Daily Active Users: Effective Tips to Expand the DAU in iGaming
Successful iGaming platforms rely on a consistent and growing influx of traffic and user retention. But that doesn’t mean that competition is out of the picture. The key distinguishing factor in casino profitability is the marketing approach. So, how can you effectively manage your platform in this dynamic environment? The answer lies in monitoring crucial business metrics, with a particular focus on Daily Active Users (DAU).
The Daily Active Users metric deserves attention because it functions as a barometer for gauging growth potential and user engagement. A high DAU is an encouraging sign, while a decreasing count of Daily Active Users may signal the onset of churn. This article aims to explain the concept of Daily Active Users, the methods of measuring it, and the reasons why careful tracking is imperative. Additionally, you’ll find some tips on how to expand the Daily Active Users base.
What is the DAU metric for the iGaming platform?
DAU is a fundamental metric that quantifies the number of users who engage with at least one game or section on the website within a 24-hour timeframe. Depending on the specific activities you choose to monitor, DAUs can yield essential insights into user engagement on your gambling platform.
While DAU is important, it alone doesn’t offer a complete picture of platform performance. It does, however, help identify user preferences and popular features. Equally essential is understanding the demographics of your DAU and the context surrounding this metric, which can be even more informative than the DAU number itself.
How to calculate the number of Daily Active Users?
Active users are those who had at least one session during the selected time period. These intervals can be different — the following three groups are usually tested: daily, weekly, and monthly audiences.
– Average Daily Active Users (ADAU): This is the monthly or 30-day trailing DAU average. It’s what most people mean when they talk about DAU.
– Daily new users and daily returning users: There are new users and returning users inside DAU. They add up to the total DAU, but independently, they allow gaming companies to track how quickly the platform attracts new users and keeps them returning. So, how can we increase the number of Daily Active Users? Read more to find the best strategies.
– Weekly Active Users (WAU): DAU calculated over a week is called WAU.
– Monthly Active Users (MAU): DAU calculated over a month is MAU. MAU evaluates how sticky your gambling platform is or how frequently players interact with it.
To determine the DAU percentage, you can calculate it by dividing the count of active users who have engaged in distinct interactions during a specific time period by the total number of active users in that same time frame. Then, multiply the outcome by 100 to obtain the Daily Active Users ratio.
At the same time, it is possible to make similar calculations for any other period to see if they meet a company’s KPIs. For example, looking back on the year, we can count the yearly project audience and compare it with previous years to evaluate the dynamics.
What is the difference between DAU and other engagement metrics?
Daily Active Users (DAU) helps to understand how many visitors are actively engaging with the iGaming platform, offering insights into potential players. However, it’s crucial to recognize that DAU should be viewed in the context of a broader spectrum of performance indicators. While DAU serves as a foundational metric, it doesn’t encompass the entirety of your mission.
Several key metrics that correspond to Daily Active Users (DAU) in the realm of iGaming platforms:
– Games played
– Returning users
– Inactive users
– The number of first-time depositors
– Any other offerings within the iGaming platform
By intertwining DAU with these engagement metrics, you can gain a comprehensive understanding of your gaming business’s actual performance.
First and foremost, the influx of new users has a profound impact on the number of active users. The more new users you attract and the quicker and more consistently they become part of the platform, the quicker your audience expands.
The second, equally crucial indicator is user retention. It illuminates the frequency with which users return to the platform. If new users fail to return, their contribution to the operator’s economy is negligible, which makes their acquisition ineffective. Thus, engaging users with your product so they desire to return is paramount. The greater the number of such users, the larger the active audience becomes.
A positive platform retention scorecard alone won’t be enough if the influx of new users is meager, causing the audience to grow too sluggishly. Conversely, a steady flow of new users along with a low retention rate results in most of them leaving the platform, ultimately failing to expand the audience.
The iGaming platform’s audience size directly correlates with the potential number of paying users. The progression typically follows this sequence.
It’s also crucial that a user remain engaged with the product after their initial bet, as this bolsters the likelihood of repeat bets. Hence, active users wield a direct influence on revenue:
When analyzing active users, it’s essential to keep an eye on audience growth rates, as this metric serves as a positive indicator of active product development. Read more about the ARPPU metric.
Quick tips on how to increase Active Users
How can Trueplay boost your Daily Active Users metric?
Loyalty programs have long been recognized as a potent tool for bolstering key performance metrics such as Daily Active Users (DAU) by rewarding customers for their continued patronage. And that’s precisely what Trueplay offers with its Hold to Earn program, increasing casino retention by up to 18% in the first months. Find out how.
What is the Hold to Earn program?
Hold to Earn is a fundamental component of the Trueplay loyalty program, developed to motivate players to retain their rewards directly on the iGaming platform for 8 hours, 1 day, or 3 days. The received reward is determined as a percentage of the casino’s Gross Gaming Revenue over the holding period, and it is subsequently distributed among participants within the staking pool in alignment with their personal stakes.
The reward mechanism is straightforward and entirely automated. When the casino’s GGR stays positive throughout the specified period, players are entitled to a modest reward at the conclusion of the holding duration. Conversely, in the event of a negative GGR, players do not receive any rewards, and the staked amount is promptly refunded to the user.
On average, operators can expect a 10% deposit volume growth within a few months of the integration and generate an additional 5.6% of NGR.
To wrap up
Achieving and maintaining a healthy Daily Active Users (DAU) metric is a significant goal for iGaming platforms looking to thrive in a competitive landscape. To enhance DAU, you need a multifaceted strategy, encompassing elements such as loyalty programs, multichannel communication, and exclusive offers. Loyalty programs in particular have proven to be a powerful tool in elevating performance metrics, with Trueplay’s Hold to Earn program showcasing remarkable results, ensuring a rise of 18% in casino retention.