LTV Lifetime Value
LTV Lifetime Value
Lifetime Value (LTV) in iGaming is a critical metric used to predict the total net profit attributed to the entire future relationship with an individual player. By analyzing player engagement, wagering patterns, and retention rates, iGaming operators determine long-term player value and understand how much they can profitably spend on acquiring new users. This metric shifts focus from short-term gains to long-term sustainability, fostering a deeper understanding of player economics within the iGaming sector.
This metric guides operators in optimizing marketing strategies, tailoring player incentives, and designing effective loyalty programs to enhance overall profitability and strengthen player retention.
Related Terms
- Progressive Jackpot
A pooled prize fund that increases incrementally every time a specific game is played but the jackpot is not won.
- GGR (Gross Gaming Revenue)
The key financial metric for operators, calculated as Total Bets minus Total Payouts.
- House Edge
The mathematical advantage that the casino has over the player in any given game.
- Microgaming
The Isle of Man-based software company credited with developing the world's first true online casino software in 1994.
- HTML5
The modern coding standard that allows casino games to run natively in web browsers on both desktop and mobile without plugins.
- Hit Frequency
A percentage indicating how often a game generates a winning outcome on a spin, regardless of the prize size.