Big data and artificial intelligence (AI) can produce enhanced betting experiences. This can have a big impact on responsible gambling by detecting anomalies.
Technology has increased the consumption of sports entertainment. The estimated global gambling industry value is around USD $127 billion. This lucrative attraction has also led to the rise of illegal gambling.
Illegal gambling can have a devastating effect on legal operations, the profits of which help to run various leisure services.
Machine learning and anomaly detection software can help with responsible gambling. Increasing the speed of anomaly detection with AI helps to detect anomalies. It also gathers information to prevent fraudulent activity.
Different Types of Anomalies
In betting, data and analytics have a big impact on the potential revenue. Anomalies can skew these predictions by introducing outliers and fraudulent data points. Machine learning is helpful in detecting these anomalies. It also improves the efficiency, productivity, and revenue of the betting business.
Machine learning assists by identifying the following forms of anomalies;
- Point anomalies - the single data that sits far out from other findings
- Contextual anomalies - where the abnormality is specific to the context
- Collective anomalies - the collection of related data atypical from a data set
Not all these anomalies are a cause for concern. Yet, it’s important to flag them.
Machine Learning and Anomaly Detection
A simple way to identify data irregularities is to flag unexpected data points. Identifying anomalies can highlight critical incidents and potential threats (or opportunities).
Using manpower and outdated technology to detect anomalies is a challenge. Machine learning offers many benefits for the betting industry by identifying unusual patterns.
Building Models for Predictive Maintenance
Predictive maintenance is critical in reducing the downtime of machines and software. Betting industries rely on online software to generate predictions and place bets. When a machine prioritizes low latency, it optimizes the network to process a high volume of data with minimal delay.
Over time, a machine can tire under this workload, leading to the need for maintenance. Machine learning can predict maintenance, which is usually done by assessing data on optimal operations.
Predictive maintenance works by using historical and available data to predict equipment failure. This allows for efficient and proactive maintenance and decreases downtime.
McKinsey recently released a study on manufacturing machines. The report says that using predictive maintenance can reduce downtime by 30-50%. It can also increase machine life by 20-40%.
Detecting anomalies through machine learning allows data scientists and analysts to build models that offer predictive maintenance alerts. These models will use data to predict failure or burnout, and decrease downtime.
Increase Revenue with Betting Analytics
The illegal gambling industry presents serious competition to legal bookkeepers and businesses. This has a knock-on effect on the profits of the legal sports betting industry, as well as the government’s tax revenue.
Betting behavior produces tons of data and suggests an obvious goal - that is to win. Machine learning is able to apply certain methods to increase revenue profitability. Root cause analysis plays a big role in anomaly detection.
It's the data analyst's job to create an algorithm that gives the highest percentage of accuracy possible. By detecting anomalies in the betting analytics, this level of accuracy is more likely. It also helps to discover fraud and network intrusions that could be siphoning money from the potential profit.
Machine learning allows data scientists and analysts to browse these in-depth betting analytics. Statistics and metadata provided by machine learning increase productivity. They also encourage faster development of betting models.
Maximize user engagement and revenue with root cause analysis and anomaly detection.
Deep Learning Betting Forecasting
Deep learning is a subfield of machine learning. It prioritizes algorithms inspired by artificial neural networks. The speed of computers and the amount of data available make it possible to train large neural networks. This increases performance when compared to older learning algorithms, in fields such as betting forecasting.
An optimized model of deep learning makes way for increased profit generation. Scaling out deep learning across a selection of GPUS also has benefits. For example, it’s possible to run parallel experiments to refine the betting forecast.
A more efficient platform leads to increased performance. This deep learning method of machine learning allows for a profit-focused forecasting system. Deep learning has a further positive effect on data scientists, as it allows for time to create faster models for production.
Anomaly Detection to Retain Customers
Anomaly detection can keep customers in more than one way.
An effective way to keep customers is to offer a model with accurate betting predictions. To present this data, analysts need to be able to communicate their findings as well as detect harmful anomalies.
Being able to detect changes in usage and then react in time is essential for customer satisfaction. In many ways, a betting platform is only as successful as the people that use it. It's important to understand how the customer uses the product, especially when pushing these updates.
If a detected anomaly triggers an update that benefits the customer, then their satisfaction rate will be higher. But that’s not all.
Anomaly detection can help keep customers in another way. By assessing a regular customer's behavior, detecting anomalies is easier. Any deviation from the usual analytics could suggest that their loyalty has swayed. Machine learning can predict when a customer is about to leave, and the next step is to encourage loyalty by taking the appropriate action.
Case-specific machine learning features improve predictive betting models. When detecting anomalies, the machine learning software has a dual purpose. It doubles up as a form of cybersecurity as well as a tool to improve efficiency.
For example, using machine learning in racing cars identifies real-time anomalies. These updates are then communicated with low latency in a real-world streaming application. The benefits are many, including a faster betting model.
Another example is horse racing. IoT sensors and machine learning detect anomalies. These anomalies often flag fraudulent betting and harmful behavior, thereby increasing revenue.
Get Started With Anomaly Detection Today
Avora is always on hand, utilising both Ai analytics and machine learning to uncover unexpected changes in your data.