How leading casinos use generative AI to create offers players love and drive incremental profit

Predictive machine learning can identify how to drive incremental and generative AI can craft offers which capture players’ needs. Magic happens when these two areas of AI combine. Hex - a casino specific AI platform - uses casino specific machine learning to drive the reasoning of large-language model (LLM). Here’s how.

Most properties can increase EBITDA by double digits by personalizing at scale. Some of that gain is in the form of higher response rate and is driven by personalizing to the player's preferences. Most incremental is from personalizing an offer structure that drives a specific outcome, such as converting a non-loyal patron, getting one extra trip this quarter or right-sizing reinvestment.

Advisors from Differential Labs

The promise of personalization in casino marketing

 

Casino marketing has changed little in fifty years. At the high end, marketing is high-touch but anecdotal and too often uneven. At the mid and low end, well-worn offers reward behaviors that were going to happen anyway. All told, most casino marketing programs are 30%+ inefficient. At some large properties, that's a $100M prize.

How do we make casino marketing more strategic while capturing the on-property experiences our players love, all within guardrails? Large language models are great at reasoning through problems at scale, but to solve those problems, the LLM needs to understand player preferences and propensities.

This is why integrating traditional predictive modeling with LLMs is the key to unlocking hyper-personalized offers.

The third leg is training the LLM to think like a host. We do this with a process called fine-tuning, and the result is an LLM that can break a problem down into sequential building blocks. Below is an example of the multi-step reasoning an LLM uses to craft a personalized offer; we are deploying this LLM at some of Asia's largest integrated resorts.

Hex casino LLM multi-step reasoning example

The Balancing Act
Diagnosis
Decision axis

Offer script

Too often, casino marketing calls feel mechanical. The Hex LLM can tailor the tone to each segment, suggest icebreakers, craft a compelling message, and make FAQs easily accessible.

Mr Overdue

Icebreakers — Hacken Lee’s surprise appearance at Andy Lau’s Hong Kong concerts; upcoming Andy Lau concert

Tone — We miss you, and you’re missing out

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