Welcome to the penultimate episode in our five-part series on customer acquisition, retention, and development in the North American sports betting and igaming industry. In this episode, we will discuss actionable steps for operators and affiliates to better serve consumers and improve customer loyalty. Using Betting Hero’s insights, we will delve into what consumers truly value in their betting experience.
Throughout the series, we have explored the challenges faced by consumers when registering for a new account, the frustrations that lead to a lack of loyalty, and what factors consumers consider when choosing an operator. Now, we will outline three steps that can help operators and affiliates retain and develop loyal customers.
By understanding the challenges bettors face and the features they desire, operators and affiliates can design strategies to avoid customer attrition and gain market share. Our hypothesis is that improving customer experiences and offering in-demand features can lead to better retention and customer acquisition.
In this episode, we will focus on insights gathered from 151 respondents with a total of 590 registered accounts. The frequency of bets varied, with 35% placing more than 25 bets per month and 75% placing more than five bets per month in our sample.
Now, let’s dive into the actionable steps for improving customer loyalty:
- Invest in customer service: 54% of respondents consider an effective and efficient customer service department to be “very important” in their choice of a betting app, while 34% consider it “important.” With 65% of bettors having encountered issues that required contacting customer service, it’s clear that a strong customer service experience is crucial. However, based on feedback and Twitter searches, there is generally dissatisfaction among bettors regarding operators’ customer service departments. Improving customer service can lead to better retention and acquisition.
- Focus on personalization: In a commoditized industry, differentiation becomes vital. Consumers seek bespoke and personalized experiences similar to those provided in other industries like hospitality and travel. Personalization can go beyond interface improvements and include concierge-type services designed to enhance the betting experience. Our research shows that 77% of bettors would consider switching to a different betting app for better personalization. One possible avenue is to offer dedicated account or concierge managers who provide exclusive promotions, access to hospitality and event tickets, and priority customer service.
- Implement paid subscriptions: Subscriptions are an effective way to retain and develop loyal customers, as they provide elevated experiences and exclusive access. Our research demonstrates that 35% of respondents would consider a membership fee to receive exclusive access and lines. While further exploration is needed to understand the mechanics of a paid subscription model, the potential benefits are worth considering. Subscription models have been successful in other industries, and it may be worth implementing them in the sports betting and igaming industry as well.
We believe that implementing these steps can significantly improve customer experiences, retention, and acquisition. Join us next week for the final episode of this series, where we will discuss successful examples of operators and affiliates who have implemented differentiated and elevated experiences for their customers.
*Insights referenced collected by Betting Hero Research between March – September 2022.
