The iGaming industry is more than just games and gambling, it is about serving a vast community of users. As the industry grows and competition heats up, operators face the tough task of acquiring new users while keeping current ones engaged. As this digital arena becomes more saturated, discussing pertinent issues and outlining the most effective strategies has never been more timely.
Oleksandr Feshchenko, Chief Revenue Officer at GR8 Tech, explains how important it now is to shift the balance amongst operators…
“It has been fascinating to watch the iGaming industry evolve over the years. Initially, the focus was heavily tilted towards acquisition. There was a race to capture the largest possible market share. However, as the industry became more sophisticated, there was a noticeable pivot. Advanced tools and a mature market show how valuable loyal and engaged users are.
Drawing from industry studies, it is evident that acquiring a new customer can cost as much as five times as retaining a current one. At GR8 Tech, the data reflects a similar story – engaged users who have formed a bond with a platform contribute substantially more revenue compared to new entrants – 60.3% of the company’s GGR from World Cup 2022 was generated via multiple bets, representing 170% growth compared to Euro 2020 and a testament to the shifting sands of the industry’s strategy.
Effects of gamification
Gamification is not just a trend but a paradigm shift in how users experience iGaming platforms. By adding game-like elements, platforms offer a more complete experience. Users engage in challenges, unlock achievements and become part of a dynamic community. Platforms incorporating gamification see user activity skyrocket.
The GR8 Sportsbook is a prime example. Post gamification integration, a 10% surge in active monthly users was recorded, as was a tangible boost in session durations. Gamification turns casual users into committed enthusiasts, ensuring they remain invested in the platform.
Emerging trends in customer engagement
One of the most significant current trends is the combining of global appeal with local tastes and preferences. The GR8 Feed focuses on both global and local sports events, resonating deeply with audiences from specific regions. Alongside this, the advent of data-driven insights is transforming user experience. Platforms are no longer just service providers, with advanced AI algorithms, they can intuitively understand and predict user preferences, tailoring their offerings in real time.
Assessments at GR8 Tech reveal that personalised experiences can elevate user engagement, increasing the average number of active days per month by 20-25%. This has led to visible turnover growth, especially in Southeast Asia, India and Latin America, and is a testament to the potential that lies ahead.
Demographic shifts bring unique challenges and opportunities, especially with Gen Z and young millennials. Having grown up in a digital-first world, these groups have distinct preferences and expectations. They value personalisation, crave genuine experiences and have a low tolerance for inauthentic branding.
Moreover, their familiarity with technology pushes platforms to be more innovative. For instance, they are more likely to engage in live-streamed events or esports.
GR8 Tech has experienced a huge increase in younger user activity around such offerings. The share of esports is twice as big for users under 30 years of age than over 30 and can reach up to 30% of total turnover in such regions as Brazil or Peru.
Operators need to be nimble, constantly adapting to these changing demographics. Success is no longer just about offering games, but curating experiences that resonate with this tech-savvy and discerning audience.
Redefining user experience
The integration of artificial intelligence (AI) and machine learning is proving to be a game-changer. These technologies allow platforms to delve deeper into user behaviours and preferences. AI can analyse thousands of data points to tailor game recommendations to individual users.
Instead of a generic interface, users are met with a personalised dashboard that aligns with their specific tastes. This is about creating an environment that feels ‘right’ for every user.
Predictive Analytics, driven by machine learning, can anticipate user needs. If a user often bets on a specific sport or type of game, the system can highlight related content, ensuring they remain engaged.
GR8 Tech investments in these technologies have yielded promising results. Platforms integrated with AI-driven features have observed an 8-10% increase in user retention rates and a near 10% uptick in user session durations.
It sounds like a cliché, but these are indeed exciting times, with technology paving the way for a more intuitive, immersive and personalised iGaming experience.”