ILLeGALGAMbLInG CoSTS eveRyone

In December, the American Gaming Association released a study conducted by The Innovation Group, “Sizing the Illegal and Unregulated Gaming Markets in the United States.” Because of the nature of illegal gambling, it has always been difficult estimate the size, but by incorporating the data that is known with educated guesses, the estimates of illegal gambling are as accurate as possible. Illegal gambling is often referred to as the “gray market” because there are loopholes that allow unregulated gaming machines to operate in bars, restaurants, convenience stores, fraternity clubs and other locations. The study includes those unregulated machines along with illegal offshore wagering sites to come up with the final revenue estimates. At right, the chart at the top shows the huge tax dollars that these operations dodge by operating illegally. The bottom chart breaks down the illegal revenue divided by illegal sports betting, illegal iGaming and unregulated machines. To obtain a copy of the report, visit AmericanGaming.org.

Working with Tools

In late 2021, three firms—Toluna, Harris Interactive, and Kurundata—combined to produce a study on attitudes towards responsible gaming from online gaming players from both the U.S. and the U.K. The most surprising result of the study was that 81 percent of U.S. players believe that responsible gambling tools are somewhat or very important in where they choose to gamble online. In addition, 24 percent of the players believe they gamble too much. But even with that recognition of RG tools, support for using them and awareness of them was limited. In the chart at right, players’ awareness of these RG tools didn’t indicate a substantial knowledge a) that the tool was offered and b) that they would use the tool. The largest response—almost 40 percent—was they were unaware that the tools were even available. Bottom line? Online gaming operators need to make responsible gaming a focal point of their sites, with clear indications about what tools are available and how to use them.

JJ Woods

Managing Director, Atlantic Casino Consulting

Gaming in Ireland has been operating in a gray area since the early 2000s when British-style membership clubs began to be established. A new set of gaming regulations has been set up recently along with a new regulatory scheme. JJ Woods has been consulting on gaming projects around the world for more than 30 years, and is the unqualified expert on gaming in Ireland. He spoke with GGB Publisher Roger Gros from his office in Dublin in January. To see and hear a full version of this podcast, visit GGBMagazine.com.