Igaming software solutions provider Delasport unlocks the immense power and potential of big data and how operators in the igaming and sportsbook sectors can use it to their best advantage.
Big data is a part of every major global industry with incredible amounts of incoming information being collected and analyzed at unprecedented rates. The igaming business is no different, and by leveraging the power of data operators can improve efficiency, analyze conversion in each player journey, identify churn players, combat fraud, maintain compliance requirements, define and meet KPIs, and more.
While it’s great to be able to ingest and store big data, it is useless without utilizing and making the most out of it. Here are some crucial areas where effective big data management may significantly improve online casinos and sportsbooks.
What exactly is big data?
Big data refers to a collection of data sets that are so vast and intricate that they are either impossible or extremely difficult to process using conventional database management techniques. It broadly has several characteristics, but it is generally understood that the five main elements (‘The Five Vs’) comprise:
Volume: Data volumes are reaching previously unheard-of levels. Terabytes and even petabytes of data are already commonplace in major corporations’ servers and storage systems. While tracking success, this data aids in shaping a company’s future and its activities.
Variety: The first thing that springs to mind when we think of data is traditional, organized, numerical data. However, today’s data is available in a variety of formats including video files, emails, and ID papers.
Velocity: Velocity gauges how quickly data enters a system. While some data will be provided in batches, other types will arrive in real-time. Additionally, since not all systems will process incoming data at the same rate, it’s critical to avoid making assumptions before obtaining all the information.
Veracity: Related to the data extraction and data report process, veracity is an important feature defined as the accuracy or truthfulness of a data set. If necessary, the veracity of the data sets can be traced back to the source provenance. However, when multiple data sources are combined to increase variety, data quality becomes difficult to track.
Value: The value that can be derived from the big data, which is related directly to what organizations can use the collected data for. It is related to the potential economic value that the data might create. Being able to pull value from big data is a must, however, the whole concept is weakly defined since without proper intention or application, high valuable data might sit at your warehouse without any value. Different organizations can use the same big data tools to gather and analyse the data, but how they derive value from that data should be unique to them.
Getting to know players
For years now, personalization has been an integral part of any digital experience. For online sportsbooks and casinos, it is essential.
Sending out the identical bonus offer to all new players could motivate them to make a deposit, but tailored, event-triggered marketing has become the standard for turning visitors into long-term depositing gamers.
One-size-fits-all deals don’t appeal to audiences anymore: They prefer to be handled as the important clients they are. One of the best ways to keep customers is to give them a taste of life as a VIP, but only once you have the data to understand them properly. By monitoring their behaviour, operators can better know player preferences, which might then highlight more verticals that they might be interested in.
Operators need the proper tools to save user personal data right away. Giving consumers a personalised experience begins with segmenting them based on their age, gender, location, and device. Individual profiles can then be created by tracking player activity over time, which will also show what unique offers they would find most appealing.
Real-time marketing
When player loyalty to your brand is low, you should find out in advance by monitoring their activity patterns. This, in turn, gives you the chance to prevent it. For instance, sports bettors who are considering leaving can be offered free bet incentives to keep them within your ecosystem, and casino players who are experiencing a losing run might need a mood-boost with a special deposit bonus.
Additionally, real-time marketing can help with cross-selling by determining the ideal moment to give a player a free bet in a vertical that they haven’t yet explored. For instance, introducing sports gamblers to play some casino games during the half-time of a sports match. Or, if you have a player that is mostly on roulette games, they can be offered some special offers on a live dealer experience.
Data-driven marketing can drastically enhance player retention when used in conjunction with the right tools and research. Customer relationship management (CRM) systems are frequently used by online casinos to track player information and provide individualised, event-triggered offers to entice customers to play again.
Learning about new markets
The online sport and casino industry must also explore vast amounts of data when exploring new areas. As a result, market research is one of the most invested-in areas in the sector.
The procedure for both short-term projects and long-term investments must include data analysis, which is usually carried out by data firms who do global research to help operators establish a footprint. In addition, a premium-level platform supplier that holds years of experience in managed services has unique firsthand knowledge of what makes and breaks in different markets.
Fighting fraud
Fraud is one of the biggest challenges for any igaming operation. For instance, welcome bonus abuse happens when a single player is granted a new-player bonus multiple times. Data collection through the player device and digital fingerprint can help by altering duplicate account creation.
While bonus misuse is a problem, issues can become even more complex when individuals or organised crime groups (syndications) can use false identities and VPNs to commit fraud and bonus abuse on a large scale. Preventing multiple accesses from a singular IP is a common way to combat this, but by using data, certain behavioural patterns can be identified and then prevented.
Fighting problem gambling
The reputation of a gambling business also depends on player protection. It is ever more crucial to assure a sustainable operation and identify players who are overdoing things very early on. By using machine learning and data mining techniques, operators can detect problem or high-risk gambling at an early stage. A risk score for each player can be calculated for each player, based on their behaviour – and if any predefined parameters are met or exceeded, they can be automatically contacted with targeted messaging with warnings or advice. Collecting data and analysing deposit and betting patterns is a real necessity.
New product creation and content localization
Every gaming business wants to offer something new and exciting for players. As a result, new products and games must always be in the pipeline – and to do that, you need data to inform the direction.
With data, it is becoming more efficient to gather information about past consumer opinions, player reactions, and competitors. Then, by analysing this information, you can create new products that include all the desired characteristics.
Using the collected data operators can get an insight into what their players are playing on, and use this data to automatically change the ordering/categorization of content to maintain a higher level of betting experience.
Some metrics used in the igaming industry:
- Gross Gaming Revenue (GGR): Player wagers minus player winnings.
- Average Revenue Per User (ARPU): Casino revenue over a period, divided by the number of players in that same time period.
- Conversion from registration to deposit
- Net Gaming Revenue (NGR): Player wagers minus winnings, bonuses, taxes and chargebacks
- First-time Depositors (FTDs): The number of new signups who were converted into actual players
- First to second deposit ratio
- Deposit to withdraw ratio (hold)
- Churn Rate: The percentage of players who have stopped visiting over a given period of time.
The above data points (and others) help operators to get a snapshot of how their Casino or Sportsbook is performing. The real value comes when you look at them in combination, rather than individually.
For instance, comparing FTD rates with churn rates could indicate retention or acquisition issues. You can also compare GGR with ARPU to better understand rate of growth and analyse deposits to withdraw for insight into player loyalty and your operation’s hold.
Work with the best
Looking at the above, it’s clear that without big data analytics, igaming businesses cannot survive in a highly competitive and data-driven environment. To keep players and bettors engaged, Delasport’s Sports and Casino solution ensures that the players feel that they get value for their money – not just from prices or slots RTP – but from their experience as well.
Delasport’s one-stop-shop back-office allows partners to see data analysis and extraction at a glance to configure rules and alerts to automate responses.
We create a better product by continuously learning the players’ activities. Through machine learning and AI applications, we analyse sessions to reveal deep insights into player behaviour to understand usage and betting patterns. As a result, we have a lot of personalization attributes to allow ease of use, such as finding the sports events players repeatedly bet on, dynamic bet limits, personalised recommendations, and more.