The future of jackpot innovation and elevating the player experience

Jackpot prizes continue to evolve, with suppliers constantly looking to present operators and their players with new ways to win big. In this round-table feature, we examine the latest innovations around jackpots and ask how they are elevating the player experience.

Q: Are jackpot prizes currently more useful as a player acquisition or retention tool for online casino operators?

Eamonn Beardsley, Content Strategy Director Light & Wonder: Jackpots are an exceptional marketing tool, serving as a powerful strategy for player acquisition and retention. By offering the opportunity to win large sums of money, jackpots become an enticing incentive for attracting new customers. Additionally, providing more frequent jackpot wins across smaller prizes ensures that a greater number of customers can experience the thrill of winning. This approach also facilitates the fair distribution of jackpot contributions across the player base, ultimately encouraging customers to engage with the platform for extended periods.

Jackpots have evolved significantly over the past few years, and now there is a jackpot for every player segment. The biggest challenge is not deciding whether to use jackpots to drive acquisition or retention, but rather serving the right jackpot to the right customer at the right time, depending on their needs. Ultimately, as a supplier, having jackpots that meet all these needs is now a must if you want to compete in this space.

Catie Di Stefano, Marketing Director for Smartico.ai: It's a great tool that serves both those purposes! Jackpot prizes serve as an effective reward tool to attract new players by offering more opportunities to win. Additionally, it helps retain existing players who feel invested in the jackpots, motivating them to stay engaged. Overall, the jackpot enhances the enjoyment of online gaming for players seeking further entertainment and helps operators drive profitability.

Armen Tatarevic, VP of Gaming at White Hat Studios: We have recently seen incredible jackpots won with BetMGM and DraftKings, with games paying out in the millions. When a jackpot reaches eye-watering amounts, it acts as a crucial tool for player acquisition, with customers attracted to the anticipation of potentially winning big with any given spin.

In contrast, jackpots with a lower average drop value are perfect for player retention. Our award-winning Jackpot Royale product is proof of that, with the game data highlighting that players continue to engage – and in some cases increase their bet levels – with a game after winning a Jackpot Royale pot, demonstrating the network’s effectiveness in driving retention.

Q: What is the sweet spot between regularly offering jackpot-style prizes and presenting major jackpot opportunities and is this changing?

Catie Di Stefano: The sweet spot will vary between operators depending on their budget, products and marketing efforts. With Smartico jackpots, operators can decide which percentage of the jackpots are funded by operators and players. This allows them to offer a wider range of jackpot options. For instance, an operator might host weekly smaller jackpots where 75% of the funding comes from them and 25% from players, while also organising monthly jackpots that are entirely funded by players. The key to finding the optimal strategy lies in the customisation of jackpots, as each operation will have its own unique needs based on target segments, product range, and marketing objectives.

Armen Tatarevic: The sweet spot is balancing frequency and excitement. Every operator is fighting for attention and looking for increased player sessions and average spins per user, and regular jackpot-style prizes help keep players engaged with frequent, regular wins. This builds loyalty by providing the entertaining, immersive experience that players are searching for, without overwhelming them with large jackpots that feel unattainable.

On the other hand, major jackpots serve as significant marketing events that can attract new players and create a buzz within the iGaming community. These larger opportunities can lead to spikes in player engagement and attract media attention, making them invaluable for player acquisition.

The next step could be tailored jackpot experiences. Operators will start to offer jackpots that are unique for specific player segments, leveraging their in-house data to finetune the jackpot mechanics, giving players exactly what they desire.

Eamonn Beardsley: There is a clear trend towards offering customers more frequent, lower-value jackpot prizes instead of multi-million-pound headline jackpot amounts. Providing customers with the opportunity to win smaller jackpots more often helps to create more winning moments for players, which is increasingly important for customer retention.

Having a wide range of jackpot amounts available is an effective way to find the right balance. Multi-level jackpot systems enable operators to target multiple customer segments simultaneously. Ultimately, the sweet spot will depend on the type of customer playing, their motivations for playing, and how the jackpot is presented to them.

Q: Configurable jackpot systems appear to be a growing trend as operators take control of what is a powerful marketing tool. What innovations are emerging in this area?

Armen Tatarevic: Watching the evolution of operator jackpots is exciting. Operators are starting to utilise their in-house jackpots in tandem with provider jackpot games, which will result in the expansion of jackpot opportunities. They are taking control of the frequency, levels, and number of pots, and tailoring third-party provider games to their own player preferences.

Another innovation on the horizon is cross-vertical jackpots, offering even larger prizes shared across sports and casino verticals. Cross-selling is a key action for profitability, and cross-vertical jackpots are an optimal tool for driving revenue.

Eamonn Beardsley: The latest innovation in the jackpot space is giving operators the ability to control the jackpots they offer, the available prizes, and the games in which they can be won. This allows operators to customise the experience for their specific customer base, providing players with the best possible experience.

Jackpot prizes can go beyond cash prizes. Marketing jackpots allow operators to offer experiences, physical prizes, bonuses, or anything else they want on the games they wish to promote. This is a fantastic way to give players something beyond their regular gameplay while adding unique excitement to the games that reflect their brands. There has been significant innovation in this area in recent years, and the definition of a jackpot is evolving quickly.

Catie Di Stefano: As well as the contribution model and the necessity for jackpot customisation in different currencies and languages, Smartico values personalisation. The ability to modify the design and presentation of your jackpot product is just as crucial as the technical configuration. This is important for running various jackpots, hosting across different brands and catering to specific audience segments, such as exclusive VIP jackpots or birthday-month promotions. It is important to be able to adjust jackpots to activate during particular games or special betting events.

Q: Finally, how does the appetite for jackpot prizes vary between regions, and what are the reasons for this?

Catie Di Stefano: We are extremely proud that our partners have reported incredible results after launching Smartico jackpots, regardless of region! We have seen a huge demand for jackpots in America and Europe as operators have realised that this is a great tool for engagement. We have noticed that operators who have embraced jackpots have quickly surpassed their competitors, making it a great opportunity to invest time and resources for a competitive edge in any market.

Armen Tatarevic: Every region is different and has its own nuances. We’ve seen a far greater appetite for our jackpots in Pennsylvania compared to New Jersey, for example. New Jersey is a much more mature market with a high density of operators and suppliers. It is therefore difficult to create loyalty, and players go from brand to brand more regularly. These players are also more accustomed to larger jackpots and the thrill of huge wins.

Players in Pennsylvania, however, might have a more cautious approach to iGaming as they are still exploring the landscape and what works for them. In this case, White Hat Studios’ Jackpot Royale network with frequent wins is the ideal product, effectively catering to the market’s needs.

Eamonn Beardsley: If we take North America as an example, the concept of jackpots is hard-wired into the wider entertainment culture. Within the land-based sector, landing a major jackpot while playing at a machine becomes an event that attracts plenty of attention and creates a buzz on the casino floor. The game franchises that offer these major prizes then become a draw for players to visit resorts and casinos. The benefit for a company like ours is that we can leverage our heritage in creating hugely popular jackpot experiences on the casino floor and transfer the excitement of those same game franchises into the digital world.

In the UK, to take a contrasting example, a large segment of players prefer to be entertained by the prospect of regular prize wins. If you take the example of our Wonder 500 series, we leaned heavily on the fact that while the top prize is only 500x the stake, this makes it more attainable while still being attractive. Changes in the UK market mean that increasingly we are designing content that gives more back to the player through frequent, achievable wins. Our approach to jackpots is aligned with this, giving customers more opportunities to win prizes in a range that is both exciting but also achievable.

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