In the iGaming industry, data is a fundamental part of our business. Operators have to make decisions on a daily basis that need to be driven by data in an effort to constantly improve performance.
The importance of reporting cannot be understated. Precise and comprehensive reporting enables operators to make informed decisions, driving efficiency and profitability.
Detailed metrics can shape strategic initiatives, customer engagement strategies and marketing campaigns. It’s important for any company in the industry to define what their key metrics are and work everything around maintaining performance within those metrics across a long-term period.
When you have superior control over data, you as an operator will hold a crucial edge over your competitors, which will lead to sustained growth and success.
Here, we run down the six key metrics we always try to remain on top of at iGP via our cutting-edge reporting suite, which is part of the platform, and how we can assist you in achieving maximum results with each one.
1. Deposit Conversion Rate
Definition: The percentage of visitors who convert into depositing players
The conversion of deposits is one of the standout acquisition metrics in iGaming. This metric is often worked out by dividing the number of unique visitors by the number of first-time deposits. When you have information regarding the first deposit and potentially second deposit from any player, this will often indicate the lifetime value of the player.
Tracking this metric helps operators understand the effectiveness of their onboarding process and promotional strategies. If deposit conversion rates are low, then acquisition costs for each player will rise. It is important to have the technology in place that can track this data and provide the guidance on how to improve your number of unique visitors that are transcending into first-time depositors.
At iGP, our reporting suite can provide this information, while we also offer our expertise as to how to learn from this data, and ultimately make sure your deposit conversion rates are constantly moving in an upward trajectory.
2. Average Revenue Per User (ARPU)
Definition: The total revenue divided by the number of users over a set time period.
ARPU will give an indication of exactly how profitable a product is, and is often used in industries which rely on subscribers and users. This number will provide insights into user spending behaviour and will help in forecasting revenue and budgeting.
Where iGaming differs from an industry like media is that some users spend considerably more than others, but it is still an extremely useful metric when comparing one operator’s performance against another.
Management will often take the ARPU number into account when assessing which products are performing well, and which ones will either need a different approach or should be discontinued. This can also tie in with things like churn rate and user growth rate.
iGP can provide real-time reports which will track this figure, and you the operator can speak to our team at any time for detailed description and expertise as to why the data is heading in a particular direction.
3. Customer Lifetime Value (CLV)
Definition: The total revenue expected from a customer over their entire relationship with the operator.
CLV can help assess long-term customer value and will help guide investment in customer retention and acquisition strategies. If players churn before the investment to acquire them has been made back, then the operator is not extracting any worthwhile value from them.
Your understanding of this value may be deemed from a player’s first or second deposits, but CLV is ideally about measuring the value across a long-term period as opposed to a purchase-by-purchase basis. Improving CLV will lead to considerably more revenue over time.
CLV is often tracked by customer support and success teams which can have a direct influence on the player’s journey with the operator. iGP can work with those teams to establish how CLV is performing and advise on how to make a plan to improve this number going forward.
4. Retention Rate
Definition: The percentage of customers who continue to play over a specific period.
A strong retention rate will be proof of a functioning customer relationship management system. The way to implement this is to track the number of players who are returning with several deposits, along with the accounts that are inactive.
This is an important KPI when it comes to both short-term and long-term success. Remaining on top of this can reduce your costs, because it can be significantly cheaper to retain players rather than acquire new ones.
This is the best way of measuring customer loyalty and the effectiveness of retention campaigns. The iGP team will be more than happy to provide consultancy in this area.
5. Monthly Active Players (MAP)
Definition: The number of unique players that are active in a month.
MAP is a key indicator of player engagement and the overall health of the operator’s player base. It is important to compare the number of players who are actively engaging with a product versus the number of accounts that are inactive, and the MAP number will provide a much clearer gauge of performance than the total number of accounts.
For a player to class as an active user, they would usually have to perform an in-app action during a 30-day period, whether that’s logging in or completing a specific action, such as making a bet or deposit.
The number of monthly active users can also be compared with the number of daily active users, which will provide more insight on how players are really engaging with an iGaming offering.
These are all numbers which can be tracked within the iGP reporting suite, and we can help work out how to improve this number on a month-to-month basis.
6. Average Deposit Rate
Definition: The average amount deposited by players.
Monitoring this metric helps operators understand player deposit behaviour and optimise deposit-related promotions and incentives.
This number can vary based on a number of factors, but the important thing is to delve into these reasons and compartmentalise the different deposit rates from separate player demographics. Once you have understood these reasons, you can plan how to track this data and utilise it to improve performance. This figure may fluctuate, but it’s crucial to be on top of when and why this may happen.
How much of the deposit rate is being driven by VIPs? Are players increasing or reducing their deposit rate as their customer journey plays out? Is the average deposit rate moving up or down each month? These are all questions iGP can help to answer.
Utilising iGP
iGP’s solution gives operators unrivalled control over their business through its deep reporting suite. Powered by a newly-built data warehouse, the platform equips operators with the tools needed to drive growth, enhance the player experience, and maintain a competitive edge, with the ability to track crucial metrics. The insights provided by iGP can lead to smarter, data-driven decisions which will provide benefits in both the short and long-term.
Get in touch with the team here to find out how iGP can give you control over your iGaming ambitions and provide a demo of our platform solutions.
