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A company research shows that payments are essential to retaining and acquiring customers at global sportsbooks, despite the diversification of transactional preferences
Paysafe, a leading payment platform, released a report today titled 2024 All the Ways Player Pay. The research shows that global online sports bettors are most interested in quick payouts and the choice of payment methods when they first engage with sportsbooks. The report, released today, also shows that payments play a vital role in enhancing the customer experience of players. Their appetite for digital wallets, and even crypto payments, is growing.
The report, which showcases Paysafe’s brand new identity that the company has recently revealed, surveyed 3,000 sports betting customers in six states in the United States (Massachusetts, Michigan, New Jersey New York, Ohio, Pennsylvania), Ontario in Canada, the United Kingdom France, Germany, and Italy in December 2023. According to the research, players prioritized streamlined payouts when selecting a sportsbook (37%). This is more important to them than brand trust (34%), odds (29%) promotions (26%), the user experience (17%) sports markets (15%) or sponsorships (10%).
Players also give priority to the availability of their preferred payment methods (26%) as well as seamless deposits (26%), over all other factors except for brand trust, odds, and promotions.
Payments play a crucial role in retaining players. 78% of betting customers consider the payment experience to be important for why they stay with a particular brand. It is even more pronounced in Italy (88%), New York (84%), and Germany (80%).
Bettors’ payment preferences continue to diversify. Digital wallets are challenging the dominance of debit cards (38%) globally. In Italy (53%), and Germany (52%), wallets are the preferred payment method. Digital wallets, which allow players to wager across multiple sportsbooks and facilitate wagering on more than one bookmaker at a time, are the preferred payment method for VIPs. 46% of those who wager five to seven bets per week prefer a digital wallet over 43% of those who use a debit card.
The use of credit cards is banned in some markets, such as the United Kingdom and Massachusetts. Credit cards are still the preferred payment method in France (47%), and also globally (25%).
Online cash is still a niche, but 13% of people prefer it. This trend is higher in countries that have a long-standing cash culture, such as Germany (16%) and United States (16%).
The United States (17%), and Ontario (17%) in Canada are the two countries with the highest preference for local payment methods.
The confidence in sportsbooks’ transactional security continues to grow, with 57% more players confident than the previous year. There is no room to complacency, with 10% of players less confident and 33% uncertain.
The adoption of digital wallets and alternative payment methods by players will increase, with 58% expecting that they will use them more until the end of 2025. Crypto payments are attractive to players, despite the volatility of the cryptocurrency market. 50% would be interested in them if they were permitted by regulators. The United States (58%) and New York (72%), are the two states with the highest percentage.
Zak Cutler, Global Gaming President at Paysafe (pictured), stated that “our latest research clearly shows the value of online sportsbook operators receiving payments throughout the entire player experience.” Operators who optimize their payment offerings will gain an advantage in the race to win new customers. Operators can increase player retention by getting the payments right, given the correlation between payment experience and brand loyalties. It is important to upgrade their cashiers in order to accommodate all payment options to meet changing transactional expectations.
Paysafe will be exhibiting (booth number N5-220) at the ICE London conference 2024 from 6-8 February 2024.
