Let’s say you’ve followed the process, opened your first betting platform, and acquired a healthy customer base. Congratulations! You’ve officially entered the second phase — how to retain those customers.
While there are many ways to go about this, one surefire way to retain customers is to offer them precisely what they want – and achieving this seemingly impossible goal comes down to strategizing smartly and implementing the right kind of technology. OddsMatrix offers tools and solutions for bookmakers to create engaging betting products and boost customer engagement through powerful risk management tools, comprehensive sports data APIs, and data and odds feeds.
In this article, we will explore the intricacies of customer retention as applied to the gambling industry and a few key strategies to keep players engaged and happy.
Customer retention in the gambling industry refers to the strategies and practices used to keep players engaged and returning to a gambling platform over time. Unlike acquisition, which focuses on attracting new users, retention emphasizes building loyalty among existing customers. In gambling, this is particularly important due to the high level of competition and the ease with which users can switch between platforms. Operators invest heavily in loyalty programs, personalized experiences, and promotional offers to maintain user interest and reduce churn.
Bookmakers often use data analytics to understand player behavior and preferences. By tracking how users interact with games, how often they log in, and how much they wager, bookmakers can tailor experiences to each individual: free spins, deposit bonuses, or exclusive games to high-value users are some common tactics employed by bookmakers. Ultimately, the goal is to foster a sense of value and engagement so that users feel rewarded for their loyalty and are less likely to seek alternatives.
Moreover, customer retention also hinges on responsible gambling practices and customer support. Platforms that promote safe gambling environments and respond effectively to user concerns are more likely to build trust and long-term relationships.
In other words, retention efforts combine promotional incentives with ethical responsibility, creating a balanced ecosystem where players enjoy the thrill of the game while feeling respected and supported by the operator.
Like any business, betting platforms, too, need a steady flow of customers to keep the lights on. While acquiring and retaining customers can be done in many different ways, most of these initiatives (marketing, advertising, promotions, customer success initiatives, customer surveys, and so on) cost money. Despite the whirlwind of business and industry-adjacent literature covering this issue in fancy words and terminology, all it comes down to is making more money than you’d invested.
, “acquiring a new customer is anywhere from five to 25 times more expensive than retaining an existing one“. This line of thinking makes sense even before crunching any numbers. Retaining customers is inherently cheaper because you’re essentially building customer retention flows and processes on top of existing infrastructure, whereas acquiring customers involves marketing and advertising costs that will most likely require outside help. To give a possibly reductive example, it’s the difference between an email activation campaign sent out to registered users and putting up billboards in the city centre. Or turning a few knobs to keep your current customers happy versus hiring an advertising agency to promote your platform on TikTok.
To fully understand the importance of customer retention, we need to look at the churn rate.
, also known as the rate of attrition or customer churn, describes the rate at which customers end their relationship with a product in a particular period. It is often expressed as the percentage of users who cancel their subscriptions within a specific timeframe. In essence, churn rate is the opposite of customer retention. Businesses (particularly in the SaaS niche) look at churn rates by month or quarter to figure out if their customer retention tactics are working. A high churn rate typically heralds disaster for the business because it indicates that more people are choosing to end their relationship with the business in favour of the competition rather than subscribing.
The kicker is that the gambling industry is, by design, subject to enormous churn rates. For example, experience around 40% churn rate “in the first week of their deposits or just after submitting a registration form, i.e., even before placing their first bet. These are the customers who only make one bet and never come back”. This is why the majority of marketing efforts within these betting platforms focus on contacting these customers by adopting holistic, metrics-based approaches. For example, they may look at a customer’s win-loss ratio and form an intervention strategy around it in the form of bonuses, free spins, free credits, free bets, and so on.
Plus, keeping the right customers within your business’s gravitational pull can have positive spillover effects on your customer acquisition efforts, too. Of course, we’re talking about word-of-mouth marketing, but that’s a discussion for another article.
Within an increasingly competitive landscape, bookmakers face several challenges when it comes to keeping customers engaged and loyal. Generally, the main challenge is of a technological nature. Established, legacy bookmakers are less willing to invest heavily in new technologies and infrastructure out of fear of alienating legacy, high-paying customers who are used to things looking and feeling a certain way.
This results in clunky interfaces and byzantine onboarding processes that can drive newcomers away. On the other side of the spectrum, upcoming bookmakers have the opportunity to build everything from scratch using the latest technologies but lack the industry “clout” of their more established counterparts.
But this is just one facet of the problem, as it often branches out into multiple, interconnected issues that bookmakers, whether new or established, have to tackle simultaneously:
Other challenges include:
CRM platforms are foundational in managing customer retention strategies within online gambling. CRMs store and analyze user data such as gaming preferences, frequency of play, transaction history, and communication preferences.
Bookmakers often use CRMs to deliver personalized messages, tailor promotional offers, and manage loyalty programs more effectively. They also allow gambling companies to segment users based on behavior or value, enabling targeted campaigns that are more likely to resonate and retain different player groups.
AI and machine learning technologies play a vital role in enhancing the personalization and prediction capabilities of online casinos. Broadly, AI tools can analyze vast datasets to identify patterns in user behavior, predict churn, and recommend actions to re-engage users.
For instance, AI-driven recommendation engines suggest games players are most likely to enjoy based on their past activity. Machine learning models can also forecast which users are at risk of dropping off, enabling timely interventions through bonuses, emails, or exclusive events.
Any game needs a sense of progression and competition beyond mere monetary wins because they make the platform more entertaining and immersive. Operators that implement user progress and rewards systems, with badges or unlockable content, foster a deeper emotional connection between the player and the product, thus boosting long-term loyalty.
If a high-value player suddenly reduces their activity, for example, the system can trigger a personalized retention offer. Real-time analytics also help operators test the effectiveness of campaigns quickly and adjust marketing strategies based on current user trends.
When combined with personalization engines, this trove of data enables dynamic adjustments to the user interface and promotional content. This is actually what allows bookmakers to personalize content. For instance, if a user prefers slot games, they might be shown slot-related bonuses and content, while another who favors poker could receive tournament invitations. These tailored experiences can make or break user retention efforts..
As we previously mentioned, the existing literature on customer engagement is quite dense and can be hard to parse. It essentially revolves around the “science” of spotting patterns within the highly unpredictable domain of human behaviour and capitalizing on them. However, there are processes and flows meant to “predict the unpredictable,” so to speak.
A sports data provider is a company or service that aggregates, analyzes, and provides sports-related data to betting platforms, sports news sites, media organizations, and other entities operating in adjacent fields.
Sports data providers have become a crucial part of the sports betting ecosystem, and for a good reason. They provide sports betting businesses with valuable intel to help them streamline their operations and create engaging products. More specifically, they are in the business of data – odds data, data feeds, data APIs, tools and solutions designed to sort and contextualise said data, and so on. There’s more to sports data providers than this, but to summarise. If you want to boost customer engagement and retention, purchasing the services of a reliable sports data provider is a must.
Enter OddsMatrix, the leading sports betting data provider used by thousands of bookmakers and sports betting platform developers. OddsMatrix provides bookmakers with valuable data and tools to help them manage their operations efficiently.
Here’s a brief overview of OddsMatrix’s key features:
More relevant to this article, OddsMatrix has a suite of tools to help bookmakers optimize their customer retention efforts. Take our sports data widgets, which are suitable for brands with a more content-centric approach to customer acquisition.
Easy to embed and customisable, OddsMatrix’s sports data widgets provide intuitive and eye-catching data visualisations and stats for a wide variety of sports, leagues, and events, such as live scores, stats, and match events.
Not only do they work across multiple platforms and devices, but we ensure data accuracy by pulling data from multiple pools. Bookmakers using OddsMatrix’s sports data widgets also get highly granular and holistic stats categorised by sport and event.
When you open a mobile app, you will often be greeted by a series of introductory screens that explain how the product works. If you’re like most people, you will probably tap Skip when you see it. That introduction process is called onboarding, which is vital for boosting user retention. After all, if you can’t clearly communicate what your product is about and how it differentiates itself from the competition, why should the user stick with you and not take their business elsewhere?
However, more and more betting app designers abandon this solution for one simple reason: the large majority of betting apps look and behave almost identically. The betting app landscape has become so uniformized in terms of design and functionality that any user with some betting experience will instinctively know where to tap to find their sport of choice and place a bet.
Still, there is some value in investing time and resources into creating a tight onboarding process precisely because many platforms have abandoned this practice. Here are a few good practices to set up an adequate onboarding flow for your sports betting app:
The sports world is more vast and diverse than ever. Still, most bettors (and betting platforms, too) barely scratch the surface, resorting to “the usual suspects”—popular sports like football, basketball, and hockey. This makes introducing more bet types and markets (and promoting them accordingly) all the more important.
This is where a sports data provider such as OddsMatrix could be tremendously helpful in providing the kind of diversity and granularity in betting that customers seek.
OddsMatrix Sports Data APIs give access to thousands of sports events and competitions on a monthly basis, complete with pre-match and live odds updates, real-time score updates, and a wealth of data around which bookmakers can optimize their betting platforms.
OddsMatrix provides coverage for all popular sports and esports competitions, including NFL, NBA, NHL, Formula 1, Snooker, FIFA World Cup, and less popular competitions as well. Our offer includes both pre-live and live events.
On a more macro level, OddsMatrix allows bookmakers to enhance their betting offer with accurate and continuously updated fixtures across thousands of sports, esports leagues, and tournaments. As such, you can expect the following features:
Loyalty systems are all the rage in the modern app landscape for one simple reason: they’re the cornerstone of customer retention strategies from which nearly all initiatives of this type branch out. These loyalty programs often take the form of point systems, wherein players earn in-app currency the more they play.
With those points, players could unlock various rewards, such as cashback offers or free bets. You can take it a step further and implement VIP tiers, similar to how competitive multiplayer video games do it. This gives betting an allure of prestige and makes players feel seen and rewarded for their engagement.
The concept of “social gaming” (closely related to online gaming or multiplayer gaming) has existed for a while. At its core, it describes a type of gaming that allows for interactivity between players.
In sports betting specifically, social gaming is part of a larger trend concerned with gamification. Players not only play with their own odds but can also play with others. They can compare results, compete in public leaderboards, and even play with each other.
It’s easy to understand why social gaming can boost both in-app engagement and retention and acquisition. By design, social gaming incentivizes organic interaction by virtue of having leaderboards and features through which players can compare their results – not to mention that most betting apps offer easy integration with social media.
Hyper-personalization uses real-time data and machine learning to tailor every interaction between the bookmaker and the bettor. Unlike standard personalization (such as sending offers based on general preferences), hyper-personalization involves analyzing behavioral signals, betting patterns, and even real-time engagement trends to dynamically adjust the user’s interface, game suggestions, odds presentation, and communication. For example, if a user tends to bet on Spanish football on weekends, the app can automatically promote those matches front and center on their dashboard and offer quick-bet options tailored to those leagues.
This kind of experience makes the platform feel intuitive and uniquely suited to the individual, which can significantly reduce user churn. When customers feel that the platform “gets them,” they are less likely to explore other alternatives. Hyper-personalization can also extend to communication channels; email and push notifications should be event-driven and triggered by a user’s activity or inactivity, offering timely nudges that feel useful rather than intrusive.
Implementing this requires integration between behavioral tracking tools, CRM platforms, and AI engines that can segment and act on micro-trends. The payoff is substantial: when customers are treated to a betting journey that evolves with their preferences and habits, retention becomes a natural outcome rather than a forced one.
One of the most impactful uses of AI in the betting world is predictive churn modeling. Churn analysis systems involve analyzing historical and real-time user data to determine which users are most likely to stop using the platform. Metrics like reduced session frequency, smaller bet sizes, fewer deposits, or decreased responsiveness to offers are all signs of churn risk. By scoring users based on these patterns, operators can proactively engage them before they leave.
Take a high-value user who has not placed a bet for several days and hasn’t responded to standard promotions. In this case, a predictive system might flag them as at risk. This would trigger a retention strategy, such as offering a highly personalized promotion, a call from a VIP support manager, or a free bet tailored to their previous interests. Targeted interventions often yield better results than blanket campaigns sent to the entire user base.
What makes this tactic so effective is its strategic precision. Rather than spending resources on users who are not at risk, bookmakers can focus their retention budget on the ones who matter most. Over time, these predictive systems can even become self-optimizing, learning which types of interventions work best for different churn profiles, improving both efficiency and effectiveness.
One effective way to keep users engaged over a longer period is through gamified in-app challenges and seasonal campaigns. The challenges could take the form of weekly missions such as “Place 5 bets on tennis matches to win a bonus” or time-limited campaigns tied to sports seasons or major events like the World Cup or March Madness.
THe next step would be tiering the challenges for different user segments: casual bettors might have simpler goals, while high rollers could be offered exclusive VIP challenges with significant rewards. Segmentation ensures that users feel both recognized and motivated. During the UEFA Euro tournament, users could participate in a “bet-and-win” leaderboard with daily match challenges and live updates.
Why is customer retention important for bookmakers?
Customer retention is vital because it costs significantly less to retain an existing user than to acquire a new one. In a highly competitive betting industry, loyal customers provide consistent revenue and are more likely to engage in high-value activities.
What is the difference between customer acquisition and retention in sports betting?
Customer acquisition focuses on attracting new users through marketing, bonuses, and promotions, whereas retention emphasizes keeping existing users active and loyal. While acquisition brings people through the door, retention tactics keep them engaged.
What are some effective customer retention tactics for bookmakers?
Some proven tactics include:
How can technology help improve customer retention?
Technologies such as CRM systems, AI-powered personalization, real-time analytics, and behavioral tracking tools help bookmakers better understand user behavior and deliver timely, relevant experiences.
What role do loyalty programs play in retention?
Loyalty programs reward users for their continued engagement. This could be through points-based systems, cashback, free bets, or tiered VIP structures. Such programs create an incentive loop, where users feel valued and are more likely to return to maintain their status or earn more rewards.
How important is onboarding in user retention?
A smooth and intuitive onboarding process can dramatically improve first-time user retention. It helps users quickly understand the platform, builds initial trust, and sets the tone for ongoing interaction. Bookmakers that educate new users while offering early incentives often see higher conversion and retention rates.
How do bookmakers retain users beyond bonuses and promotions?
While promotions are helpful, long-term retention relies on factors like platform usability, betting diversity, personalized content, and trust. Providing a secure, enjoyable, and transparent experience along with engaging features like in-app challenges and exclusive bet types builds deeper user loyalty beyond short-term incentives.
OddsMatrix is the leading sports betting data provider for bookmakers and operators looking to retain customers through creative, engaging betting products. If you’re looking for solutions specifically designed to retain customers, look no further than our vast selection of sports data APIs and powerful risk management tools.
