Underwriter puts reward back in risk for casinos

Nov 17, 2009 4:59 PM
by GT Staff |

Gambling is a risky business. And, in today’s economy, despite having the odds in their favor, casinos are a risky business, too.

More often than not, players are looking for ways to win a lumberyard with a toothpick, and sometimes they don’t even want to spend the toothpick.

Casinos, struggling with reduced cash flow and huge debt, may be reluctant to offer the lumberyard.

But SCA Gaming has a solution – they have a portfolio of over 3,000 lumberyards.

The Dallas-based company, with Las Vegas offices in the upscale Town Square complex on Las Vegas Boulevard near Interstate 215, is the world’s leading provider of promotional risk coverage for contests, games and events.

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"Promotions are a win-win for both casinos and customers," said Bob Brian, vice president of SCA Gaming. "The player gets excited at the chance to win a large prize and the casino has a cost-controlled, risk-free way to make their marketing efforts stand out from the crowd."

SCA has worked with over 360 gaming clients in North America, South America, Australia, Europe and other locations. Their gaming specialty is twofold – promotional programs and cash programs, including more than 65 promotions that can be fully integrated with the casino’s slots system plus numerous bingo, keno, table game, and race and sports promotions.

"We’re out in front when it comes to risk-free mega-jackpots for gaming operators," Brian told GamingToday. "Over the years we’ve covered nearly $900 million in promotional risk."

The promotional programs, designed to help achieve specific objectives such as slot club sign up rate, play volume on specific games or direct mail response, include a variety of turnkey options like Million Dollar Deal, MegaSlot, Spin a Million and Royal Flush.

The cash programs can add a prize of up to $1 million or more to traditional game offerings with no risk to the casino.

"Players trying to win a potentially life changing prize like $1 million, often stay at the table longer, which drives up revenue for the casino," Brian said. "We had a customer in Atlantic City who experienced their biggest day in the history of table games with our Extreme Blackjack promotion."

In addition to offering variety, SCA also offers flexibility.

"Everything we do is fully customizable," explained Linda Gordon, SCA’s director of gaming promotions. "But, we’re not locked in to just the 3,000 or so promotions in our portfolio. We have a team of people who can take the client’s idea and turn it into whatever type of promotion they want."

Established in 1986, SCA Gaming has risk taking in its corporate blood. Its founder and president, Robert Hamman, has been beating the odds of card playing since his college days.

Considered one of the greatest contract bridge players of all time, Hamman has a record 12 world and 50 North American championships on his resume, the most recent being the 2009 Bermuda Bowl held in Sao Paolo, Brazil in September.

Hamman’s love of probability and keen sense of risk management, have put SCA Gaming on the cutting edge of the promotion insurance business.

The company’s most recent creation is a front end system that can fully integrate with a casino’s players’ club database. It can offer a number of different promotions and collect vital demographics at the same time. Check out the SCA Gaming booth at the G2E convention this week.

Question? Comment? E-mail the staff at: Staff of GamingToday