9 Nine ways that Online Casinos are Evolving

Posted by Harry Kane on Tuesday, December 12, 2017

In many ways, it’s almost impossible to start talking about the online casino sector without referencing its incredible, exponential growth. In the UK alone, this sector generated a yield of £4.5 billion across numerous channels in 2016, growing to a point where it now accounts for 32% of the gambling industry as a whole.

With this incredible growth comes rapid change, particularly in terms of the service delivered by virtual casinos and the way in which they share their message with customers.

This evolution is also being driven by increased competition among operators, as each one strive hard to secure a viable market share.

With all of these points in mind, it’s little wonder that today’s most successful online casino operators are continuing to evolve and change the way in which they do things. Here are some of the key manifestations of this approach:

The acceptance of crypto-currencies

In simple terms, operators have had little choice but the fully embrace the crypto-currency revolution and digital concepts such as Bitcoin. After all, this progressive currency offers rapid transaction speeds; low costs and total anonymity to players, creating the type of enhanced and seamless experience that operators are clamouring to deliver in 2017.

Not only this, but the rising popularity of Bitcoin casinos has also compelled operators to change their outlook on cryptocurrency. In a bid to counter the threat posed by blockchain-powered operators, many of the UK’s leading online casino trends have looked to fully integrate this payment option far quicker than they otherwise would have done.

The sense of urgency among operators has been underpinned by the emergence of blockchain technologies such as Ethereum, which creates the potential for a totally open and transparent gaming experience that offers players a ‘zero’ house edge.

This type of development is likely to be heavily backed by UK Gambling Commission (UKGC), which is increasingly focused on the establishment of a fair, regulated and customer-focused marketplace.

Changing the way in which they advertise

In Belgium, we’ve recently seen a move by ministers to create more stringent regulation for casino and sports betting operators. This has encouraged the UK regulator to adopt a similar stance, with a recent report revealing that gambling advertisements (often promoting in-play betting) appeared during 95% of all televised football events in Britain.

As a result, we may soon see a ban placed on gambling adverts being aired during live sporting events, while the UKGC may also introduce a later watershed for the airing of commercials.

Now, operators have been quick to claim that they drive the vast majority of their traffic through digital adverts, but there’s no doubt that a clamp-down on TV advertising would restrict their ability to target engaged and motivated customers in real-time.

As a result, operators are already looking to reconsider the marketing strategies and deployment of media resources. More specifically, they’re either planning to reduce their TV spend and invest this into alternative digital channels, or integrate more responsible gambling messages into their broadcast communications.

The latter is a particularly interesting approach, and one that sits well with the goals of the UKGC and could enable brands to position themselves as ambassadors for fair and responsible gambling in the digital age.

A recent report revealed that gambling advertisements appear during 95 per cent of televised football in the UK. This is an incredible number, which shows online gambling sites’ ability to find an audience and target it. This is being done throughout the industry, with online casinos focusing their marketing campaigns towards websites and television programs that potential players are most likely to be watching.

Heralding the rise of gamification

Over the course of the last decade, the popularity of slot games has grown at the fastest rate online. With activity levels having increased by more than 300% since 2007, slot games has been embraced by players and forced operators to take notice.

One of the main reasons for the popularity of slots is that they’ve been shaped by the concept of gamification, as they utilise characterisation, themed narratives and outstanding animation to elevate the gameplay experience.

This appeals hugely to the younger generation of online gamblers, who have grown up playing immersive video and PC games and grown accustomed to the quality of graphics and narratives used within these.

As a result of this and the incredible success of even simplistic slot titles, operators are continuing to integrate gamification into more classic casino games of skill like roulette and blackjack. This trend is likely to continue, as virtual casinos look to drive a cross-platform gaming experience that appeals to numerous demographics.

The emergence of HTML5 and flash over Apps

The rise of the online casino industry coincided with the app market boom, so it makes sense that operators focused their creative energy on establishing applications rather than mobile web sites.

This trend has come full circle in recent times, as players have grown tired of downloading cumbersome apps and having to initiate regular updates. Instead, they want to seamlessly access quick-loading and responsive mobile sites, which leverage HTML5 language and enable players to enjoy their favourite games quickly and easily.

Much of this has to do with the progressive nature of HTML5 and the changing behaviours of customers, although Google’s increased focus on optimising the mobile experience has also made a huge difference.

As a result of these factors, HTML5 and flash technology is becoming far more popular that costly app development. This is helping operators to more effectively target customers, while also reducing the cost of bringing their proposition to the market.

The continued migration to mobile gaming

This brings us neatly onto mobile gaming, which is undoubtedly now the focus for virtual casino operators.

After all, the revenues generated by mobile gaming as a whole is expected to reach $108.9 million by the end of this year, while the development of advanced smartphones and dedicated gaming tablets has enabled players to enjoy their favourite games while on the move.

So, a growing number of players have migrated to the mobile platform in search of a more convenient and enjoyable experience, while its interesting to note that the gaming revenue generated by tablets is actually growing at a quicker rate than smartphones.

This, along with Google’s release of a mobile-friendly algorithm that rewards optimised and responsive sites, has shaped the strategy of operators and encouraged them to rethink their approach when designing their primary website.

The mobile-friendly sites are also being constantly ungraded in line with customer behaviour and feedback, as apps and traditional platforms become increasingly out-dated in the virtual gambling industry.

Using custom preferences to help the customer create their own experience

Customers are increasingly demanding in the modern age, as they demand agile and flexible solutions to their everyday problems and challenges.

They are also increasingly likely to demand customisable experiences and packages in the digital age, which afford them considerable autonomy and the freedom to choose how they complete particular tasks.

The UK’s leading online casino operators have embraced this generational shift in consumer behaviour, by offering players the chance to customise many of the features that shape their experience online. In fact, players can access settings to set their preferences for sound; spins and tables, creating optimised visuals and audio effects that create a truly personalised experience.

This also enables operators to leverage a critical advantage that they have over bricks-and-mortar casinos, as land based establishments simply cannot alter the experience for each individual player.

As operators continue to collect more advanced data sets and refine the technologies that they have at their disposal, they should develop a far greater understanding of their customer’s needs and develop a wider range of customisable options as a result.

The rise of VR and the final step to bridging the gap between virtual and corporeal gaming

After years of debate and discussion, we finally saw virtual and augmented reality (or VR and AR to you and me) make its mark on the consumer mainstream. Much of this had to do with the fact that these technologies found a natural application in the gaming industry, enabling them to focus the minds of developers and effectively engage potential customers.

As a result of this, VR is now a true buzzword in the online gaming market while it’s increasingly popular among virtual casino developers too. As the technology continues to evolve, operators are rushing to create a remote, three-dimensional casino environment that finally bridges the gap between corporeal and virtual gambling.

After all, this represents a long-term goal for casino operators, who have made numerous changed to virtual gameplay in order to achieve this. From creating more authentic dealer interaction to regulating the pace of gameplay, the industry has taken gradual steps towards making online action as realistic as possible.

While no single online casino has yet to fully harness the potential of VR technology, market leaders NetEnt have proposed the launch of its first, real-money slot game. Based on the popular classic Gonzo’s Quest, this slot will be unveiled sometime in spring 2018 and will blaze a trail for other developers to follow in the future.

Operators will continue to target new and diverse demographics

We’ve already touched briefly on branded slots, which have become hugely popular in recent times (and particularly since the launch of television and film inspired titles).

The development of branded and themed slots has also formed part of a progressive and universal marketing strategy, which has allowed operators to target new demographics. Historically, online casinos were required to target gamblers, who were transitioning from bricks-and-mortar locations, by creating online iterations of classic games.

The use of branded and themed games has diversified the reach of operators, however, allowing them to target fans of specific television shows and pop culture icons.

This has also created unique opportunities for cross-platform marketing, as operators can leverage the existing popularity of brands, characters and narratives to share their message with a wider audience. This type of exposure has proved key in driving growth in the online casino market, as the number of active individual players continues to rise year-on-year.

Shifting towards the protection of consumer interests

If we do see the UKGC crackdown on advertising practices for gambling and sports betting brands, you can rest assured that operators would need to react decisively in one way or another. Regardless of the approach that the UK regulator takes to overseeing marketing methods, however, there’s no doubt that operators must brace themselves for a significant shift in ethos in the months ahead.

Recently, the UKGC announced five key strategies that it will prioritise between now and 2021, and each of these were focused on safeguarding consumer interests, protecting vulnerable gamblers and promoting a responsible gambling message across the globe.

As a result of this, we’re also seeing operators adapt their own business philosophies, especially as their customers can already enjoy a safe, secure and immersive gambling experience. Many are looking to realign their values with the UKGC, as they create messaging, promotions and initiatives that are people focused and designed to popularise the concept of responsible gambling.

So, not only should expect operators to become increasingly customer focused in the coming months, but it’s also likely that brands will compete aggressively to become ambassadors for responsible gambling in the UK.

The last word

So there you have it; nine intriguing ways in which online casino brands and operators will continue to evolve and change their ways of operating. These shifts certainly highlight the evolutionary nature of the virtual gambling market, while they also offer an insight into the demands and expectations of consumers in the digital age.

The changes are likely to stop here, however, while the pace of advancement means that it’s difficult to know precisely where the market is headed in the future.

There are certain trends that are sure to stand the test of time, however, with VR and mobile gambling likely to take centre stage in 2018 and beyond.