Take the Hard Rock Hotel. In addition to monitoring wagers, the casino
plans to use its new RFID system to "rate players"--monitor gamblers to
reward them with free rooms, meals and other perks based on how much and
how often they wager. As the technology advances, RFID could also help
track how well they play. The casinos generally reserve the most enticing
rewards for their most "valuable" players--those that bet and lose the
most--to keep them coming back.

At the moment, these incentive programs are somewhat limited, because the
process of rating players is so labor-intensive. Casinos employ special
staff to observe the tables and take note (by hand) of how much players bet
and how well they play--typically focusing on high-stakes players. In
addition, such ratings are often inaccurate. As a result, casinos overshoot
the perks they lavish on players by 20 to 30 percent.

RFID could change that by giving casinos a more accurate and efficient
tool to rate players and by allowing them to enlist more table-game players
to participate in incentive or "comp" programs. Such programs are roughly
the equivalent of an airline's frequent flyer program or a grocery chain's
loyalty card, encouraging repeat business.

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