Insight: Benefits of good data usage can be astronomical

Insight: Benefits of good data usage can be astronomical

Tuesday, December 8, 2015 Totally Gaming
Gaming Realms' Philip Tuck will discuss predictive modelling at ICE

Successful predictive modelling is taking the behavioural study of gameplay out of this world, according to Philip Tuck, director of business intelligence at Gaming Realms.

Tuck told TotallyGaming.com that the software and systems company’s innovative use of such analysis had resulted in big improvements in player interaction and helped to propel revenues.

While predictive modelling can be used to determine no end of future events, from the path of a descending ball to the likely direction of the stock market, Tuck believes it can be particularly effective in the gambling sector. Tuck, who will speak about predictive modelling at ICE 2016 in February, also explained that some of the numbers involved in such studies were truly astronomical.

“We have a behavioural player predictive model/bonus algorithm that looks for specific points in player lifetimes and sends out bespoke bonuses during certain journeys,” Tuck said. “It covers upwards of 100^30 possible journeys for a player within their first sessions – a number well over the total atoms in the whole universe – so provides an incredibly dynamic and rich path for a player as they work through their specific journey and hit various churn and spend thresholds.

“This model has increased player values across our products by between 30-50 per cent depending on the exact product make up, and look set to continue growing this gap as they hold players more effectively for years to come.”

Tuck said that Gaming Realms uses data and machine learning heavily in virtually all areas of its business, but particularly in CRM, acquisition and value modelling, where behavioural and machine learning algorithms now account for large portions of revenue.

“I grew up in a family where one parent was a statistician and the other a political theorist, so have always been interested in applications of both numbers, but also the constant, reflexive change that drives the ongoing development of human behaviour,” said Tuck, who began his career at Betfair before a series of roles within CRM at Ladbrokes.

“Gaming at its absolute core is just the sale of variance to people who want to increase their risk: effectively the reverse of insurance. Within all problems with high variance, data can be extremely messy and misleading, often rewarding bad decision making and punishing good depending on how the dice fall.

“In such an environment, sound use of predictive modelling and analysis can cut through a lot of this confusion, as well as providing stable systems to analyse likely changes in player’s behaviour and rewarding them accordingly.”

Tuck will speak at the ICE Data Insight and Business Intelligence conference, which will look at the importance of information analysis within the sector and how operators can "turn data into dollars".

Tuck's session will look at examples of big data analyses and how business value can be extracted, and he said he hopes to inspire attendees to focus on the benefits that can be reaped through good collection and usage of information. 

“I’d certainly hope to get people thinking about some of the areas they are perhaps not using data well, and to learn from others about problems and issues that may help many of the ones we face,” he said.

* ICE takes place at London's ExCel Centre from February 2-4. For updates on ICE 2016 and to register for tickets, visit: www.icetotallygaming.com

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