Member Blog

Friday, 27 March 2020

The Chancellor has finally unveiled his support package for the country’s 5 million self-employed.   

It will support those whose income comes mainly from self-employed activities and where their profits are up to £50,000.  This will account for 95% of the self-employed population. 

As with other recent announcements, the finer details will follow and initially there will be questions that remain unanswered.   

Here’s what we know 

• enquiry@larking-gowen.co.uk 

  Mark Curtis 

It’s difficult to avoid conversations about coronavirus right now. Whether you’re talking to clients, colleagues, friends or family, it’s the subject on everyone’s lips. However, in recent weeks, we’ve spoken to several businesses that are unsure about what to say to their clients. To help, we’ve pulled together a guide to communicating in a crisis.

Client Communications

First up, we want to tackle client communications during a crisis.

Now, at some point in the past few weeks, you’re bound to have received emails from brands explaining the impact of Covid-19 on their businesses – some good, some bad.

If you want to get it right, here are some points to consider.

What are you trying to communicate?

Every business is handling this situation in a different way.

Some are continuing to function with minimal disruption. Others are working remotely. Some businesses have to close. Others are having to work harder than usual.

Supermarkets, logistics companies and healthcare providers, for instance, are struggling to continue to deliver to their clients and customers.

Which is it for you? What do you need to tell your clients and customers as a result of the situation?

Address the challenges

It’s okay to be honest about the challenges that your business currently faces.

Be sure to explain the current situation in a way that your clients will understand.

Highlight the solutions

While it’s okay to mention the challenges you face, you should also make your solutions clear.

The old aphorism ‘don’t bring me problems; bring me solutions’ has never been more true.

If your clients are going to be affected by what’s happening, be sure to explain how you’re going to resolve the issue – now or in the future. It gives them a clear understanding of what to expect in a time of uncertainty. These days, a little reassurance goes a long way.

And make sure they know who to contact if they have questions or queries. Knowing there’s someone at the end of the phone can help people to cope in these difficult times.

Moderate your tone

Striking the right tone for your communications can feel hard right now. You may feel that the gravity of the situation calls for a sombre, serious tone. But if that’s not what you’re known for, consider lightening up.

While you want to share the facts, you need to maintain your own tone of voice. And if that means injecting some light humour to make your audience smile, then that’s okay.

Hell, we’ve even seen a few emails that are downright slushy about how much certain brands care about their customers. But if that strikes the right tone with your audience, go for it.

Remember that quality is critical. If your message is riddled with mistakes, it may make you look like your team is rushing or panicking. It looks unprofessional and may damage your reputation. Don’t skimp on quality control, even in a crisis.

CTAs

Even at this time, it’s okay to put a call to action in your communications. It might just be a little different to usual.

Maybe you could ask your customers to share selfies with a custom hashtag. Maybe you could ask them to Like your Facebook or LinkedIn pages to stay up-to-date with the latest company news. Or maybe you could ask your clients to stay at home?

Be sure to pick something that resonates with your audience and the challenges they face

Distribution lists

It’s likely that you have recently been contacted by businesses you’ve had no interaction with for years. They want to explain their working practices to you. And you’re unlikely to care.

Rather than running the risk of having the receiver shake their head and delete the message, take time to segment your audiences. That way, your customers only receive messages that are relevant. If a customer hasn’t worked with you in the past year-18 months, consider removing them from your coronavirus mailing list.

Pick a platform

You may choose to distribute different messages across different platforms.

For instance, you may ask your employees to send a personalised (but templated) email to their clients, so there’s a sense of continuity. If you have a large customer base to reach, a generic mailshot may be more suitable.

You could choose to share a slimmed-down version of the message on your social media channels too. Encourage your employees to share the message with their connections too, so any leads and prospects are in the loop.

And, remember, to pick up the phone. It never hurts to speak directly to your clients and explain the situation in person.

Consider frequency

As with any campaign, give some thought to the frequency of your crisis communications.

You may want to send a single email explaining that you’re closed until further notice. Or you might want to say that your business is reassessing the situation every day. In that case, you may contact your clients daily, weekly or monthly.

Just don’t overdo it. If you’re bombarding clients, you run the risk of being an annoyance, especially when there are so many other Covid-19 messages flying around.

Consider what your clients need to hear and communicate accordingly.

This article originally appeared MethodMarketing.org

In our increasingly technological world, there are more and more businesses that are choosing to make the move from high street to online. For many businesses that already have the essential groundwork done, this move proves successful. Overheads can be significantly lowered, and customer reach can also be expanded with the right knowledge. Here are some of those businesses that have proven that moving your company online can be incredibly fruitful.

There’s no older past-time than gaming, whether it’s using a roulette wheel, playing a game of cards or throwing the dice. The first casino ever built, in fact, was the Casino di Venezia, which first opened its doors to Venetians back in 1638. Although at its inception it was simply a wing of a theatre which allowed people to game in the intervals, it became so popular that just a century later there were more than 120 casinos in Venice. That means that for each year that passed, more than one brand new casino opened.

Casinos

If we fast forward several centuries to 1996 then we can see that the love of casinos remains. It was in this year that we witnessed the birth of the first online casino, InterCasino. In its first year it accepted the first ever online real money wager and since has paid out more than $3billion to online gamers. This is undoubtedly a huge sum, though still the physical casino industry has a larger market share than online. With that said though, the tides could be about to change. Whilst bricks and mortar casinos generate a staggering $130bn worldwide each year, online poker sites and casinos are catching up with a healthy $46bn for the year 2019. The growth in revenue has been marked in the past few surveys, so it could be that online casinos will overtake physical ones in the not too distant future.

Auction Houses

Auction houses were, funnily enough, one of the first types of business to recognise the potential of trading online. It used to be that an item would come up for auction and, if you weren’t present at the auction house on that day, then you wouldn’t be able to buy it. With the invention of the telephone this changed for the better, with auction lots being able to reach a bigger customer base.

Fast forward a couple of centuries and the birth of the internet again changed auction houses for the better (or the worse if you were hoping to snap up a bargain!) Now physical auction houses allowed bids from the internet, which meant that specialist objects which would perhaps only have an audience of one or two collectors, could now reach enthusiasts from around the world. This enabled lots to reach higher prices and made the auction house a nice commission.

So great was the change that the internet made to this business that now perhaps the biggest auction house in the world is entirely online. Pierre Morad Omidyar is the founder of eBay, an online auction site which was launched in 1998 and almost instantaneously made him a billionaire. Whilst the day of the brick and mortar auction house is far from over, it seems that online auctions are here to stay.

The UK Government has announced new measures to mitigate the cases of coronavirus and its fatalities. These include avoiding public workplaces when possible, which has resulted in more people than ever working from home. Working from home may have been a long-term dream for some, but that doesn’t make it easy. It can be challenging to be productive and get in the swing of things, although working from hoe can help you grow a business with more limited funds (more information here). With these top remote working tips, you can make it work!

Make Sure You Take Breaks

Surprisingly, that extra break we long for when at the office can go unnoticed when working from home. With no boss to escape and no burning need for a gossip with a nearby colleague, it is easier to go through the working day without taking lots of breaks. But that doesn’t mean you shouldn’t. When working from home, make sure you make a schedule that allocates frequent breaks. During these breaks, do something you enjoy. Such as go for a walk, run or cycle as allowed by the government, or call a friend. You could also have a quick session on a video game or play some casino games to take your mind off work. If you are stuck for ideas of where to play, check out the excellent options listed at CompareCasino.

Get Dressed – Always!

Working from home shouldn’t mean working from your bed, in your dressing gown or god forbid, in your birthday suit. Getting dressed just like you would if you were heading into the office is a way to maintain your schedule and some normality. It is also proven to help you get into work faster and remain productive throughout the day. This doesn’t mean put on your best suit or dress, although you may prefer it especially if you have video meetings, at least put on some jeans and a shirt – slippers allowed.

Dedicate a Working Space

Making a workspace that is only used for your professional work is also a good idea. This helps you draw a boundary between your working life and personal life while at home, which is not always easy with barking dogs and demanding children nearby. Use a desk and set it up just like your office desk, hopefully with less mess. If you don’t have a desk at home, then consider staking a claim to the dining table for the next few weeks. You should also look into getting some noise-cancelling headphones to help you concentrate.

For Remote Working Parents

If you are parents of a child who is no longer at school and both working from home, you may need to make some compromises. Children may need home-schooling, and they may need entertaining or want to go outside too. As a couple, it is beneficial to make a schedule where you both get the quiet time to work while the other tends to the kids. If you plan it well around both of your meetings, you can mitigate disruptions when working with children around. We might be in a self-isolation lockdown and struggling to adjust to the new working life, but make it known that millions of freelancers do this every week and live productive lives outside of the office. You can do it too!

Action Fraud reported that between 1st February 2020 and 18th March 2020, Coronavirus-related frauds increased by 400%.  These frauds include phishing emails and online shopping scams. Throughout this situation we may all at times become vulnerable to these attacks. In times of desperation when trying to purchase supplies for staff or personal use, and when trying to keep up to date with current events, it’s easy to become a victim.  Here are some of the common COVID-19 scams that are being used: Online Shopping Fake websites are being set up to sell in-demand items such as protective face masks, hand sanitisers and other cleaning products. These items never arrive. If you can find these products for sale online, question how they are available given the current shortages. Have you used or heard of this site before? Is the connection on your browser showing as a trusted site? Make sure you do some research and try to find reviews or comments from others who may have purchased from the website. If you feel confident in the site, use a credit card to make payment. Most major credit card providers will insure your online purchase. Phishing Emails There are four common phishing emails currently being reported to Norfolk Police. These false emails will try to steal private information from you including passwords and bank details. The four trends reported recently include emails for fake cures, Coronavirus tax refunds, World Health Organisation (WHO) impersonations and Bitcoin payments asking for donations towards a cure. These emails often look like they come from trusted sources such as HMRC, WHO, or various Government departments. If you are not expecting the email, do not click on any links or download attachments. Inspect the email carefully as fake emails can be hidden behind the ‘From’ section of the email. Look out for spelling mistakes, threatening language and requests for personal information. Don’t be afraid to get in touch with the sender impersonated to check if the email you received is legitimate. Taking action may allow these organisations to make others aware of the scam. Smishing ‘SMS phishing’ is similar to email phishing, but uses text messages. Posts are currently circulating of a smishing scam posing as the UK Government offering payment. The text message includes a link to a fake Gov.UK website where you can apply for funds. Once again, be on the look out for spelling errors, suspicious links or offers such as funding schemes that you have not heard about on the news.  Be aware that there will be other types of scams out there that we haven’t listed above. For more information on spotting these attacks, view our guide to spotting phishing attacks. Download our guide to phishing attacks here.

Trading Standards has received details of Coronavirus (COVID19) related community scams.  We will continue to issue alerts through our email service and social media channels of any scams or information we receive so this can be shared within communities.

To see our recent alerts and subscribe to our emails visit www.norfolk.gov.uk/scams

To find us on Facebook visit www.facebook.com/norfolktradingstandards

To like us on Twitter visit www.twitter.com/NorfolkCCTS

You can report scams you receive to us, via our partners, the Citizens Advice consumer helpline on freephone 0808 223 1133 or through their online reporting form.

We are also recommending that everyone completes the quick and simple Friends Against Scams online training. This allows everyone to better understand and spot scams, and recognise when people are being scammed in our communities.

You can find out more and access the training at www.norfolk.gov.uk/friendsagainstscams and become more scam aware.

The Government’s series of measures to support businesses in response to the COVID-19 pandemic is unprecedented. There is recognition that urgent help is needed, and only time will tell whether the initiatives will prove enough, or perhaps even too much, to enable businesses, employment and the economy generally to survive and prosper.

One of the new funding initiatives which really catches the eye is the Coronavirus Business Interruption Loan Scheme, now shortened to CBILS. This scheme involves the Government acting as guarantor for 80% of the value of each loan of up to £5 million being issued by commercial banking institutions.

From 23 March, CBILS is available to any trading business with a turnover of less than £45 million as long as the borrowing proposal, were it not for the COVID-19 pandemic, is considered viable by the lender, and for which the lender believes the provision of finance will enable the business to trade out of any short-to-medium term difficulty. So how will the lenders determine this?

Although lenders will want to make quick decisions, I think it highly likely that, for at least borderline proposals, they will require financial forecasts to be prepared, just as they would for any pre-COVID-19 lending application. And even if the lenders do not require forecasts, why wouldn’t you want to forecast the future to make sure you’re borrowing enough to see you through this period (or even not borrowing more than you need)?

So, if you are preparing forecasts, here are three quick useful tips for you to bear in mind:

1. Turnover is vanity, profit is sanity, cash flow is reality

Remember that profit is not the same as cash flow, and it is cash flow which lenders will be interested in as this shows whether you can afford the loan repayments. Lenders won’t want to be relying on the government guarantee to recoup their money, particularly as this still leaves them exposed to the balancing 20% gap in security. Therefore, you really should be presenting integrated profit & loss accounts, cash flow statements and balance sheets broken down on a month-by-month basis (or in some cases, a week-by-week basis).

1. Explain yourself

The financial forecasts are meaningless without supporting written assumptions. Break it down line by line, explaining the rationale for the numbers being used. It’s time consuming, and at times, quite tedious work, but it is absolutely essential.

1. Crystal ball anyone?!

In the current climate, it’s difficult to predict the next 24 hours let alone the next few weeks and months, so how do you model this sensibly? My suggestion would be to run multiple scenarios. So, build a baseline financial forecast, and then run different scenarios by adjusting key metrics like sales, wages, debtor days, creditor days, etc. This will give you a range of results in order to make your borrowing decisions.

Our Corporate Finance team at MHA Larking Gowen regularly produces forecasts for clients to submit lending applications, and if you need any assistance with this, we would be delighted to help. In the first instance, please reach out to me: james.lay@larking-gowen.co.uk.

For further details of the CBILS scheme, please refer to the British Business Bank website and speak with your bank.

James Lay

On March 9, 2020, the prices for oil dropped by 30%. Barrel’s cost of the Brent brand produced in the North Sea on this day was $32.83. This is $12.44 lower than the cost of the same petroleum on March 6. The US crude WTI also decreased to $28.84. Why is it happening?

The Main Reason

Last time, the cost of oil fell so quickly nearly 30 years ago when Americans launched the “Desert Storm” Operation. Current conditions are caused by the collapse of the OPEC + agreement, which Russia left on March 6 due to the impossibility to afford a noticeable reduction in rate. As a result, on April 1, OPEC member states will have no obligation to limit production. That is why Saudi Arabian authorities declare record discounts on oil and share plans to dramatically increase extraction.

Coronavirus Effect

The cost of oil largely depends on world economic growth. Currently, the demand for petroleum is falling in China and many other states. Anxiety due to the recession is becoming more widespread and constant fears of COVID-19 cause panic among investors. Major European stocks fell more than 7%, Japanese indices decreased by 5%, and the US ones dropped by 7%.

Key players were already in dire straits due to quarantine around the globe, because governments tried to contain the outbreak of the virus and prevent a pandemic. There is a lot of fear in the finance sector, and if the cost of oil goes down, it suggests that a decline is not far off.

Market Influence

Unlike the exchange rate, the data on the websites is approximately equal and correspond to Forex trading quotes. Based on this info, the situation with the price of oil is more complicated. It depends on:

1) varieties;

2) a contract for delivery in a specific month;

3) the geographical location of the trading floor.

Each broker considers the reaction of the need-to-value changes in relative terms and calls it the elasticity of inquiry of trading stocks. If the cost reduction of 1% leads to a rise in sales of less than 1%, this means that demand is inelastic. In this case, the total profit that the seller receives will not rise among falling expenses. On the other hand, if a 1% decrease would lead to a realisation increment by more than 1%, the total profit would rise as a result of lower costs. Thus, the context reflects a Rialto with a high level of competition and weak consumer reaction in the short term. Even the state of technology and weather conditions affect the request for oil much more than prices. At the same time, producers and individual countries continue to increase their income by selling even more oil. However, a decrease in values does not generate sufficient turnover growth.

What’s Next?

The percentage of market share suggests that it is enough to reach agreements between two or three large producers. For example, Saudis and Russians, who control 10% of supplies, could stop the fall in prices. However, this would only work in the short term. When OPEC skyrocketed rates in the 1970s, it forced other states to think about alternative energy sources, which eventually led to a further drop in oil demand. This is the reason why the current crisis has enough solutions and ways how to handle it.

Tudor Lodge Consultants is very happy to announce a new project with Quick Car Finance. The car finance firm is looking to help boost its website ranking on search engines and improve its overall existing SEO strategy, through the expertise of our white hat SEO specialists.

About Quick Car Finance

Quick Car Finance is a highly respected and trusted car financing company based in the UK, with the main goal of the firm being to become the number one car finance business across the country. The vehicle finance firm provides accurate quotes for a range of products, including not only car finance but bike, van motorhome and caravan finance too.

Launched in 2018, the company is focused on transparency and offers hire purchase only (no PCP) and forces a policy where everyone gets the same rate on buying a new or used vehicle, not influenced by dealerships or broker fees. The startup is based in Bournemouth and has over 15 staff.

How the Tudor Lodge Consultants Team is helping Quick Car Finance

Our team understands that in order for Quick Car Finance to boost its search engine rankings, a comprehensive white hat SEO strategy needs to be implemented. This includes:

●      Finding the right keywords: through in-depth research of the car finance sector, to find relevant, niche keywords that the firm has a strong chance of ranking highly for.

●      Link-building: establishing links is an extremely important part of white hat SEO. Reputable links from car finance related sources and sites help to establish Quick Car Finance’s online authority and overall trustworthiness. This will be hugely useful when it comes to Google’s crawling and indexing of the site.

●      Technical SEO fix-up: this means making sure that all meta-data and descriptions are relevant and where appropriate, contain keywords. We have also ensured that the car financing company’s website has plenty of internal links, and that all images have appropriate alt-titles.  These all play a role in SEO.

●      Fixing landing pages: landing pages are what customers will see first when they arrive on the site. Therefore making sure that these pages have relevant keywords, headings, and important customer information clearly on each page in an organised manner is highly important for SEO. This is something our dedicated team is working hard to update.

Foreceasting Sales as a Foundation For System Shocks The Way Most Businesses Forecast

Most businesses, to a large degree, forecast sales using the naive forecasting method. Put simply, this was what we did this time last year, with a little bit more added on. It may be possible, although I have never been on the receiving end of it, with a little take off. Naive forecasting is the very basis of sales target settting and planning, but it is also the simplest and most prone to error. Naive forecasting may well have been the way of the world at the begining of business. Luckily though, it didn’t take long for people to begin adding their own information into the mix to begin to start to move the goalposts on sales planning. I have worked in very large global companies where the the sales planning strategy is naive forecasting, with a lot of information layered on top of it. In all honesty, this is how a lot of businesses work, and good businesses at that.

However, you can’t turn solely to these feelings with any industry shock, be it an outbreak of a virus, or something more positive effectively with just gut instinct. Sure it was obvious that England making it through to the semi finals of a world cup, along with a hot summer people, would buy more beer. However, through statistical analysis, the true upturn in sales could have been much more widely known, discussed and acted upon.

Why Naive Forecasting In a Shock Might Not Be Enough

For me to comment on what is needed, depends on a business situation and it’s appetite for risk. Why risk? I hear people say. I say risk for a simple reason. With a tighter outlook on sales forecasting, through uncertainty and industry shocks, be it positive or negative, we have a greater need to derisk areas of business and maintain control.The issues faced by big business and SME’s may, at some points, be different. Whilst at others the same. However, the takeaway here is that there are not many business should be actively risk seeking in all of their endeavours. Having a greater level of knowledge can, generally, reduce the risk that is faced by any business. I have outlined some examples of risks that can be mitigated with solid shock planning.

Stock Levels

Having an understanding of the risk and potential impact on stock levels allows a business to order the correct quantities in advance. Don’t forget, these can be peaks, as well as troughs. For example, a pub may have to evaluate how much beer to order based on temperatures expected in the summer period, whilst this can be done with naive forecasting and a little knowledge that a heat wave is imminent. A legitimate data driven approach will give a much tighter start point, than simple naive forecasting. Allowing, if neccessary further input from the team to tighten the forecast further.

Labour Allocation

Knowing a spike or decline is set to occur gives businesses an opportunity to adapt to these changes from a labour perspective effectively. Going back to the beer analogy, knowing there will be a 46% increase in sales through a summer period, begining in 9 weeks, and that it takes a 3 week onboarding cycle. The hiring period would be around 8 weeks prior to the spike starting. Ensuring a good level of staffing where required. Conversely, should there be a decline, it may be best served to begin certain process improvement projects, or reallocate staff to other areas of the business, not over-burdoning the business with extra labour in the wrong areas. Drastically impacting productivity and conversion costs. Adversely affecting the bottom line. 

Direction and Targets

By understanding what the potential peak or trough of any potential impact of such a shock will allow a business to incetivise and retarget staff accordingly. This will reset expectations and instill confidence that management are aware of what the situation is, and are planning accordingly. For situations such as COVID-19 – this could involve release of information on potential sales decline, and what is expected of employees. Allowing management to communicate effectively why decisions are being taken. What the plan is, and how it will progress with ongoing analysis. 

Wider Feedback

If through conducting correct data analysis, it may become apparent that a business fortunes is directly linked to another element. This could be outside of it’s control. It may sound basic, but for ease of understanding, let’s go back to the pub. If a pub only makes profit due to soaring temperature and beer garden sales. What happens if there is an extremely cold winter. Noting just how much the reliance is on external factors allows businesses to diversify. Focussing on revenues not directly linked to that external factor.

Other Options

There are other options open to businesses in such system shock situations, one such being the use of Holts-Winter forecasting methodology. Holts-Winter takes an external data source, and internalises that datas effects on sales. Holts-Winter itself takes into account seasonality, allowing the user to internalise the external dataset to the model. Through trial and error the user can determine if the external dataset is firstly relevant. Secondly, how it can relevant it is, through minimising the standard error and mean squared error. This can be used, in situations such as those we find ourselves in now, to internalise infection numbers and their relevance on sales over time. Or daily average temperatures.

Applying The Data Into An Outcome

Ulimately, the goal of any forecasting isn’t to produce pretty graphs, or range outcomes based on moving datasets. Data is a guide to give direction to how a business should react to potential outcomes. At Akcela, we support businesses not only in producing such data, but implementing actions based on their findings to drive efficiency and positive outomes. Contact Akcela to find out more.

This post is a shorened thought provoker, edited from the original post found at https://akcela.co.uk/sales-forecasting-through-uncertainty/

On 14 March it will be three years since Microsoft rolled out Teams. Since its launch Microsoft Teams has enabled businesses to enhance their productivity through its integration of collaborative technologies. Here are our top five reasons why your business should adopt Microsoft Teams: Communicate efficiently with the right people Within the interface you can set up Team channels to communicate directly with specific departments or project teams. For example, you could set up a marketing channel to include staff who work in that department. Each Team has a ‘Posts’ tab, creating a group chat where you can share files and collaborate. You can tag specific members of the team in your posts if there is something direct you need them to review. Your Team will also have a Files tab which gives access to specific files for that Team. This means there’s no more scrolling through endless folders you don’t need. You can also set up a range of other tabs including to-do lists, notepads, spreadsheets, and so much more! Say goodbye to hundreds of emails We’ve all had that panic of coming back after a holiday to hundreds of emails. In Teams, you can simply check your channels and read the flow of conversation. This eliminates time wasted reading one email at a time to catch up. Collaborate easily On the Teams interface you can create and collaborate on different files without switching apps. Teams has strong integration with Office 365 allowing you to produce Excel, Word and PowerPoint documents. These can then be shared within your Team to gather feedback and make quick changes. More effective meetings If you regularly plan meetings, then Meetings in Teams is great for you! You can invite the meeting participants and share the agenda within the chat. This allows you to then receive quick changes and make updates that all attendees can see. Once you’ve held the meeting a recording is immediately available, meaning there’s no panic if you missed something. You can then create actions in the same channel and follow up on those. Constantly connected Teams is a fully cloud-based solution meaning you can access it anytime, anywhere. There is a mobile Teams app which gives you immediate access to all the apps and documents, same as on your PC. Teams keeps you connected on the go. If you think embracing Microsoft Teams could be the right move for your business, speak to our expert team today to find out how we can support you.

Tudor Lodge Consultants has worked with a number of companies in the gaming industry across casinos, bingo and slots – and remarkably the strategies and marketing techniques are different to any other we work with.

There is a whole story about casinos that goes unnoticed and unacknowledged. The side of casinos that a few people know and talk about gets lost amidst all the horror stories that are often weaved around this industry. Most of us might not even know that casinos are a multi-billion industry unless someone spelt it out for us. Casinos and various other forms of gambling have a significant contribution to the economy of the world.

The industry is closely intertwined with the fate of several other domains, like tourism, real estate and entertainment. Any area that is known to thrive majorly on the footfall of tourists has an inclination towards building casinos, since casinos only help in increasing the revenue garnered from the tourism industry. Having said that, it is important to understand the techniques and the marketing strategies the casino industry uses to attract customers. This information can help one to understand the ways in which casinos function and the reasons why they attract millions of people to them every year. 

Casinos Build their Loyalty by Appealing to the Emotions of their Potential Customers:

One of the biggest marketing strategies of the casino industry is to bank on the emotions of its potential customers. They gauge and understand the pulse of their customers which is quite an essential aspect to factor in while framing other strategies. Human emotions are a massive asset for businesses to bank on, and casinos happen to use this factor to their favor. Everyone loves to earn more money, and when the money comes with the added perk of the rush of adrenaline through the veins, it only enhances the experience. 

Freebies and Bonuses are used to Attract Customers:

The casino industry knows what works and what does not with its customers, and one crucial factor is giving away gifts and bonuses. No one likes to miss out on freebies, and the casino industry understands consumer psychology all too well. Freebies and bonuses are up for grabs most of the time, and they attract even the most unsuspecting lot to the casino floors. People like to grab the bonuses offered because they allow them to place higher bets without the fear of running significant losses. Websites like www.onlinegamblingcalifornia.com offer a plethora of bonuses for their customers, and once people get the taste of these casino games, they keep coming back for more. 

Casinos Dig Into the Demographic Data to Understand the Preferences:

The casino industry functions on well-researched demographic data to understand the preferences of their potential customers. Not everyone would have the heart or mind to indulge in casino games, and research is imperative for the casinos to target the right segment of the population. Plus, research can also help casinos understand what percentage of people like to engage in table games and how much would like to indulge in slot machines. Understanding consumer behavior is one of the primary techniques used by casinos to grab the attention of the right population. 

Casinos Use the Strategy of Partnership to Invite the Right Attention:

It might sometimes be a tough choice for casinos to work on their own, and this is when the technique of partnerships comes into the scene. Casinos partner up with several other companies to get the best deals for their customers; and this is enough to bring in the right attention to the casinos. People would not like to put in their hard-earned money into something that does not promise a good enough reason. Therefore, casinos make sure of the fact that they are partnering up with companies that have a decent reputation in what they do. This lends more credibility to their business and their motto, and as a result, draws more customers.    

Casinos Also Highlight their Community Services to Build their Reputation:

People who invest their money in the games offered by the casinos like to see the money being spent on something good. And casinos use this factor to highlight their community services so that high-rollers know where exactly their money is going. Most of these casinos donate some amount of proceeds to the cause of charities. However, charities are not the only place where casinos invest the money. Industries like healthcare, tourism and other forms of entertainment are also lucrative options for casinos. These help the casino industry to build its reputation because this human value draws the right attention.

Conclusion:

There are a number of strategies that casinos use to target the right customers. It all begins with understanding the pulse of the audience and devising marketing strategies that can fulfil what their potential customers require. Therefore, any casino that is still looking for ways to reach out to their target group might want to invest in the right combination of these strategies.