Last week, PAS told you a rakeback customer was worth $520.31. We also told you the 80/20 rule was a factor. But, as you may have guessed, we still have more information we have not shared. Regarding time to produce $X amount in commissions, some of it is below:
- $20: 56.9% of all generators achieved this in an average of 3.28 months
- $25: 54.5% of all generators achieved this in an average of 3.53 months
- $40: 50.6% of all generators achieved this in an average of 3.97 months
- $50: 48.3% of all generators achieved this in an average of 4.05 months
Note: The dollar figure is $ amount of commissions.
“Generators,” like last week, means players who make money for the rakeback site. Now, of course, I want to know what % generated $500 and how long that takes. $1,000 too. $5K?? Yep, come back next week.
I’m not sure about you, but I was a little bit surprised, keeping in mind that many customers produce a small amount of revenue and a few produce a lot, that as high a percent generated as much as they did. In addition, the time to get to these numbers was shorter than I expected. Every report you run isn’t just for fun. It should tell you how to make more money or more easily achieve your objectives. This report tells you that rakeback customers sign-up when they are ready to play and will begin playing immediately.
Lifetime value will come earlier in the life cycle than many other businesses’ lifetime value numbers. This may seem obvious, but take it one level deeper. Where is a player located online when they are ready to play? You might think it’s a search engine. He knows what he wants, he searches, he finds, he signs-up, he plays. BUT, we find player value, coming from a search engine to be a mid-range player value source. This isn’t to discount search engine traffic – it is valuable – but there is more valuable.
It comes at the intersection of two points. He has been studying to better his game and he has verified he should trust YOU. When is the last time you helped your player get better? When is the last time you helped someone you want to be your player get better? Maybe you do it everyday. If so, keep it up, I’d imagine you are seeing the rewards. If not, try it.Over the next couple of weeks, in addition to those big player numbers, we’re going to talk about how to find yourself at the intersection of a newly studied player and a player who trusts YOU.