REVEALED: The Biggest Players in Big Data
Big Data is all around us, and the big companies are harnessing it’s power to grow their customer databases, sell products and influence the customer journey. TFG took a deep dive into the online casino and gaming industry and the lucrative strategies they are using to grow.
Online casinos have experienced some of the fastest industry growth in recent years, presenting lucrative revenues and opportunities to utilise big data, analytics, tech focussed marketing and agile growth hacking techniques. It seems these sites are experiencing unstoppable growth, with more and more people getting into online gaming. But how do they do it? We investigated some of the techniques casinos have put into coming online and how they’re rapidly adapting to digital. By utilizing big data analytics and smart marketing, casinos can give customers a better user journey and customer experience. This may not mean much to the average layperson, but it doesn’t have to. TFG took a look into how online casinos use data to grow revenue and consumer behaviour, as well as seeing how this can translate into the future of user experience within the industry.
Collecting Data Straight from the Source
Concerned about your data? Consumers are often worried about storage and processing of information, and how this is shared. For online sites and amongst ecommerce, even before GDPR, it’s known that reputable online casinos always collect data in a safe and legal manner, ensuring that their customers’ privacy is not violated or misused. In fact, many online casinos have been known to be more careful when collecting your data as a result of various new directives such as GDPR and increasing scrutiny from government.
How is the data collected? Online casinos collect data in the same way that all the other online industries do — by monitoring online activity. But it isn’t just about watching what you’re doing. As soon as a customer creates an account, they’ve often contributed data points that help in player profiling for your chosen site. Gender, age and location are recorded, uploaded and stored in a database.
This behaviour can also influence pricing strategy. Customer level price optimisation by using big data analysis is also becoming more common. A McKinsey study showed that with just a 1% price increase and optimisation can yield nearly 9% increases in gross profit, demonstrating that pricing has a huge potential upside for improving profit.
Caption: Every time a user logs on to play their favourite games, sites collect user data and create an experience, amend pricing and profile a customer
After that, the user contributes data points whenever they log in. These can include:
- Time of day that games are played
- Length of visit
- Games played
In addition, a layer of online data collection can also be collected, including:
- Time spent on one game before switching to another (and which other games the user chooses to play)
- The win-loss ratio is noted as well as how the user’s online presence changes or stays the same after a win or loss.
By monitoring all this, online casinos can create a profile for the user based on their online persona. So, what are they doing with this information?
How the Industry Uses Data in Marketing
One of the primary reasons casinos collect this data is so they can create targeted marketing campaigns around it.
Online venues can get an idea about which types of games are the most popular for a prospect user from their data and which games no longer appealing to customers. They can then adjust their selection, advertising for one specific set of games over another.
Caption: Casinos are using the process of data analysis to create a tailored user experience. Source: Forrester study, Marketing’s Big Leap Forward Overcome The Urgent Challenge To Improve Customer Experience And Marketing Performance.
However, data analytics in online casino marketing goes far beyond creating large, all-encompassing casino campaigns. Though that does play a significant role, venues are becoming more interested in gathering information on an individual level. This is known in the industry as personalised or customer centric marketing. Casinos recognise that customer loyalty is centred on the individual experience. By tracking big data, they realise which casino promotions and bonuses hold which customer’s attention. They know which games are suited for each player as well as which games hold a wider appeal to different demographics.
Caption: Forbes explores how brands can use the power of big data to improve the customer experience.
Once this information is analysed, casinos can create individual campaigns for loyal customers by offering a tailored experience. Does one 35-year-old man in the U.K. prefer online slots at 7 p.m.? By offering him some free spins around 6:30 p.m., he might be drawn in. And he’ll continue to spend his money with the company that gives him what he wants when he wants it. Likewise, a company could offer all 30-40-year-old men in the U.K. bonus spins around quitting time and see how many are interested. Then adjust tactics.
Caption: Companies are using big data in all ways to improve customers relations and the experience.
While it may seem like a lot of work to gain and keep the interest of one player, all those individual players spend money. And all that money adds up to make up the multibillion-dollar industry that is online gaming and casinos. Online casinos have grown in size exponentially over the past few years, and those numbers are still increasing. But the venues aren’t the only ones who stand to benefit. Players are taking advantage of data analytics as well.
Players Harness the Power of Data Analytics
Because online casinos are utilising big data and focusing on the customer in such a significant way, players are hopping on the “all about them” train. Through data analytics, casinos know that one of the best ways to get more customers is to offer better odds, more jackpots and a better chance at winning. Customers take advantage of this fierce competition to put their fingers in the winning pie.
Not only do players gravitate toward sites with better odds, but they are utilizing big data outside of casinos as well. This holds especially true for poker. Sites like SharkScope and PokerTracker keep track of around-the-world statistics from games everywhere. Now, smart poker players are tracking those odds and using them to their advantage, winning more and more games that have this knowledge.
Caption: Players can now utilize big data in poker analytics to further their strategies and increase their odds.
Big Data Means a Better Consumer Experience
Because of the advancement and sophistication of technology in online marketing, as well as the player’s ability to track odds at different levels, big data has become one of the most important things in game design and the consumer experience. Casinos can now offer a tailored experience to the individual customer. This is an experience that was previously only possible to super high-rollers in land-based casinos, but it’s now becoming common experience on gaming sites.
However, not every site can utilize big data to improve the experience on an individual level. Big-name casinos like 888 Casino online have a better chance of getting it right since they have the financial backing to conduct such surveys and implement data analytics into marketing. What’s the result? An exciting online casino experience that’s completely personalized to fit your tastes.
No matter if you’re a poker player hot on the trail to a winning streak or a player just looking to get the best user experience for your buck, big data is here to help you out. You can log on and crunch your numbers or let those personalised offers wash over you. Either way, the industry is changing. Are you ready for a whole new experience?