For the past several years, there’s been a vicious battle between hundreds of operators, trying to impress new customers to join their site. Getting new players to sign up is not the easiest (nor the cheapest) task, which leads to even tougher competition.
Deposit bonuses, free spins, cashback bonuses – you name it, they’ve used it. It’s no secret that it’s basic human psychology to be attracted to “free money”, hence why free spins are so attractive for example. One of the biggest issues around deposit bonuses and free spins is the fact that players are getting smarter and smarter. If you’re not careful what kind of terms and conditions you attach to these offers, players will ruthlessly take advantage of those – this could cost casinos a lot of money in the long run. Also, the actual monetary value of a deposit bonus has increased in the last few years because, well, that’s what a highly competitive field does to products & offerings usually.
Alternative ways of attracting new customers
Deposit bonuses will never go out of fashion probably, but what about the customer when he’s played his first deposit? Lifetime value of a customer is insanely high for online casinos, so you’d think they would be happy with whatever it takes to keep their newly acquired customers satisfied. There are several ways of doing this, such as:
- Reload bonuses
- Loyalty programs
- VIP treatment (own account managers, bonuses, free spins, etc)
- Superb customer service
- Fantastic UI/UX
At some point there will be a ceiling of how big the deposit bonuses can get, and that’s the exact reason these casinos will need to come up with new solutions of how to keep fresh customers happy (as well with older customers of course).
Cashback bonuses are a perfect example of how innovation and data usage can be used in order to attract new customers. Cashback bonuses are fairly easy to understand, as it will pay back your losses (5-20%, depending on the site) daily, weekly, or monthly. The most common setup is 10% cashback (offered by for example Turbovegas) that’s being handed out weekly.
Paul Collins is a freelance journalist from Newport, Wales. Paul has worked within the Gaming Industry since 2009. Paul focuses mainly on sports but also covers regulatory and compliance news pieces.