The biggest headaches for gaming operators are, without a doubt, meeting their responsibilities to prevent problem gambling, whilst blocking money laundering (AML) and bonus abuse.
But to achieve this, they must scrutinise a huge number of players with the result that, in order not to incur additional operational costs, they have to either run the risk of accepting an uncertain transaction, or decline a number of players who could, in fact, be good business.
And when they get it wrong, it’s costly. Last year alone the Gambling Commission issued penalty charges of £18 million to UK gaming operators for anti-money laundering and social responsibility failings* - no small amount. It’s crucial, therefore, - for their own survival if nothing else - that gaming operators get this element right.
So how can they balance their responsibilities with the need to accept as many players as possible and increase revenue?
We’ve been considering this as part of our development of Pay360’s new risk management platform, Optimize. Here’s what we’ve learned from talking to gaming operators:
1.Use automation to be more efficient
Today’s gaming businesses ignore the potential of automation at their peril: when you need to achieve more using fewer resources, the latest automation technology can make the difference between unsustainable operational costs and a viable business model.
Our risk platform, Optimize, represents the very latest in advanced automation. Using our powerful rules engine you can build payment acceptance strategies for online casino, poker, bingo and sports betting to suit specific scenarios, from simple checklists to complex strategies, in just a few simple clicks, and all in real-time.
Optimize also provides an automated workflow management system which prioritises deferred tasks across global teams to support streamlined working. This means that your high value, business critical tasks are resolved more quickly, with lower operational costs. In fact, using Optimize, our customers are seeing a reduction in manual case review times of more than 40%.
2. Remember it’s all about the experience
To leverage the power of customer loyalty you need to ensure players have the best possible experience when transacting with you. Offer them an app or website that they enjoy using, and they’ll return again and again. But only if they’re not then experiencing friction at the payment stage.
For example, a player who enters their payment details only to see the message ‘Your transaction was declined, please call us to arrange alternative payment’ will feel frustrated, possibly embarrassed, and almost definitely unlikely to return to your app unless, of course, they weren’t a legitimate customer in the first case.
If, on the other hand, the engine behind the payment process is powerful enough to access thousands of data points in seconds, the player entering their card details will be unaware of the data crunching taking place in the background before they’re accepted. With Optimize, a quick, accurate result is reached straight away, which takes more players past your checkout, more quickly, resulting in a higher number of genuine customers and a far greater level of customer satisfaction.
It’s not just about making those first payments faster – by defining how you’d like to further streamline the customer payment journey, you can also choose to make it easier for customers to make repeat payments. So as well as optimising player onboarding, with Optimize you can provide a seamless and friction-free journey for your players – they’ll remember this positive experience, supporting you with longer-term customer retention.
3. Ensure you’re making good decisions
It’s reported that over 1 in 5 (21%) of all declined online payments in the UK turn out to be false positives** – that’s a huge amount of potential custom to lose for any business.
That’s why Optimize is such a valuable tool - by combining your own data with specialised third-party data for enhanced player authentication, you can easily identify those players who are genuine. And by accepting more genuine customers, you’re minimising the number of false positives, providing the reassurance of knowing your ‘good’ customers aren’t being put off their decision to transact. Rather than declining transactions and losing money, your player numbers will actually increase - hand in hand, of course, with your revenue. In fact, our customers tell us they’re seeing a reduction in false positives of more than 50% by using Optimize – an impressive figure when you translate that into revenue gains.
In addition, by using the advanced identify verification (ID&V) resources available as part of the Optimize suite, you’ll have the reassurance of knowing more about your players (KYC), making it easier to identify problem gamblers, prevent bonus abuse and support anti-money laundering (AML).
You can also make better, faster business decisions by using the interactive, time responsive pages in Optimize for quicker analysis and player insight in real-time. And you can draw further insights by using our advanced link analysis tool – using the newest analytics and search engine, this unique, market-leading tool makes it possible for you to uncover previously hidden behavioural patterns by visually connecting data.
Take a look at our latest infographic for a quick overview of the Optimize Suite for gaming operators or get in touch to discover how Optimize could revolutionise your gaming business transactions.