HKJC’s Richard Cheung tells ARC that customer connection is vital to growth

The second day of the 35th Asian Racing Conference commenced this morning (7 May) with Mr Richard Cheung, the Hong Kong Jockey Club’s Executive Director, Customer and Marketing, delivering a presentation detailing HKJC’s mould-breaking customer engagement.

In the session entitled ‘Connecting with the customer’, ARC delegates also heard from Thomas Ascher, Chief Executive of Longitude LLC, Professor Lionel Ni from Hong Kong University of Science and Technology, and Scott Mcleod, the Digital Media Manager at Everton Football Club, which is widely-acclaimed for its social media work.

Mr Cheung, who chaired the morning’s session, outlined HKJC’s strategy that has successfully turned around a declining turnover trend and is succeeding in attracting new customers. He told delegates that the Club’s turnover dropped season on season from HK$81.5 billion in 2000/01 to a low of HK$60 billion in 2005/06. By 2009/10 that had grown to HK$75 billion but, he said, at that time 75% of the Club’s customers were aged over 50. He said racing in Hong Kong had a perception challenge to overcome as the younger generation considered it to be complicated and only for hardcore bettors.

Since then, the HKJC has followed a clear strategy of customer segmentation based on in-depth customer analytics of the Club’s current and potential customers.

“Our strategy starts with segmentation,” said Mr Cheung, emphasising that those segments are coupled with segment-specific levers to connect with customers. “We identified four levers: an ambient racecourse; digital connection; big-data innovation; and shaping racing as popular culture.” he said, with the result so far being growth in turnover season on season.

Mr Cheung highlighted the Club’s Racecourse Master Plan, with its widespread renovations and innovations targeted at each specific segment. He told attendees that the HKJC had engaged in a holistic approach with a clear aim to promote racing as lifestyle.