Google pay per click may seem like a good route for instant traffic and quick wins. However, this type of advertising must be used with caution. Many non-branded operators depend on a minimum 50% sign-up from click to deposit to be financially viable. Operators need to ask themselves – can they be competitive enough to achieve this, given the bid values for the hottest terms?
The cost per click for the main generic search terms is typically too high for any operator to convert a profitable player. So where can casino operators make money from
PPC? Bidding on the games themselves is a great way to achieve a low cost per acquisition (CPA) from PPC advertising.
Pushing phrases around the “free” niche bringsin players who are interested but will take a bit longer to convert into a full transfer deposit. Player management and engagement is essential at this point. Losing the “free” related terms within the campaign will lift the cost into a negative point very quickly:
Unless the operator has a very good conversion rate losing the “free” term could be costly. The conclusion is that operators must invest in their websites, the user experience and value they provide, while also being honest with themselves over how effective they can be at making sure traffic from paid channels is profitable.
SEO is a longer term strategy. But in the long run a casino domain ranking high for generic and game terms will drastically drop the cost of customer acquisition.
The graph below shows one month’s search traffic, with a click through rate of 5% and a sign-up rate of 5%. The revenue is calculated on £380 average lifetime
value over a two year period. This only shows ten of the leading non-branded search terms,
There are over 3000 non-branded casino search terms in the UK sector and the analysis did not include the game names. Operators looking for a longer term profitable
business should include SEO as one of the core player acquisition strategies. Achieving and maintaining high organic rankings not only delivers high volumes of ‘free’ traffic, it also has other benefits. Ranking well organically for search terms (should) help lower the cost of PPC campaigns as the site content is deemed relevant and valuable by search engines.
Affiliates are one of the core strategies for any operator but there is an instant loss of 30% depending on the deal in place. Affiliates should be used as part of a longer term
strategy. A young casino operator will need be aware of the likely negative impacts during the first six months of the casino’s operating period. Any new casino operator should use all three areas to help lower the overall average CPA of a full transfer deposit, as part of an integrated, intelligent strategy – but it takes focus, and knowing the right
strategy for your business at the right time. An area to avoid. Money can be wasted very quickly on poor strategies. Certain terms in the casino sector are worth avoiding.
The no deposit sector is one such example
The “no deposit” sector may seem attractive but the conversion from sign-up to full transfer deposit can be very disappointing, unless your customer onboarding process is particularly smart. Casino operators with good internal CRM and player management can take advantage of this niche but using PPC and Google Adwords will often lead to a
negative player value.
For more information on player acquisition in the casino sector contact Blueclaw on 01132 343300 – or visit www.blueclaw.co.uk to learn more, or request benchmarking data for the games you offer.