Interactive DATA MANAGEMENT
Can digital data cure your churn rate?
Online gaming is a thriving industry in the UK, set for further expansion as the economy picks up in an era of ever-growing mobile connectivity, but can the industry meet the data requirements that the future growth of the market will inevitably demand?
A report for the Gambling Commission calculates that participation in “remote” gambling, which is predominantly online, has increased by 50 per cent in the last six years, while research firm GamblingData estimates that this year the online industry will be worth £2.8bn, more than double its size in 2008.
However, although it seems as if everybody’s boat is floating in the online gaming world, the truth is that it is increasingly a struggle to retain cus- tomers. The marketplace is a crowded one, where internet-savvy gamblers routinely switch from one operator to another, chasing the best odds or free stakes. And evidence suggests that currently, the most web-promiscuous gamblers are the most active and often the highest spenders, making the retention of their custom a top priority.
NO LOYALTY
The difficulty is that in the online gambling sector it is very easy for customers to switch from one gaming app to another. Gamblers follow the money and when considering a bet or casino game online, can easily compare odds and work out potential winnings, either by examining multiple websites or alternative apps.
Many of the highest-spending online gaming cus- tomers hold multiple accounts which can easily be activated at any time. Other keen gamblers on tighter budgets are constantly on the look-out for promotional offers and free bets, moving on once a deal has expired. Indeed it is well-nigh impossi- ble to hook in a new customer without the offer of free stakes. Further problems for online operators present themselves in the shifting shape of cus- tomers seeking to disguise their identities in order to obtain further teaser deals to which they are not entitled.
The diversity of this customer base in online gam- bling also makes the formulation of a cost-effec- tive and coherent marketing strategy a real chal-
1 2 0
lenge. While high-rolling punters and online poker enthusiasts will place frequent bets, play for big stakes and maintain a heavy degree of engagement, many customers are merely occa- sional gamblers. These range from those who always bet on a particular team or sport at week- ends, to those who only bet on big events such as a cup final or a major golf tournament.
KEEPING THEM SWEET
However, the battle for differentiation in this bru- tal marketplace is a tough one. It is unlikely, for example, that any operator can always have the best odds, no matter how much automated sur- veillance of the competition there is.
Vishnu Baburaja Gaming Specialist, Teradata UK
Vishnu is Teradata UK’s resident gaming expert and specializes in helping companies get more from their data. He has 7 years’ experience in developing data driven strategies for leading organisations.
Faced with the considerable challenge of retaining customers after the free bets and promotional offers, online operators have started thinking beyond the odds and stakes. They have invested in technology that enables to them to offer fast odds or make betting easier through quick-click buttons on websites or mobile. Others are embed- ding dedicated media content in websites or their apps, whether it is racing and football journalism from respected titles, or the streaming of sporting events.
DATA OVERSIGHT
Nonetheless, all of these features can be replicat- ed by competitors. Whereas the one path to increasing market share that has not yet been fully utilised within the industry, is the use of data to provide the kind of detailed insights into each customer’s individual behaviour that make retention more of a science than a series of guess- es. At the very least, this means that by the time the promotional deals expire, an operator will
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60 |
Page 61 |
Page 62 |
Page 63 |
Page 64 |
Page 65 |
Page 66 |
Page 67 |
Page 68 |
Page 69 |
Page 70 |
Page 71 |
Page 72 |
Page 73 |
Page 74 |
Page 75 |
Page 76 |
Page 77 |
Page 78 |
Page 79 |
Page 80 |
Page 81 |
Page 82 |
Page 83 |
Page 84 |
Page 85 |
Page 86 |
Page 87 |
Page 88 |
Page 89 |
Page 90 |
Page 91 |
Page 92 |
Page 93 |
Page 94 |
Page 95 |
Page 96 |
Page 97 |
Page 98 |
Page 99 |
Page 100 |
Page 101 |
Page 102 |
Page 103 |
Page 104 |
Page 105 |
Page 106 |
Page 107 |
Page 108 |
Page 109 |
Page 110 |
Page 111 |
Page 112 |
Page 113 |
Page 114 |
Page 115 |
Page 116 |
Page 117 |
Page 118 |
Page 119 |
Page 120 |
Page 121 |
Page 122 |
Page 123 |
Page 124 |
Page 125 |
Page 126 |
Page 127 |
Page 128 |
Page 129 |
Page 130 |
Page 131 |
Page 132 |
Page 133 |
Page 134 |
Page 135 |
Page 136 |
Page 137 |
Page 138