The strategy behind designing Black Friday casino deals

What is it that attracts you to a special offer? Perhaps it's the lure of something free or possibly the chance to try out a new product. According to a survey by RetailMeNot, 89% of shoppers who use online promotions go on to make further purchases. In the world of online entertainment and casino gaming, this helps companies stay ahead of competitors. But in the crowded marketplace amidst these Black Friday offers, what is the strategy behind these once-a-year promotions?

But why do casinos have these promotions, and do they work? The UK Gambling Commission is the first place to go for information on this, as they have conducted numerous studies to help shape their robust regulatory system. One survey conducted by them found that around 61% of participants felt indifferent to bonus offers. Yet a further 31% said bonus offers had made them play even more than usual.

If this is true, then why have them at all? The truth is that at the heart of the bonus lies some very human desires. The first is the fear of missing out, commonly known as FOMO. This is having a huge impact on the world around us. People do not want to miss out, especially when others could be getting something they don’t have. This also adds an urgency, making people sign up so they don’t miss the offers available, despite online casinos having generous promotions available all year round.

Black Friday is the last payday before Christmas, when people strive to buy their gifts in time for the big day. However, it has taken on a life of its own as a day when sales appear everywhere, and are just as likely in iGaming as they are in retail. The first Black Friday sale was recorded as far back as 1891, and it has remained a staple ever since.

This day preys on the fear of missing out theory, especially when it was at its retail heyday in the nineties. People would queue outside stores to get the best deals, with scenes of unruly behaviour even seen on news channels. This resided in the digital age, and instead, Black Friday became a way to get people into physical stores.

Adding Black Friday to a promotion taps into this idea of FOMO as a psychological device. However, it has very little impact on the bonuses provided by casinos. As they run all year round, it is simply a way to incite urgency.

Thus, the addition of Black Friday matters very little. What is important is the type of bonus and promotion, as the right one can help build loyalty. Happy customers are the most powerful brand asset, and the best marketing is word of mouth. A quick search across message boards like Reddit will show you how people discuss the pros and cons of different casinos. Bonuses will increase brand advocacy if done right, at a fraction of traditional marketing costs.

One example of this can be found in fashion brand S by Serena. Their Black Friday deals provide added discounts for those signed up to the mailing list, making them VIP customers. This is a way to encourage repeat purchases and prevent players from going elsewhere. Casinos tend to do this with VIP loyalty programmes, so you won't get them unless you spend a regular amount at a given casino. However, as a consumer, this is something worth looking for if you plan to game regularly. Check the incentives keep going the more you play.

Understanding Black Friday casino promotions is quite easy, as they are based on two main types: Free spins and matched deposits. Few vary from this formula.

A matched deposit will arrive as a percentage and will provide you with credit equivalent to the amount you deposit. So if you have a 100% matched deposit and place $100 in the account, you will get an extra $100 to use. This is usually capped at a given sum.

When broken down into demographics, free spins also came out top with those in the 18 to 24 category. In the next age group, those between 25 and 40 generally had an equal preference across various promotional types. Between 41 and 56 free spins came out on top again, with the oldest age group preferring a solid welcome bonus package.

One factor that makes promotions work is reference price theory. This is when people evaluate prices based on an internal reference price. You may have fallen prey to them yourself at supermarkets. An inflated original price is given, with a discounted price. Very often, if you assess them, you are not getting a bargain price at all. However, the difference between the two prices makes us think it’s a bargain, and you make the purchase.

This is harder to do with online casino games, so they have invented a tactic known as the ‘wagering requirement’. Understanding the wagering requirement is what gives a bonus its real value.

A wagering requirement is usually expressed as a multiplier. A standard at Canadian casinos is around x45. This is the number of times you have to work through a bonus before you can withdraw any winnings from it.

Consider being given a $10 casino bonus with a wagering requirement of x45. You have to spend $450 on gaming before you can withdraw any winnings. Anything you win from the bonus is stored in a stasis section. Once you have worked through the total, then you can release these funds.

Thus, as a player, you need to find offers with the best wagering requirements possible. Third-party websites will help with this, digging out those with the clearest and most generous options. You should also check the limited time on offers and use them before the given date, lest they will be lost.

When it comes to bagging the best Black Friday casino deal, you must look beyond the hype. While the amount of free spins and matched deposit is important, you don’t want to get sucked in and fall prey to reference price theory. Assess the wagering requirement and see what value it brings. All offers will have them, but you must try to find the best ones. In many ways, the Black Friday part is irrelevant as bonuses exist year-round.

For those crafting casino bonuses, free spins are king. Around 88.40 % of players claim a bonus, so providing them can cut into your profit vastly. Yet deploy the wagering requirement and make it too harsh, and you will lose players to other casinos. In many ways, price theory is seldom overlooked, as many third-party websites now do the hard work, picking through the terms and conditions for customers. Thus, ensure you remain generous, utilise free spins and attract new players to stay ahead of competitors.