How to win the World Cup
For the team that holds aloft the 18 carat, 36 cm high gold and malachite trophy after the World Cup final in South Africa this summer it will be a chance to savour victory, bask in adulation and hopefully enjoy a well earned rest.
For the online gaming industry, the real footwork will only be beginning... The 2010 World Cup marks a coming of age for online gaming and the potential for exponential growth in its market. For example, a recent PricewaterhouseCoopers poll revealed that the influx of people who don’t usually but intend to bet on the World Cup will increase total customer numbers by 140%!
And 53% of all those intending to bet on the World Cup plan to do so online.
The UK Gambling Commission most recent aggregate statistics, published towards the end of 2009, shows that the gambling industry in this country had a turnover of over £84 billion in 2006/07. Gross gambling yield (i.e. the amount retained by operators after the payment of winnings but before the deduction of the costs of the operation) was estimated at £9.9 billion in 2006/07.
Research released this year by the commission shows that “remote gambling” over the internet, via TV or phone, is on the increase, with 1 in 10 adults saying that they had enjoyed at least one form remote gambling in the previous four weeks.
The online factor
Unlike the anonymity of the betting slip, online interaction gives gaming businesses a wealth of data to explore: how people arrive at their websites, which pages and features particularly appeal, how close to a match they place their bets, size of bet, team preferences, whether they opt for a simple bet or some form of permutation.
There is also additional information to be gleaned from betters who visit a site as the result of an email campaign. Which specific link an email recipient clicks on, which offer they take up. Every single click and action can be analysed.
"The challenge for online betting and gaming companies is how to convert first time betters, dabbling in the World Cup, into regular customers", explains Will Griffith, Sales Director at smartFOCUS, a leading provider of data analysis solutions based in the UK and with a list of online gaming clients including Paddy Power, Betfair and betinternet.com. Marketers need to think intelligently about how they use the information new customers leave behind from, not just their registration and bet, but how they’ve responded to any subsequent emails and mail shots from the brand. “For example, putting in place a contact strategy that automatically and dynamically personalises email content – perhaps which gaming products the brand talks to the person about – is a simple yet powerful way to engage and inspire your customers,” says Griffith. “The challenge is understanding what to say to who.”
“The analysis will be going on all the way through the World Cup and for months afterwards. Shrewd companies will be using these insights to target new markets, not just this year but for years to come. The simple volume of bets placed and the duration of the competition make this a really significant opportunity. Think of it as the Olympics, the Superbowl and the Grand National all rolled into one.”
Reaching new markets
For example, while only 10% of regular betters are women, according to the PricewaterhouseCoopers poll, this shoots up to 30% of new betters on this year’s World Cup. What other events could this female audience be attracted to? For example, the FIFA Women’s World Cup 2011™ in Germany next year is promising to be a major event. With almost one and a half years to go before kick-off, the tournament’s sponsorship programme is already sold out.
This year’s World Cup will also attract 18-34 year olds, who make up two thirds of those who say they do not bet regularly but intend to at the World Cup this year."There has been a shift online in the betting industry especially as more markets open up globally,” said David Trunkfield, head of gaming, PricewaterhouseCoopers. “This bias is also driven by the 18 – 34 year olds customers who are more digitally active than other age groups.” “A lot of the focus is going on how betting organisations capture these new markets in the run up to the event,” said Griffiths at smartFOCUS. “We would add that there is as much if not more value to be gleaned afterwards – if you can access and understand the data and what it’s capable of telling you.”