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Q1 2024 Kenya, South Africa, Nigeria 

Understand the success behind top casinos in Africa

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    User retention in iGaming – UX Q&A session

    User retention in iGaming – UX Q&A session

    Customer Retention Rate (CRR) shows how many players have stayed with us for a longer time. It is worth noting that this value is calculated based on the preceding period. For example, the CRR in March is 32.86%. This means that 32.86% of users from February were retained until March.

    Formula: ((U- NU) / PU)) * 100 

    • U – Total current users 
    • NU – New current users 
    • PU – Previous Total users 

    Does a high CRR always mean success, or should we focus on it?

    It depends. However, it should never be the only indicator by which we evaluate a casino. Depending on the stage of business development the casino is in, a high or low retention rate can be equally alarming for the owners. 

    If we have a stable, long-running casino with regular players, our CRR (Customer Retention Rate) will be high within the specified period (mentioned further). This will be the case when we have reached a large number of users in our sector. It also means that reaching new users is more challenging than maintaining existing ones, and focusing solely on the “success” of a high CRR may lead nowhere. 

    When do we care about improving retention?

    When this indicator is low and regularly returning users are a valuable and likely occurrence. This is particularly relevant in the online gambling industry. We want the number of returning players to increase because ultimately, they generate the most value. 

    How to use the CRR in the iGaming industry?

    Depending on the industry and objective, we can adopt different time frames for the CRR indicator. The most universal timeframe for tracking will be monthly intervals. This allows for sustainable monitoring of player retention, providing enough data to identify trends while still allowing quick response to changes. 

    This is not the only way. If we have introduced a change, promotion, new game, or platform update, we will use a weekly timeframe. By precisely comparing weekly periods, we can determine the impact of the introduced changes on retention. 

    If we have been in the market for over 2 years and have noticed seasonal behaviors, such as during the holiday season or other annual events, we can also gather insights. The CRR from a specific event will indicate its impact compared to a month without that event. Comparing the same periods with the previous year will show how effective these actions were compared to previous ones. If we compare identical periods and actions, a low CRR will suggest the need for changes! 

    Where do we start working on UX to improve retention in iGaming?

    We start by determining the period in which we measure retention. The impact we will have on this indicator will be closely related to the timeframe we choose. Next, we need to understand the context. To determine the reasons for the current state, we must establish what value the CRR indicator represents. This will allow us to set a target value to strive for. This set of information and determinations will help us reflect on the causes of the current situation. By knowing or estimating these causes, we will be able to take actions aimed at changing it. 

    In what period do we want to influence user retention?

    Different actions will be good for momentary mobilization, while others will have a long-term impact. In the context of UX, we generally refer to longer periods. Some changes may even result in a temporary decrease in regular users. People usually need time to adjust to new things. There is no need to worry. 

    What was the CRR rate? What is the current CRR rate? What result do we want to achieve?

    By understanding the behaviors of our users, we can assume what changes are possible and how long it will take to achieve them. The ideal situation would be if we could determine this indicator within the industry or market. This would make our predictions more realistic. However, it doesn’t mean that we cannot break the mold. Being aware that we are planning allows us to assume that our actions also need to be unconventional. By doing what others are not doing, we can achieve different results. 

    We know how it was and we know what we want. What’s next? Where does UX come in?

    To make it clear, everything I wrote above is also UX. Working on user experiences often uses the same information as marketing, strategy, or analytics. Now we start moving towards actions that are not often encountered elsewhere. We must find an answer to the question Why is this happening? 

    There are many potential reasons for such a situation. 

    For casino players, the website may be: 

    • Non-intuitive and inconsistent, for example, showing game categories on the homepage while not providing the ability to filter games by categories on the game page. 
    • Requiring too many steps to perform a simple task, such as finding their favorite game. 
    • Favoring features or modules that are not important to users, such as emphasizing registration over bonuses. 
    • Lacking customization options (if needed). 
    • Visually unattractive and not aligned with industry standards. 
    • Graphically overwhelming. 
    • Difficult to understand. 
    • Inaccessible to people with disabilities. 
    • Having a deep and complex structure. 

    NOTE! Everything is part of User Experience, but not everything is visual or functional! 

    Such elements include: 

    • Offer not tailored or not suitable for users. 
    • Lack of language options. 
    • Slow performance. 
    • Programming-related errors. 
    • Poor performance on the user’s device. 
    • It is worth remembering that we do not have control over all aspects of the product. 

    How does UX action help improve retention?

    It all depends on what the cause of the problem is. When we know the cause, the solution itself is not such a big challenge. The proposed solutions also do not have to be spectacular or beautiful. If that were the case, only a Graphic Designer and a Developer would be involved in the design process. The greatest role of UX Design lies in discovering or estimating, based on experience and knowledge, the reasons why the retention rate is not satisfactory. Only such an approach, combined with implementing changes and monitoring the CRR indicator, provides an answer as to whether our actions are heading in the right direction. 

    What UX methods can be used to find the cause of low retention?

    To determine this, qualitative and quantitative methods are used. Here is a list of the most popular methods, research, and tools. 

    Qualitative methods include: 

    • Desk Research 
    • Competitive analysis 
    • User journey mapping 
    • User feedback 
    • Surveys and questionnaires 
    • In-depth interviews 
    • Usability testing 
    • Card sorting 
    • Heuristic evaluation 
    • A/B testing 
    • User diaries 
    • Focus groups 

    Quantitative methods include: 

    • Desk Research 
    • Analysis of analytical data (e.g., Google Analytics) 
    • Heatmaps (e.g., Hotjar) 
    • Surveys and questionnaires 
    • Eye tracking 
    • Card sorting 

    Summary

    Regardless of which parameter we want to improve, we need a considerable amount of information to consciously influence it. The more we learn about our users, the better our product or service will be. 

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