## US Gaming Industry: A Laggard in the Digital Realm?
Itsi k Akiva observes that the American gambling landscape has been sluggish in leveraging the power of a robust digital footprint. Boasting more than 1,500 casinos spread across 40 states, the US possesses a thriving brick-and-mortar gambling sector. One might presume that internet-based gaming would be a logical progression for these established entities, particularly considering the widespread adoption of online wagering in other global regions. However, only a small number of states have actually taken the plunge and authorized real-money online gambling. Although whispers circulate about other states joining the ranks, firm schedules and concrete plans remain unclear.
Meanwhile, casinos are keen to cultivate some type of online presence, even if it doesn’t entail actual currency. Simulated casino games and daily fantasy sports are prevalent options, as they can be effortlessly incorporated through collaborations with existing tech vendors.
The impetus behind these digital ventures differs. Certain operators perceive it as a method to generate income directly, while others view it as a mechanism to steer customers back to their physical establishments. Fostering brand allegiance and cultivating a client database for potential future utilization are also frequent objectives.
Irrespective of the rationale, one thing is evident: conventional casino proprietors are progressively acknowledging the capability of internet platforms, even if they haven’t fully embraced real-money wagering at this juncture.
Two main avenues are driving the surge in social casino games. Certain entities, like Caesars and Churchill Downs (following their acquisition of Big Fish!), have fully committed to acquiring established game developers to construct their own independent social casino platforms. It’s a bold strategy, undoubtedly, but challenging to execute in such a saturated market, and frankly, it demands a substantial investment. The alternative method, which holds greater allure, particularly for physical casinos within the US, involves leveraging these digital games as a means to attract players and ultimately entice them to visit their establishments. We’re observing numerous operators collaborating with game creators to realize this objective.
The essence of this approach lies in crafting a fluid and customized experience for players, irrespective of their location – whether at home on their mobile devices, navigating the internet, or physically present within the casino. The advantage is that by harnessing these diverse platforms, operators can amass a wealth of information about their clientele – their preferences, dislikes, playing habits – and utilize this data to curate an experience that is precisely tailored to them.
The merging of physical casinos with the thrill of internet gaming is being dubbed “The Phygital Casino” by many. This integration, when executed effectively, leverages all available information and converts it into a highly targeted marketing plan, resulting in favorable shifts in customer actions. Consider it a customer-first strategy, allowing casino businesses to engage with their patrons smoothly across all channels. Each point of contact, be it hotel check-in, a trip to the gaming floor, or logging into a virtual game, becomes a chance to craft an unforgettable experience.
Although the technology is primed and available, with a growing number of operators providing some type of online gambling, the full potential of this “phygital” realm remains untapped. Numerous casinos offer internet gaming through their web platforms or applications but neglect to link these online profiles with their pre-existing loyalty schemes. Moreover, even when they do establish a connection, they frequently overlook the opportunity to utilize the wealth of data from the online sphere to amplify their marketing endeavors and elevate customer engagement to unprecedented heights.
Occasionally, merging the digital and brick-and-mortar casino realms proves to be quite the challenge. Yes, technical obstacles exist, but honestly, technology has advanced significantly from its previous state. Numerous online gaming companies could effortlessly close this divide. The true problem? Businesses view their internet casino footprint as a distinct entity, a moneymaker, rather than a chance to elevate the overall client journey.
Picture this: your virtual gaming earns you reward points that convert into tangible benefits at the physical casino. You enter a casino for the initial time, and the employees welcome you like royalty because they identify you as a high-stakes player online. Alternatively, they observe you are unfamiliar with the digital experience and guide you through installing the application and commencing your journey. That is the capability of genuine unification, and it extends far beyond simply making the technology function.
Businesses effectively combining their digital and physical storefronts are reaping substantial rewards – we’re discussing millions, occasionally tens of millions of dollars each year in internet revenue expansion. Furthermore, it’s not solely online, their physical sites are experiencing increased customer visits and greater expenditures as well. It’s mutually beneficial, isn’t it? So why hasn’t everyone adopted this approach?
This could be our initial observation of internet wagering incorporated into physical casinos, but this type of integration is not unprecedented. Consider hotels. Not too long ago, they lacked awareness of their patrons’ spending habits at the casino, spa, dining establishments, or entertainment venues. However, technological advancements transformed the landscape, linking all those points to provide them with a comprehensive understanding of customer behavior. Currently, that information empowers more intelligent marketing and customer service. Frankly, incorporating data from internet gambling into a casino’s framework should be even less complicated than in other sectors and yield exceptionally valuable knowledge.
Therefore, if technology isn’t the primary obstacle to a genuine omnichannel approach, perhaps the issue resides within the companies themselves. Examine the organization of numerous casino operators – you’ll frequently encounter a distinct department isolated to manage online activities.
Although delegating daily operations to seasoned and committed staff is entirely acceptable, these units should not function independently. They must be aligned with the hotel and casino’s overarching objectives and strategies. To seamlessly integrate online services for guests and minimize disruptions to their experience, everyone within the organization requires a fundamental grasp of these digital products and their contribution to the company’s overall triumph.
Consider this analogy: just as we anticipate a concierge or front desk supervisor to possess comprehensive knowledge about the casino floor, spa, dining establishments, entertainment options, and every other amenity the hotel provides, they should also receive adequate training and understanding of online gaming offerings. At a minimum, they should be capable of providing initial assistance to guests with inquiries.
This incorporation should not be confined within the hotel’s physical boundaries either. Numerous casino operators depend on external providers to attract patrons to their properties, promote their offerings digitally, and manage customer interactions. These vendors frequently lack expertise in the online and social gaming realm and may engage a secondary agency specializing in iGaming – resulting in both agencies operating in isolation.
This was a lost chance. By showcasing both their tangible and virtual offerings on a unified, central digital promotion platform, gaming establishment proprietors could have amassed significantly more information. Consider this – they could then transform that information into useful, applicable knowledge. And the benefits don’t cease there! They could capitalize on possible collaborative advantages and even diminish their total marketing expenditures.
Envision if they had combined data from their user acquisition channels and their lodging’s client management (CRM) systems. They could have dismantled those bothersome data compartments and utilized all that valuable information to construct a comprehensive understanding of their patrons. We’re referring to a panoramic perspective, comprehending how their clientele acts both on and offline.
And armed with that wisdom? They could have employed internet and mobile advertisements to re-engage those same patrons with customized communications and deals that genuinely connect. They could have even enhanced their data with existing external information to generate comparable high-value client profiles and target them with analogous campaigns at a reduced expense.
The key takeaway is this: to genuinely capitalize on the online wagering surge and provide their clientele with a truly unified encounter, physical casino executives need to become aware and recognize the complete potential. They require a robust, harmonized strategy to ensure everyone within the organization is aligned and endorsing their online products.
Through the fusion of appropriate technologies and the capacity to extract valuable information from the vast quantities of data gathered across their respective sectors, enterprises can establish a strong foundation. To attain even greater heights of achievement, leadership must demonstrate unwavering support for the digital strategy. This can be accomplished by modifying organizational frameworks, incorporating emerging verticals into all departments that interact with customers, delivering pertinent training, and guaranteeing that employees possess a comprehensive understanding of digital products. This, in turn, will enhance their capabilities and motivation to effectively promote these products to customers.
Itsik Akiva, a seasoned professional in the iGaming sector, is the founder of Headway Consulting (www.headwayconsulting.net), a Boston-based firm. Headway Consulting specializes in developing and implementing marketing and product strategies for both real-money and social gaming enterprises, in addition to offering training programs. With over ten years of experience in the online gaming realm, Itsik is a highly sought-after speaker at gaming industry events.
