This post shows operators how to unlock significant reactivation potential and drive higher engagement and revenue by focusing on the top 1% of dormant lottery players.
Key Takeaways:
Targeting the top 1% of dormant lottery players with high reactivation potential can significantly boost engagement and reactivation rates while reducing costs and saving time.
Using RFM segmentation allows operators to focus marketing efforts on the most valuable lottery players, maximizing the effectiveness of reengagement strategies.
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The Study – Dormant Lottery Player Segment
A player who hasn’t been active for one year becomes “dormant” and is segmented into this player group.
Optimove Insights analyzed several iGaming brands with a total customer base of 5,341,332 players andfound that approximately 60% of players are dormant.
This highlights the critical role of segmentation in identifying and targeting players most likely to return and reengage, enabling marketers to focus on where they will have the most significant impact.
The Results – Advanced Dormant Segmentation VS Reactivation Potential
The chart below illustrates the correlation between customer segmentation and reactivation rates upon assigning lottery players a final score of High, Moderate, and Low reactivation potential. While only 1% of dormant customers fall into the “High reactivation potential” segment, they have the highest reactivation rate of 0.71% among all segments—35 timesgreater than the rate of non-depositors, making them the most valuable lottery players who are easiest to reengage.
For example, if an operator has 2 million lottery players in its database, 1.2 million will be dormant. According to this research, the 8,520 lottery players in the High reactivation potential segment are most likely to reengage, so it is best to target them with personalized marketing campaigns.
While the “High” segment yields the best marketing return on investment (ROI), operators should also prioritize the “Moderate” segment with personalized efforts. Automation should continue for all segments to ensure broad reach and ongoing communication, but more time and resources should be dedicated to the highest-value dormant lottery players for maximum impact.
The Method – A Tailored Solution with Recency, Frequency, Monetary Segmentation
Reactivating lottery players who have been dormant for over a year requires a focused strategy. Optimove Insights used the RFM (Recency, Frequency, Monetary) model to segment players based on these three key attributes. This method was selected to effectively target dormant lottery players, as it correlates with reactivation rates. Here is the work process:
The goal was to classify dormant lottery players into three distinct groups—High, Moderate, and Low reactivation potential—based on past behavior and gaming habits. This segmentation ensures that marketing efforts are laser-focused on the players most likely to return, maximizing reactivation impact while optimizing resource allocation.
By applying this scoring system, operators can pinpoint the top 1% of dormant lottery players with the highest reactivation potential and tailor engagement strategies accordingly.
The Guide to Advance Customer Segmentation
Go in depth on advanced segmentation with this guide which was written based on analyzing tens of thousands of segments across Optimove’s customer base.
Segmenting dormant lottery players strategically can significantly boost reactivation rates, helping operators focus efforts where they will have the greatest impact. By identifying and targeting the most valuable 1% of dormant lottery players, reengagement becomes simpler and more profitable.
Remember: The top 1% isn’t just a number—it’s an untapped potential for growth!
For more insights on how to reengage dormant lottery players, contact us to request a demo.
Roni is a Marketing Research Analyst serving on Optimove's Professional Services team. As the Marketing Research Analyst, Roni specializes in gathering actionable marketing insights through research and analysis of customer data for retail and gaming clients. Roni holds a dual degree in Psychology and Business from Reichman University (IDC Herzliya).
