Tailor-made: The power of personalisation in the modern gaming industry

The word personalization has been flying in the game industry for several years. Social media and online industry as a whole have become more attractive to users by utilizing the power of personalization. But what is personalization? And what is personalization for online casinos and sports books?

Origination of personalization

Personalization (in a digital sense) has existed as old as the Internet itself. In 1994, Lou Montulli started the first cookie on Netscape. This was to make the online shopping people can save the possibility of purchasing in something like a virtual shopping cart. However, the Internet has grown, technology has advanced, and with the advent of dot com bubble and the end of the new millennium, the brain of the brand and Silicon Valley has begun to find value in online and personalized experiences.

When comparing web 1. 0 and web 2. 0, the difference between the web and the subsequent web with the face can be the best. In short, however, web 1. 0 was before the 1990s's Internet era, and web 2. 0 became possible by collecting business congratulations, social media platforms, user generation content and personal data. It reflects today's Internet, such as super personal experiences. In the web 1. 0, the experience of all sites to visit was the same. Today, the experience of all people is so different.

"Personalization is a fairly wide field in the game world," said Green's production and operating director Bellund Bowmelt, reflecting the initial personality initiatives in the market. They want to use the functions of betting or not, matching the volume of the game itself to the personal preference, and customizing the level of the 3D game effect. Igaming focuses on improving player experiences by responding to personal preference. "

In fact, by converting lan d-based gameplay to a virtual format, operators can use new tools and formats, making it possible to create products that are much less fixed than those in the same industry. 。

But this also forced operators to consider how best to adapt their products to the online environment.

Shad Barnes, senior manager of digital marketing at the Oregon Lottery, explains:

A lot of it comes in the form of extra information (maximum remaining prize amount, odds of winning, where to buy a particular title, detailed instructions on how to play), but we also added the ability for customers to ‘scratch off’ demo tickets online and experience the reveal process.

For jackpot games, players can check if they won by scanning a code manually on the website and on the mobile app.

“In addition, players can see the keno tables in real time, request alerts when the jackpot or progressive pot rises to their preferred amount, see how many players in their state, city or county have won more than $600, get tips on how and where to play, find out the odds, and get instructions on how to claim their prize.”

Of course, in all gaming industries, personalization is still growing. But what does it bring to operators?

Why personalization?

To understand exactly why web brands need to personalize their users' experience, our favorite analogy (apologies to readers who saw it previously in the May issue of Trafficology) is that of an Internet service provider. Not only can these services be personalized to suit your country and budget, but the options are quite limited. Service providers such as sportsbooks and online casinos introduce their top-quality services to new users. For Internet providers, this means significantly lower fees over the life of the contract and a steady stream of perks, and for sportsbooks and casinos, it means an attractive number of free bets and free spins, among other sign-up perks.

But what about the moment a new user is no longer a new user? That user loses the privileges and suddenly the deal they have is no longer a good one. No matter how much you negotiate with the telemarketers, the deals they can offer you will never match the new customer deals. So what does the customer do? They go to another store, get the new customer deals, and repeat the cycle. Without personalization, why would players have a reason to stay after getting the new user perks? After all, they can have the same experience as your competitors. They're just giving away free spins.

"Personalization must bring value to the player.

Personalization for Gen Z

Now is a good time to talk about the importance of personalization, especially to Gen Z. Gen Z, the newest demographic to enter the gaming market, is defined as people born in the late 1990s and 2000s, the "first generation" that doesn't remember the pre-internet era. Social media and online business are second nature to them, and in that they have a set of expectations: a personalized experience is the bare minimum.

This generation needs to get the most out of existing technology and embrace newer, more experimental technologies to stay ahead of the competition. That means embracing personalization wherever possible and staying current with industry trends 30 years into the internet era. Igor Kaufman, Head of Sports Business at GR8 Tech, explains: "Generation Z grew up with technology that delivers customized experiences and they expect the same level of customization in every interaction. Personalized content, recommendations and user interfaces can significantly increase their engagement and satisfaction."

"Generation Z grew up with technology that delivers customized experiences and they expect the same level of customization in every interaction.

When did this conversation start?

When the industry started talking about the need for personalization, everyone would say something a little different, but according to Kaufman, "the theme of personalization began to gain traction in the sportsbook market in the early to mid-2010s, when advances in technology and data analytics allowed betting companies to better understand and respond to individual user preferences. This shift became more evident across many industries in the early to late 2010s.

At the same time, they also began to leverage data analytics and advanced algorithms to provide tailored experiences for individual customers. "It wasn't just the gaming industry that stepped up personalization during this period, it was the industry in general. Kaufman says that personalization provides a competitive advantage by changing the norm of customer engagement.

What is personalization?

In other words, we now know the "when" and the "why." Personalization enables better customer engagement, which in turn increases loyalty and repeat visits by providing a tailored experience to the user. But what does it actually look like? Kaufman said of sportsbooks, "Personalization in sportsbooks works on multiple levels, reflecting regional, national and individual user preferences. It's about creating a seamless, fun experience that players can navigate easily and find what they want without hassle. In GR8 Sportsbook's experience, this means getting a robust backend with AI and ML tools, recommendation engines, regional feeds, the ability to manage line view options, and more. In addition, the platform should easily manage line view options and have a customizable front end. This combination makes the sportsbook unique and tailored to each user, not just the operator's brand, allowing for deep customization."

In fact, AI is being seen as a key tool to develop personalization in the gaming industry. Baumert said AI "can play a key role in igaming," explaining that "there are many possibilities, from customized game recommendations to personalizing the look, feel and sound of the game itself." However, amid much speculation about the development of personalization, he stated clearly that "the player must always be at the heart of this movement, and personalization must bring value to the player."

On personalized lottery games, Burns commented: "I think a personalized online lottery is a fluid user experience driven primarily by quantitative and qualitative feedback. Specifically, a good personalized online lottery can remove friction from the user's journey while adding convenience and fun. Access to winnings and amounts spent, the opportunity to request notifications or emails for reminders and information you want when you want, local stories about how the lottery affects your city or neighborhood in your state, favorite games and game suggestions that fit your play style, interface features at retailers with app scanning that saves time and paper, offers and promotions, the ability to play games that fit your play style, etc. There are many opportunities in this area for lotteries to incrementally improve the experience of their customers."

Is the gaming industry lagging behind?

However, despite the growing potential of personalization and AI in online gaming, we are still lagging behind in terms of many other industries. In an interview with Everymatrix CEO Ebbe Groes in March, he said he felt that personalization "could have been there sooner." Many companies are trying to personalize, but "no one has been successful." When asked if he thinks the current online lottery market is in the situation that Barnes has described in the past, Barnes responded: "The pandemic has caused almost all lotteries to make progress in the digital/personalization field, and the industry as a whole has made progress in terms of improving digital services for players/customers. That said, there is a big gap between true e-commerce and how lotteries operate."

Burns points out that there are a variety of factors impeding the growth of online lotteries in the United States, including differences in policy, regulation, responsible gaming practices, and technological philosophies. Some lotteries have begun hiring people outside of their vendors to create a roadmap for online adaptation, and are conducting research and evaluations to determine how best to address online adaptation. Kaufman points out that one of the factors impeding online adaptation is data privacy. "Customizing the experience relies on the availability of user data, and balancing user privacy with the need for data is difficult," he explained, and said data protection is a key factor to consider when integrating personalization into a platform.

Another factor to consider is the technical capabilities of the platform and the technology it possesses. Kaufman suggests that as AI "evolves and becomes more capable of mimicking human behavior, the opportunities to create customized experiences will expand," but this research is still ongoing, and AI does not yet have a complete personalization solution. It is also important not to rely on AI as the only solution. In any situation or scenario, it is unfair to put all your eggs in one basket. Doing so would put the gaming industry in a more precarious position than it is now, and while it is appropriate for the industry, it should not take companies that are gambling.

Who to turn to?

So where should the gaming industry look for inspiration if it wants to catch up?

Kaufman points to retail as a prime example of a highly personalized industry that the gaming industry can learn from: "Companies like Amazon use sophisticated recommendation engines to customize products." He also points to the entertainment industry, especially streaming services like Netflix and Spotify, which "offer highly personalized content based on user preferences and behavior."

Baumert echoes the sentiment: "I think the streaming industry provides a really good example in terms of customer segmentation, and Igaming can learn from e-commerce in general about recommendation engines."

For the gambling industry to stay on par with other industries, it is essential to look at how other online businesses offer personalization, with or without artificial intelligence. For example, consider the content algorithms used by YouTube and TikTok. These algorithms look at data such as the content a creator has watched and the time they engaged with the content, and compare it to data from other creators to recommend content that users are likely to enjoy as well. In this way, no two YouTube or TikTok streams are the same, as they become hyper-personalized the more an individual interacts with the platform.

Consider similar algorithms used by online casinos: they analyze the types of themes players prefer in slots, the math used in the games they play the most, or the gaming studios they spend the most time on. Analyzing slot behavior in a similar way to video loyalty behavior can lead to overly personalized play recommendations, keeping users coming back and continuing to explore their options.

This is true for both paid and free social casinos, but it should be noted that their approach to personalization may differ. As Baumert says, "In any casino, players are looking to maximize their entertainment and enjoy the games offered. So most of the personalization fits into both areas, but in social casinos, you can change your avatar a little more or the plants you plant in your garden, like in our social brand, Bloom Boom Casino."

In fact, each area approaches personalization differently and requires taking advantage of the technology at your disposal and manipulating it to suit the needs of the user. For example, in the case of online lotteries, Burns thinks: "Most lotteries are run by governments or funded around the world, so it's always paramount to align lottery infrastructure investments and efforts with the public interest. When it comes to lotteries, there's no industry or jurisdiction that gives you the illusion of economies of scale."

Burns also pointed out that the lottery was directly connected to the government, so that the flexibility of adding personalized functions was limited, and it was directly linked to the lottery record and the government's needs. "Customization, audio security, continuous maintenance and operation are costly for each jurisdiction area. Gaming tools and platforms are usually built so that they can be supported to a wide range of industries and lottery jurisdictions. The room for true personalization is limited, but it will be more flexible in the industry.

What do we propose?

So what should I do if the operator feels delayed in personalization efforts? Here are some steps below:

Understand the needs of players

After all, innovation is equivalent to zero unless the customer wants. Adding AI systems and extension of personalization options may be useful for some players, but not for everyone. Understand the players, check other popular online platforms, and understand the personalization options provided by those platforms.

Not caught in the frame

In the age of web 1. 0, the Internet was like a western part. Since the current situation of how websites should work, the creativity was high, from which today's Internet trend was formed. By incorporating the concept of experiments on Web 1. 0, the platform can be prominent and can attract new users. Uniqueness is the core of the reasons why players are fascinated by personalization.

Looking out of the industry

The diversity of recruitment is a problem that often occurs among recruiters. Gathering people from outside the game industry can learn from completely new internal people, and companies have to work in ec o-chamber. Consider recruitment from other industries to bring an effective personalization to the game platform. As an industry where the industry can focus on inspiration, such as e-commerce and streaming platforms, they have mentioned other industries. As a whole, personalization is indispensable for operators to acquire users and maintain the user. Considering some elements. Personalization is unique to operators, as is the case for players. Why do you do the same thing to do personalization?