The technology behind online gambling

India, 6 May 2020 – Online gambling has become one of the success stories of the e-commerce boom, in all parts of the world. There are now well in excess of hundreds online casinos in India and it is estimated that the global market by the end of 2020 will be worth close to US $60 billion.  The reason for this success is driven, in large part, by the way the industry has been able to adapt to the opportunities offered by the advances in consumer technology. 

The most obvious example of this is the growth in mobile, smartphones and the roll-out in 4G networks in many countries. In 2011 it was estimated that mobile had a 7% share of the online gaming market; by 2019 that figure had grown to 72%. 

However, whilst mobile may be the best example of how online gaming is utilising technology, it is by no means the only example.

Mobile

Betting via mobile phone apps offers many advantages compared to traditional methods of wagering.

The first and most obvious example is convenience. Now users can place bets anywhere, anytime, and without having to leave their front door.  And, to cater to this demand, sports betting companies provide their customers with a wealth of stats, betting tips and up to date odds all via their proprietary apps. Email, SMS and push notifications also keep them current with the latest offers and promotions.

One of the drivers behind the growth in online gaming has been the increase in in-play betting. Mobile betting facilitates this, enabling punters, provided that they have a reliable internet connection, to react instantly to developments in a game, match or race, enabling them to change their bets almost instantly.

Another key factor driving the rise of mobile, is that it is now easy to make and receive payments by phone, thanks to developments like e-wallets, digital payment solutions, and even cryptocurrencies like Bitcoin.

From the viewpoint of the online sports betting company this is good news. Research has shown that mobile players are twice as likely to convert to real money play as those using laptops or PCs. They also tend to make more payments overall.

Big Data

For an industry that is predicated upon statistics, mathematics and probabilities, the advances made in big data have proved to be a real boon. Online gaming companies now have the ability to probe and analyze vast amounts of information in a fraction of the time that it would have taken them immediately, and to a far greater degree of granularity. 

Now all the leading companies employ teams of data engineers, statisticians and actuaries to calculate odds with an increasing degree of accuracy.

Nor are benefits solely for the benefit of the online gaming providers. There have also sprung up a host of subscription based data analytics companies which provide users with player and tournament statistics, and offer informed betting strategies. 

AI (Artificial Intelligence)

AI has helped bring a more personalized gaming experience to users. Using sophisticated software, AI enables online companies to analyze the bets that a user has placed to develop a better understanding of their preferences, enabling tailored offers and promotions to be directed at them.

It has also assisted in producing better informed responses to customer service queries, based on data collated from previous interactions with users.

AI has also been used to identify those gamblers who are at risk of developing an addiction – always a delicate issue to handle. Analyzing factors such as the frequency of play, amount staked, the size of losses, and the regularity of deposits, AI can identify those who have acquired a habit that may need corrective behaviors, such as a suspension of their account, or referral to addiction counseling.