Dispatches on ICE – Notes from the Publisher

Thursday, February 6, 2020 6:38 PM

February 6, 2020 – The U.S. gaming world to come from the ICE London floor

 It is the last day of ICE London and there are no seminars or related programs, so all the action is on the floor. This concentration of attention to the exhibitors doesn’t eliminate, but it does at least alleviate the dead “last-day-of-show” feeling (and lower attendance). In other words, many of the attendees leave their floor visit to the last day of ICE, knowing that no competitive event is call for their attention.

Walking around the two exhibit halls this morning, one cannot help but notice how much iGaming dominates the non-U.S. gaming industry. Almost all the major slot manufacturers have large sections of their stall (British for booth) devoted to some exciting iGaming products. More than 35 companies are listed under “Gaming Software,” while another 50 companies offer “Payment Solutions.” Plus, down the hall are another 90 exhibitors offering iGaming-related products and services.

Among the many land-based casino products that caught my eye were those devoted to facial analysis. More than one manufacturer we chatted with is considering a facial-analysis option in their machines. Nsoft, a company headquartered in Bosnia, offers a system that can scan a room to count the number of customers, identify them as known customers or newcomers, and predict their age (said I was 57 – thank you) and gender.

Besides allowing the casino to identify counters, slot cheats and excluded persons, facial analysis facilitates premium- and problem-player identification and patrons who have self-excluded and assists in keeping minors off the property.

These systems will eventually show up in the United States, though they could be a harder sell. Currently, 500,000 police-operated CCTV cameras are operating in London. Also, “player-protection” regulations, such as preventing minors from playing, helping customers avoid over-playing, and knowing who whales are and where their money is coming from, are taken very seriously in the UK and other parts of Europe.

And iGaming? It’s coming to the United States as well. Not today or even this year, but especially after the back-door boost supplied by online sports betting, all- out Internet casino-style betting is not far behind. And everyone from CDC Gaming to the giants of the American gaming industry should we preparing for the day. We are!

February 5, 2020 – Learning about and sharing the excitement of eSports at the same time

 Truth be told, eSports has been a hard sell to the casinos, especially in the U.S.

Casino managers I’ve talked to question its appeal, and more important, its integrity. They also wonder about the logistics involved bringing it onto the property.

Located in one large corner space of the North Exhibit Hall at ICE is the eSports Arena, designed to answer these questions, plus simultaneously convey the excitement of eSports. Attendees are seated at tables with dual-channel headphones. At the front is a podium where throughout three days of ICE various speakers address all the major issues involving eSports: learning the basics; finding the right partners; injecting eSports into a land-based resort; marketing strategies; maintaining integrity; and more.

eSports arena at ICE

So much for the knowledge, now to the excitement. Off to the left side behind the podium are several eSports players participating in a three-day tournament. The action occurs on a huge screen behind the podium. Those of us in the audience can listen to the speaker, follow the tournament, or participate in some combination of both.  

My video game experience does not go much beyond single-card-dealt solitaire on my iPad, but I must admit that I really got into the competitive action while I was there. But I also benefited from the presentation by Ian Smith, Commissioner, eSports Integrity Commission a not-for-profit members’ association that works with eSports stakeholders to protect the integrity of eSports competition.

“Sports betting cheats do not favor one sport over another based on a personal preference, but where the opportunities are,” stated Smith. “Our job is to make eSports a least-desirable target.”

February 4, 2020 – Branding from the Master

I have never been fond of the word “branding,” especially when used as an insider chichi code word to “buy more advertising.”

However, certain companies have used branding principles for decades to build and maintain their names and in the liquor industry, no one is better at branding than Jack Daniels. I can walk into almost any bar in the world,  say “Jack and Coke,” and get the exact same drink without question.

So it was perfectly appropriate, especially for the many start-up companies at ICE London, to hear about branding from Nidal Ramini, head of brand advocacy at Brown Forman, the parent company of Jack Daniels.

More than 150 years old, Jack Daniels is the very definition of an American icon. The label is famous, even as a tattoo. The brand is enjoyed by rednecks, Hollywood bad boys (beginning with the Rat Pack), and C-suite types. According to Ramini, Brown Forman (which has owned Jack Daniels for 64 years) has built on that history through “authenticity, consistency, storytelling, tone of voice, and tension.”

Authenticity: Every bottle of Jack Daniels is still produced in Lynchburg, Virginia, a small town with one stoplight. Descendants of the original Daniels family still work there.

Consistency: Though the companies have brought out additional products, the original Jack Daniels hasn’t changed much in 150 years. The bottle, as well as the advertising, maintain the same look and feel.

Storytelling: 150 years create a great supply of stories, which the company proudly puts forward, including both the history and legacy of their employees. As I said, a few descend from Jack Daniels himself (who died over 100 years ago), while a few are recent immigrants.

Tone of Voice (sort of a wry smile): I loved the ad that said, “Proudly served in fine establishments … and questionable joints.” Genuine and unpretentious.

Tension: Lynchburg is one of the few remaining dry towns in the U.S. — in other words, one of the few places you cannot get a “Coke and Jack.” The company markets to and is enjoyed by both ends of the American “political divide.” According to Ramini, this is actually an asset.

Whatever! Branding continues to work for Jack Daniels and we can all learn from it.

February 3, 2020 – European iGaming – A dozen-plus regulatory laboratories finding their way

European iGaming is well past the beginning stage, as it has been legal in much of Europe for almost a decade. At an early morning session, “A Year in review: How might regulatory changes from 2019 impact the industry in 2020 and beyond,” it became apparent (at least to me, an iGaming novice from the United States) that ongoing regulation issues, primarily taxation and customer protection, is currently being developed on a country-by-country level as opposed to universal direction from the EU. And as you would expect – and would even want – different countries are going in different directions.

Italy, for example, banned all iGaming advertising last year. Director General Camilla Rosenberg of Spelinspektionen, the Swedish regulatory body, mentioned that while an outright ban may be overkill – especially as it helps inform the public of safe regulated iGaming choices – many Swedes complain that they are overwhelmed by industry advertising on various media. According to Rosenberg, Sweden recently instituted a self-exclusion program and had over 50,000 sign-ups with almost no marketing.

A similar situation exists with iGaming taxation. Similar to U.S. states jumping on legal sports betting, many countries view iGaming as a non-direct-taxation revenue source, but realize they have to set policies and rates that still allow the various countries and companies to remain competitive with each other and with illegal alternatives.

Thirty years ago many states, tribes and other jurisdictions benefited from Nevada’s long regulation roadmap. When and if the United States does expand into online gaming, we will have a have dozen examples of what works and what does not.

February 3, 2020 – Creating and maintaining a conversation with the iGaming customer

As the internet established the means and delivery of iGaming, it has also created several alternatives and opportunities for companies to create an effective, and at time life-saving relationship to protect their customers, especially from themselves. Through the use of AI, logarithms, staff training, and on-going conversation European iGaming companies can identify chances in player behavioral and communicate with the customer.

All the panelists speaking at the ICE session “The customer journey, from on-boarding to withdrawal: Keeping your customer and your business safe” stressed that the player relationship has to begin with initial limit setting and verification and not when a red flag appears (such as a customer canceling a withdrawal). “You do not want the customer to feel unusual or embarrassed or having a serious financial discussion on the phone with a total stranger,” said Lucky Neilson, head of customer experience for Lottoland. “Plus a good relationship further brand loyalty.”

February 2, 2020 – ICE vs. ICE VOX

Monday morning is the first day of ICE VOX LONDON which runs for two days. Tuesday morning kicks off ICE LONDON which runs for three days, overlapping with the last day of ICE VOX. Confused?

Like G2E in Las Vegas, the first day of the four-day ICE London event is devoted to conferences and seminars and requires a separate paid ticket to attend. But unlike G2E, the ICE VOX seminars are separately marketed from the exhibit-only event. (The word VOX has several meanings, all connected to communication, plus it makes up a cute phrase when combined with ICE.) As both G2E and ICE share the same strong excellence and attendance records I can’t say which marketing strategy I prefer, except that it further makes my point that the shows are more different than competitive.

January 31, 2020 – Crossing London in style on an historic night

It is 11 p.m. on Friday, January 31, 2020 (or 2300 on 31-1-20). Big Ben is tolling in the distance. Several groups are singing “Hail Britannia” and I am crossing London in the back seat of a new Rolls Royce Phantom limousine – on the way to a train station to take me to my well-priced Best Western hotel on the eastern outskirts of the city.

How the hell did I get here? Especially on this night, when Brexit was finalized, which even a few months ago many thought would never happen.

Kevin McGowen

First the limo part. Twenty or so years ago Bob Dancer and I were writing the “Players Edge” column for the Las Vegas Review-Journal and said some uncomplimentary comments about Arizona Charlie’s new slot club. I received a call from Kevin McGowen, then director of player development for the two properties. We got together for a “wonderful steak dinner” (Kevin’s words, not mine) at my home, agreed to disagree, but respected each other’s viewpoint and integrity. Several months later Kevin departed on a career journey that took him to Laughlin, The Bahamas and in 2011, London, England, where he joined the executive team of the legendary “Les Ambassadeurs Club” (as in the first scene in the first James Bond movie Dr. No.) Kevin, now CEO, extended an invitation to dinner at the Club’s dining room – which was wonderful.

After a tour of Les Ambassadeurs, which has been brilliantly modernized yet historically maintained over the last several decades, Kevin said “I am heading home, can we give you a ride to wherever you are staying?” I replied that a lift to the Liverpool Train station was fine.

Thus I found myself on London’s big night crossing the city by limo (as opposed to my usual mode of travel, the Tube.)

A note on Brexit. I am not a British citizen so I have no strong opinions on the subject except that my few dealings with European Union rules can make the decision understandable. However I do wonder how this situation will play out in regards to legal local employment of EU citizens. One of the marketing directors at a British firm I work with in the city is from Denmark. The maids who cleaned my room this morning are from Moldavia. There are just as many Brits working in the EU. How this will all work out is a puzzlement.