These days, data is one of the biggest trends in business with most companies adopting data analytics as a part of their daily business activities. With technology underlying almost every aspect of a business’ operations, more data and information is at your fingertips, allowing you to see exactly what’s happening in your venue.
When most people think of data science, images of complex algorithms, confusing data sets and lines of illegible mathematical code come to mind. However, what we often overlook is the correlation between data insights and revenue. Data allows businesses to run their operations more efficiently, discover missed opportunities and determine where to focus their efforts. Now, you don’t have to be a data scientist to be able to use data to your advantage. There are some simple steps your venue can take to make your business decisions more data-driven.
One of the ways you can better understand the performance of your gaming floor is through contribution analysis. Contribution analysis is where you pick a dimension, say cabinet types, and compare how much each cabinet type is contributing to your overall revenue against its floor density. This is helpful in determining if you have too little or too much of a particular product.
For example, say you have 10 units of Cabinet A, 30 units of Cabinet B and 60 units of Cabinet C. While cabinet A makes up 10% of your floor it contributes 20% of the monthly revenue. Similarly, Cabinet B makes up 30% of floor and contributes 30% of monthly revenue and Cabinet C is 60% of floor only bringing in 50% of monthly revenue. With this information, a gaming manager can easily deduce the floor has an undersupply of Cabinet A, the right amount of Cabinet B and a possible oversupply of Cabinet C and can then attempt to optimise cabinet mix accordingly.
As you can see, this simple analysis of your floor provides insight into how efficient your products are and provide you with a cornerstone for which you can make more informed decisions. If you are interested learning more about the performance of your floor, reach out to your Sales Representative.