Gambling industry makes almost half its revenue from just 12% of all gamblers
30 July 2024
Gamblers experiencing the highest level of harms in Australia represent just over 12% of gamblers but contribute almost half of all gambling revenue according to new data that underscores how the gambling industry preys on people who can least afford it.
“We have long known that the predatory gambling industry does all it can to keep people who are ‘losing big’ to keep on betting, this new data shows just how cynical and ruthless is the industry’s business model,” the CEO of the Alliance for Gambling Reform, Martin Thomas, said.
The new insights from Roy Morgan research show problem and moderate gamblers who make up just 12.7% of those who gamble make up almost half of all gambling revenue - 48.5%.
The research also found:
56% of problem gamblers suffer from mental health concerns, making them 21% more likely than the average Australian
41% suffer from anxiety and are 20% more likely than the average Australian
37% of the problem gamblers agree with the statement ‘I often feel my debt levels are out of control’. This is 65% more likely than the average Australian
The research comes from interviews with approximately 16,000 Australians conducted by Roy Morgan in the 12 months to March 2024, based on the Problem Gambling Severity Index (PGSI) framework, now tracked continuously in the Roy Morgan Single Source Survey, representing the largest continuous gambling harm research program in Australia.
The research reveals that almost a million Australians (881,000) who sports bet are now considered problem or moderate risk gamblers -those experiencing the most harms based on the PGSI classifications.
Mr Thomas said we know that Australia loses more to gambling than any other country in the world but we are just discovering how much their profits rely on people who are being seriously harmed from gambling and how these losses are causing social harm on an industry-scale.
“This is an industry that offers free bets and other inducement to keep people gambling – even after people have said they want to quit gambling. Their whole business model relies on exploiting those who cannot afford their losses,” Mr Thomas said.
“These losses are causing not only financial hardship but health and mental health problems, relationship break up, partner violence and even suicide. A recent study showed almost 20% of suicides in Australia could be related to gambling.”
The Alliance for Gambling Reform has just released its Inducements policy calling for an end to betting companies offering free bets and other gimmicks to keep people betting. AGR MEDIA RELEASE
The Alliance is calling for all inducements to be banned and well as all gambling advertising to be banned, reflecting the recommendations of the Murphy parliamentary report into online gambling reform.
“It is time for the government to act on this report to protect Australians from being inundated by gambling advertisements and inducements and to reduce the devastating impact of gambling across the Australian community,” Mr Thomas said.
The government received the parliamentary report, chaired by Labor MP, Peta Murphy, almost 12 months ago and is still yet to deliver its response. A key recommendation in the report was a moderate and reasonable 3-year, phased-in ban on all gambling advertising.
Martin Thomas is available for interview
For information on the Roy Morgan PGSI tracking program contact Julian McCrannon (03) 9224 5309
Roy Morgan is an independent market and social Research firm and commenced tracking the prevalence of problem gambling amongst the 18+ Australian population in January 2023, using the standardised Problem Gambling Severity Index (PGSI) framework. The PGSI is used to classify respondents as Non Problem, Low Risk, Moderate Risk and Problem Gambling.
The PGSI questions are fielded to a representative sample of 16,000 Australians each year, tracked continuously in the syndicated Roy Morgan Single Source Survey, representing the largest continuous problem gambling research program in Australia.
media@agr.org.au or 07 3180 0630