Effective iGaming campaigns rely not only on engaging games or attractive prizes. To achieve significant results, it is crucial to understand the main iGaming metrics that allow monitoring and evaluating the performance of each marketing action. These indicators are crucial for guiding strategic decisions and ensuring continuous optimization, turning campaigns into stable sources of revenue. Check out this insight from PropellerAds.
What are iGaming metrics?
iGaming metrics are data that reveal player behavior and assist in improving campaigns. With the global iGaming market valued at approximately US$ 100 billion, competition is fierce. Therefore, tracking indicators such as player retention, churn rate, and conversions is essential to create an experience that keeps players engaged.
Categories of indicators in iGaming
Each player interaction generates valuable information about platform performance. Here are the main categories of iGaming metrics:
1. Revenue indicators: Data such as gross gaming revenue (GGR) and average revenue per user (ARPU) demonstrate billing and profits. A growth of 10-15% in annual GGR and keeping promotional costs below 20% of the GGR are reasonable goals to ensure success.
2. Player indicators: Metrics such as player retention, churn rate, and the lifetime value of the player (PLTV) are fundamental to understanding user behavior. Ideal retention is between 70-80% after 30 days, and PLTV should be 3-4 times the cost of acquiring new players.
3. Marketing indicators: The effectiveness of campaigns is measured by indicators such as conversion rate (ideally between 10-20%) and the cost of acquiring customers (CAC). A lower CAC indicates an efficient marketing strategy.
4. Operational indicators: These numbers ensure the smooth functioning of the platform. Players expect an uptime of 99.9% and withdrawals processed within 24 hours. Efficient customer support is also essential for a good experience.
10 crucial indicators for affiliates and iGaming brands
Here are the main iGaming metrics that need to be tracked to ensure success in the sector:
1. Player acquisition rate (PAR): Measures the number of new users who sign up
2. Player retention rate (PRR): Tracks the number of users who remain active over time
3. Average revenue per user (ARPU): Indicates the revenue generated on average by all users
4. Average revenue per paying user (ARPPU): Shows how much is generated by players who spend money on the platform
5. Gross gaming revenue (GGR): Represents the total generated by player bets
6. Net gaming revenue (NGR): Calculates profitability after deductions for bonuses, taxes, and payments
7. Lifetime value of the player (LTV): Indicates the total value generated by a player over time
8. Churn rate: Measures the percentage of players who leave the platform
9. Conversion rate: Calculates the percentage of visitors who become paying players
10. Customer acquisition cost (CAC): Shows the amount spent to acquire new players.
How to calculate each iGaming metric
Here are basic formulas to calculate these metrics:
Conclusion
iGaming metrics are essential for evaluating the success of campaigns and identifying opportunities for improvement. Tracking these numbers helps ensure an engaged and loyal player base, as well as optimizing strategies to increase revenue. Tools like PropellerAds can be useful for maximizing the results of marketing campaigns.
Frequently Asked Questions (FAQs)
1. What is the difference between ARPU and ARPPU?
ARPU measures the average revenue from all users, while ARPPU focuses only on paying users, showing how much active players spend in a period.
2. How is NGR calculated? Net gaming revenue (NGR) is obtained by subtracting payments, bonuses, and taxes from the total bet, revealing profitability before operational costs.
3. Why is CAC relevant? CAC assesses the cost of acquiring a new player. When CAC is lower, it indicates greater efficiency in marketing campaigns and higher return on investment.
4. What is a good PRR? A PRR between 70-80% after 30 days is excellent, indicating strong loyalty and satisfaction of players, crucial aspects for long-term success.
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Source: PropellerAds
