By Alberto Jurado, Performance Director at Tappx
The term “iGaming” refers to the online gaming industry. It includes various forms of gambling such as sports betting, casino games, poker, bingo, and lottery.
User acquisition (UA) in iGaming is the process of attracting new customers to an online gaming platform or website. It is a critical part of iGaming marketing strategy since acquiring new users is essential to generate revenue.
iGaming apps and their targets
Here are a few examples of target audiences for specific types of iGaming apps:
- Casino games: Such as slots, blackjack, roulette, and baccarat tend to attract a broad audience of adults who enjoy games of chance. This can include both casual players, who enjoy playing for fun, and more serious players, who are looking to win real money.
- Sports betting: These apps tend to attract sports fans who enjoy betting on their favorite teams or events. This can include both casual fans, who place bets occasionally, and more serious bettors, who make a regular habit of betting on sports.
- Poker: These apps tend to attract individuals who enjoy playing card games and have an interest in competitive play. This can include both casual players, who enjoy playing with friends, and more serious players, who compete in tournaments and leagues.
Understanding your target audience and their preferences are the first step in your UA strategy. The second one is to take action and go for them. Your mission is to attract them.
Main user acquisition strategies for iGaming
When it comes to iGaming user acquisition, there are several approaches that companies can take. Here are a few examples:
- Affiliate marketing: This approach involves partnering with third-party websites or affiliates to promote the iGaming platform in exchange for a commission on any new players they refer.
- Paid advertising: Companies can use paid advertising, such as Google Ads or social media advertising, to target potential customers who may be interested in their services.
- Search engine optimization (SEO) and App Store Optimization (ASO): SEO and ASO are the processes of optimizing a website’s content and app descriptions to rank higher in search engine results and app stores. This can attract more organic traffic to your website or app.
- Referral programs: Companies can encourage their existing customers to refer new users by offering rewards such as bonus cash or free spins.
At Tappx we specifically help our clients with paid advertising user acquisition by placing ads on the in-app display & video inventory of our SSP traffic and other trusted DSPs and exchanges we are connected with. In your case, we will listen to your needs and implement a customized strategy that fits your objectives.
Six best practices for iGaming UA
In addition to the main user acquisition techniques we have just seen, to boost your iGaming UA you should also take into account the following six best practices:
1. Focus on one or two specific KPIs. No more.
When doing user acquisition for an iGaming mobile app, it’s important to track a range of key performance indicators (KPIs) to measure the success of your campaigns and optimize them over time. Here are two of the most important you should consider tracking:
- Cost per acquisition (CPA): This is the amount of money you spend to acquire a new user. It’s important to track your CPA to ensure that your acquisition costs are within your budget, and to optimize your campaigns over time to improve your cost efficiency.
- Return on ad spend (ROAS): This metric measures the amount of revenue you generate from your advertising spend. To calculate ROAS, divide your total revenue by your advertising spend. This is a critical KPI to track for any iGaming app, as it helps you understand the profitability of your campaigns and whether they are delivering a positive return on investment.
2. Find an expert partner for constant optimizations (for example us at Tappx!)
At Tappx, we’re experts in handling all aspects of user acquisition for our advertisers, so you can focus on what you do best: developing great apps! As SSP and Performance Agency, we offer a range of benefits to our clients including:
- Buying media traffic on a cost-per-thousand (CPM) basis which we convert into cost-per-install (CPI) results for our advertisers. That means you only pay for the installs you get, and we take on the risk of delivering results for you.
- Using data and insights from our already-engaged audiences to replicate the success with apps in similar categories. This helps us deliver high-quality users who are more likely to engage with your app.
- The most suitable creativity. We prefer to use your creative material, but we also have an in-house design team that can create new banners and ad copies for you as needed. We know that ad iteration is key to avoiding user fatigue, so we’re always testing and optimizing our ads to ensure the best possible results.
- A dedicated account manager who will be with you every step of the way, from the initial setup to ongoing optimizations and beyond. We’re here to help you achieve your post-install goals, whether that’s driving registrations or increasing purchases.
Overall, our goal is to make user acquisition as easy and stress-free as possible for our clients. With our expertise, data-driven approach, and dedicated support, you can rest assured that you’re getting the best possible results for your investment.
3. Be careful with the local gambling advertising regulations.
Promoting iGaming apps with ads can be a challenge due to the restrictions and regulations around gambling advertising in many countries. At Tappx we understand these challenges and are proud to hold official licenses to operate in the main states of the USA and other GEOs that require a license, so you can be confident that your advertising is in compliance with local laws.
Additionally, we have identified publishers, apps, and websites related to this niche that welcome gambling-related advertising campaigns and are looking for new ads that are relevant to their audiences. By partnering with us, you’ll gain access to our extensive network of partners and ensure your iGaming app is seen by the right people in the right places.
4. Avoid relying on the same creative material again and again.
Frequent iteration of ads is key to keeping your advertising campaigns fresh, engaging, and effective. By continually refining your ads, you can maximize your return on investment and achieve your advertising goals more effectively.
One key reason to iterate your ads is to avoid ad fatigue. Over time, users may become less responsive to ads they’ve seen repeatedly and lose attention. To avoid it, you should update your ad messaging, creativities, and visuals frequently so as to keep your ads fresh and thrilling, and your target audience engaged.
Another reason to iterate your ads is to stay up-to-date with trends and best practices. The advertising landscape is constantly evolving, with new formats, platforms, and trends emerging all the time. By working with Tappx, you’ll have access to our in-house team of designers who can help you generate new advertising material, such as banners and videos, that are optimized for the latest trends and customized according to your business niche.
5. Do A/B ad testing. There is life beyond banners!
Testing different types of ads are essential to determine what resonates best with your target audience. While banners have long been a staple of mobile advertising, video ads are becoming increasingly popular due to their ability to catch users’ attention and convey information in a more engaging way.
By testing rewarded video ads in addition to banners, you can gain valuable insights into what type of ad performs best for your specific campaign and audience. This not only helps to increase engagement and drive higher CTRs, but it can also help you to optimize your ad spend and achieve your campaign objectives more effectively.
In fact, rewarded videos can improve conversion rates and return on ad spend (ROAS). Some interesting facts we’ve learned along the way are:
- Advertisers who used rewarded video ads saw a 15% increase in average revenue per daily active user (ARPDAU) and a 40% increase in retention compared to those who did not use rewarded video ads.
- Rewarded video ads had an average conversion rate of 8%, compared to an average of 0.98% for all other types of mobile video ads.
- Rewarded video ads had a 38% lower cost per install (CPI) than other types of mobile video ads, indicating that they can provide a higher return on ad spend.
Of course, it’s important to keep in mind that the effectiveness of rewarded video ads can vary depending on factors such as the app category, audience demographics, and the specific ad creative used. That’s why it’s crucial to continuously test and iterate your ad campaigns to find what works best for your specific goals and audience.
6. Follow the sports events calendar. Timing is everything
When launching an advertising campaign for a mobile app that is related to sports, such as a betting app, it is decisive to plan the launch around the matches schedule for three main reasons:
- Audience Availability: By launching an advertising campaign when the audience is most likely to be available and interested, you can maximize the reach and impact of the campaign. For example, if you’re running an ad campaign for a betting app during the Super Bowl, you’re more likely to reach a larger and more engaged audience.
- Increased Relevance: When your advertising campaign is timed to coincide with matches or events that are relevant to your app, you can increase its relevance and appeal to your target audience. This can help to improve engagement and conversion rates.
- Lower Costs: By targeting your advertising campaigns around specific matches or events, you can often take advantage of lower advertising costs due to increased demand from advertisers during these periods. This can help you to maximize your advertising budget and ROI.
Overall, planning the launch of an advertising campaign around the matches schedule can help to improve its performance and ensure that it reaches the right audience at the right time.
It’s worth noting that the COVID-19 pandemic had a significant (and positive!) impact on the iGaming industry, as more people turned to online gaming and gambling during lockdowns and other restrictions. This likely contributed to the growth in ad spending for iGaming apps as well. Knowing your competitors is crucial in an environment where big companies control several brands. So making your app different and unique will increase the chances of success.
And in case you are not sure about the great opportunity of iGaming apps, you need to know that despite there being no current consensus about how much budget is allocated specifically to mobile app advertising within the iGaming industry, it is a fact that the global online gambling market was valued at approximately $63.53 billion in 2022, and is expected to experience an annual growth rate of roughly 11.7% from 2023 to 2030.
Overall, the trend suggests that ad spending in iGaming has been increasing in recent years and is expected to continue to grow in the future. We can help you surf this big wave!
Bonus track with techsoulogy
Remember that, as an active part of this industry, you must promote responsible gaming in order to disseminate good practices, prevent, and repair any possible negative effects it may cause.
If you already have an iGaming app or site and want to boost your user acquisition strategy with Tappx, we will be happy to help you. Just contact the team and tell us what you need!