Our client, an online sports betting company, faced the challenge of effectively segmenting their user base. They needed to understand which users belonged to specific categories and be alerted to any changes that could impact their business. Identifying users who were becoming less valuable, such as those who rarely played or made low payments, was crucial for the risk and marketing teams.
Specific pain points and obstacles:
To address the challenge, the SmartCat team analyzed the extensive dataset consisting of nearly 1,000,000 players and over half a billion transactions. We extracted key features, including profit, margin, payments, active months, and duration of inactivity. These features were used to represent each user, and we applied the K-means clustering algorithm to segment users into three categories.
By examining the features of users within each category, distinct patterns emerged. One category consisted of highly valuable players who played strategically and wagered large amounts, while another category comprised frequent players who bet smaller amounts for recreational purposes. We presented these findings through interactive dashboards, allowing end-users to customize reports based on their preferences.
Specific strategies and tactics used:
Unique value brought by our company:
Our expertise in data analysis, machine learning algorithms, and dashboard development enabled us to provide an effective solution for user segmentation. By creating intuitive dashboards using Apache Superset, we empowered the client to gain actionable insights and monitor user behaviors in real-time. The customization options allowed them to make informed decisions and tailor marketing strategies based on the evolving needs of their user base.
The clustering approach we implemented was evaluated by analyzing the characteristics of users within each cluster. The clusters were successfully formed and exhibited clear distinctions, enabling effective segmentation of the user base.
Key metrics:
Quantifiable results:
Our client is an online sports betting company operating in the gambling industry. With a significant user base and a focus on risk management and targeted marketing, they sought to gain a deeper understanding of their users and improve their decision-making processes.