As Gen Z Comes Of Gambling Age, New Strategies For App Engagement Are Needed

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Maverick Continues Shopping Spree, Scoops up Three Colorado Casinos in Deal With CC Gaming

Posted on: October 2, 2019, 11:11h.

Last updated on: October 2, 2019, 02:27h.

Todd Shriber @etfgodfather Read More

Expertise: Financial, Gaming Business, Mergers and Acquisitions.

Maverick Gaming LLC, a closely held regional company, is continuing its recent slew of purchases by acquiring CC Gaming LLC, Colorado’s largest operator of smaller, local casinos.

As part of the deal, Maverick will get CC’s gaming and non-gaming assets, including three Centennial State casinos and a convenience store/gas station. Financial terms of the transaction weren’t disclosed. The gaming properties Maverick is gaining are the Grand Z Casino Hotel in Central City, Johnny Z’s Casino in Central City, and the Z Casino in Black Hawk.

With its initial move into Colorado, Maverick gains 1,500 slot machines, 20 table games, and nearly 120 hotel rooms. The purchases from CC Gaming are expected to close in November, pending approval of the Colorado Limited Gaming Control Commission.

We believe this purchase puts us in position to become a significant player in the Colorado gaming market, with an emphasis on Denver,” said Eric Persson, the majority owner of Maverick, in a statement.

By Interstate 70 West (I-70 W), Blackhawk, Colo. and Central City, Colo. are less than an hour away from Denver.

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Gen Z Coming of Gambling Age

What is Generation Z? It’s the demographic group of people born between the late 1990s and the mid-2010s. We are currently seeing a lot of individuals who are coming of age and who can now gamble legally. Around 40% of current Gen Z’s can already buy lottery tickets, and 20% can gamble online or at a brick-and-mortar casino. In fact, according to the National Council on Problem Gambling, the majority of people who play at online casinos are young gamblers.

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The generation gap is a subject of discussion that continues to be relevant year on year. Why is it that those born since 1981 are so important to the gambling industry and its future? According to Betinvest COO Max Dubossarsky, every new generation contributes to the development of the entertainment industry, raising the standards for how gambling products and services are created…

Millennials caught the peak of digital technology at a young age, at a time when some of the Generation Z babies were being born already with a smartphone in hand.

The issue of continuity of the generations carries from one age to the next and takes on new dimensions. The gambling industry has its finger on the pulse, aware that the characteristics and preferences of each generation provide detailed information about current and potential players.

During recent years, society has had its eyes fixed on the so-called “millennials” – Generation Y – born between 1981 and 1996, and Generation Z – the “New Silent Generation” – born after 1995—1996. Why are their views and way of thinking important to the gambling industry? Mainly because millennials and Gen Z are products of the digital age.

Modern-day innovations, which previous generations could only have dreamed about, are now the norm for Gen Y and Gen Z. So if it is hard to amaze millennials with high-tech “perks”, it is nigh on impossible to surprise Gen Z – who have fully adapted into the world of 3D technology, VR and AR.

To attract and retain the attention of young players and avoid their games becoming a boring alternative to others on the market, operators created products that borrow features from videogames.

The millennial generation is the first to have grown up with videogames, so their way of life has become one of the reasons for developing online gambling.

This first “internet generation” divides their lives between an online and an offline reality. Many things have become possible to do with the use of gadgets, without the need for physical input. In contrast to well-off baby boomers who were big fans of visiting casinos and the luxury entertainment of gambling, millennials lived in unstable economic conditions and are therefore notable for their rationalism. As a result, they prefer more affordable entertainment, including activities which do not involve leaving the house. The gambling industry grasped the attitude of the new generation and changed its approach accordingly: the first gambling websites started to emerge, and the big casinos began organising events with new kinds of entertainment, such as concerts by famous musicians and DJs, opening exclusive malls, and the like.

Another important move in the battle to earn the attention of younger players is product customisation, responsive design, and additional gamification during the gaming process.

Gen Z, who more or less stormed into the digital age fresh from the cradle, have tough demands. In the modern-day world of gambling, it is no longer enough for games to have just high resolution, gripping storylines and 3D effects. Players want light, fun and quality solutions with compatibility across different devices, secure data and convenient payment methods. Products which cannot easily be adapted to the specific characteristics of regional markets lose their standing and risk being unable to keep up with the competition.

Millennials and Gen Z tend to be cautious in what they do online.

Almost every user leaves behind a digital footprint, which is analysed by marketing experts. It “shows” the user’s interests and gives clues as to what the potential customer might like, helping operators to cater to each player better. But at the same time, data confidentiality and secure payment have become two key issues that users consider when completing any online activities.

It is safe to say that each new generation has contributed – and continues to contribute – towards the change in attitudes towards gambling. Each generation develops the industry by demanding more, thereby raising the standards for how gambling products and services are created.

Because of the rapid development in digital technology, today’s players live in two worlds – an online and an offline world. With the huge amount of offers available, they select the products that are easily understandable. Time has become too expensive to waste on figuring out how things work, especially when it comes to the entertainment industry. Their leisure time is therefore crucial for operators to consider.

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Operators are going to great lengths to add content to their lobbies that engages the lucrative millennial and generation z demographics, but to date the vast majority have failed to offer a truly compelling reason for these players to ditch video and mobile games in favour of online casino.

Developing games for these players requires an entirely new approach and simply tweaking the format of traditional slot games does not go far enough.

Sure, bringing in elements from video games such as missions and tasks and allowing players to progress through the game by climbing levels and unlocking bonuses is a step in the right direction, but to create games that really tap into their psyche requires something entirely different.

Taking a new approach leads to an entirely new type of casino game that combines the key elements of video and mobile games, as well as elements such as skill development and social interaction, with the ability to place a wager and potentially win real money.

Crash games, or turbo games as we call them, offer exactly this. In short, they feature an “increasing curve” that can crash at any time. There is a multiplier that continues to increase as the game plays out, and players must decide when to “cash out” their winnings.

If they cash out too soon, they only receive a small prize. If they wait too long and the curve crashes, they forfeit any winnings they have accumulated.

These games have been developed specifically for mobile play – although they still offer a fun and thrilling experience on desktop – with a simple UI. They also have social elements – our Aviator title offers in-game chat as well as live bets and statistics for all players – and are multiplayer.

They also provide incredibly fast game sessions which is exactly what millennials and generation z players are seeking. Of course, slots offer similar session speeds, but they simply cannot compete when it comes to engagement and interaction.

A growing number of operators are now offering these games – we are live with more than 1000 – but some are still struggling when it comes to where they sit in their game lobbies and how they market them to players.

We recommend that operators offering crash games should consider them more of a casino game than a slot.

It is also important for operators to carefully consider how they market these games to new and existing players and in particular the player segments where they will have the greatest appeal. Millennials and generation z are a given, but as the game becomes more and more popular, boomers are starting to play it too.

In terms of marketing, we suggest operators use free bets, since they are best way to introduce the game to the players. Aviator also has “free bet rain” promo tool that throws free bets in the chat at random times.

It is also important for developers of turbo games to do their part when it comes to educating players about the experience they offer and also how they work. This is something we are currently doing by working closely with some of the biggest affiliates in the market.

Operators are pulling out all of the stops to attract new, younger demographics to their casinos and sportsbooks, and those offering innovative content such as crash games are well on their way to doing exactly that.

Making these titles clearly visible in the game lobby and combining this with smart marketing and the education efforts being undertaken by providers will ensure more players are aware of these titles and the fast-paced, thrilling experience they provide.

It will take time but ultimately this content will dominate online casino game lobbies as the levels of fun and engagement they provide goes way beyond that delivered by a standard slot.

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