It has been proven that forecasting churn rate not only reduces player outflow but also enhances the amount of time they spend on the casino website. In this post, we’ll explore at various strategies for calculating customer churn in online casinos, as well as tactics for retaining reactivated consumers.
Customer Churn Rate Definition
The churn rate is the percentage of users who stop using a product and leave it over the given period of time.
Why Are Players Leaving Online Casinos?
Each casino’s goal is to reduce consumer churn. You can forecast the potential churn rate by clearly describing the reasons why customers quit the product. When players lose interest in the products given by the company, they frequently stop playing at the online casino.
As a result, each operator’s mission is to increase the audience’s attention by providing great gaming content and services.
What is preventing your players from wagering:
- Low engagement and activity level. If players contact the customer support service less frequently, visit the casino not so often and spend less time on the platform, it is a sign for you that they’re about to leave you soon.
- Bad customer service. Players must have access to support 24 hours a day, seven days a week, or the online casino risks losing them.
- Your competitor performs better than you. One of the most profitable segments of the entertainment industry is online gambling. Each casino does their best to provide something new and different that its competitors don’t have. As a result, in order to avoid a high customer churn rate, you must keep your gaming portfolio up to date.
How To Calculate Customer Churn Rate For Online Casino?
Every gambling site today is focused on reducing churn. However, you can not only keep active customers but also significantly reduce churn with the help of existing techniques and CRM-strategies. The formula for calculating customer churn is as follows:
Churn rate = Number of players that have left the resource / Number of players at the start
Let’s have a look at an example. For example, suppose you started your gambling resource in May with 2000 players and 500 of them decide to leave at the end of the month. The customer churn rate in this situation is:
500 / 2000 = 0.25%
According to statistics, a gambling company’s earnings will grow by 100% if it raises the retention of attracted clients by at least 5%. Many marketers believe that lowering the churn rate should be a top priority for any company, regardless of its industry.
Player Retention Services in iGaming
While acquisition marketing methods emphasize the benefits of joining an online casino, player retention services ensure that users have a positive experience.
The most common ways to keep existing players satisfied are:
- Constant promotions. Players appreciate getting a portion of their losses back (cashback), free spins refills, and loyalty bonuses.
- VIP strategy. People who are willing to pay additional contributions become special customers. As a result, they get personalized proposals and priority access to certain slots.
- Point accumulation. Aside from ordinary in-game credits, several casinos provide guests the opportunity to earn loyalty points. The higher the number, the better the bonuses for the players.
- Ranked tournaments. Long-standing players prefer to compete against other players with similar levels of experience.
- Mystery rewards. Users spend their time in an online casino routinely, but operators can make them expect bonuses out of nowhere. Customers are intrigued by such a retention approach, which encourages them to engage in more gambling activities.
Retention for Online Casino: Conclusion
Retargeting, email newsletters, content marketing, new products and solutions, gambling content extension, comments, promos, and tournaments are just a few of the marketing tactics available to get churning gamers back to the site. Make an effort to reactivate old player accounts.
The best approach for this would be to send a reactivation letter though InTarget Marketing Automation Platform to determine the client’s current status. If the player reacts to the message, you still have an opportunity to bring them back to your site.