In a message dated 6/17/06 5:53:10 AM US Mountain Standard Time,
Jaycee5351@aol.com writes:
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Could someone do an analysis of this tournament opportunity that
discuss how this type of decision is made For example how many
entries were there, how much cashback over the $10,000 entry fee will
be received ect. In other words how do you evaluate these
opportunties?
****
Well I will get the ball rolling for things to consider...the value of the
promo, the cost to get an entry, tax ramifications, downstream/longterm
benefits, friendship issues and publicity.
Jean said they played 9/6 Jacks to earn 135,000 Tier points to recover the
$10,000 entry fee. So, perfect play has a .46% vigourish. So $1.35 million
coin-in would lead to an average loss of $6210. So that is a $3790 advantage
right away.
Giving away $1 million to 75 players means an average of $13,333 to any
player. But was the number of entrys capped in the rules? Or could anyone enter
and dilute the prize pool? Was there historical information for similiar
tourneys to ballpark the number of players?
Bounceback and Reward Credit considerations. Southern Nevada HET has
bounceback at .07-.10% (reported on various groups). Personally I get .07% of
coin-in down in Laughlin. Jean didn't say anything about RCs they earned. These
have been traditionally been converted to Visa Cards at a discounted rate, as
the most liquid way to burn RCs.
Future HET promos have to be considered. HET is currently doing a
system-wide $3 Million on Us promo based on Tier points earned during the 10 week
qualifying period. Every 25 Tier points gets an entry into a local drawing. Each
of 32 casinos will select their 10 representitives for the Big Bang Finale
where $1 million is up for grabs, 1 million Reward Credits or 1 million Airline
miles. Each house also has local drawings which adds value.
Figuring this one out will be tough. But each house has 10 Finalists, so if
you are a Finalist you would have 1/320 chance of winning one of the three
Grand Prizes.
Taxes- I will let someone else comment.
Publicity- This is a shot for anyone trying to promote their ideas.
Friendship- they must be really good friends. Hope everything to consider
was laid out beforehand.
Future HET offers- this kind of action is going to generate some top line
invites. You don't even have to be a winner. Should you put a value on this?
Anyway, that is a few things to consider.
BS
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