Synonyms: GGY (Gross Gambling Yield)
What is GGR - Gross Gambling Revenue?
GGR stands for Gross Gaming Revenue, and some companies may use the term GGY (Gross Gambling Yield), which has the same meaning as gambling gross profit. Gross profit is calculated as the total amount wagered minus the total amount paid out, and it is a key indicator of a gambling business’s performance. It directly reflects the revenue-generating ability of your gambling platform and serves as a core metric for evaluating the profitability of a gambling game. GGR shows how much a gambling platform has earned over a specific period or how much players have lost during that time.
For example, if players wager a total of $3 million throughout the year and win a total of $2.5 million, then the platform's GGR for the year would be $500,000. However, this figure does not include factors such as sign-up bonuses and deposit refunds. The formula for GGR is A - B, where A is the total amount wagered by players, and B is the total amount paid out to players. There can be various factors that may cause a decline in GGR, and it may not always be clear which factor is affecting your platform's performance.
Here are a few potential reasons:
1. An increase in player registrations, deposits, or tournament participation, or more bonuses being given out.
2. The bonuses awarded as rewards exceed the standard limits.
3. The cost of acquiring new players is rising. While promotions such as tournaments, jackpots, free spins, and deposit bonuses can help convert new players, it's important to set clear limits and carefully thought-out terms and conditions to prevent issues like bonus abuse.