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How Artificial Intelligence is Used in Online Casinos

David Prior by David Prior
January 10, 2024
Reading Time: 5 mins read
How Artificial Intelligence is Used in Online Casinos
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Online casinos have embraced technology in many ways. They base their games on software, pay players via online payment methods, regulate transactions using fraud detection systems, and facilitate communication via live chats, emails, and other tech-enabled options. A player using a site like Nomini can thus meet all their playing needs under one roof. While online casinos have come a long way through tech, they are not even close to ending their journey. More recently, many sites have embraced artificial intelligence (AI) as it comes with many perks. We look at how it has affected their services and how players will benefit from this move.

The Effect of AI on Online Casinos

When people think of AI, many of them think of its benefits in their industry. For example, travel operators using AI can now curate travel itineraries using AI, which reduces the bulk of their work. So, what impact can this technology have on online casinos? Consider the following key areas:

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  1. Marketing

One of the biggest hurdles in casino operations is retaining clients. After all, the competition in the industry is so stiff that players end up moving from one site to the other for the benefit of bonuses. Luckily, AI can help casinos attract and retain customers in the following ways:

  1. Better Bonus Suggestions

Rather than offering the same bonus to all players, this technology learns preferences and spending habits. With this data, it can suggest a poker bonus to a poker player and a cash bonus to someone who likes trying different games. Thanks to this variation, everyone gets something that matches them, and they need not look elsewhere to get the right fit.

  1. Targeted Offers

In the past, casinos would share the same offer with all players. For example, a site may offer all players a 100% deposit bonus, hoping it will encourage more deposits. And while this may have some engagement, not all players may have the resources to take advantage of it. AI can filter players and determine those who can use such an offer. The casino uses less money on ads and gets better engagement, which is a win for the players and the house.

  1. Reduced Player Churn

Getting new players to join a site is easy. But keeping them is the hard part. AI works to understand things that players enjoy, including games and spending habits. It then creates ads that work in favor of the players, ensuring that their experiences are highly rewarding. 

Best of all, this technology can predict how players will behave based on their preferences. This way, the casino can focus more on players with a higher loyalty probability to get more value for their money. In the same way, players who have a higher lifetime value get tailored experiences that make it easier for them to hit their playing goals.

  1. Operations 

Every casino must pay attention to its internal operations to succeed. The systems must favor the house and allow players to enjoy a wonderful experience and big wins. So, how does AI create such an environment?

  1. Game Forecasting

Casinos often consider several games before deciding the best option for the site. In the past, statisticians would assess similar games and determine which games would be the most popular. But with AI, the forecasting is much more accurate as it includes some finer details. From the start, a site can decide if the game will have a high demand and whether it is worth the capital investment.

  1. Staff Forecasting

While online casinos only need a few people to run the operations, they must ensure they have enough personnel to handle all the systems. For example, some peak times may need more customer support staff. AI can forecast the demand for staff and allow managers to determine the number of people needed for a job and how many hours they should work. This way, a casino does not under or overhire, as these oversights can lead to a poor reputation.

  1. Competitive Pricing

The stiff competition in the casino industry requires casinos to be objective with their pricing. It should not be so low that the house barely makes a profit. But it should not be so high that the competition seems like a better deal to the players. AI can regularly review competitor prices, allowing sites to alter prices accordingly.

This technology can also help casino managers develop strategic plans based on current operations and projected statistics. 

  1. Fraud Management

As casinos get bigger, they will attract more players, some of whom may not have the best intentions. Moreover, this growth also grabs the attention of cybercriminals, who will stop at nothing to access their financial transactions. AI helps in the following ways:

  • Money-laundering detection: Some players use casino sites to launder money as they do not think this will get flagged. AI can note such patterns and flag such accounts to prevent casinos from participating in such unlawful transactions.
  • Higher security features: AI can monitor player accounts and bar them from unauthorized access. For example, if a player’s account suddenly starts transacting more often and with larger amounts, the technology can suspend the transactions until the player verifies their identity.

With heightened security, the overall investment risk reduces, allowing operators to enjoy higher returns.

David Prior

David Prior is the editor of Today News, responsible for the overall editorial strategy. He is an NCTJ-qualified journalist with over 20 years’ experience, and is also editor of the award-winning hyperlocal news title Altrincham Today. His LinkedIn profile is here.

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