Below, we here at have outlined a few of the most important metrics and KPIs used within the online gambling sector.

Conversion and retention rates

Conversion and retention rates are two of the most widely used metrics that online casino operators look at in order to measure their performance. Conversion rates focus on new customers, and how attractive a business might potentially be to them (i.e. the more attractive a business is, the higher the conversion rate will be). Retention rates look at existing customers, and how much they are spending or, more specifically, how often they are returning to play. It’s also important to have a firm understanding of the different metrics as well as what they may mean.  Within the online gambling sector, different product verticals can and do have significant variations in metrics and Key Performance Indicators.  This is of vital significance when attempting to understand and budget for conversions, particularly in respect to new player sign-up bonuses and other incentives that are offered both to attract and retain players.  This is best explained by looking at a real example.  The website provides information on roulette bonuses available to new players from a wide variety of online casino operators.  What’s can clearly be seen here is that bonuses can vary dramatically, and in order to ensure an aqequate return on investment, the operator is required to full understand what their typical cost per acquisition is for a roulette player in this market.  In order to be commercially viable, the bonuses on offer must be below the life time value for the typical player.  That’s fairly obvious.  What isn’t as obvious is that the typical lifetime value of a player varies across not just gambling product verticals, but also within those verticals themeselves.  So for example, within the casino vertical it’s probable that a predominantly slots only player may have a different lifetime player value to a roulette only player.

In layman’s terms, the conversion rate is the percentage of people who visit your site that perform a desired action, such as downloading a software program.

Retention rate is the percentage of existing customers who return to play after the first time. This could be measured over a period of one week, one month or even as long as one year.

Revenue per unique player

This is the total profit gained from any one customer. This figure can easily be estimated by dividing the business’ total revenue by the number of active members.

DAU – the number of active users per day (Daily Active Users)

MAU – The number of active users per any given month (monthly active users)

Return to Play (MAU)

Return to play normally looks at MAU (Monthly active users) and whether or not they returned to play the following month. For example, if 100 visitors played during September and then 90 of these same players return to play in October, the Return to Play rate would be 90%.

This same concept can also be applied to ‘Return to Deposit’. This metric calculates the percentage of players who make a follow up (i.e. second) deposit after making a first deposit. Technology can also calculate how long it takes, on average, for return depositors to make their second, third (and so on) deposits.

Download to deposit ratio

Of course, just because a potential customer downloads your casino’s software, it doesn’t mean that they have contributed anything to your business. They need to make a deposit first and not all players who download are going to go on and make that deposit.

Gross Margin Win – This describes the percentage of the overall casino revenue that is generated from profits from bets after all winning bets are paid out over a certain period of time.