Analytics Teams, Real-Time Data Accelerate Growth for Gaming Platforms
More and more industries are employing data-driven strategies to stay ahead of the competition. This is especially true in the gaming sector, where rapid innovation and shifting consumer expectations set the pace. A new report reveals how well gaming platforms are using data for predictive analytics and decision making to spur innovation and boost revenue.
Data-Driven Advantage: How Gaming Platforms Can Accelerate Growth – a collaborative study by PYMNTS Intelligence and Carat from Fiserv – examines how prepared gaming businesses are to leverage data effectively. Between June 12 and August 7, 2024, we surveyed 54 executives from gaming platforms to understand the impact of data readiness and the importance of data-driven decision-making in driving growth.
The survey found that, in some ways, gaming platforms have higher data readiness than the average consumer-facing platform business – including retailers, grocery merchants, streaming and gig economy platforms. But the industry still has room to improve.
From the report:
54%
of gaming merchants have dedicated analytics teams that can analyze companywide data
95%
of analytics-driven gaming platforms report increased revenue – far more than other sectors
18%
of gaming platforms access market data in real time — even as 80% report it is critical
74%
of gaming platforms report that they missed out on business opportunities due to the lack of complete and timely data
Data readiness: Key differentiator
Data readiness, which can be defined as a company’s ability to effectively harness and act on data, is becoming an important competitive advantage. It consists of three pillars:
Platforms with data reliance saw revenue growth of 15%
1. Dedicated analytics teams
Gaming platforms that embrace analytics are outpacing competitors; 95% of companies surveyed report revenue growth. Their edge lies in companywide data access and dedicated analytics teams, which 54% of gaming companies have in place – outpacing a cross-industry average of 45%. These teams help unify data, break down silos and deliver insights that fuel performance.
Gaming platforms with dedicated analytics teams report their average revenue increased 9.6% between 2022 and 2023. Platforms lacking companywide data-sharing policies reported a mere 0.9% growth in that period.
2. Real-time data access
Real-time access to data empowers companies to make timely and effective decisions. If there’s an Achille’s heel in the gaming industry’s data-readiness profile, it’s the ability to access various kinds of data in real time. While 80% of gaming platforms say real-time data is critical for decision-making, only 18% have real-time market data – and 61% report no real-time access at all. The shortfall is even sharper for sales and performance metrics, with just 4% and 2.2% having real-time visibility, respectively.
The lack of timely data may leave decision makers in the dark in critical and time-sensitive situations. This can hinder a company’s agility in player engagement, fraud prevention and operations.
Only 18% of gaming platforms can access market data in real time
3. Reliance on data for decision making
Gaming platforms know that timely, complete data is critical for them to succeed in their industry – and they feel the impact when it’s missing. Almost 80% report poor decision-making without it, compared to 58% across other consumer businesses. They also cite lost competitive edge more often than the average firm (80% vs. 47%). Perhaps most important, the gaming platforms mentioned stifled innovation (70%) and missed business opportunities (74%) as key drawbacks.
The bottom line
The survey’s findings suggest that gaming platforms are ahead of the curve on providing companywide data access and fielding dedicated analytics teams, but need to prioritize investments in systems that provide the company with up-to-the-minute data for those teams to interpret and distribute. Fiserv can help organizations aggregate, analyze and act on data in real time across the enterprise. Data readiness is not just an advantage, but a core operational necessity for long-term success in the dynamic and competitive gaming sector.
