The gambling industry relies heavily on understanding its customers. With the rise of digital technology, the concept of knowing your customer (KYC) has become even more critical for gambling operators. This goes beyond mere compliance with regulations; it’s vital for establishing trust, improving user experience and ensuring the longevity of the business.

This article outlines some of the crucial factors that operators must understand about their player base in order to retain and grow within a highly competitive market. Additionally, insights from research conducted in the European market have been provided.

After identifying these essential factors and understanding their impact, I’ve highlighted how Genesys facilitates connecting the dots and creating personalised player experiences, leading to high customer satisfaction and increased revenue contribution.

Key Factors to Know About Your Players

When strategising about the necessary information for crafting customised content to captivate an audience, it’s crucial to consider various factors. We have identified the pivotal elements that empower operators to create profiles, assess potential lifetime value and optimise the overall player experience.

Player Spending

In Europe, the average amount spent by gamblers varies significantly across different regions and types of gambling. The European online gambling market is expected to reach €52.3 billion in 2024 and grow to €88.16 billion by 2029, with a compound annual growth rate (CAGR) of 11.01%. This growth indicates substantial engagement and expenditure by European players.

Gender Differences

In Europe, men are more likely to engage in gambling activities than women. About 25% of men participate in online betting, compared to 17% of women. Men are also more inclined towards in-play and sports betting, whereas women prefer games like bingo and lottery.

Age Preferences

Younger Europeans are more active in the gambling sector, particularly in online and mobile betting. The 18-24 age group shows significant engagement, especially in newer forms of gambling such as eSports betting. While still participating, older demographics generally favour traditional forms such as lotteries and casino games.

Popular Gambling Activities

The most popular types of gambling in Europe include casino games, sports betting and lotteries:

– Casino Games: Comprise 39% of the market, with slots being the predominant choice, generating 79.7% of online casino revenue.

– Sports Betting: Accounts for 34% of the gambling market, with football being the most popular sport to bet on, followed by tennis and basketball.

– Lottery: Represents 18% of the market, maintaining a strong presence due to its widespread appeal and ease of participation.

Online Gambling Trends

The online gambling sector is expanding rapidly in Europe. With the advent of mobile and online platforms, gambling has become more accessible, leading to an increase in participation rates across various age groups. A significant portion of online gamblers prefer to place bets from home, highlighting the convenience factor of online platforms.

Types of Device

In a report by the UK Gambling Commission, 59% of female gamblers use mobile devices for gambling, compared to 52% of men, indicating that mobile gambling is more popular among women. In Sweden, 62% of all mobile players are women, showing that Sweden is leading the way for women’s involvement in mobile gambling in Europe. The shift towards mobile gambling is due to the widespread use and accessibility of smartphones, allowing gamblers to place bets at any time and from any location.

Payment Methods

According to iGaming Business, alternative payments now make up 51% of all iGaming purchases worldwide. 33% of gamers find credit and debit card transactions the most convenient, but 34% have switched to e-wallets for a smoother checkout process. In Europe, players from the UK and France trust credit and debit cards for security, while Dutch players prefer iDeal. Alternative payments offer local convenience, faster transactions, and anti-fraud security, and they now hold over half of the iGaming market share.

Main Complaints

The 2018 UK Gambling Commission industry report found that male players are twice as likely to complain as female players. Younger gamers have higher expectations and are more likely to complain. The most common complaints are non-payment of winnings, inability to withdraw funds, misleading promotions and incorrect bet settlement.

Why Is KYC So Important to Operators?

Gaining access to such valuable insight can be incredibly beneficial for operators… but how can leveraging KYC help operators differentiate their services and achieve consistent, sustainable growth in line with evolving market conditions?

Regulatory Compliance and Fraud Prevention

KYC is essential in the gambling industry to comply with regulations and prevent money laundering, fraud and illegal activities. By implementing robust KYC processes, gambling operators can verify the identity of their customers, ensuring that all transactions are legitimate. This not only helps in maintaining the integrity of the gambling platform but also protects it from potential fines and legal repercussions.

Enhancing Customer Trust and Safety

Knowing your customer is crucial in building and maintaining trust in an industry where trust is vital. Effective KYC processes reassure customers that their personal and financial information is protected, fostering a sense of security. This trust is essential for customer retention, and loyalty is critical for the long-term success of any gambling business.

Personalisation and Improved User Experience

Understanding customer preferences and behaviours allows gambling operators to offer personalised experiences. By analysing customer data, operators can tailor their offerings to match individual preferences, enhancing user satisfaction and engagement. Personalisation can take many forms, from customised promotions and bonuses to personalised game recommendations. This improves the user experience and increases the likelihood of repeat business and higher customer lifetime value.

Responsible Gambling and Player Protection

KYC is crucial in promoting responsible gambling. By knowing their customers, operators can identify patterns of problem gambling early and take proactive measures to mitigate risks. This includes setting betting limits, providing self-exclusion options, and offering support for those showing signs of gambling addiction. Promoting responsible gambling is not only an ethical obligation but also helps maintain a positive image of the industry and reduce the societal harms associated with gambling.

Data-Driven Decision Making

In the modern gambling landscape, data is a valuable asset. Detailed customer insights enable operators to make informed decisions about marketing strategies, product development, and overall business operations. By leveraging data analytics, operators can identify trends, understand market demands and optimise their offerings accordingly. This data-driven approach ensures that the business remains competitive and responsive to changing customer needs and preferences.

Competitive Advantage

Knowing your customer can provide a significant advantage in a highly competitive market. Operators who excel in understanding and responding to their customers’ needs can differentiate themselves from competitors. This can result in higher customer satisfaction, increased loyalty, and, ultimately, a stronger market position. Additionally, superior KYC practices can attract new customers who prioritise security and personalised experiences.

How can Genesys Help?

Experience Orchestration

Operators require experience orchestration to deliver excellent experiences that are aligned with customers’ needs. But what does experience orchestration entail?

Experience orchestration allows for the seamless coordination of technology, interactions and touchpoints within a single cloud platform (the Genesys Cloud™ platform) to provide a superior end-to-end experience. Regardless of the source of data, the Genesys orchestration engine gathers real-time data from various engagement channels, as well as information from systems of record, operational systems and ERP, to offer a comprehensive view of each experience. Genesys Cloud AI is used to optimise customer journeys and personalise the experience to ensure that the right experience is delivered at the right time. Ultimately, experience orchestration with Genesys Cloud enables businesses to both create the best experience and respond to a customer’s intent with minimal friction, resulting in deeper, more meaningful experiences that drive loyalty.

In the provided example, we identified a player as a vulnerability risk and detected their intent to increase their deposit limit. Instead of directing them to a standard customer service queue, we use predictive routing to connect the player with a “Safe Gambling Agent” who has the right expertise, context, language skills and is located in the appropriate region to assist the customer.

Knowing Your Customer Combined with Genesys

Understanding your customers is crucial in the gambling industry. By knowing their spending habits, gender, age preferences and favourite gambling activities, you can gain valuable insights while anticipating and meeting customer needs. Prioritising KYC measures and utilising Genesys Cloud, operators can protect their business and create a more engaging and responsible gambling environment for their customers by ensuring that all interactions with their brand are seamless, predictive, proactive and personalised to their customers’ needs.

An example of this would involve Genesys collecting data from a system of record or operational system that stores all relevant customer data. This data is collected in real-time while the interaction is being handled within our platform. By leveraging our AI capability, we are able to determine the intent and the best course of action to deliver what the customer wants and the desired outcome. To illustrate, a product example of this is Genesys Cloud Predictive Engagement. Genesys Cloud Predictive Engagement uses AI to analyse and proactively engage customers in real-time via automated, agent-assisted chat or personalised content offers to drive the best next step in their journey.

By leveraging Genesys Cloud Predictive Engagement, operators can thoroughly analyse player activity within the app or website, and take proactive measures to engage them. This involves reaching out to players with targeted promotions tailored to the games they are known to enjoy, resulting in amplified player engagement and decreased abandonment rates. Furthermore, this approach enhances the overall customer experience by gaining insights into player behaviour patterns and executing well-timed actions.

Conclusion

Thank you for reading. I hope this article highlighted the importance of knowing your customers and how Genesys can help drive engagement, improve retention, and increase revenue.

Learn more about Revolutionising CX in the eGaming & Sports Betting Space, or contact us for a discovery exercise to explore potential collaboration.