Problems related to GamblingProblems related to GamblingHearing of the European Economic and Social Committee on

“Online gambling – After the Green Paper which way forward“Brussels, 6. September 2011

Prof. Dr. Gerhard MeyerUniversity of Bremen

Prof. Dr. Gerhard MeyerUniversity of Bremen

“I believe that the game of dice has exactly the same effect than wine.“ (Pascasius Iustus, 1561)

Gambling problems in history

Prof. Dr. Gerhard MeyerUniversity of Bremen

Frequency of gambling-related citations over time

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Year * Data until 07.10.2010

Online gambling – Addictive potentialHayer, Bachmann & Meyer (2005); Meyer & Hayer (2008)

Availability(24/7)

Event frequency

Anonymity

Cashless moneytransfer

Consumer-friendlyoffers

Multiple products

Extensivemarketing

Demosites

Loweringthresholds

Stimulates escapism

Prof. Dr. Gerhard MeyerUniversity of Bremen

Prof. Dr. Gerhard MeyerUniversity of Bremen

Assessment tool: Risk potential of gambling types (I)Meyer et al. (2011)

Prof. Dr. Gerhard MeyerUniversity of Bremen

Assessment tool: Risk potential of gambling types (II)Meyer et al. (2011)

Prof. Dr. Gerhard MeyerUniversity of Bremen

Classification of gambling typesMeyer et al. (2011)

Youth and online gambling

- The prevalence of youth online gambling has risen noticeably in recent years (2003/04: 2 %; 2007/08: 24 %).

- 4 % of the sample participate at least weekly in Internet gambling (mostly boys).

- Almost all adolescents with online gambling experience gamble offline simultaneously.

- A relatively large number of Internet gamblers are problem gamblers(Internet gamblers: 7.7 %; non-Internet gamblers: 1.1 %)

Ólason et al. (2011):Survey of 1,537 Icelandic students aged 13-18

Prof. Dr. Gerhard MeyerUniversity of Bremen

Adults and Internet gamblingWood & Williams (2009)

Telephone Survey (Canada)n = 8,498

Online Survey (worldwide)n = 12,521

Internet gambling(yes)

Internet gambling(no)

Internet gambling(yes)

Internet gambling(no)

Non-problem gambling (%)

45.0 88.2 39.9 82.1

At-risk gambling (%) 37.9 7.7 43.4 12.3

Moderate gambling problems (%)

12.6 3.1 12.8 4.0

Severe gambling problems (%)

4.5 1.0 3.8 1.7

Refers to cross-sectional data

Prof. Dr. Gerhard MeyerUniversity of Bremen

Selected research findings(I)

Wiebe et al. (2003) found that gamblers with severe gambling-related problems often gamble online as well.

Wood & Williams (2007) verified with a sample of 1,920 online gamblers that 22.6 % of the subjects have moderate gambling-related problems and further 20.1 % have severe gambling-related problems.

McBride et al. (2006) examined adolescents / young adults and realized that demo sites are visited comparatively often.

A field test with a 16-year old female pupil could prove that a registration was blocked by only 7 of a total of 37 randomly selected gambling websites (GamCare, 2005).

Prof. Dr. Gerhard MeyerUniversity of Bremen

Selected research findings (II)

Wood et al. (2007) demonstrated that 18 % of the interviewed online poker players (422 students) are problem gamblers. Predictors of gambling-related problems are negative emotions after gambling, giving the wrong gender identity while playing, and escaping problems while gambling.

According to Tryggvesson (2007) the proportion of people with gambling-related problems among online poker players is significantly higher (26.8 %), resp. among online gamblers (8,1 %) still noticeably higher than among offline gamblers (2,1 %).

Research on online slot machine gambling leads to the conclusion that the odds paid during demo sessions and real play for money differ signicantly among some providers (Sévigny et al., 2005).

Prof. Dr. Gerhard MeyerUniversity of Bremen

Internet gambling – Current knowledge (I)

The theoretical analysis of structural characteristics of Internet gambling implies a high addictive potential.

But: Differences between gambling forms are necessary!

Online surveys with self-selected samples suggest that online gamblers are significantly more often problem gamblers.

But: Generalizations are illegitimate based on self-selected samples!

First epidemiological studies seem to confirm the high addictive potential associated with Internet gambling.

But: Small number of cases/ cause and effect is unknown!

Prof. Dr. Gerhard MeyerUniversity of Bremen

Internet gambling – Current knowledge (II)

The longitudinal analysis of actual online gambling behavior (bwin subscribers) indicates that only a small fraction of the cohort shows

excessive gambling patterns.But: Analysis is restricted to a single provider of online gambling!

Prof. Dr. Gerhard MeyerUniversity of Bremen

Advantages of actual Internet gambling behavior: Economics (time, effort, costs), temporal precision, large sample, objectivity of acquisition, longitudinal study

Disadvantages: Lack of representativeness of sample and behavior, lack of data validity (missing information on use of other forms, on gambling motivation, on gambling-related problems etc.), prediction of behavior on restricted data base is limited

Pathological gambling – Criminal offences (I)Meyer, Althoff & Stadler (1998)

Prof. Dr. Gerhard MeyerUniversity of Bremen

%

Pathological gambling – Criminal offences (II)Meyer, Althoff & Stadler (1998)

Prof. Dr. Gerhard MeyerUniversity of Bremen

Pathological gamblers in treatment (n=300)

Pathological gambling – Criminal offences (III)Meyer, Althoff & Stadler (1998)

Prof. Dr. Gerhard MeyerUniversity of Bremen

%

Case study

Prof. Dr. Gerhard MeyerUniversity of Bremen

Banker (male, 24 years) embezzled 26,500 Euro

Pathological gambler (sports betting)

Gambling on 7 different sites

Self-exclusion with two sites (opening a second account with one site after 3 weeks: same name, same bank account, different email address

Loss of 28,000 Euro in two days

Conclusion: Data form a single provider don‘t offer sufficient information on addictive behavior. Provider certified as save and fair don‘t behave responsible. Cross-linking of self-exclusion data is necessary.

Early detection of gambling problems on the Internet

Prof. Dr. Gerhard MeyerUniversity of Bremen

Analysis of gambling behavior (Behavior Tracking Tools)

Comparison with versions that cover characteristics of problem gamblers

Implicates low threshold measures

Useful, innovative measures of player protection

Integration in corporate culture, no lip service

Politics must demand early detection and control it

… and finally 6 thesis…

Growing turnover figures of online gambling are to be expected, independent of prevailing regulatory frameworks!

The enforcement of a total ban of online gambling seems unrealistic and cost-intensive. Obviously, the prohibitive approach doesn‘t fulfill the function of averting risk!

The impact of smartphones in the acceleration of online gambling servives will increase!

A growing number of persons is going to develop problems related to online gambling!

The Internet confronts addiciton prevention with new challenges. At the same time, however, it offers promising approaches for player protection such as early detection of at-risk behavior based on actual gambling behavior!

An independent evaluation of implementations of social concepts is necessary as gambling providers get a significant proportion of revenues from gambling addicts (up to 56 %, depending on type of gambling)!

Prof. Dr. Gerhard MeyerUniversity of Bremen

Thank you for your attention!

Prof. Dr. Gerhard MeyerUniversity of Bremen