Forecasting the future of the iGaming industry

In the year 2023, iGaming began to draw attention not only from arbitrageurs but also from regulatory bodies worldwide seeking to tap into its potential through taxation. This interest is driven in part by the significant contributions of iGaming taxes to public projects. Consequently, there has been a surge in news coverage surrounding national regulatory frameworks governing gambling and betting activities.

Looking ahead to 2024, the iGaming landscape will be marked by a strong emphasis on innovation, with a commitment to prioritizing player-centric approaches. Anticipated legislative changes are expected to reshape operations across various regions, while the industry will increasingly harness new technologies to counter cyber threats.

Integration of Artificial Intelligence and Machine Learning In 2023, there was a notable rise in the prominence of neural networks, particularly with the widespread adoption of “generative AI.” Previously obscure terms like GPT and Midjourney have now become familiar, with these AI models being tested for tasks such as text generation and creative content creation.

Within iGaming, artificial intelligence and machine learning hold promise not only in areas like design and marketing but also in enhancing user experiences. Neural networks can be deployed to monitor user behaviour, bolster profile security, and tailor gaming offerings to individual preferences. Thus, the primary objective of AI in iGaming will be to cater to user needs effectively.

Potential Contributions of AI:

• Real-time data collection and analysis of user statistics
• Segmentation of users based on diverse characteristics
• Personalized recommendations for iGaming activities tailored to individual preferences (e.g., sports selection, slot choices)
• Detection of irregular behaviours indicative of fraudulent activities
• Monitoring declining activity levels and identifying potential user churn
• Customization of bonuses and promotions to re-engage users considering account deletion
• Assistance in game design processes

AI-Powered Tools Chatbots and virtual assistants witnessed widespread adoption in 2023, becoming integral to various online platforms and services. These AI-driven assistants offer round-the-clock support, efficiently handling common inquiries, detecting suspicious activities, verifying user data authenticity, and analyzing user feedback for platform improvements.

Furthermore, AI-based services extend beyond customer interactions, being utilized for tasks such as creatives, copywriting, and SEO optimization, including headline analysis, keyword selection, and link building.

Blockchain Applications Beyond Cryptocurrency in iGaming Softswiss forecasts that artificial intelligence and machine learning will continue to dominate the iGaming sector, accounting for approximately 80% of its technology landscape. Blockchain technology ranks second in popularity, with projections indicating its adoption in 13% of gambling and betting operations. Beyond facilitating cryptocurrency transactions, blockchain offers enhanced data security and privacy protection measures for iGaming platforms.

Gamification Trends in iGaming Gambling and betting platforms continue to borrow elements from gaming, with gamification being actively leveraged to enhance user engagement. Mechanisms such as rewards, bonuses, leaderboards, storytelling elements, and personalized goals generate a more immersive gaming experience, fostering greater player involvement and satisfaction.

The Rise of eSports Once considered niche, eSports are increasingly gaining traction within the iGaming sector, with bookmakers incorporating eSports events into their betting offerings. As eSports championships grow in scale and popularity, they present a promising avenue for attracting new audiences and diversifying betting platforms’ portfolios.

Influencer Collaborations SoftSwiss predicts that collaborations with influencers and bloggers will emerge as a prominent marketing trend in 2024 for iGaming brands. These collaborations may encompass live streams, exclusive promotional codes, giveaways, and endorsements, catering to a diverse range of audiences and interests within the gaming community.

In summary, 2024 holds promise for significant advancements in iGaming, driven by the continued development of neural networks and blockchain technologies. Key focus areas include marketing strategies, data security, and the expansion of eSports offerings, alongside a growing emphasis on influencer collaborations to promote iGaming products effectively.

Written by Iskander Mombekov

MBA | Head of Marketing/CMO