Compliance Updates
New ESRI Research Commissioned by the GRAI Suggests Gambling Offers Lure People to Bet More, Particularly People at Risk of Problem Gambling
A new study commissioned by the Gambling Regulatory Authority of Ireland (GRAI) /Department of Justice, Home Affairs and Migration and undertaken by the Economic and Social Research Institute (ESRI) shows that betting and gambling companies offering special offers or inducements encourages people to gamble more than they would otherwise, even when the odds offered are “bad”.
Special offers or inducements, such as free bets and moneyback guarantees are regularly used by gambling companies in their marketing campaigns. The study found that vulnerable people such as those at higher risk of becoming problem gamblers, were most at risk of gambling more, and losing more, as a result of being offered inducements.
In a controlled experiment run with a sample of 622 men under 40, participants, were given money to place up to six realistic bets on the Euro 2024 football tournament.
Half of the participants were randomly selected and shown offers of free bets and moneyback guarantees on some bets. which caused these participants to spend over 10% more than those who were not given inducements. The inducements also reduced the number of participants opting not to bet by nearly half. Even inducement bets that were designed as “bad”, showing odds far below market rates, were undertaken by participants in this group, who were three times more likely to spend money on “bad” bets.
These findings illustrate the harm inducements cause, particularly to those who are susceptible to gambling harm.
Under the Gambling Regulation Act 2024, the legislation which underpins the work of the GRAI, inducements or encouragement to gamble further will soon be an offence and licensed operators will no longer be allowed to offer free bets which are targeted at individuals and specific groups. Multiple European countries have also begun to regulate inducements.
Participants were surveyed after the study on their knowledge and understanding of inducements. Even amongst regular betters, most did not know that there were restrictions on free bets and that they would not receive their stake back if they won a free bet.
Paul Quinn, Chairperson of the GRAI, said: “I very much welcome this research from the ESRI examining the impact of inducements to gamble on gambling behaviours. Having a clear evidence base is critically important to the GRAI as we commence our work in regulating the gambling industry. This latest research will help inform that work and in educating the public on this matter.
“This study clearly indicates the damaging effect of certain practices around inducements. It underlines the importance of the provisions of the Gambling Regulation Act in limiting a person’s exposure to inducements to gamble. We look forward to working with Minister O’Callaghan in addressing the issue as we implement the new regulations.”
Anne Marie Caulfield, CEO of the GRAI, said: “The ESRI’s findings confirm that not only is the general public not aware of the dangers associated with inducements to bet, but also that the impact of these inducements go beyond simple marketing by betting companies.
“It is our responsibility to ensure that gambling operators do not encourage excessive or compulsive gambling behaviour, and that we protect vulnerable people in our society, such as children and young people and those more likely to experience gambling harm.
“The Gambling Regulation Act 2024 sets out obligations for licensees in the way in which inducements can be offered, including a ban on targeted inducements, and the findings of this study affirm these measures.”
Diarmaid Ó Ceallaigh, Postdoctoral Research Fellow, Behavioural Research Unit, ESRI, said: “Our findings imply that gambling offers aren’t merely marketing tools, but pose a real risk of financial harm, particularly among vulnerable groups.
“The results support the case for stricter regulation of gambling offers in Ireland, following steps already taken in other European countries, such as banning sign-up bonuses, restricting offers to at-risk individuals, and capping their value.”
The post New ESRI Research Commissioned by the GRAI Suggests Gambling Offers Lure People to Bet More, Particularly People at Risk of Problem Gambling appeared first on European Gaming Industry News.
Asia
PRONET GAMING BECOMES FIRST B2B OPERATOR TO ESTABLISH SCBPO ACCREDITED OPERATION IN THE PHILIPPINES VIA CLAYMORE SOLUTIONS
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Omni-channel turnkey provider Pronet Gaming is the first internationally-licensed B2B company in the gaming sector to establish an SCBPO-accredited operation in the Philippines via Claymore Solutions.
Claymore Solutions is accredited by the Philippine Amusement and Gaming Corporation (PAGCOR) as a Special Class BPO (SCPBO), which authorises them to provide employer of record & serviced office space to internationally licenced gaming operators enabling them to establish operations in the Philippines without taking bets or payments.
Pronet Gaming will now build out IT and Trading teams in Manila, further strengthening its operational presence and technical capabilities in the region.
Pronet Gaming CEO Alex Leese said: “Establishing an SCBPO-accredited presence in the Philippines is a milestone that aligns perfectly with our long-term strategy of expanding our footprint in Asia, in a fully compliant way. We’re happy to have made this possible through the collaboration and support of our trusted partner, Claymore Solutions.”
Paul Fox, Chairman and Co-Founder of Claymore Solutions, said: “We’re honoured to be working with Pronet Gaming, providing EoR and serviced office space solutions for their operations which underlines the quality of local staff and further boosts the Filipino economy.”
PAGCOR Chairman Al Tengco commented: “We’re delighted to have B2B operators such as Pronet Gaming establish their Trading and IT operations here through Claymore Solutions. I hope that more companies follow given the wealth of readily available Filipino talent in this sector.”
Claymore will announce additional client partnerships in the near future.
The post PRONET GAMING BECOMES FIRST B2B OPERATOR TO ESTABLISH SCBPO ACCREDITED OPERATION IN THE PHILIPPINES VIA CLAYMORE SOLUTIONS appeared first on European Gaming Industry News.
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GGL, the Federal Authority of German Gambling, has issued a warning to consumers about the illegal status of participating in Spain’s popular annual Christmas lottery “El Gordo” through online platforms. The Authority has also published FAQs on the legal situation.
During the pre-Christmas period, especially in November and December, advertising for online participation in the so-called Spanish Christmas lottery “El Gordo” increases significantly. Many of these offers are specifically targeted at people residing in Germany, even though participation is not permitted in Germany.
GGL points out that the advertised online offers are illegal. Instead of participating in the official lottery, these online offers from Germany simply involve betting on its outcome against a private third-party provider. No contractual relationship is established with the Spanish state lottery operator. According to the regulations of the German Interstate Treaty on Gambling 2021 (GlüStV 2021), such “secondary lotteries” are not eligible for a permit and are therefore illegal.
The post GGL Warns Against “El Gordo” Ticket Purchases appeared first on European Gaming Industry News.
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The Philippines’ Cybercrime Investigation and Coordinating Center (CICC) is enhancing efforts to crack down on the promotion of illegal online gambling sites by providing a list of influencers and online entities it says have been promoting and enabling such sites.
In a statement, the CICC – working alongside digital advocacy network Digital Pinoys – said it had provided a list to the Philippine National Police–Anti-Cybercrime Group (PNP-ACG) for formal investigation and case build-up – marking a firm escalation in the government’s campaign against platforms operating without authorisation from regulator PAGCOR. Each detection activates immediate action by way of takedown requests, notices to explain and case referral, the CICC explained.
“The latest endorsements affirm the government’s commitment to hold accountable not just illegal operators, but also individuals and entities who knowingly promote or enable these schemes online,” it said.
“Endorsement of these cases by the CICC signifies that evidence has been collected against the promoters, and that their case-buildup affirms that sufficient grounds exist for prosecution.”
The CICC added that it continues to track pages, personal accounts and paid online promotions found to be facilitating or advertising illegal gambling, with its collaboration with Digital Pinoys having contributed to a 93% reduction in reported illegal gambling links.
One Philippine esports identity announced late last week that he was launching a new livestream platform for the specific purpose of bringing together iGaming streamers and content creators in a responsible way by promoting only PAGCOR-licensed games.
The post Philippines Cracking Down on Influencers Promoting Illegal Online Gambling Sites appeared first on European Gaming Industry News.
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