Marketing is one of the most important concepts when it comes to turning an online casino into a profitable and successful business. All programs and services for the promotion pursue two main aims:
- audience capture;
- customer retention.
If with the first item there are almost no problems, then algorithms for customer retention and turning ordinary players into VIP clients are improved and modernised almost every day, which opens up new horizons and opportunities.
One of the key directions of modern marketing campaigns is to increase the lifetime customer value indicator. It shows the amount of the profit of a gambling platform from one gambler during his history of visits and placed bets.
The calculation of indicators provides the most accurate assessment of the current strategy and customer relationship management systems, and it also helps to determine the most valuable segment of customers.
Features of Calculating LTV Indicators
The LTV metric determines the size of the profit received from a particular client and automatically compares this indicator with the predicted level of the activity of gamblers.
The deeper the operator focuses on the topic, the more formulas for determining this parameter he finds. If you choose the simplest approach, then the calculation will be carried out in the following way: the average income of the platform from one customer is multiplied by the time he spent on the gaming site.
Earnings of a Gambling Platform: the Importance of LTV Parameters
The first thing that operators should remember is that not all the target audience of online casinos is equally important. For example, you can “sacrifice” a player who visits the website once every few months for a single bet on a football match in favour of a client who is willing to spend hundreds and thousands of dollars a year on gambling.
Taking into account these factors, the cumulative budget for the promotion of a gaming site should be proportionately distributed among all segments.
The owner of a gambling business should remember that it is necessary to maintain a balance between the player’s lifetime value and the expenditure level for the attraction of a new audience (CAC).
| The ratio scale of the LTV and CAC indicators | |
| The coefficient of LTV towards CAC | The definition of the meaning |
| 1 to 1 | An online casino is doomed to failure because most of the funds will be gone, and they will not be relevant to the size and the number of lost bets |
| 2 to1 | The casino’s revenue is not enough or it barely covers the expenditures for the attraction of new customers |
| 3 to 1 | This is the most productive business model: expenditures for the attraction of new users are returned in the amount, which is three times more than the initial cost |
| 4 to 1 | This is a perfect scenario: it provides maximum efficiency and an ability to implement aggressive marketing campaigns |
The Increment of the Indicator of the Lifetime Customer Value
It is for the benefit of a gambling platform to maximally increase LTV indicators.
Acceptable results can be achieved by working in two directions:
- the increase in the total amount of income from each user;
- the playing time increment.
One of the most effective ways to achieve good results is to offer the audience a truly high-quality and relevant product.
If young online casino players are always searching for new products and vivid impressions, then the older segment visits gambling locations in order to lay emphasis on their status. It is almost impossible to take into account this and many other factors without special knowledge.
Our advice is to order ready-made turnkey solutions or a professional marketing program for already existing gambling establishments at Casino Market.
The Target Audience of Online Casinos: How to Turn an Ordinary Player Into a VIP Client
An interesting fact: in the early stages of work, a casino loses about 40% of users who could potentially become VIP clients. According to statistics, the difference between an ordinary player and a VIP visitor who was lost in the first stages of promotion is about 1,500 thousand dollars.
Premium players of online casinos generate up to 80% of the total revenue of the gambling establishment. This is a key segment, and it is necessary to use every effort to maintain it.
The main tools for interacting with VIP casino visitors:
- Analytics reports and instruments of control. Correct and timely analysis of the situation will allow operators to see a potential VIP client as early as possible. According to statistics, a really profitable client deposit a little more than the average amount of money, he does it about three times in one session. On the basis of these parameters, the most promising gamblers are identified that can bring a handsome profit to the website.
- Daily analysis. Work with statistical materials will allow you to timely attract personal managers. Typically, one employee can serve about a hundred users per month. Such an approach gives gamblers a feeling that someone cares about them, and that they are involved in the process.
- Convenient communication. E-mail addresses or a chat with the bot is no longer enough. Modern online casino players prefer a variety of instant messengers and social networks. The main task of operators is to provide the audience with the need for communication and monitor the quality of the available communication channels.
- Timely royalties. If there has been negative dynamics for a long time (the player is constantly losing), the goal of the company is to help him through the “difficult times”. In this case, various cash backs and individual bonuses will be useful.
- Attention instead of money. Cash rewards are a commonness that gamblers forget after 10 minutes. To satisfy the needs of the audience, operators must give players emotions (for example, personal greetings and reminders, access to participation in closed tournaments, advanced functionality in their favourite games, and so on).
The observation of these simple rules can bring a good profit in a short time. But in order to obtain the highest and most stable indicators, it is better to seek the advice of a team of qualified specialists and order a full package of services.
Conclusion: the Growth of the Lifetime Customer Value Indicators With Casino Market
Online casino players are the main source of revenue for the gaming site. But, as it turned out, the company's earnings depend not so much on the number of participants as on LTV indicators.
It is a lifetime value that determines the main course of the marketing strategy and reveals the course of development of a casino. This is not only the purchase of exclusive content or cutting-edge design. Every detail of the gambling service should be part of a single mechanism, and the Casino Market team will help you to adjust it.
Our employees have vast experience, boundless imagination, and the best modern promotional tools. Here, you can order a set of services for already existing gaming sites or the development of a ready-made turnkey solution. Those who want to buy gambling software will be pleasantly surprised by purchase terms and rental conditions.
Cooperation with Casino Market is an easy and fast path to success and a high profit. Order a gambling project right now! Contact us:
- by e-mail: manager@casino-market.com;
- on Skype: support.casinosupermarket;
- via the feedback form.
Have questions or want to order services?
Contact our consultants:
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