Online betting and casinos offer thrilling games and rewards to entice their customers. But to rise above the competition they are also required to have a loyalty program that serves as an incentive for players. The challenge for the casinos and online gaming sites in common is retaining customers. Only when an iGaming business manages to boost their retention and control the churn rate do they come up on top. But as a gaming operator, how will you accomplish it? The answer is Loyalty programs.
Why loyalty programs are important? Loyalty programs are tightly linked to customer pleasure and retention, which is why they're implemented even in firms where profit isn't the primary aim. Due to ubiquitous internet access and the overwhelming number of firms competing for new business, online casinos and even popular gaming sites struggle to retain players. Loyalty programs aim at both existing and new players who haven't settled on a particular gaming brand to patronize.
In this article, you will find the meaning and importance of Loyalty programs for the iGaming industry. And we have compiled some of the best customer loyalty programs for your online gaming business and also a marketing automation software that will take your brand to the next level.
First, let us find the answer to why customers stay loyal to particular brands.
Why are customers loyal to a brand?
Consumers are loyal to a brand because they feel you provide better service and quality than competitors regardless of price. A loyal customer is also more inclined to try other products from that particular brand. Hence, creating a loyal following is the most effective way to boost your business performance in the long run. How do casino rewards programs work? By showing them you value their presence by rewarding them for their purchases, customers feel encouraged. And if they believe they are saving money due to rewards they continue to support your company.
What are gaming loyalty programs?
Gaming loyalty programs are carefully designed to reward your players for their loyalty. Convincing customers to buy from you over and over again has never been an easy feat. Sometimes it becomes a bit easier when you have a predictable and repeatable strategy built to reward recurring engagement. Such carefully curated strategies for online gaming products are called gaming loyalty programs.
Are loyalty programs effective?
Yes! Loyalty programs are highly effective. They have a much bigger effect on your iGaming company’s profits than you can possibly imagine. In fact, a 5% increase in customer retention boosts company profits by 25%-95%. In simple sentences, Customer loyalty = Increased profits.
A loyalty program can assist you in making your present customers feel good about supporting your business.
Casinos and online gaming platforms that employ loyalty programs have a much higher percentage of retaining customers than the ones that don’t. If your online casino does not have any loyalty program installed in its marketing, you may soon lose your players to rivals who have them.
Just look at these statistics on customer loyalty:
- 82% of businesses feel that retention is less expensive than acquisition.
- 75% of customers prefer firms that give incentives.
- 56% of customers stick with brands that "get them."
- Existing customers account for 65% of a company's revenue.
- Simply increasing client retention by 5% increases profitability by 25% to 95%.
- Personalization tactics are used by 58% of businesses to retain customers.
Customers will feel unappreciated without loyalty or retention programs, leading to bad business.
Why should you have customer loyalty programs?
A simple reason to employ a customer loyalty program is its direct impact on sales. Are loyal customers more profitable? Definitely Yes!! By having loyal customers you can scale your brand easily. More reach and more traffic will ultimately lead to good business. "According to a market study, half of the consumers said that good service would motivate them to continue with a specific brand." "The other half highlighted product quality and ease of use." - FastBusiness.com
What are the benefits of using a good customer loyalty program?Following are some of the best loyalty program perks:
- Increased customer loyalty
- Increase in customer retention
- Decrease in customer churn
- Brand awareness
Overall, the business performance of your iGaming platform will be higher.
3 best loyalty programs for the iGaming industry in 2022
Following are the 3 best loyalty program strategies for your online gaming business.
Rewards for depositing
In the iGaming business, first-time deposits (or FTDs) refer to the initial deposit made by a new player on a gaming platform.
The objective is to increase the number of FTDs (Converting users who signed up on your platform into First Time Depositors). All new users that have recently joined your gaming platform are your targets. After registering and verifying their email address, players will receive an automated email with a First-time deposit offer.
For example, deposit $10 and get 10 Free Spins. Or deposit $50 and get $25 bonus money.
Read more on how to boost your FTD conversions.
A tiered loyalty program provides various rewards or discounts to different groups of purchasers based on their spending levels. The goal is to encourage your customers to spend more by rewarding them for every purchase. Following is a sample email template that you can send to your customer right after he/ she signs up on your platform.
“If your First Time Deposit exceeds $100, you will be elevated to the Gold Tier. If your FTD exceeds $50, you are in the Silver Tier, while everyone else is in the Bronze Tier ".
Based on their FTD amount you can group your players into three levels: High (Gold), Mid (Silver), and Low (Bronze). Then, you can target different levels of gamers with suitable offers as below.
Each Tier has unique benefits:
- Gold: 15 free spins every day for 5 days.
- Silver: 10 Free Spins every day for 5 days.
- Bronze: 5 free spins every day for 5 days straight.
Because free spins expire after 24 hours, you won't be able to amass them. So, come play with us every day!
Read customer loyalty for more tips on how to curate loyalty tiers and exclusive offers for loyal players.
Personalized offers based on favorite games and behavior
To get great ROIs, target them with tailored marketing. Learn about your player's favorite games, gaming habits, and more. Deliver customized offers based on their preferences. Send Slot Game special offers only to Slot players and Sports Book offers to Sports Book players.
Understanding player behavior will assist a casino operator in developing behavioral segmentation and unique marketing tactics. Understanding a player's attributes allows us to predict his future moves. We can simply predict player responses and automate typical user flow. Click the link to read more on player behavior.
You can implement the above best online casino loyalty programs to increase your iGaming business performance.
What is the best loyalty program software for iGaming?
Who has the best loyalty rewards program? OptiKPI is the best loyalty program software for the iGaming industry. It is a marketing automation tool designed specifically to promote your online gaming using long-term marketing strategies. OptiKPI's three key components are compliance, marketing automation, and risk management. It helps gaming platforms establish a long-term brand and client lifetime value by exploiting player data. With its all-around real-time automation engine, OptiKPI assists in deploying relevant messages to relevant players at the right moment. OptiKPI has fantastic Loyalty boosting strategies for all your iGaming platforms.
Why use OptiKPI? We get to the bottom of the problem and provide you with the best marketing solutions.
How to deploy Loyalty Programs using OptiKPI? Few simple steps:
1. Create a Player Journey to arrange the campaign first - determine a loyalty program. For example, you can easily convert a new user to a depositor with rewards such as free spins for their FTD.
2. Send a teaser SMS, assign free spins, and it will run on its own! OptiKPI will send messages and bonuses right after a player registered on your platform till the player deposits.
3. Journeys are an advanced feature in OptiKPI that allows users to create bespoke flows from scratch. Click the link to read more on Journeys.
Anyone can design Journeys with ease (simple or complex) - it is a simple drag-and-drop user interface. Once started, your Journeys will operate in real-time 24 hours a day, seven days a week.