2017 ISSUE 31
WELCOME ::
Publisher’s Note Publisher Jamie Kean jkean@cgimagazine.com Client Services Director Tracie Birch tbirch@cgimagazine.com Editorial Assistant Harry Wainwright hwainwright@cgimagazine.com Production Designer Nancy Rae nrae@cgimagazine.com Circulation Manager Natasha Harvey nharvey@cgimagazine.com Commercial Director Daniel Lewis dlewis@cgimagazine.com Account Manager Nathan Charles ncharles@cgimagazine.com
Editorial Contributors Marion Gamel, Fredrik Elmqvist,Tom Wood, Melanie Ellis, Alessandro Fried, Cheng Liem Li, Omer Liss, Valéry Bollier, Dr. Mark Griffiths, Andrew Clucas
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Published by DANANCY MEDIA LIMITED
A
s the year draws to a close and as the events calendar flourishes
with numerous events all around the globe taking place during
the autumn months, we are pleased to be joined by a whole host
of leaders and industry professionals, all offering their thoughts
and insights, as we start to look ahead to 2018.
We kick off the edition with a delightful Leadership Viewpoint from
Marion Gamel (Betsson Group) who shares her own thoughts on millennials
and how they should be encouraged into the workplace.
Another Leadership Viewpoint follows, as Fredrik Elmqvist (Yggdrasil) joins
us for the first time and discusses what his company will be doing in 2018 as they endeavour to stay ahead of the game.
We welcome back Tom Wood (SG Interactive) who gives us a detailed look
at player power and the kind of things they users are looking for in their content among other things.
Melanie Ellis (Harris Hagan) looks at the latest regulatory issues regarding
affiliate advertising, whilst Alessandro Fried (BtoBet) takes a look at the latest
developments in the Sportsbetting industry.
Cheng Liem Li (Acapture) takes a look at the latest data analytic, artificial
intelligence and IoT issues, Omer Liss (Optimove) gives us detailed analysis of
campaign marketing and Valéry Bollier (Oulala) tells us what he thinks could be
on the horizon for the iGaming industry.
Dr. Mark Griffiths (Nottingham Trent University) evaluates responsible
gambling tools using behavioural tracking data and finally we are joined by
Andrew Clucas (Quickfire/Microgaming) who explains what they’ll be doing to stay abreast of an ever-changing landscape in 2018.
T: +44 (0) 845 257 8300 E: contact@cgimagazine.com W: cgimagazine.com
Jamie Kean, Publisher ISSN 2398-4252
© 2017 Danancy Media Limited. The opinion expressed in each article is the opinion of its author and does not necessarily reflect the opinion of the publisher. Any form of reproduction of any content in this publication without the written permission of the publisher is strictly prohibited.
The next edition (Issue 32) of CGi will be published on 1st February 2018.
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CGiMAGAZINE.COM
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CONTENTS ::
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FEATURES 7
Love, Learn and Laugh: Leading MiLLenniaLs
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disCovering soLuTions and unLoCKing oPPorTuniTies
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The PoWer oF The PLaYer
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WhaT is The FuTure For aFFiLiaTe adverTising?
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CreaTing PosiTive PLaY and sMarT ProFiLing in The digiTaL (r)evoLuTion
Marion gamel, Betsson group
Fredrik elmqvist, Yggdrasil gaming
Tom Wood, sg interactive
Melanie ellis, harris hagan
alessandro Fried, BtoBet
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39 31
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FEATURES 31
The Three TeCh Trends redesigning The onLine gaMing exPerienCe Cheng Liem Li, acapture
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hoW ManY CaMPaigns are Too ManY: seeKing The MagiC nuMBer omer Liss, optimove
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is The igaMing seCTor on The verge oF serious disruPTion?
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evaLuaTing resPonsiBLe gaMBLing TooLs using BehaviouraL TraCKing daTa
valéry Bollier, oulala
dr. Mark griffiths, nottingham Trent university
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KeePing aBreasT oF an ever Changing LandsCaPe andrew Clucas, Microgaming
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LEADERSHIP VIEWPOINT ::
LOVE, LEARN AND LAuGH: LEADING MILLENNIALS T
Marion Gamel Chief Marketing officer Betsson group
here’s a new breed of workforce coming our way. We’ve all heard about them although some of us have not “seen one” yet. Many leaders are quite concerned about this new generation and the need for adapt. These new contributors are young, educated, intensely social, committed to a healthy work-life balance, confident and opinionated, hungry for career progression and in need of constant appraisal and recognition. You’ve recognised them, they’re the Millennials. How can we build the future of our companies, making the most of the unique skills and attitudes that are filling the seats in the office today? Millennials call for a different approach and failing to adapt to this new workforce can only mean two things for leaders: accepting an ageing workforce that will gradually become out of touch with today’s consumers, or suffering from an unhealthy level of attrition amongst employees. As CMO of Betsson Group, I welcome a growing percentage of Millennials in my team, and while I won’t pretend I have it all figured out, I can detect the beginning of a winning recipe when it comes to keeping these young employees - often firstjobbers - engaged, committed and productive. I can summarise my approach quite simply - I call it “3-L”: Love, learn and laugh. LOVE Millennials have been raised to believe that they’re unique, they’ll make a difference and they can do whatever they want. “Love what you do. Do what you love” is the mantra of this generation who are not after “a career” per se but whose aspirations amount to a lot more than just paying the bills. Then they start working and the reality hits them in the face; two things happen:
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1. “What do you mean I can’t become CEO in 3 months?!”. They realise they’re going to have to climb the ladder one step at a time and in a world of quarterly appraisals, they’re not going to be treated differently and promoted every week to the next level. This can lead to major disappointment and many Millennials can’t cope. They take up freelance positions where the relative freedom makes up for the lack of advancement. The risk for the employer is to have a workforce that becomes disappointed and disillusioned within a few months of joining a company, leading to an unhealthy attrition level. It’s important to remember that Millennials don’t stick around when they’re disappointed. It’s a generation who would rather go back to live with their parents, rent free, rather than stay in a role that they feel is going nowhere.
2. “That’s IT?!”. They realise that there is a routine and a boring side to any job. They imagined their role would be fun and exciting every minute of every day. The reality is nothing like that. “Social Media Executive” sounds like a dream come true for someone who nurtures their friendships via Instagram, but the reality - the tracking, the reporting, the processes - make this role a basic, millennial nightmare.
The solution to this issue is LOVE - an emotion any human being craves. Love who you work with, love the process and perfecting it, love a job well done, love pushing your boundaries, love the excitement of being challenged, love feeling that your role matters and is indispensable within the big matrix, love the company and caring for the company’s
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results above your own, love being part of something big. In the same way that children, as they grow up, need to play games with increasingly sophisticated rules to keep them challenged, Millennials need to be shown that business is a game where you win or you lose and a lot is at stake. However, the principles of “Dragon City” or any game app still apply: you chose your supply, you understand the demand, you prepare for battle, you plan for the future… The big difference between a Millennial and someone joining a company in the 90’s (many of today’s leaders) is that we were quite happy to be told “sit here and do this”, whereas Millennials need to know what’s being done around them by others, why, and the long term impact of this action on society, mankind… Once convinced by the grand plan, a Millennial will demonstrate a level of passion and commitment second to none. Creating a genuine attachment to the company means finding a way for Millennials to not feel like a number in a matrix. One way to make the marketing department at Betsson more endearing to our 200 marketers - to make our function more concrete and “human” - was to create an entity within the group, with its own personality, mission statement, modus operandi that makes it distinct yet highly compatible with the rest of the group. The outcome was the creation of “BMS” Betsson Marketing Services, the in-house 360 degree marketing agency servicing Betsson Group’s 27 brands worldwide. The level of passion to find the name and create the visual identity of our in-house agency was second to none, and the pride and sense of belonging it instilled was absolutely outstanding compared to the costs involved - nil!
LEADERSHIP VIEWPOINT ::
<< Millennials tend to dip in and out of a lot of activities and have a wide variety of interests. Committing to ONE thing is not a typical approach to life: they blog, they design, they make, they create... >> LEARN Humility is not the main forte of Millennials. Having had access to unlimited information from birth, with contacts all over the world and a little bit of knowledge about a wide variety of topics, they tend to consider themselves pretty “advanced” at whatever they’ve never done before. No free meal, ping pong table or team bonding exercise will keep Millennials from leaving your company. An on-going, intense, challenging learning curve will. Being a high tech baby has its advantages: Millennials’ ability to process information and to check the validity of the source is second to none; their confidence empowers them to question the status quo a lot more often than their older counterparts, and to confidently approach senior management to discuss their ideas. The way to make the most of Millennials, is two fold: (1) Encourage them to list what they’ve learned and what they want to learn and help them make a plan to cover this, (2) Give them access to an outlet where they can express what they’ve learnt and the thoughts that come from this learning. Having visibility and access to the top layer of the company is important to Millennials. They often join a company because of its CEO or founder, so they expect to have access to this person. They may be thinking they’re about to ‘teach the CEO how it’s done”, and will certainly will come out delighted at what they have learned or understood, and energised about the way ahead. Millennials tend to dip in and out of a lot of activities and have a wide variety of interests. Committing to ONE thing is not a typical approach to life: they blog, they design, they make, they create... They are as deeply rooted in the tech world as they are in the real one. As a leader it is important to make the most of their natural curiosity and desire to explore by offering training on skills that are peripheral to their role. Unlike older generations who tend to focus on a task and want to become the best at it, it is uncommon for Millennials to commit to only one topic. They want to understand how the whole company works, they may work in marketing but they want to know how products are created and how P&L works. Offering training in all sorts of shapes (attending conferences, shadowing
colleagues, online courses…) and even making them compulsory and playing on Millennials’ natural competitiveness by organising exams and challenges is a great way to keep them engaged, make them feel nurtured by their workplace and satisfy their natural curiosity and need for variety. At Betsson, I encourage marketers to widen and deepen their skills. We pay for courses and conference attendance, we organise in-house training from in-house gurus, we invite speakers from the outside world, we organise contests, task forces and hackathons around innovation and efficiency… It’s all work in progress and our training commitment keeps evolving to accommodate our employees’ needs and company’s goals. However, the only rule that governs all these activities is that you have to share what you learned with colleagues and spread your newly acquired knowledge. This turns the student into a teacher, giving him the responsibility to grow the company knowledge in a scalable way while ensuring that he really learns and understands.
LAUGH The sense of belonging is a must for everyone, as described in Abraham Maslow’s work The Hierarchy Of Human Needs. Millennials’ need for belonging is strong and ongoing. Even when alone, Millennials are not alone: they’re connected via technology to their friends or some kind of interest group or forum… Furthermore, they place a high value on virtual relationships so they consider their network to be limitless. Millennials don’t keep their experiences or thoughts to themselves; for them, experiences only have a value once shared - food is photographed before being eaten, concerts are viewed through the screen of a smartphone. Nothing reassures me more than when I hear a burst of laughter in my team. To me, this is like a confirmation that I got the team right. It’s the audible proof that there is a glue that keeps the team together, it’s the sound of the oil that makes the collaboration process smooth, the transparent tie that promises that tomorrow, they’ll be back at their desk, ready for more and having a good time. Any comedian will tell you that it is much more difficult to make people laugh than it is to make people cry. There’s no recipe to ensure we all get our three minutes of laughter per day (healthy ratio), and as a leader, as a manager, I certainly CGiMAGAZINE.COM
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can’t rate or instigate or force that. But what I can do is to set up an environment where laughing, bonding, sharing are encouraged. Soldiers at war laugh, nurses and surgeons laugh, even prison guards laugh at work. A serious job, responsibilities or a uniform do not stop people from laughing and bonding. Lack of trust does. Laughing demands letting go of control, being yourself and sharing with others, and it requires a healthy level of “psychological safety”. Interestingly, psychological safety happens to be the secret ingredient that Google found to be at the root of the most successful teams in the world. Psychological safety is defined as such in Wikipedia: “a shared belief that the team is safe for interpersonal risk taking. It can be defined as "being able to show and employ one's self without fear of negative consequences of self-image, status or career". In psychologically-safe teams, team members feel accepted and respected.” Psychological safety is the ability to be yourself, to count on others, to know you’ll be supported if needs be and you’ll be there for others, that there is a high level of empathy and genuine caring within the team and that it’s equally positive to be honest about your weaknesses as it is to show your strengths. Psychological safety implies that team members feel comfortable expressing conflicting opinions and taking risks. Indeed, it is impossible to be funny in an environment where conflict is avoided at all costs, diversity of thoughts is not encouraged and political-correctness censors self expression. Laughter can’t be forced, but it can be welcomed and encouraged. I was lucky to be exposed to a great deal of laughter and camaraderie when working for start ups. Google was a start up when I joined in 2003 and so was Eventbrite when I joined in 2012. One of the peculiarities of start ups to which I am most attached, is that work is discovered as you go along; things are not figured out in advance like in larger, older corporations. People have to embrace responsibilities way beyond their job description; crisis happen often and unexpectedly and demand innovation and collaboration; a certain level of mayhem is constant, from which the magic happens and upon which the company grows and matures. There is also an acceptance of failure and learnings because new boundaries are being explored. This is an environment that is highly conducive to pushing everyone’s boundaries while exposing individual personalities, hang ups and weaknesses. In this environment, fostering “try, fail and learn fast” and a solid sense of humour is the glue that turns anxiety into excitement, obstacles into challenges. This start up mentality is almost impossible to recreate at scale in a large group if it is not already in its DNA and company culture, but it is totally possible to welcome it within a specific function. So I re used many tricks and tools from Google and Eventbrite: from a monthly “Make It Happen” award, to having walls turned into white boards for brainstorming purposes and for listing the funniest quotes of the moment as well as motivational and humoristic phrases. So here you have it: my ever-evolving recipe to building the future of our companies, making the most of the unique traits of Millennials, this wonderfully creative and confident workforce that are stepping into our offices.
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LOVE: Help them fall in love with their role, their department and the company they work for, encourage empathy amongst team members.
LEARN: Focus on continuously challenging what they know and pushing them to learn every day and set learning goals
LAUGH: Encourage camaraderie and psychological safety as well as a sense of belonging and collaboration with a good laugh now and again. :: CGi
MARION GAMEL
Marion Gamel started her career in Paris in the fashion industry. After working for international fashion houses, she moved to London. In 1995, Marion co founded the first magazine for the modeling industry: NG Magazine, in partnership with Emma Heming-Willis, the publication peaked at 45,000 copies worldwide. While attempting to put NG magazine online in the late 90's, Marion caught the "Internet bug" and started working in 2000 for the European online advertising group AdLink as Marketing Manager for the UK and Ireland, where she joined forces with the Internet Advertising Bureau to evangelise the media and advertising industry about the opportunities offered by digital advertising. In 2003, Marion joined Google as a founding member of the European marketing team, reporting to Lorraine Twohill, Google's CMO. For 2 years Marion was Marketing Manager for the UK and Ireland, where she launched Google's B2B products: AdWords and AdSense, as well as consumer products such as GMail and Google Book Search. She also created Google's first ever branding campaign: Doodle4Google, that was then used in 20 markets, and for which she received the Founders’ Award. In 2005, Marion saw a great opportunity for Google in India where the Internet giant had no domestic operations. With a strategy approved, she moved to Bombay in 2006 where she was Head of Marketing for India, Pakistan, Bangladesh and Sri Lanka. In 2008, Marion turned her focus on the Middle East and Africa where she lead Marketing and before she left Google in 2010, she was looking after emerging markets of Eastern Europe. After consulting for a couple of years, Marion was appointed VP of Marketing EMEA in 2012 by the global and fast-growing Internet ticketing and event marketplace Eventbrite, where she built a European team and grew Europe's contribution from 6 to over 15% of its global revenue. She left Eventbrite in 2015 to launch her own consultancy, MarketingFuel, offering two services: A "CMO on Demand" for fast growing tech companies as well as coaching for young C-level executives. In January 2016, Marion joined Betsson Group, European leader in online gaming, as CMO. Marion is also the CEO of Betsson Services, the group's marketing agency. She currently lives in Malta, manages a large team of marketers looking after the group's 25+ brands globally.
LEADERSHIP VIEWPOINT ::
DISCOVERING SOLuTIONS AND uNLOCKING OPPORTuNITIES L
eadership is not an option when it comes to success in the online casino space. As we have seen countless times both within our industry and beyond it, those who follow will not build sustainable success. Some in igaming have had an extremely narrow view of the challenges we face as a sector, preferring to focus attention on immediate competitors rather than the bigger issues we face. As slot developers, we are under constant external pressures from industry stakeholders, operators, customers, rival industries, new technologies, the media, regulatory authorities and politicians. How we react to these challenges to deliver innovative, engaging and compliant products will define the shape of our sector over the coming 12 months and beyond.
Fredrik Elmqvist Ceo Yggdrasil gaming
New Opportunities Those who find the best solutions to these challenges are presented with major opportunities for growth in online casino. According to iGaming Tracker, which tracks which suppliers’ slots are in prime position on major operators’ websites, Yggdrasil’s market share of these key positions increased from 1.8% in August 2016 to 4.6% in August 2017. Many of the more established providers to the UK online casino market experienced a decline in their share during this period. What this tells us is that despite the industry-wide trend towards consolidation and M&A, there is still room for smaller, innovative and more nimble providers to grab major market share from more established competitors. Let’s not forget that Yggdrasil is still relatively new to the UK market, only gaining a licence at the end of 2015. Nor are we the only provider to enter the UK in the last couple of years and quickly establish ourselves next to far larger competition.
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<< I am a rm believer that a company cannot dictate its culture; instead, it must hire the right individuals so that it develops organically. >> Yet this runs counter to the supposed logic of those who argued that the new era of consolidation would mean that only those who build scale via acquisitions would be able to compete in Europe’s most competitive and highly regulated jurisdictions.
Strategic Decisions Achieving this impressive growth has been a direct result of a company culture that emphasises innovation, creativity and quality over short term gains. This means long term thinking in terms of building relationships with local communities across our office locations. This has helped us to extend the pool of potential recruits beyond igaming, fuelling creativity and new perspectives. We’ve found this to be a major boost to the way we work, at every step of the development process. Our growth is also the result of key strategic decisions enabled by our extensive wealth of experience in the gaming sector. Two of these decisions have been crucial to Yggdrasil’s success. Firstly, the big call to move away from Flash and focus fully on HTML5. This was well before most players in the industry had realised that this would quickly become the only way to create the type of rich mobile content required to engage players. Secondly, the decision to build our own platform and accompanying promotional tools allowed us to offer operators more creative ways to market slots at a time when most were focused solely on free spins. In today’s slots market these seem like common sense decisions, and they have been replicated by countless others. But make no mistake, at the time, they were pioneering. Only those who continue to make bold moves, backed by a strong culture and an unparalleled understanding of our sector will be in a position to continue to grow in an increasingly competitive backdrop.
Picking The Best This bold approach to leadership touches every part of Yggdrasil. Recruitment is another area we’ve spent a lot of time exploring. I am a firm believer that a company cannot dictate its culture; instead, it must hire the right individuals so that it develops organically. This sometimes means looking beyond technical skills and competencies during the hiring process and pick people who share our goals and ambitions. It also means creating a genuinely engaging brand that attracts potential recruits to us. It has worked for us and we are now reaping the benefits. We are currently one of the most desirable companies in our sector, borne out by the quality of people we are seeing approach us to
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join Yggdrasil. This is what will power the next phase of growth.
Competing Globally To compete in online casino, we are now required to think on a far bigger scale, and consider the broader entertainment ecosystem, how it is evolving, and how we can keep pace. As a slots developer or an operator, we are not only competing with rivals in our industry. We need to ask ourselves how we engage potential players in an environment where they have an unprecedented range of entertainment options available at the touch of a button. We need to consider how the products we create stand up against the engagement of AAA video games, the wow factor of Hollywood blockbusters and immersive social media experiences. If we don’t adopt a more holistic approach to include share of end-user attention, online casino will die. It is a simple equation. Churning our tired games around the same themes using the same mechanics is not enough. Anyone working in a tech industry should not need a warning. Those who fail to innovate go out of business.
A Bright Future This is not to say I am pessimistic about the future. Looking back at the iGaming sector, even just four or five years ago, it was offering a far inferior product. Mobile growth was reliant on underlying uptake driven by new hardware, rather than incremental growth powered by a better experience for players. We are active in one of the fastest growing sectors in technology, and a raft of sensible regulation across Europe has created a sustainable framework upon which to build further growth. However, only those who show genuine leadership, act on opportunities and disrupt the industry will survive. :: CGi
FREDRIK ELMQVIST
Fredrik Elmqvist has vast experience within the gaming sector, from sports pools to casino and lottery. He is the former Head of Account Management and Chief of Global Market Operations at Net Entertainment. Elmqvist founded Yggdrasil Gaming, building the business from idea to execution in less than a year.
MOBILE ::
THE POWER OF THE PLAYER T
he online gaming industry evolves in tandem with the technology that empowers play. The conversation between creators, tech providers, and online casino operators often focuses on the potential of upcoming technology and how game makers will utilize it to its full potential. The end-game, though, and the final piece of the puzzle, is always the player. While technology and the user experience are inevitably intertwined, player impact doesn’t always receive the focus it deserves. With this in mind, it’s time suppliers and operators start exploring, in its fullest, the power of the player in the online gaming space. Change is ubiquitous, and it is almost always characterized by new evolutions in tech: a new smart phone model, a faster computer, virtual reality gaming, etc. Rapidly evolving platforms may power the way games run, but the player truly powers the way games are created.
Tom Wood vice President & Chief Product officer, B2B sg interactive
Adaptation Inspires Innovation Player habits can change over time or at a moment’s notice, and those altered habits catalyze the need for innovation to keep users engaged and active. Players are technologically fickle, and the very second technology changes, even on a small scale such as a minimal operating software upgrade, player desires and needs change right along with it. Mobile devices permeate the entire global marketplace, presenting countless new player expectations and interesting evolutions of how we play. Mobile devices share a few key aspects that unite large player populations around certain features. Mobile play needs to be as portable as the device enabling it, fast, and intuitive. Players, whether or not they voice these needs, recognize when an experience isn’t seamless or when any element of the game is impeding their experience. As a result, CGiMAGAZINE.COM
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game developers must focus on portability, speed, and intuition from the player’s point of view while they make games. With regard to portability, stepping into the player’s metaphorical shoes is perhaps the most important consideration a modern supplier can make. Mobile users take time to check their phones on the train, during walks, on their coffee break, or anywhere else that allows for a free moment. When a mobile user is on the move, holding a phone in landscape mode can be a bit of a hassle that requires two hands or sacrifices accessibility to buttons on the game interface. Portrait mode gaming solves this problem and many more in addition to opening up new opportunities for aesthetic improvement. Vertically oriented games mark an interesting point in the modern igaming timeline. Portrait mode enables players to spin the reels with one hand, and, at least in SG’s case, it replicates the size and shape of the game’s land-based counterparts. Removing the necessity for landscape play empowers players to engage with their favourite titles anytime and anywhere—it’s an unprecedented step rooted in the players’ desire for more portable gaming experiences. When developers approach new features with the player in mind, innovation becomes the undisputed focus. Game speed encompasses large swaths of the development process—it’s a multifaceted quality that players influence simply by being users of devices that constantly get sleeker and faster. Load times rise to the forefront of any discussion on the speed of a particular game, but also important are responsiveness, play time, and entertainment value. When a player taps the screen in a given place, how quickly does the interface respond to the command? Once the reels start spinning, without the player stopping them, how long before they land on their own? When a player spends 20 pounds on a game, how long can they play? These questions all relate to speed, but they’re also key components in the development of a game. There’s no way to determine the answers without placing oneself in the player’s
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shoes and testing the experience firsthand. With the exception of the last question, which can typically be determined by a game’s math model and the player’s bet, these questions must be considered carefully by anyone involved in the game’s progress to ensure a flawless and responsive experience for anyone who plays. Another prime example of player power can be found in the intuitive features that comprise any game. If a player presses the spin button, then they should expect the reels to spin. The smaller navigation options within a game should be equally intuitive; bet increases/decreases, the information screen, and settings should all function as cohesive parts of one whole. If a tap of the screen doesn’t lead to a player’s expected result, the developer needs to retool the function so it meets expectations. The features and functionality of any game must involve thoughtful consideration of how players will perceive the experience. Their power to play your games is also their power to influence the way you make them.
Content is King Development tricks and player-based creation tactics cannot be undersold as tools of the trade, but at the end of the day, players recognize your content and themes over everything else. Brand loyalty inspires creativity and experimentation within the confines of tried-and-true techniques. When a specific game theme shines among hundreds, players are sending a clear message: this is great content. The developer can use that in building future roadmaps, but in the short term, this attitude can encourage the player to dive deeper into the portfolio and search for games with similarities, whether they be the same reel set, a familiar bonus round, or thematic genre that creates a fun game world. Suppliers have players to thank for the ability to try new techniques within specific brands—when that’s done successfully, everyone wins. A prime example is our Rainbow Riches® brand. The original
MOBILE ::
title is one of our most successful online games of all time, and later versions of the theme, such as Rainbow Riches Pick ‘n’ Mix®, Rainbow Riches Free Spins, and Rainbow Riches Reels of Gold indicate the power of a player-favourite brand. When players love a theme, they’re willing to explore a library of variations with unique features and new ideas under the same umbrella. Branding is a tool for communication with players that presents incredible opportunities for advancement and innovation. Licensed themes also play an essential role. Instantly recognizable themes can build player loyalty quickly, and that power can’t be underestimated. A diverse portfolio could be viewed as a safety net to the pessimist, but instead it should be seen as a launching pad for remarkable advancements. When a developer spreads its talent across popular brands both licensed and proprietary, the pathway to greater success materializes. The other key influential content stream, especially for large providers like Scientific Games, is the land-based gaming space. When proven land-based themes come to the online gaming sector, we see improved engagement and brand recognition. Once again, players send an important message about the quality of the content—when something works, make it available to as many players as possible. Content, player input, and game development culminate in the ultimate example of player-inspired innovation: the omnichannel approach. Players across multiple channels have shown that they’re interested in exploring brands wherever they can— online, on property in betting shops or casinos, and in lottery games. The ability to present many options further strengthens relationships with players and encourages players to find new ways to play. Familiarity with a brand can build bridges to different content of the same brand. If a player enjoys Lock it Link® Night Life online, they may seek it out in a land-based setting and vice versa. Of course, none of this is to say there isn’t a place for risk within the industry. It’s crucial to disrupt the space with fresh ideas whenever possible and carefully measure the player response. New game engines, unique bonuses, new game features and inventive art and sound all have their place in the trajectory of the online gaming industry. Players may not realize the influence they have over the game development process, but their presence from start to finish is undeniable. When players respond positively to a theme—no matter where the theme originated—they tell game creators exactly what they want. Every time they play, they’re contributing to an ongoing narrative that tells the story of successful games and brands and ultimately influence future game roadmaps.
Art and Sound Create the Game World The elements of art and sound are the stand-out indicators of a game supplier’s understanding of players. When the visuals and sound in a game tie the math and functionality together into one neat, cogent package, the resulting game experience feels more immersive, more fun, and more engaging. Thoughtful artistic and sonic touches can make or break a player’s experience with a game. When a player is idle for some time, subtle animations around certain buttons can encourage reengagement. When two bonus symbols land and a third may trigger a feature, anticipation can be maximized with the right choice of sound. Slick animations leading into a bonus round keep
players enthralled even as the screen transitions from one interface to the next. The bottom line here is that art and sound represent the level of trust a developer has with the player and vice versa. The creator of a game has to navigate the delicate balance of including enough visual and aural clues to be a guidance system while not overwhelming the player with visual or aural stimulation. When this balance is off on either side, the game creators have to revisit exactly what went wrong and evaluate the process with regard to the player’s reaction. In other words, responsibility to meet the player expectations lies solely with the supplier, and the power to exit a game or keep playing lies solely with the player. Once a math model is selected and the skeleton of a game is assembled, art and sound become the conduits through which we communicate with players, guiding them through the experience in a way that, hopefully, is productive and enjoyable. Throughout the entire process, we listen to players, ensuring we make the best possible game for them.
A Two-Way Street As discussed earlier, technology and players are constantly in sync with one another. Just as technology changes the expectations of how a device will function, players and users change the goals of tech providers. This truth remains when gaming technology becomes the focus. Future-proofing is now an expectation. Seamless transitions between mobile and desktop are a must. Everything else aside, a game should be guided by the anticipated and researched response from the end user. Technology allows creators and operators to provide the experience, but players, more than anything, truly power online gaming. A game may be developed before a player sees it, and the technology may be ready before the user understands it, but one thing remains consistent amidst constant change: players always come first. :: CGi
TOM WOOD
As SG Interactive’s Vice President & Chief Product Officer, B2B, Tom Wood leads Global Product Strategy, Technology, Compliance, Delivery and Roadmaps for the Remote Game Server (RGS) and SG Universe™ business lines. He manages a worldwide team of Product Managers, Game Development Squads and Technology Specialists who are driven to meet or exceed market and customer expectations. Mr. Wood effectively manages the deepest and broadest portfolio of content across SG Interactive’s four game development studios – Bally, Barcrest, Shuffle Master and Williams – including an industry leading library of popular licensed brands such as MONOPOLY™, Wizard of Oz™, KISS™, Bruce Lee™, Elvis™ as well as player favourites such as Barcrest’s Rainbow Riches®, Bally’s Cash Wizard and Shuffle Master’s Three Card Poker. Previously, Tom has served as the Director of Casino at Williams Interactive. Before that, he held several senior leadership positions in the industry including roles at Betsson, Nordic Gaming Group and Jadestone.
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THE
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2 0 1 7
BERLIN AFFILIATE
CONFERENCE 1 - 4 NOVEMBER 2017, MESSE BERLIN
! es t a i l ffi a Free for all www.BerlinAffiliateConference.com
REGuLATORY ::
WHAT IS THE FuTuRE FOR AFFILIATE ADVERTISING? N
o responsible gambling operator wants to see their company’s services advertised as a solution to debt and depression, but that’s exactly the situation Casumo, 888, Sky Vegas, Ladbrokes and Gala found themselves in recently due to the actions of one rogue affiliate. Affiliate advertising has become an essential way of generating business for many gambling operators, but the risks of handing over marketing responsibility to third parties have recently become very apparent. With the gambling industry already suffering from an image problem, and criticism of the levels of advertising and its social responsibility becoming commonplace, is the only option for operators to cut off affiliate advertising entirely, or can the risks be managed?
Melanie Ellis senior associate harris hagan
The Current Landscape In February 2017, Sarah Harrison (Chief Executive of the Gambling Commission) gave a keynote address at ICE in which she indicated that the Commission, in conjunction with the ASA and ICO, were “working to drive up standards and, where necessary, take enforcement action” in connection with misleading and unsolicited marketing communications. She stated that “these practices are often associated with affiliates” and that “the affiliates who promote your brand and who drive business to your websites are your responsibility, and it is you who are accountable.” Since Sarah Harrison’s speech, the ASA has published a number of rulings against gambling operators in relation to adverts published by their affiliates and, on two occasions so far, a licence review by the Commission has followed. In April 2017 the Commission reviewed BGO Entertainment’s
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<< Whilst reputational damage and nancial penalties can be managed to a certain extent, if an operator loses their licence, their business (in that jurisdiction at least) is effectively at an end. >> operating licence after misleading adverts (which failed to make significant conditions of promotions clear) continued to be published by the operator’s affiliates, despite correspondence with the Commission on the issue and assurances by the operator that the problems would be rectified. Then in June 2017, following an ASA ruling against the operator, the Commission investigated advertising by Lottoland’s affiliates which failed to make it clear that customers were betting on the outcome of a lottery. In a regulatory settlement with the Commission, Lottoland stated that it “accepts that it is responsible for the actions of its affiliates and has terminated its relationship with a significant number of affiliate partners to enable it to exercise greater control of the marketing material produced and published by affiliates”. Most recently, a spate of irresponsible affiliate adverts led to ASA rulings against 888, Sky Vegas, Casumo, Ladbrokes and Gala Bingo. These “advertorials” really brought to the fore the risks of allowing third parties control of marketing material for a gambling business, profiling a character “William” whose debt and depression issues following his wife’s cancer treatment were resolved by a large gambling win. It remains to be seen whether any licence reviews will follow these ASA rulings, but given that they appear to represent cases of one bad advert “slipping through the net” rather than systemic failures, hopefully a line can be drawn under it. Risks Some of the key risks to gambling operators from the use of affiliates are: l l l l
Harmful or offensive content of advertising Advertising that fails to highlight significant conditions of promotions Advertising material that is sent to self-excluded customers Advertising that is published in, or sent to customers in, illegal territories
Each of these carries a risk to the operator’s public reputation, risks to the operator’s licence and risks of legal action. BGO and Lottoland paid financial penalties to the Commission of £300,000 and £150,000 respectively. However, the Commission indicated, as part of its review of its enforcement strategy earlier this year, that it would be implementing higher financial penalties. This materialised in a record £7.8m penalty
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against 888 in August 2017. Although this related to failings in their self-exclusion processes rather than advertising issues, it indicates an increased chance of financial penalties being imposed which would have a material impact on an operator’s bottom line. Whilst reputational damage and financial penalties can be managed to a certain extent, if an operator loses their licence, their business (in that jurisdiction at least) is effectively at an end. Excuses relating to the difficulties of managing a large and varied affiliate network are likely to fall on deaf ears.
Mitigation In the wake of the ASA rulings in particular, Sky took the decision to terminate its affiliate program altogether, 888 closed a large number of its affiliate relationships and Paddy Power implemented a “one strike” policy. Ladbrokes said it would be “clamping down hard” on rogue affiliates. There are a number of steps operators can take to mitigate the risks of using affiliate advertisers that stop short of closing down their program altogether. These include: l l
l
l l
l
l l l
Carrying out due diligence on new affiliates before allowing them to join the program; Incorporating detailed warranties in affiliate contracts, requiring them to comply with the provisions of the LCCP, CAP and BCAP Codes and Gambling Industry Code of Practice for Responsible Gambling; Providing affiliates with copies of these codes and requiring them to acknowledge that they have reviewed and understood them; Encouraging affiliates to use the ASA’s copy advice service; Instituting a policy whereby affiliates will not be paid for non-compliant advertising, and including this term in contracts; Instituting a “one strike” or “zero tolerance” policy for noncompliant adverts, by including the right to immediate termination in contracts; Conducting regular reviews or spot checks on affiliate advertising; Restricting the total number of affiliates, to enable suitable levels of monitoring; Providing affiliates with up to date lists of self-excluded customers, to the extent possible in compliance with data protection laws.
REGuLATORY ::
Ultimately, despite taking all of the above steps, some inappropriate advertising can slip through. To avoid regulatory action, a prompt and robust response to such issues is required. Operators need to ensure an isolated incident does not become a series of advertising issues, adding up to an indication of their unsuitability to hold a gambling licence.
The Future It is unlikely that we have seen the last of the ASA and Commission rulings in relation to non-compliant affiliate advertising. We may see higher financial penalties by the Commission, particularly where there appears to be fundamental failings in licensees’ control over their affiliate partners, rather than isolated incidents. Whilst such a move might be welcomed by some of the larger affiliate companies, so far there has been no indication that the Commission is considering the possibility of licensing affiliates. Requiring affiliates to comply with the same licence conditions as operators in relation to marketing seems like an obvious solution, but this comes with a number of drawbacks. As well as adding to the administrative burden on the Commission, it would create possibly insurmountable barriers to entry for new and smaller affiliates. This might not be a particular concern for the Commission and, in any event, licence fees would most likely be based on turnover, enabling start-ups to enter the market with a lower up-front cost. What might concern the Commission is the potential for operators to place undue reliance on the licence status of their affiliate partner, abdicating their own responsibility for compliant marketing materials.
What needs to happen now is for operators to work with their affiliates (and vice versa) to generate business in a responsible and compliant way. For those affiliates who are able to reassure the concerns of operators and demonstrate that they have compliance processes in line with the operator’s own, there is still great potential for a profitable relationship, but we can expect to see operators terminating relationships with affiliates who cannot provide that level of reassurance. In the coming months we should see market forces coming into play, with disreputable affiliates marginalised and those who can demonstrate high standards increasing their market presence. :: CGi
MELANIE ELLIS
Melanie Ellis is a senior associate in the gambling law team at Harris Hagan. After graduating from St Hilda's College, Oxford in 2003, Melanie trained as a barrister before joining Harris Hagan in 2005 and qualifying as a solicitor in 2008. Melanie has developed expertise in dealing with all aspects of gambling law advising major casino operators, online betting and gaming operators and start up companies. She has advised on establishing operations in the UK and in offshore jurisdictions, on issues relating to advertising in the UK, on lotteries and prize competitions and 'due diligence' on the licensing aspects of corporate acquisitions. She regularly contributes to gaming law publications.
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14 - 15 NOVEMBEr, 2017 CONVENE, NEW YOrK CITY WWW.SPOrTSBETTINGCONFErENCE.COM
S P O
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U S A
A NEW PLAYING FIELD @SPOrTSBET_ USA
#SBUSA17
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CREATING POSITIVE PLAY AND SMART PROFILING IN THE DIGITAL (R)EVOLuTION T
Alessandro Fried Chairman BtoBet
he global business environment is undergoing a significant digital transformation driven by a combination of profound and era-defining factors: changing consumer demand, the emergence of disruptive technology and the reduction in time-to-market. In terms of communication, entertainment, games, social media, banking education or shopping smartphones are ubiquitous, their use is increasing and the gaming industry is evolving in step with the technology. More people spend more time and money every year consuming content not only on their smartphones and tablets, but also through other components of their evolving digital based daily life, such as digital watches and touch screens in the car. Embracing digital transformation is an on-going challenge and here I will share with you my vision on how the gambling industry can harness technology and which advanced tools can help operators to expand their business, analysing the users, predicting what they like and anticipating users’ needs before they themselves are completely aware of what they will want in the future.
Present and Future Shifts in the Digital Transformation The increasing rate of change in new devices and technology are intrinsic to our daily lives and betting is a part of these broad trends. Customer expectations are changing accordingly, meaning operators have to stay updated and study new approaches to attract new clients and keep existing clients loyal to the brand. The rules of the game have changed, driven by the consumers and their preferences. Whether it is on the desktop, on the mobile or in the shops, the gambling consumer is seeking entertainment and personalization from their gambling choices. Giving them the bets they want, when they want them and in whatever form suits CGiMAGAZINE.COM
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them best, is both a challenge and a requirement. Additionally, the development of new competencies revolves around the capacities to be more agile, people-oriented, innovative, customer-centric, streamlined, efficient and able to tap into new information. Present and future shifts and changes, leading to the necessity of a faster deployment of a digital transformation strategy, can be induced by customer behaviour and expectations and by new ecosystem around digital technologies. The power of the technology that players and bettors now carry around with them 24/7 is opening up a whole new world of opportunities for licensees to engage with their customers. The proliferation of mobile, and the ability to access content ondemand, suggests that purchasing power has shifted from the brand and retailer to the consumer. So, with digitalization the player’s journey has become more interesting and full of opportunities. Let’s focus more on the digital players.
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The Customer Evolution in the Gambling Markets and the Digital Transformation Journey Consumers want a seamless gaming experience! For this reason, mobile is the channel every igaming and sports betting brand need to be prioritizing. What do mobile users like mostly? Look for information about specific products or events; explore the brands’ offers whenever they wish, attractive visual contents, check out reviews and compare options. As a consequence, operators must be ready to shape their products following the customers’ expectations. Digital transformation is a journey with multiple connected intermediary goals, in the end striving towards continuous optimization across processes, divisions and the business ecosystem of a hyper-connected age where building the right bridges in function of that journey is key to succeed. As digital users are attracted by images, gambling brands are facing a new opportunity to connect with clients through a more visual and emotional method.
SPORTSBETTING ::
Brands must integrate social photographs and nice visual products into the marketing mix to remain relevant and achieve a marketing presence. It is interesting to see how touchpoints are valuable opportunity for interaction. In every journey through digital enterprise or bricks-and-mortar branch, customers experience brands through myriad touchpoints. Each touchpoint presents a valuable opportunity to interact with customers and hear what they say. This goes for betting and gaming as much as another sector. From betting shops with their myriad of potential bets and games through to desktop offering and the mobile, the journey needs to be seamless with a branding strategy that enables players to participate in the bets they enjoy in each environment. Players know more about product or service, and have more information on how to improve, enhance or expand it, than ever before. Betting and gaming customers are the most vital resource for understanding which bets and games are popular, when and where. A system that is attuned to this customer feedback will be ever more able to provide further bets and games. Understanding where and when a bet was made is just as important to the business as knowing what the bet is.
How to Predict What Players Like Next? An advanced but easy-to-use technology for the iGaming and Sports betting business is what operators need today. The essence of digital transformation in the igaming and sports betting industry is an evolution of the player-bettor’s experience following the trends and providing unprecedent offers thanks to advanced technology that can help operators to predict players’ expectations. In this regards, the support of a trustful iGaming and Sports betting software provider becomes crucial. It must provide the latest software engines to understand their clients’ 3D journey and the adequate tools to drive their business in a profitable direction.
Today, there is a great range of digital services, platforms and devices available than ever before capable of generating insights from social media and messaging apps, location-based services, online and mobile payment transactions. These multiple sources of data, combined with the ever-improving technological capacity to reconcile data emanating from different devices, will enable an increasingly rich view of the players, moving towards a view that is more fully formed and contextually relevant. Licensees need to understand how these multiple customer insights relate to the various touchpoints in the players’ journey, such as where they viewed a product including both the location and the type of device. They need to recognize rapidly changing trends and to adapt their businesses alongside them. This includes adopting promising new technologies, embracing the partnership opportunities, displaying fresh and innovative concepts for engaging and interacting with both the suppliers and the player.
Artificial Intelligence, More Than Marketing The evolution of platform technology has advanced way beyond simple player management systems that enable operators to acquire and analyse a player’s data and behaviour. The gambling offer have to become personal and here the application of ARTIFICIAL INTELLIGENCE or AI makes even more sense than before. Player management, acquisition and retention are all areas where AI is already making its mark. Artificial Intelligence sustains and guides the operator to make the best decisions for the management, acquisition and retention of players. The Artificial Intelligence software, through precise algorithms, works on different processes simultaneously while monitoring the player’s behaviour, suggesting operator information about players’ preferences and, at the same time, proposing suitable offers to every single player. Licensees need suitable tools to manage their business with flexibility and an omnichannel platform and Sportsbook software,
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based on Artificial Intelligence, is the key for operators to deliver the right product at the ideal time for every single customer by studying their past behaviour and also by aggregating players with similar gaming habits. The possibility to anticipate the player’s desires by suggesting the bets and games that can trigger his interest is fundamental to extend users’ life cycle to the advantage of the operator who can drive a targeted marketing campaign, propose tailor-made offers and increase the wagering activity. In today’s digital world, the pressures affecting the gambling world are the same in the rest of the business world with digital transformation affecting every part of the economy. To keep pace, gambling operators have to be forward-looking and equip their business with the appropriate tools and technology to provide them with the flexibility they will need to answer the questions posed by a consumer which is more digitally adept than ever before. Only by employing systems and processes with the appropriate technology will operators be providing gaming and betting services that will compete with the very best in the sector and truly impress the consumer. Here is out simple guide to ensuring each customer enjoys the experience of playing: 1. Choose a trustful partner, able to support your credibility and your brand’s reputation 2. Deploy excellent omnichannel data management, to acquire the huge amount of potential about the player. Through a continuous flow of information, analysis and suggested bets can then be offered to each player regardless of channel. It can help operators direct traffic between mobile, online and
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retail and at the same time it allows the player to enjoy a perfect gaming experience no matter if they are playing online, via mobile or in a retail environment. 3. Count on an advanced technology in terms of Analysis • Marketing • User experience for cross-channel offers via a flexible, agile omnichannel platform. To conclude, the invitation to play and bet on what users like, allied to the quick update of markets and proposals, are factors that perfectly assimilate into the mobile logic and expectations of the player and creates life-time value. Targeting players with incentives, offers and customized content at the time they like to play is the way to succeed. :: CGi
ALESSANDRO FRIED
Alessandro Fried is BtoBet’s Chairman after being CEO for 2 years. He is widely recognized as a visionary in the igaming sector and is frequently invited to speak at national and international igaming forums. He designed, developed and launched many successful products on the international market, and also obtained the first European licence in remote gaming from Malta Gaming Authority (MGA). He pursues the strategy in BtoBet of setting the new standards for the iGaming industry, refusing to settle for quick fixes or half measures, striving to anticipate the future needs of our global audience, anticipating and meeting global industry needs.
Totally T otally Gaming
SUMMIT
Totally Gaming Summit | 2017 31 October - 2 November Tallinn, Estonia
Ƥ www.TotallyGamingSummit.com
DATA ANALYTICS ::
THE THREE TECH TRENDS REDESIGNING THE ONLINE GAMING ExPERIENCE E
Cheng Liem Li CCo acapture
stimated to reach an impressive valuation of USD59.79 billion by 2020, online gaming is, without any doubt, one of ecommerce’s biggest success stories. If we examine the rapid development of the industry, we quickly see what has set online gaming on “fast forward” mode: its approach to technology. More precisely, the effective way in which the industry has managed to keep up with and adapt to advances in consumer technology has been key to the consistently impressive growth figures it has recorded over the last 20 years. So, it’s safe to say that online gaming is technology driven. New developments in consumer technology massively impact the way people like to bet, which, in turn, affects the way operators do business. And it’s the operators that best adapt to these tech innovations that pull ahead of the competition. As we’re always curious about what the future holds for this exciting industry, we investigated and analysed the main technology trends expected to influence online gaming in the coming years. Data = Valuable Consumer Journey Insights 2017 was predicted to be the year of data science, with many experts expecting to see the majority of companies using data analysis and management to enhance their services, improve customer targeting and deliver a better experience. So how is data being applied to gaming? Well, firstly, there is the effect on odds and predictions. Data analytics can help bookmakers to deep dive into statistical information like scoring patterns to deliver more realistic odds to players. Similarly, players can make use of data analytics services to better inform their betting strategies. For example, poker players are using applications like Sharkscope to track their and other players’
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histories, supporting them to make better decisions at the virtual table. Secondly, data is also changing the way gaming operators engage with their target audiences. With the help of data analytics, operators can craft highly personalized gaming experiences for their players, in line not only with their betting patterns but also with their other interests and preferences, whether these are related to gaming or not. This new practice has been welcomed by players, with 67 per cent of UK gamers stating that they would be more loyal to bookmakers offering a higher level of personalization. With this degree of influence, data science is set to be a key differentiator in the way operators develop their user experiences and engage with their players.
AI: Putting Data Into Action If data is key to impressive personalization, artificial intelligence is the engine that puts it into action, delivering an improved gaming experience for the player. Sophisticated AI software enables extremely accurate product personalization. It can learn what users like and offer them targeted recommendations on
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how to get the most from a gaming platform. Apart from user recommendations, AI can solve gaming issues or queries faster via customer service chatbots. Based on previous interactions, chatbots can better measure the conversation context and react faster and more effectively to the issue being raised. Another application of artificial intelligence in the gaming industry is in the fight against gaming addiction. By tracking and analysing online gaming behaviour, AI can accurately predict if a player may be at risk. By creating more engaging gaming experiences for the players while also supporting the fight against gaming addiction, AI is having a positive impact on the industry, increasing the revenue of operators while helping to promote more responsible gaming behaviour.
IoT – Connecting The Data Dots With 100 billion IoT devices projected to be in use worldwide by 2020, it is clear consumers are comfortable with smart technology. This, in turn, has led them to expect a seamless customer experience. IoT offers gaming operators an increased number of available
DATA ANALYTICS ::
data collection points, especially with mobile’s ongoing growth as the preferred channel for gaming. For players, mobile enables a more convenient, faster and simpler experience. With more devices gathering more gaming experience insights, casinos and bookmakers have the opportunity to get even more actionable data on user experience, preferences, player patterns and popular trends. Moreover, IoT connects not only the data dots, but also the online and offline channels. While the reward program has always played a crucial role in ensuring the loyalty of players in traditional brick and mortar casinos, IoT has completely reinvented the concept. Nowadays, casino operators can easily connect with their consumers via smart devices, asking for feedback, sending them the newest updates and encouraging them to visit the online version of their casino. This type of interaction leads to a higher level of engagement and connectivity between gaming operators and their consumers. With the increase in connected devices, operators will have more support in regards to properly reaching and engaging with their players, whom will reward them with greater brand loyalty. Together, data science, artificial intelligence and IoT are
building a solid foundation for a next level gaming experience. This will empower gaming operators to attract and retain a larger number of players, ultimately leading to higher revenues. We can expect to see a majority of gaming operators adapting to these trends to improve their business and make sure they keep pace with consumer technology. :: CGi
CHENG LIEM LI
Cheng is the CCO of Acapture, responsible for the development and market expansion of the company, ensuring the integrated commercial success. He is in charge of the commercial strategy and sales operations of Acapture with a global focus, cultivating and nurturing strong, longterm partnerships with international acquirers, payment service providers and merchants. Cheng’s energetic commitment to Acapture’s business partners has built him a reputation of a trusted advisor, supporting them to successfully expand their business beyond borders.
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HOW MANY CAMPAIGNS ARE TOO MANY: SEEKING THE MAGIC NuMBER A
Omer Liss research Lab Team Leader optimove
s he’s clicking the ‘send’ button, every marketer wonders– is this the one campaign that will bring back my churned customers, or is this the one that could cause my unsubscribe rates to soar? These 5 steps will help you decide One of the toughest quandaries every marketer faces is deciphering the number of campaigns they need to send to their customers: What should the frequency look like? What amount will produce the best results? To start answering these questions, we should first understand where they originate from: sending out a large bundle of campaigns may cause the exact opposite reaction from the desired result – serving as a distraction. The ideal case is that each campaign is impactful, but for marketers, it’s a delicate balance. Campaign bombardment can lead to a reduction in the campaign status and can cause lower open rates. The customer will become annoyed, and you’ll lead them to the one place you don’t want them to go – the unsubscribe button, that’s where you lose them, oftentimes for good. To try and mitigate this dilemma, we will need to dive deep into our data in order to better understand our customers behaviour and feelings. In these 5 steps, we’ll try to help you reach this magical number – the optimal number of campaigns Step 1: Definition Let’s Define The Variables We Want To Examine: Campaign: what is a campaign, and what purpose does it serve? Does SMS fall under this category? What about push notifications? Or, do we only want to test our email program? It’s important to stress that defining the campaign means studying every email sent out to a specific customer. Hence – sending 10K identical messages to 10K customers, is 10K different entities.
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Period of Time: this term also derives from the question posed earlier. Is the aim figuring out how many campaigns we need to send during a week? 10 days? A month? Take notice in our examples that will follow, that the time period is not set according to a calendarial term. As such, seven days is a week, no matter which day we began counting. We think of a customer who received three campaigns (on Saturday, Sunday and Monday), as a customer who received three campaigns in a row, although technically, they were delivered on two different calendarial weeks.
Maximum Break Between Two Campaigns: defining this term will allow us to establish what a sequence is. We can decide to leave this term empty – hence, there’s no consideration on the maximum break between campaigns. On the other hand, we can set the number to 1, determining that any campaigns sent in a row one right after the other will be considered consecutive campaigns.
Step 2: Mapping The mapping process isn’t simple, and it’s quite technical. In this stage we define each campaign according to the definitions we set in step 1. After mapping them, we will look for a response from the customer. At the end of this basic process, we can check the division of the various types of executed campaigns, and conclude the response rates (simply divide the amount of “positive responses” with total amount of sent campaigns). You can also create this analysis from simple division using criteria such as – age, country, VIP level, lifecycle stage etc. In the table below, we see a benchmark of 12 gaming sites (17 million emails), dated from the beginning of 2017. In this case, there was a second division of customers while they received their campaigns – to new customers and active customers – to better understand the frequency alterations during the different lifecycle stages.
Using this set of characterizations, we can map and define every sent campaign by looking back at the time period we set and the number of campaign sent before. Here are some simple examples: Example A
Example B
By this mapping, it’s clear that most emails were 2nd campaign types. It’s also obvious that the campaign distribution for the 3rd and 4th campaigns is higher at the ‘New’ lifecycle stage. That’s because the marketing plan is more organized in the new stages of its customers. Going forward, the next stage is understanding the response rate of different campaigns types. Look at the next table:
(Each vertical line represents a day, and each circle represents campaign sent)
In Example A, the time period is seven days, with no set maximal break between campaigns.
In Example B, the time period is six days, but the maximal break is 1. Therefore, although the campaign is the 5th during these 6 days period, it’s the 4th that answers our maximal break scenario.
Response: to define the effectiveness of a campaign, we need to establish what constitutes as successful. Is it opening the email, placing a deposit, or having an active day on the site? This must be a binary answer – yes or no questions and responses. In most cases, the response will be measured on the specific day the campaign was sent out. In the example we’ll show, the response was set as day of activity. These definitions need to be well established, as they will help us come to more fundamental answers during our research. For this piece, all our testing will be based on example A.
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Here we can see the response rate for email campaigns – measuring the active days on when the customer received the campaign. Active customers respond better (26% to 17% on a non-weighted average), except for the first campaign sent, which is significantly higher for new customers. This graph, which again gathers the data from 12 different brands, doesn’t show substantial changes. When conducting your research, try to look for the main highs and lows, in order to establish your threshold.
Step 3: Different Measures After formulating the right threshold for each group, we can run the analysis again, while changing the criteria. The final results— that determine the right number to send for each group during a
MARKETING ::
specific time--must be formulated after considering differing variables (?). And so, even if we see a massive downfall in the response rate of campaigns that are 4th in line, we should combine it into more tests in order to reach a conclusion. The unsubscribe rate is a good example. A number of irregular campaigns or a high frequency of campaigns can rapidly raise the amount of unsubscribes, and cause some major losses. This next table shows the unsubscribe benchmarks for different campaign types:
We can see how much higher the unsubscribe rate is in the 1st campaign in seven days, than the campaigns that follow. Again, that is probably supported by the fact that a 1st campaign creates a unique stimulation, and many customers will make their decisions according to this communication. We also notice that the unsubscribe rate for active customers begins to rise considerably after the 5th campaign in seven days. It’s something we will have to take into account when setting our final conclusion.
Step 4: Micro-Segmentation As stated previously, we wouldn’t want to decide based on groups that are too general. To dive deeper into our customers’ behaviours, we need to create more sub-divisions – to reach more specific groups. Examining different lifecycle stages is always a good way to go, but consider whether any sub-groups that may act differently. Do VIP players need to be tested differently? What about other players with different product preferences? In the next example, we divided our active customers from the previous benchmarks into different groups, defined by their frequency – the average time (in days) that passed between activities.
We can see from the first table that active customers who have a high frequency rate (F<3) responded better to numerous and more recurrent campaigns. We can also see that customers who are active less frequently (F>7) show a drop-in response rate as the number of campaigns increases. From the unsubscribed table, we can learn that customers who are less frequent will experience a higher jump in their unsubscribe rates percentages from the 4th campaign on.
Step 5: Conclusion After executing numerous tests, we can start framing an answer for each group we chose. In an absolute world, all our measurements will point to (?) the same threshold and we could determine the right number of campaigns and their frequencies. But among the results, we will probably encounter some contradictions. We may see a response rate hike on 2nd type campaigns in seven days as well as a rising unsubscribe rate. To settle these types of results we’ll include additional calculations. Always try to choose the right measurement for your needs that will best serve the objective of your target groups. For example: if we look at the ‘active customers who are at risk to churn’ group, the most important measurement for that group is the response rate, as we want them to be more active. As for the ‘active customers with no risk of churn’ group, the crucial measurement is the unsubscribe rate, because we want to be able to contact them. Once you’ve decided on the numbers of campaigns, implement the frequency results in your marketing programs by creating a test group. Check whether the customers who are receiving the definite number you came up with are responding better than your other customers. The method suggested here is just one of many, that deals with the important question – how many campaigns should I send and at what frequency? There are additional research methods to incorporate, depending on your data, but try and implement them wisely in order to reach that optimal, yet elusive number. :: CGi
OMER LISS
Omer Liss leads the Strategic Services research team at Optimove, helping leading marketers optimize their customer retention strategy. As a marketing data scientist, Omer has vast experience consulting clients, analysing their customer data and revealing actionable, data-driven marketing insights. Omer holds a BSc in Industrial Engineering and Management, specializing in Information Systems.
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IS THE iGAMING SECTOR ON THE VERGE OF SERIOuS DISRuPTION? F
Valéry Bollier Ceo oulala
or the past few years, the iGaming sector has faced a struggle in attracting any new young customers. With these younger generations rapidly coming to represent half of our market, the struggle has become a critical
issue. Standard procedure within any other sector would call for market studies to be conducted in order to gauge the exact needs of the hesitant potential clients in question. Nevertheless, due to structural details, the iGaming sector has always appeared to maintain a rather disconnected relationship with its customers. Additionally, up until recently, the customers themselves bore no significant influence over our sector’s financial performance and it is for this reason that no real attention was directed towards their actual needs and expectations. The CEO of one of the most influential iGaming companies currently in the game spoke up during a panel at the last World Gaming Executive Summit in Barcelona, asserting that “skill games will remain a niche market”. My question in response was regarding the studies or polls, if any, that may have been used to derive his conclusions from. My inquiry, in fact, stemmed from the evidence that our own studies provided, showing that young generations have many expectations regarding the provision of skill games. The bewildering reply to my query was that “we do not need studies to know what our customers want”. Evidently, there seems to be a significant dissonance between what our industry wants the customers to desire and what our customers and potential clients are actually looking for. Over the last 4 years, Oulala has directed its attention exclusively towards understanding the exact needs of these new generations. The goal of launching our game as a free version for 2 years was indeed to fully recognize their precise expectations. We backed this up through direct communication with our customer
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base using emails, the forum page, the live chat, polls and studies. It stands to reason that if a start up such as ourselves can afford to spend a couple of years burning funds to fuel our pursuit of understanding our customers, then larger companies can also assign a reasonable budget for the same goal. Here are the most important lessons that we have learned from our customers:
1. They want skill games If one has gone through their childhood and teen years playing incredible skill games on their consoles, then, chances are, they are entirely hooked on skill games. Unsurprisingly, adulthood leads to the desire to play with real money, the latter upping the stakes in a way that makes the game more exciting. Thus, the question that remains is why someone would choose to go for games of luck instead, a question that strategists often tend to disregard. The conclusion they come to settle on is that what worked for older generations will also work for the younger ones. What this notion neglects to take into account is that the older generations were raised before the first Atari console was launched in 1982. Any CTO would classify this as a fatal error.
2. They want social games Fortunately, there appears to be a general consensus over this fact. Nevertheless, it is crucial that one acknowledges the disparity that may exist between what we want to give customers and what they are actually expecting. We may be eager to offer them social luck games, purely because it is simpler for us to create, however, they actively pursue real social games that would guarantee bragging rights upon victory. The satisfaction that comes with luck games cannot be compared to the bragging satisfaction that a skill game would provide. It is for this reason that social games started out on skill games and should remain that way.
3. They expect optimal graphic design and gameplay Considering the past 15 years of experiencing video games that cost between $50 million and $300 million to build, it comes as no surprise that the level of expectation with regards to graphic design and gameplay would skyrocket. Any person under the age of 40 would scoff at being asked to share their thoughts on their visual experience currently offered by our sector. We are at least 20 years late in the game and until we commit to investing an extensive amount of funds towards game development, then we will be wedged at a position that is far removed from what our customers expect from us. In a nutshell, none of the iGaming sector’s traditional products have been responding to any of the three aforementioned needs. Most do not even commit to a single one. A new market is flourishing and growing fast, yet the iGaming sector, which would be the ideal industry to fill the gap, seems reluctant to do so. Vacuums tend to be short lived and this void will indubitably be colonized by another industry before long: the video gaming industry. The start of the 1980s saw an explosion of growth in the video game industry after targeting young children and teenagers. After having done such an excellent job, the industry enjoyed great longevity where customers continued playing throughout their teenage years and the average age of gamers is now 35 years (30
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in 2012). Surprisingly, those potential customers who are still hesitant to dip their toes into our industry are already their customers. This only further cements the point that the video game industry is already in motion towards colonizing our sector. Numerous iGaming executives have remarked that if the video gaming industry had any desire to penetrate our market, then they would have done so already. This is a mistaken notion for a number of reasons. To begin with, this new cluster of potential clients has now grown large enough for them to be inclined towards investing time and money, which had not previously been the case. Moreover, it has been pointed out that despite the ever growing need present, no company within the iGaming sector has reacted yet. The consolidation process occurring within their market has made things much more complicated and, as a result, they are open to diversifying their offer. In the eyes of the public, the video game industry was seen as nothing more than games for children and youngsters, and therefore, becoming monetized was not in the cards. Nonetheless, this potent public rejection has long since ebbed away, evident in the way that parents and, soon, grandparents, are now playing video games too. What was once our best ammunition against them is now no longer a barrier. This leaves us with our prediction that within the next 18 months, numerous top games will offer free games (poker, casino, horse racing and so on) with a high level quality that will easily make our industry seem like a has-been. As one would expect, some of our own industry’s big names will look to react in response, however the timing will not be favourable, requiring at least 3 to 5 years to properly launch a top quality game. Buoyed by a highly customer centered stance, these influential video game editors will easily learn and adapt to their customers’ expectations. It is highly likely that their next step will be to offer the one thing that they are not currently providing, that is, a real money based experience. While a lot of this may appear to be set in stone, I still believe that a number of major iGaming groups as well as a few influential and based casino brands have the financial resources to fight this battle and attain a possible leading position in this upcoming market. As it is, to win a war, one must first acknowledge that there is one at all. :: CGi
VALÉRY BOLLIER
Valéry Bollier has nine years of experience in the media and online marketing as well as 13 years of experience within the iGaming industry. He is the shareholder and former CMO of ZEturf (20% of the French online horse racing market) and Co-founder/CEO of Oulala, the first B2B Fantasy football game based on European football. In 2016, Oulala was given the best Daily Fantasy Football Game award. Bollier is also a private investor and a regular speaker at industry conferences and seminars, as well as a contributor to various B2B publications. He was awarded in 2016 as ''Tech ambassador of Malta'' as well as the ''iGaming Idol'' (in the category ''Data & Business Intelligence''). In 2017 he was elected the ''ICE prophet''.
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EVALuATING RESPONSIBLE GAMBLING TOOLS uSING BEHAVIOuRAL TRACKING DATA C
Dr. Mark Griffiths Professor of Behavioural addiction, international gaming research unit nottingham Trent university
ustomer data is the lifeblood of any company and online gamblers provide tracking data that can be used to compile customer profiles. Such data can tell gambling operators which games their customers are gambling on, for how long, how much money they are spending, and what games are the profitable. This information can help in the retention of customers, and can also link up with existing customer databases and operating loyalty schemes. Consequently, gaming companies can tailor its service to the customer’s known interests. On joining loyalty schemes, players supply lots of information including name, address, telephone number, date of birth, and gender. Those who operate online gambling sites are no different. Basically, gambling operators can track the playing patterns of any gambler. They arguably know more about the gambler’s playing behaviour than the gamblers themselves. They are able to send the gambler offers and redemption vouchers, complimentary accounts, etc. These are done to enhance customer experience (Griffiths & Wood, 2008a). However, more unscrupulous operators have the means to entice known problem gamblers back onto their premises with tailored freebies (such as the inducement of “free” bets in the case of internet gambling). However, it has been long argued that behavioural tracking data can potentially be used to help identify problem gamblers rather than exploit them, and to use behavioural tracking data for research purposes (Griffiths & Wood, 2008b; Griffiths, Wood, Parke & Parke, 2007). Over the past decade, behavioural tracking has increasingly been used in innovative ways by researchers. For instance, the use of behavioural tracking data has been used to examine the influence of structural characteristics in slot machine gambling (Leino et al., 2015), examine the amount of gambling behaviour CGiMAGAZINE.COM
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engaged in when comparing gambling behaviour in alcohol and non-alcohol serving venues (Leino et al., 2017), develop and evaluate new measures of gambling intensity (i.e., theoretical loss which is the amount of money staked by gamblers multiplied by the probability of winning on a specific gambling activity) (Auer & Griffiths, 2014), identify behavioural markers of high-risk online gambling (Braverman & Shaffer, 2012; Braverman et al., 2013; Gray et al., 2012), compare online gamblers who self-exclude with those that do not (Dragicevic et al., 2015), and test classic psychological theories such as cognitive dissonance (Auer & Griffiths, 2017b). Other studies have used tracking data to demonstrate that what money individuals say they have spent gambling is different from their actual gambling behaviour with all studies showing that the more someone gambles, the less reliable they are about estimating what they have financially spent gambling (Auer & Griffiths, 2017a; Braverman et al., 2014; Wohl, Davis & Hollingshead, 2017).
Evaluation of responsible gambling tools using tracking data Another innovative use of behavioural tracking data is in evaluating responsible gambling tools (e.g., limit-setting tools, pop-up messages, personalized feedback, temporary selfexclusions). Responsible gambling tools are a way of facilitating players to gamble in a more responsible manner (Harris & Griffiths, 2017). However, very few of these tools have been evaluated empirically in real gambling environments. The next sections examine the studies that have used behavioural tracking data to evaluate limit setting, pop-up messaging, personalized feedback, and specific behavioural tracking tools (i.e., PlayScan and mentor). Limit setting: Broda et al. (2008) examined the effects of player deposit limits on Internet sports betting by customers of bwin Interactive Entertainment. Their study examined 47,000 subscribers to bwin over a period of two years and compared the behaviour of players who tried to exceed their deposit limit with all other players. Deposit limit referred to the amount of money deposited into a player’s spend account excluding any accumulated winnings. At the time of initial data collection in 2005, bwin set a mandatory deposit limit of no more than €1000 per day or €5000 per 30 days. Players could also set their own deposit limits (per 30 days) below the mandatory limits. Overall, the study found that less than 1% of the players (0.3%) attempted to exceed their deposit limit. However, Wood and Griffiths (2010) argued that the large mandatory limit may be the main reason for this finding as LaPlante et al. (2008) noted that the majority of online gamblers never reached the maximum deposit limit. In fact, 95% of the players never deposited more than €1050 per 30 days (i.e., one-fifth of the €5000 maximum). Furthermore, LaPlante and colleagues did not distinguish between those who attempted to exceed either their own personally set deposit limits or mandatory limits. Using the same dataset, Nelson et al. (2008) examined online gamblers that voluntarily set limits on the bwin gambling website over an 18-month period. A total of 567 online gamblers (out of more than 47,000) used the voluntary limit-setting feature and the findings demonstrated that limit-setting gamblers bet more heavily and played a wider variety of games prior to setting limits. After setting voluntary limits, these online gamblers reduced their gambling activity, but not the amount wagered per bet.
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A study by Auer and Griffiths (2013a) used behavioural tracking data to evaluate whether the setting of voluntary time and money limits helped players who gambled the most (i.e., the most gambling intense individuals using ‘theoretical loss’ [Auer & Griffiths, 2014]). Data were collected from a representative random sample of 100,000 online players who gambled on the win2day gambling website during a three-month test period. This sample comprised 5,000 registered gamblers who chose to set themselves limits while playing on win2day. During the registration process, there was a mandatory requirement for all players to set time and cash-in limits. For instance, the player could limit the daily, weekly and/or monthly cash-in amount and the playing duration. The latter could be limited per playing session and/or per day. In the three-month test period, all voluntary limit setting behaviour by online gamblers was tracked and recorded for subsequent data analysis. Changes in gambling behaviour were analysed overall and separately for casino, lottery and poker gambling. The results of this study clearly showed that voluntary limit setting had a specific and statistically significant effect on high intensity gamblers (i.e., voluntary limit setting had the largest effect on the most gaming intense players). More specifically, the analysis showed that (in general) gaming intense players specifically changed their behaviour in a positive way after they limited themselves with respect to both time and money spent. Voluntary spending limits had the highest significant effect on subsequent monetary spending among casino and lottery gamblers. Monetary spending among poker players significantly decreased after setting a voluntary time limit. Studies such as this highlight the advantageous way in which behavioural tracking methodologies can be used to provide results and insights that would be highly difficult to show using other more traditional methodologies. Pop-up messaging: Auer, Malischnig and Griffiths (2014) investigated the effect of a pop-up message that appeared after 1,000 consecutive online slot machine games had been played by individuals during a single gambling session. The study analysed 800,000 gambling sessions (400,000 sessions before the pop-up had been introduced and 200,000 after the pop-up had been introduced comprising around 50,000 online gamblers). The study found that the pop-up message had a limited effect on a small percentage of players. More specifically, prior to the pop-up message being introduced, five gamblers ceased playing after 1,000 consecutive spins of the online slot machine within a single playing session (out of approximately 10,000 playing sessions). Following the introduction of the pop-up message, 45 gamblers ceased playing after 1,000 consecutive spins (i.e., a nine-fold increase in session cessations). In the latter case, the number of gamblers ceasing play was less than 1% of the gamblers who played 1,000 games consecutively. In a follow-up study, Auer and Griffiths (2015a) argued that the original pop-up message was very basic and that re-designing the message using normative feedback and self-appraisal feedback may increase the efficacy of gamblers ceasing play. As in the previous study, the new enhanced pop-up message that appeared within a single session after a gambler had played 1,000 consecutive slot games. In the follow-up study, Auer and Griffiths (2015) examined 1.6 million playing sessions comprising two conditions (i.e., simple pop-up message [800,000 slot machine
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<< The results suggest that responsible gambling tools providing personalized feedback may help the clientele of gambling companies gamble more responsibly, and may be of help those who gamble excessively to stay within their personal time and money spending limits. >> sessions] versus an enhanced pop-up message [800,000 slot machine sessions]) with approximately 70,000 online gamblers. The study found that the message with enhanced content more than doubled the number of players who ceased playing (1.39% who received the enhanced pop-up compared to 0.67% who received the simple pop-up). However, as in Auer et al.’s (2014) previous study, the enhanced pop-up only influenced a small number of gamblers to cease playing after a long continuous playing session. Personalised feedback: Auer and Griffiths (2016) in a study of the efficacy of personalised feedback, examined whether the use of three types of information (i.e., personalized feedback, normative feedback, and/or a recommendation) could enable players to gamble more responsibly as assessed using three measures of gambling behaviour, i.e., theoretical loss, amount of money wagered, and gross gaming revenue (i.e., net win/loss). By manipulating the three forms of information, data from six different groups of players were analysed. The participant sample drawn from the population were those that had played at least one game for money on the Norsk Tipping online platform (Instaspill) during April 2015. A total of 17,452 players were randomly selected from 69,631 players that fulfilled the selection criteria. Gambling activity among the control group (who received no personalized feedback, normative feedback or no recommendation) was also compared with the other five groups that received information of some kind (personalized feedback, normative feedback and/or a recommendation). Compared to the control group, all groups that received some kind of messaging significantly reduced their gambling behaviour as assessed by theoretical loss, amount of money wagered, and gross gaming revenue. The results supported the hypothesis that personalized behavioural feedback can enable behavioural change in gambling. However, normative feedback did not appear change behaviour significantly more than personalized feedback. Behavioural tracking tools: Auer and Griffiths (2015) evaluated the effectiveness of mentor (a responsible gambling tool that provides personalized feedback to players) among 1,015 online gamblers at a European online gambling site, and compared their behaviour with matched controls (n=15,216). The
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results showed that online gamblers receiving personalized feedback spent significantly less time and money gambling compared to controls that did not receive personalized feedback. The results suggest that responsible gambling tools providing personalized feedback may help the clientele of gambling companies gamble more responsibly, and may be of help those who gamble excessively to stay within their personal time and money spending limits. Wood and Wohl (2015) obtained data from 779 Svenska Spel online players who received behavioural feedback using PlayScan. Feedback to players took the form of a ‘traffic-light’ risk rating that was created via a proprietary algorithm (red=problematic gambling, yellow=at-risk gambling, and green=no gambling issues). In addition, expenditure data (i.e., amounts deposited and gambled) were collected at three time points (i) the week of PlayScan enrolment, (ii) the week following PlayScan enrolment, and 24 weeks after PlayScan enrolment. The findings indicated that those players at-risk (yellow gamblers) who used PlayScan significantly reduced the amounts of money both deposited and gambled compared to those who did not use PlayScan. This effect was also found the week following PlayScan enrolment as well as the 24-week mark. Overall, the authors concluded that informing at-risk gamblers about their gambling behaviour appeared to have a desired impact on their subsequent monetary spending. Concluding Comments When it comes to studying online gambling behaviour, behavioural tracking methodologies are an innovative way of collecting data. Findings presented here suggest that limit setting and personalised feedback appear to be responsible gambling tools with high efficacy but that further replication studies are needed. The studies evaluating pop-up messaging are far from conclusive and suggest that on their own, pop-up messages only help a very small percentage of within-session intense gamblers. :: CGi References Auer, M. & Griffiths, M. D. (2013). Voluntary limit setting and player choice in most intense online gamblers: An empirical study of gambling
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behaviour. Journal of Gambling Studies, 29, 647-660.
Treading a fine line? Casino and Gaming International, 4(2), 105-108.
Auer, M. & Griffiths, M. D. (2014). An empirical investigation of theoretical loss and gambling intensity. Journal of Gambling Studies, 30, 879-887.
Griffiths, M. D. & Wood, R. T. A. (2008b). Responsible gaming and best practice: How can academics help? Casino and Gaming International, 4(1), 107-112.
Auer, M. & Griffiths, M. D. (2015a). Testing normative and self-appraisal feedback in an online slot-machine pop-up message in a real-world setting. Frontiers in Psychology, 6, 339. doi: 10.3389/fpsyg.2015.00339. Auer, M. & Griffiths, M. D. (2015). The use of personalized behavioural feedback for problematic online gamblers: An empirical study. Frontiers in Psychology, 6, 1406. doi: 10.3389/fpsyg.2015.01406. Auer, M. & Griffiths, M. D. (2016). Personalized behavioural feedback for online gamblers: A real world empirical study. Frontiers in Psychology, 7, 1875. doi: 10.3389/fpsyg.2016.01875. Auer, M. & Griffiths, M. D. (2017a). Self-reported losses versus actual losses in online gambling: An empirical study. Journal of Gambling Studies, 33, 795-806. Auer, M. & Griffiths, M. D. (2017b). Cognitive dissonance, personalized feedback, and online gambling behaviour: An exploratory study using objective tracking data and subjective self-report. International Journal of Mental Health and Addiction. Epub ahead of print. doi: 10.1007/s11469017-9808-1 Auer, M., Malischnig, D. & Griffiths, M. D. (2014). Is ‘pop-up’ messaging in online slot machine gambling effective? An empirical research note. Journal of Gambling Issues, 29, 1-10. Braverman, J., LaPlante, D. A., Nelson, S. E., Shaffer, H. J. (2013). Using crossgame behavioural markers for early identification of high-risk Internet gamblers. Psychology of Addictive Behaviours, 27, 868–877. Braverman, J., & Shaffer, H. J. (2012). How do gamblers start gambling: identifying behavioural markers for high-risk Internet gambling. European Journal of Public Health. 22, 273–278. Braverman, J., Tom, M. A., & Shaffer, H. J. (2014). Accuracy of self-reported versus actual online-gambling wins and losses. Psychological Assessment, 26, 865–877. Broda, A., LaPlante, D. A., Nelson, S. E., LaBrie, R. A., Bosworth, L. B. & Shaffer, H. J. (2008). Virtual harm reduction efforts for Internet gambling: effects of deposit limits on actual Internet sports gambling behaviour. Harm Reduction Journal, 5, 27. Dragicevic, S., Percy, C., Kudic, A., & Parke J. (2015). A descriptive analysis of demographic and behavioural data from internet gamblers and those who self-exclude from online gambling platforms. Journal of Gambling Studies, 31, 105–132. Gray, H. M., LaPlante, D. A., & Shaffer, H. J. (2012). Behavioural characteristics of Internet gamblers who trigger corporate responsible gambling interventions. Psychology of Addictive Behaviours, 26, 527–535. Griffiths, M. D. & Wood, R. T. A. (2008a). Gambling loyalty schemes:
Griffiths, M. D., Wood, R. T. A., Parke, J. & Parke, A. (2007). Gaming research and best practice: Gaming industry, social responsibility and academia. Casino and Gaming International, 3, 97-103. Harris, A., & Griffiths, M. D. (2017). A critical review of the harmminimisation tools available for electronic gambling. Journal of Gambling Studies, 33, 187-221. LaPlante, D. A., Schumann, A., LaBrie, R. A., & Shaffer, H. J. (2008). Population trends in Internet sports gambling. Computers in Human Behaviour, 24(5), 2399–2414. Leino, T., Sagoe, D., Griffiths, M. D., Mentzoni, R.A., Pallesen, S., & Molde, H. (2017). Gambling behaviour in alcohol-serving and non-alcohol-serving venues: A study of electronic gaming machine players using account records. Addiction Research and Theory, 25, 201-207. Leino, T., Torsheim, T., Blaszczynski, A., Griffiths, M.D., Mentzoni, R., Pallesen, S. & Molde, H. (2015). The relationship between structural characteristics and gambling behaviour: A population based study. Journal of Gambling Studies, 31, 1297-1315. Nelson, S. E., LaPlante, D. A., Peller, A. J., Schumann, A., LaBrie, R. A., & Shaffer, H. J. (2008). Real limits in the virtual world: Self-limiting behaviour of Internet gamblers. Journal of Gambling Studies, 24(4), 463-477. Wohl, M. J. A., Davis, C. G., & Hollingshead, S. J. (2017). How much have you won or lost? Personalized behavioural feedback about gambling expenditures regulates play. Computers in Human Behaviour, 70, 437– 455. Wood, R. T. A. & Griffiths, M. D. (2010). Social responsibility in online gambling: Voluntary limit setting. World Online Gambling Law Report, 9(11), 10-11. Wood, R. T. A., & Wohl, M. J. (2015). Assessing the effectiveness of a responsible gambling behavioural feedback tool for reducing the gambling expenditure of at-risk players. International Gambling Studies, 15(2), 116.
DR. MARK GRIFFITHS
Dr. Mark Griffiths is Distinguished Professor of Behavioural Addiction at Nottingham Trent University, and Director of the International Gaming Research Unit. He is internationally known for his work into gambling and gaming addictions. He has published over 650 refereed research papers, five books, 150+ book chapters and over 1500 other articles. He has won 18 national/international awards for his work including the US National Council on Problem Gambling Lifetime Research Award (2013).
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TECHNOLOGY ::
KEEPING ABREAST OF AN EVER CHANGING LANDSCAPE Q
uickfire launched in 2010 and diversified the Microgaming offering by providing a platform for nonexclusive operators wanting immediate access to the industry’s best content. Seven years on, the industry has accelerated in growth, technology has continued to develop, regulation has increased, and the customer requirements have shifted. What does this mean for the platform and how are we keeping abreast of the ever-changing landscape?
Andrew Clucas director at Quickfire Microgaming
Customers The Quickfire platform now has over 250 operators integrated and in 2017 to date we have taken 24 new operators live, all of which have different wants and needs. With a business this size, there are always complexities, not least of which is the challenge of servicing customers around the world, and meeting their various, and often different, requirements. We have to ensure we service each and every one of our operators in the right way. That’s why we have made a conscious decision to enhance the way in which we service our operators. The majority of the Quickfire Business Unit is based at Microgaming’s HQ on the Isle of Man, a new purpose built office named Sixty Two which opened 31 July 2017. But in addition we have established a series of hubs, placing experienced people on the ground in Malta and Gibraltar, as well as dedicated service managers for markets such as Italy and Spain. Regulated Markets Regulated markets have shifted the way in which the industry operates. As our CEO Roger Raatgever says, “regulation has made and continues to make the biggest impact on our industry”. It has made the industry complex as every market is operating differently,
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but it has also made the market mainstream, and with responsible gaming at the heart of regulation, there is a greater acceptance of the industry now than before. Regulation though comes with challenges, including the obvious development requirements to achieve a compliant product, sometimes interesting licensing requirements, and new costs such as taxes certification, software development and licensing. For each market the balance between the potential revenues and new opportunities versus these new overheads and costs needs to be right in order to make the regulatory model sustainable. This is certainly doable though and if we take the European market as an example, markets such as the UK, Denmark, Italy and Spain are all successful regulated markets that are continuing to grow in size. New regulated markets are opening regularly, and as a platform provider we have to ensure we are in the very best position to
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capitalise on this. Most recently we have seen this with Colombia, the first official LatAm region to regulate online gaming. Signing Wplay.co, the first Colombian licence holder was a strategic step for us, providing us with the opportunity to be one of the first suppliers to get our games live in the market. Acting fast and being first to market is something that’s important to us. Further regulation is inexorable and this provides us with plenty of opportunities to expand our offering and to firmly become the regulated markets supplier of choice!
Technology Technology continues to develop at an incredible rate and we of course have all seen in recent years mobile becoming the dominant platform. Some operators have reported revenues in excess of 80% coming from the mobile channel now, and mobile is not only at the heart of an operator’s strategy but ours too.
TECHNOLOGY ::
Advances in technology will continue to transform the way in which games are delivered to players, allowing for more immersive and engaging experiences. Whether it be AR or VR, as a tech company we have to be at the forefront of the technological waves. Technology can also play its part in responsible gaming and helping gamers make better betting decisions.
Content For us the platform is all about the quality of the content. Not only do we provide our operators with Microgaming’s renowned portfolio of 600+ proven games, we also have over 25 development partners integrated with the platform, providing greater choice and specialised content. For example, we’re partnered with MGA in Spain and LatAm to bring Spanish three reel slots and video bingo to the platform. What’s more, through Quickfire iQ, operators gain access to free games, bonusing, achievements and incentives, all of which have been designed to grow an operator’s business. Most recently we’ve made the decision to remove the platform fee from development partner games, which further strengthens Quickfire’s position as a one-stop shop and the “must-have” casino supplier to the industry.
Competition You only have to visit ICE Totally Gaming to see how competitive the online gaming space has become in recent years, with over 500 companies exhibiting at the show. We have also seen M&A activity continue to change the industry landscape, ultimately making it a lot harder for the smaller, niche companies to compete against an increasingly consolidated field of competitors. But there is something to be said for continuing to act like a niche, creative company. As the Quickfire business unit, whilst we
continue to grow in size, I want us to have that small company ethos, creativity and flexibility, while maintaining the benefits of the resource muscle that being part of Microgaming brings. Our industry changes so quickly that you constantly have to be evolving your products and services – being agile and flexible is fundamental. :: CGi
ANDREW CLUCAS
Before joining Microgaming in 2009, Andrew served in the Royal Air Force for the 18 years. He was awarded an MBE in 2005 and received a promotion to wing commander later that year. Andrew holds a bachelors degree from Durham University and a master's degree from King's College London. An associate member of the Chartered Institute of Management Accountants, he has also completed the Advanced Command and Staff Course (ACSC), for which only the top five percent of RAF officers are selected. A proud family man with two children, Andrew has worked his way up through the ranks at Microgaming, overseeing multiple departments to develop and deliver the company's award winning product in markets throughout the world.
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igbaffiliate.com/events/berlin-affiliate-conference
:: Berlin Affiliate Conference (BAC) | 2-3 November
colossusbets.com
:: SAGSE LATAM | 7-9 November
Berlin Affiliate Conference Colossus Bets
Comtrade Gaming comtradegaming.com
ECommPay
ecommpay.com
OBC EiG
eigexpo.com
2
IFC
15
6
46
11
IBC
12
24
29
50
Evolution Gaming evolutiongaming.com
Greentube
greentube.com
Harris Hagan harrishagan.com
ICE Totally Gaming icetotallygaming.com
PwC
pwc.com
SAGSE Latin America monografie.com/sagselatam
SAGSE Panama sagsepanama.com
SiGMA
maltaigamingsummit.com
Sports Betting USA Conference sportsbettingusaconference.com
Totally Gaming Summit totallygamingsummit.com
CGiMAGAZINE.COM
Berlin, Germany Berlin, Germany
Buenos Airies, Argentina
:: BiG Africa Supershow | 7-8 November Johannesburg, South Africa
:: Sports Betting USA | 14-15 November New York, USA
:: Eastern European Gaming Summit (EEGS) | 21-22 November Sofia, Bulgaria
:: Balkan Entertainment & Gaming Expo (BEGE) | 22-23 November Sofia, Bulgaria
:: Summit of iGaming Malta (SiGMA) | 22-25 November Malta
DECEMBER 2017
:: World Gaming Expo (WGE) | 6-8 December Monaco
JANUARY 2018
:: Affiliate Summit West | 7-9 January Las Vegas, USA
FEBRUARY 2018
:: ICE Vox | 5-7 February London, United Kingdom
:: ICE Totally Gaming | 6-8 February London, United Kingdom
:: London Affiliate Conference | 8-10 February London, United Kingdom
30 October - 1 November 2017, Arena Berlin eigexpo.com I @EiG_gaming I #EiG17
Ex Excellence xcellence in iGaming