movers-and-shakers-–-tax-avoidance

Movers and Shakers – Tax avoidance

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Shalva Bukia, CPO at SPRIBE, says crash games hold the key to unlocking sustainable acquisition and retention in markets where the tax rates are rising

The landscape against which operators are running their online casinos and sportsbooks is changing, driven by regulatory shifts and tax increases, and the resulting reduction in margin.

In markets like the UK, Brazil and Mexico in particular, significant tax increases are forcing operators to rethink, redefine and restructure.

This is absolutely necessary if they are to continue to engage players, deliver the experiences they are seeking and maintain a viable business.

This will bring about significant change, not least in the value attributed to player engagement and retention.

For a long time, it’s been acquisition at all costs, but now the cost of acquisition is so high, and margins so thin, extracting the largest LTV for each player is mission-critical.

To do this, operators will be looking at all aspects of their casinos and sportsbooks, from bonuses and payments to loyalty and rewards.

Content will also be a major area of focus, too.

Operators may well be forced to reduce RTPs but in doing so risk harming the player experience. Instead, I believe they should look to add more non-traditional content to their lobbies.

Why? Because formats such as crash are highly engaging – more so that standard slot, table and casino games.

This is because they combine psychology, design and real time social dynamics in ways these other formats simply can’t replicate.

Let’s take a closer look at why crash games are so effective at hooking players and keeping them coming back for more.

Rising tension curve hits the brain’s reward circuitry:

The increasing curve format is as simple as it is thrilling. With Aviator, the plane takes off, the multiplier rises, the risk/reward increases and suspense then peaks.

This taps into variable rewards, anticipation dopamine spikes and the “just one more round” behaviour that motivates players to remain engaged with the game.

It’s tension building by design, and it works incredibly well.

The feeling of control:

Unlike traditional slot games, the crash format gives players a degree of control over the outcome – although some will argue it’s more of an illusion of control.

Regardless, players like that they can decide when to cash out, allowing them to set and alter their risk appetite with each game round.

The gameplay more closely mimics trading and sports betting than anything else, and this makes players feel responsible for the outcome even though it is ultimately random.

The act of choosing when to cash out builds agency with increased emotional investment, and this is why players strap in again for the next round.

Fast action:

The crash format is incredibly fast with game rounds lasting between five and ten seconds. This makes for a thrilling experience with little to no downtime, instant feedback and a constant “fresh chance” feeling.

Essentially, games like Aviator are built around a behavioural loop closer to mobile gaming than traditional casino play.

Strong social dynamics:

Aviator is all about driving social engagement and building communities around the game. One of the ways we do this is to give players sight of things like:

  • Other players’ bets
  • Their cash-out points
  • Big wins
  • Chat reactions

Not only that, but even once a player has cashed out they get to watch the rest of the round and see what they could have won. Of course, they can then discuss this in the chat function where players can also share bonuses and even wins.

This creates social proof – others are doing well, so can I – competition – I can beat their cashout – and FOMO – missing the big multiplier hurts more when others hit it.

Ultimately, crash games feel like a live, shared event and not an isolated bet as is the case with standard slotting and casino games.

Little to no friction:

Crash games are really easy to understand and this makes them great for both acquisition and retention.

Players can understand how the game works and how to win within a round or two – there’s no complex math, mechanics or paytables to understand.

It’s really just about gut instinct and hitting the cash out button at the right moment.

This creates a tight emotional curve that’s as intense as it is compelling. And this keeps players coming back for more.

The power of the near-miss effect:

A near miss is actually one of the most powerful motivators in gaming and gambling, and crash games deliver them naturally and constantly.

For example, the player cashes out at 2.4x but the game plays to 40x, or they hold out for 10x but it crashes at 9.8x. Missing the big multipliers can be a matter of milliseconds.

These events keep players highly engaged and emotionally invested, regardless of whether they win or lose.

Mobile optimised:

Crash games are perfect for mobile – Aviator was built for mobile from the get-go. It’s lightway, plays in the vertical mode, can be accessed in low bandwidth and is easy to join and exit.

When you consider the vast majority of players are now mobile, it’s the absolute best way to provide the experiences they are seeking on the channel they prefer.

Crash games are powerful retention engines that operators can fire up, but they need to be used intentionally and not just thrown into the lobby.

This is because they have built in behavioural hooks that when aligned with smart CRM generate sticky, recurring engagement.

This will ultimately be crucial for operators looking to not only survive in high tax, low margin markets, but to thrive.

The post Movers and Shakers – Tax avoidance appeared first on European Gaming Industry News.

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