Marketing in Gambling Industry
In 2017, US economist Richard Thaler won the Nobel Prize for his contributions to behavioral economics. He formulated the mental accounting theory, a phenomenon making people easily spend their credit funds and use loyalty programs.
According to him, mental accounting has the following concept: customers buy a thing at a discount/with a bonus/at a special offer, thinking that they become richer. This enrichment is proportional to the sum of saved money. People very likely buy something they do not actually need.
This theory is applicable to online casinos as well: players gladly participate in marketing activities. That is why operators regularly prepare new special offers in order to lure players away from other resources. Each venue has its own loyalty program, although they are similar in most casinos.
A comprehensive marketing strategy in this industry should be aimed at attracting new clienhts and retaining regular ones as well as reactivating players who have stopped visiting the online gambling venue because of certain reasons.
Marketing and promotion are an essential component of gambling platform success. Player attraction and retention trends constantly change, thus it is important to monitor new introductions. Otherwise, gambling resources will fail to withstand competition.
Client retention is as significant as player engagement. Given the fact the cost of alluring gamblers grows, you should develop reliable customer retention strategies allowing to keep players informed and making them return to your websites.
The article describes the most common strategies for acquiring and retaining customers.
Encouragement systems (special offers and bonuses)
Special offers are used to involve new clients, retain the existing ones, and allure former players stopping games (player reactivation). Promotions can be applied while launching new games in order to spark the interest of users, for instance, by offering free games or free spins.
There are various types of promotion actions, but the most popular are the following:
- free bonuses (free spins, free games);
- first deposit bonus (should be wagered);
- reload bonuses;
- high roller bonuses;
- personal bonuses;
- scoring for certain actions;
- referral bonuses;
- weekly bonuses;
- holiday bonuses;
- bonuses for using an affiliate payment system;
- bonuses for using a specific slot;
- drawings, etc.
However, bonuses are not a new phenomenon. You should take care of creativity and unexpectedness of special offers to stand out among competitors.
Besides, take into account that the amount of experienced high rollers has been increasing since the foundation of casinos. They bring the highest revenues (if not the majority of profit). Therefore, the retention of casino top sponsors should correspond to the defined level of quality. Special bonuses, promotions, personal VIP manager assisting in all demands: there are a lot of methods for providing high rollers with privileges.
Promotions can be also useful in cross marketing. For example, you can offer slot or casino newcomers promotional events encouraging them to place bets. Cross sales are crucial because players enjoying several products stay loyal to the company and have a higher rate of lifetime value.
The critical rule of push notifications: they should be funny rather than spam. Push notifications are designed to remind users of games they have played or of something requiring their attention. Sports betting and casino apps should definitely apply this marketing approach as a way of communication and interaction with current players.
Some casinos send customers notifications of coming games and stimulate them to make a fast bet based on the player’s gambling history. According to the recent data, push notifications can enhance the engagement by 40% and the client retention by 116%.
Marketing for social media
Social media pages can help online casinos to share vital information with their audience, including the launch of new games, multiuser online events such as a poker tournament, and so on.
Nowadays, people like to share their positive and negative experience on social networks. These feedback and reviews can affect people’s decision about purchase/registration. Online casino owners should monitor what players talk about their service on social media in order to grow business or correct mistakes.
Affiliate marketing is a cooperation between online gaming operators and partner networks where webmasters promote operators using links, banners, or other types of content on the website and earn a fee.
Speaking about affiliate marketing, the core element is content. It is the online offer filling that primarily matters: you should provide relevant useful information, which players will kindly read. At the same time, casino owners should avoid spam and black SEO that can result in the service’s negative reputation.
To sum up, we would like to mention that the smaller your online gaming platform is, the more seamlessly you should conduct various types of promotional offers in order to intrigue players and return them to your website.
By the way, try to provide your players with brand-new unique experience instead of focusing on bonuses and other encouragements. This can be achieved only after examining your competitors, obtaining thorough knowledge about the industry, and exploring the market as a player.