. In other words, quality beats quantity. Upstairs in the corporate boardroom, all was not roses either. The Forum also led to the introduction of the celebrity chef to Las Vegas, with Wolfgang Puck to be the first of dozens of chefs to launch offerings in the town. Managing volatility is the key to successful casino management, and under the corporate ownership at this time Caesars got it wrong when they tried to manage that volatility. As the casino resort celebrates its 50 year anniversary as one of the dominant properties on the Las Vegas Strip, we explore the history and importance of Caesars Palace through the prism of the evolution of management theory to understand why this property has stood the test of time, while other similar properties have made their way to the great neon graveyard in the sky. During this period there was a sense of luxury throughout, from the turquoise lighting outside, to Louis Prima in the lounge and Sinatra in the showroom. The Perlmans understood that Caesars Palace was a national brand that had meaning and could be rolled out, like their hot dog stalls. The corporate decades had eroded the extravagance, eyes were now firmly focused on managing both volatility and the bottom line. Gluck, unlike many of the gaming executives of the time, was an outsider. To great fanfare, The Mirage immediately broke all occupation and gaming revenue records. The dynamic that played out was that theme alone proved to be not enough; it allowed for successful differentiation in marketing, but not much else. After Excalibur, Circus Circus enterprises raised their game with the iconic Luxor, initially an attempt to move into the lucrative VIP segment. There are touches of Caesars Palace, such as the water features and distinctive landscaping, the use of escapist themes and the long driveways taking the customer physically, as well as metaphorically, away from the humdrum of reality into a new world of escapism. In the early s Caesars held its own, just. They lost their high-end players to the Mirage and the Bellagio and struggled to get them back. By the mids Las Vegas was looking at another type of customer. After selling Caesars Palace, the duo then built Circus Circus a couple of blocks north, but after subsequent financial difficulties eventually went their separate ways. He says that Kirk Kerkorian the landowner and Sarno, both gamblers, hit it off, leading to the deal for the land. From a management perspective, under Gluck there was no overarching strategy other than to run an efficient business to maximise profits. Having been expanded several times, it is still one of the most successful malls in the world today and has turned Las Vegas into one of the retail capitals of the USA. As a strategy to compete, Caesars sought to challenge with size, scale and range of offering. The biggest stars played at Caesars Palace and the management knew that they had to be ahead of the curve as others always wanted to challenge Caesars. What became more evident in this period was that the theme became a brand, but it was the experience that determined customer loyalty and retention. Vegas was undergoing a generational expansion. As a large corporate entity there were several hostile financial manoeuvres, including one by Donald Trump which Gluck defended. For the post-war generation, many of whom had served in the military and were discovering consumerism and suburbia, there was a real need for escapism, luxury and excitement. One of those was to become hospitality giant, Starwood, which acquired ITT in Shortly after this takeover Starwood, which focused on hotels rather than casinos, exited the volatile and regulated Caesars World gaming assets and interests to Park Place, ironically a gaming spin-off from the over-expanded Hilton, which had faced similar boardroom pressure to separate. Caesar was no longer the emperor of Las Vegas, Wynn was. Mallin, in his eighth decade and still a resident of Las Vegas, recalls the early days fondly. All our energies were spent on raising money, and in one respect that was our failure as the only place we could get staff was from other hotels in town. As experiences, such as restaurants, gaming and entertainment became more generic, the competitive drivers diminished. Caesars Palace was better than what it had become. The authors, including a young professor called Gary Loveman, hypothesised that only customer loyalty drives profitability and growth, and customer satisfaction drives loyalty. Las Vegas was still a desert outpost when Caesars Palace opened its doors on 5 August Anyone who has even a passing interest in casinos and Las Vegas understands the pivotal importance of Caesars Palace. Robbie Knievel succeed where his father failed and finally cleared those fountains. If we had spent more time on management we would have avoided the problems we had later. Caesars World also instituted a number of innovative attractions at this time to lure customers, including the OmniMax Movie Theatre, The Atari Adventure centre and a live ice skating tournament, but none of these lasted the test of time. As a brand, Caesars in the s was a symbol of Las Vegas — a kitschy pastiche of American excess, a something for everyone. By visitation had grown to In addition to increased visitors, gaming revenue grew massively. Leadership of the gaming industry was professionalising as outsiders from the business world became insiders, bringing best practice and innovation. We had the best staff and the best customers. With hindsight, its success seems evident, but in so many ways it nearly did not make it. It transpires that on condition to raise some funds, an investor specified that a particular casino manager, with experience from the Sands, should be hired. The land that the Cabana Palace, or the Desert Palace as it was also known in development, needed was plentiful, but they needed a landowner who would take a bet on two Missouri upstarts with no casino experience and an idea to build something more exciting than another desert-style motel. Of course it could. He was a businessman and eschewed the high volatility of Caesars Palace which suffered from several bad creditors at this time and sought to position the property squarely for the middle classes. Caesars Palace transitioned perceptions of Las Vegas from a desert town for the mob and gamblers into a glamourous escape for all Americans, with Caesars Palace at the iconic centre. Caesars Palace sold itself. The mothership, Caesars Palace, ticked over. Between the staff and owners, we identified the biggest players in Las Vegas and gave them markers. As the Clinton decade matured, there was economic growth and consumer confidence across the USA. It is the most basic of economic principles that competition leads to innovation but not all could keep up, and the old boys began to slip away. Levitt observed that companies should stop focusing on just selling their products, and instead on meeting customers' needs, which is the real secret to a successful casino resort. Between , Henry Gluck was the driving force behind Caesars World, shoring up revenues, cutting costs, making efficiencies and maximising profits at a time when the bottom line reality did not meet top line expectations. Terry Lanni had left the company in the wake of ITTs takeover.