Market Cannibalization Within and Between Gambling Industries : A Systematic Review

In economics, cannibalization refers to a process in which a new product or service partly or completely substitutes for those in existing markets. This systematic review analyses the existing evidence on cannibalization within gambling markets to determine whether such substitution takes place between different types of gambling. The analysis shows that new gambling products substitute to a certain extent for existing gambling products. The sector in which the evidence is most convincing is the casino industry, which cannibalizes lotteries and pari-mutuel racing. There is also evidence that casinos substitute for other casinos and for non-casino electronic gaming machines. Lotteries substitute for casinos, other lotteries, sports betting, and pari-mutuel or racing industries. In other cases, the evidence is less conclusive and sometimes non-existent, or industry relationships are more complicated. This review also found that even in cases where substitution does occur, it is incomplete, and thus the introduction of new products tends to expand the overall gambling market. We discuss these market dynamics and identify gaps in the available research.Peer reviewe

On the efficiency of Nordic state-controlled gambling companies

Aims: This article assesses the efficiency of six Nordic state-controlled gambling companies in raising revenue for their host societies, and the terms under which they operate. Finland, Sweden, Denmark and Norway have established gambling monopolies on the grounds that they help to prevent fraud and money laundering, and channel proceeds to their host societies. Within the last decade, Denmark (2012) and Sweden (2019) have opened substantial parts of their gambling markets to competition, whereas Finland and Norway continue to uphold monopolies. Design: The analysis is based on publicly disclosed income statements and financial reporting concerning Nordic gambling operators for the year 2017. We calculated how much they contribute to societies, what are the costs, and how these figures compare among the companies. Results: We found that Veikkaus raises the highest amounts of surplus to society both in absolute terms and in relative numbers, and that, overall, the companies vary in efficiency. We discuss the reasons for these differences, focusing on their respective product portfolios, institutional frameworks and competitive market positions. Conclusions: The results problematise the measurement of efficiency in gambling companies in monetary terms. Efficiency depends on high total consumption with little regard to the principles of responsible gambling and the prevention of gambling problems. Nordic countries have a strong commitment to the protection of health, but in the case of gambling, protecting the monopoly seems to outweigh harm prevention.Peer reviewe

Gambling-related suicides and suicidality : A review of qualitative evidence

Peer reviewe

What is special about gambling? : A comparison of public discourse on Finnish state monopolies in rail traffic, gambling, and alcohol

Finnish state monopolies have been in a state of change during the mid-2010s. This paper focuses on the developments of the alcohol retail, railroad and gambling sectors during this period by analysing media texts (N=143) from 2014 to 2017 and with the concepts of Kingdon’s Multiple Streams Framework (MSF). Results show how the convergence of politics, policies and problematizations opened policy windows for government initiatives to liberalize alcohol retail and railroad traffic markets while consolidating the gambling monopoly. The differing outcomes are surprising given that they all took place under the same liberal right-wing government, as well as under obligations to dismantle monopolies in the European Union and in accordance with international commerce treaties. The explanation unfolds by looking at the stakeholders and their justifications. Differing outcomes also reflect the varying trajectories through which the policy processes proceeded, although they seem to conclude with consensus and at least a semblance of agreement between the different parties when a decision is reached. The study gives insight into how state monopolies are negotiated in contemporary Europe.Peer reviewe

Cultures and spaces of convenience gambling

Background: In many countries, the bulk of gambling takes place in convenience spaces in relatively confined, local markets. Nevertheless, research on gambling locations has so far concentrated on destination gambling in casinos. Aim: This article studies convenience gambling and distinguishes special (e.g., gambling arcades) from everyday convenience gambling spaces (e.g., electronic gambling machines in supermarkets). Rather than geographically or functionally analysing the harm potential of convenience gambling, we approach the issue through cultural theory. Method: We conducted reception analytical group interviews with Finnish and French gamblers. This method is based on focus-group discussions stimulated by six short film clips. Our data consisted of 14 Finnish and 14 French groups, altogether 110 participants. The interviews were analysed thematically on the basis of the types of discourses the participants evoked. Results: The Finnish respondents discussed how their gambling culture was embedded in their everyday lives. They saw it as a harmless pastime if the sums used were small and otherwise unbudgeted. The French informants instead strongly connected gambling with the casino and were suspicious of the easy, cheap availability of convenience gambling. They also differentiated between exceptional and mundane spaces of convenience gambling, which the interviewed Finnish gamblers did not. Conclusions:Social or cultural availability is not only a matter of access; it also influences gamblers after they have entered the gambling venue. Structural characteristics interact with the gambler and the setting, but they are also mediated by the cultural context.Peer reviewe

From Habit-Forming to Habit-Breaking Availability : Experiences on Electronic Gambling Machine Closures During COVID-19

Electronic gambling machines (EGMs) are among the most harmful forms of gambling. The structural characteristics of EGMs prolong and reinforce gambling similarly to other habit-forming technologies. In Finland, the wide availability of EGMs in non-casino locations is likely to further reinforce the habit-creating nature of gambling offer by incorporating EGMs into everyday practices. The COVID-19 pandemic changed the landscape of gambling in Finland. The most visible change was the closure of land-based EGMs in non-casino environments, arcades, and the casino in March 2020. Since then, the status of EGMs has varied depending on the pandemic situation. The current qualitative study focuses on how Finnish past-year gamblers experience prolonged EGM closures and occasional re-openings 1 year into the pandemic. The data consist of responses to an online questionnaire eliciting experiences (N = 187) as well as interviews (N = 27, conducted in groups or alone). To aid our analysis, we employ the sociological pragmatist theory of the concept of "habit." The analysis focuses on gambler experiences on EGM shutdowns and re-openings, and views on whether closures have contributed to abstaining from gambling or to shifting to other gambling products. Policy implications of the results are discussed.Peer reviewe

Socio-cultural contexts of gambling : A comparative study of Finland and France

Public and academic discussion of gambling has been characterised by numerous contradictions. Although definitions of gambling as a sinful activity or even as a crime are now things of the past, the contemporary debate on whether gamblinkö-g is actually a social problem, an individual problem, a socially beneficial activity or perhaps just another form of consumption has been heated. This study maintains that no such conclusive definition of the social role of gambling can be found because societies discuss gambling differently based on contextual conditions. The research question asks whether the understandings of gambling differ between two European societies, Finland and France, and if so, how these differences are manifested. To answer this question a comparative study has been conducted. The research data consist of group interviews conducted among gamblers in Finland and in France, along with legal texts that regulate gambling in each country. Finland and France were chosen for this study owing to practical constraints but also to represent two European countries with differing gambling traditions but with similar overall availability of gambling opportunities. This made it possible to analyse institutional differences related to provision and legislation, as well as to compare cultural differences related to habits of thought and deep cultural structures. The study argues that social contexts influence not only the kind of gambling offers made available, but also how gambling is discussed, how it is justified, how it is understood and even how ensuing problems are conceptualised. Sociological theory is used to show that the way we understand social concepts such as gambling is specific to a particular cultural and institutional context. The results show that Finland and France differ in terms of how their gambling legislation has been justified and in how gamblers themselves discuss the activity. Differences were found in relation to what was considered an acceptable reason to gamble, what was considered the cause of problem gambling and how well the gambling offers of their respective countries were accepted. It is argued here that these differences reflect separate historical traditions of gambling, varying institutional organisations providing gambling opportunities, cultural differences in how blame is assigned, and varying conceptualisations of individuality in Finland and France. The analysis supports the hypothesis, showing that the way gambling is understood depends on the social context. The comparative analysis also demonstrates that gambling is a social issue and should be treated as such when its consequences, its availability or its importance to societies are discussed.Rahapelaamista koskeva julkinen ja akateeminen keskustelu on ollut hyvin jakautunutta ja lokeroitunutta. Vaikka länsimaisessa ajattelussa rahapelaamista ei enää pidetäkään rikoksena tai syntinä, myös nykypäivänä kiistellään siitä, pitäisikö pelaamista tutkia sosiaalisena ongelmana, henkilökohtaisena ongelmana, sosiaalisesti hyödyllisenä harrastuksena tai ehkä vain yhtenä kulutuksen muotona. Tässä tutkimuksessa korostetaan, ettei pelaamista voi määritellä vain yhdellä tavalla, sillä rahapelaamisen määritelmät riippuvat aina sosiaalisesta kontekstista. Tutkimus kysyy, miten rahapelaaminen ymmärretään kahdessa eurooppalaisessa maassa, Suomessa ja Ranskassa, ja millaisia eroja ymmärryksissä on. Kysymykseen on vastattu kvalitatiivisin menetelmin. Tutkimusaineisto koostuu suomalaisten ja ranskalaisten viihdepelaajien kanssa tehdyistä ryhmähaastatteluista, sekä lakiteksteistä, joilla rahapelaamista säädellään näissä kahdessa maassa. Suomi ja Ranska valikoituivat tutkimuskohteiksi käytännön syistä, mutta myös siksi, että maat edustavat erilaisia rahapelaamiseen liittyvien perinteitä sekä samankaltaista rahapelien saatavuutta. Tämän ansiosta analyysi ylettyy paitsi rahapelitarjonnan ja -lainsäädännön institutionaalisten erojen vertailuun, mutta myös kulttuuristen erojen ja syvärakenteiden tutkimiseen. Tutkimus osoittaa, että sosiaaliset kontekstit vaikuttavat paitsi pelitarjontaan, myös siihen, miten peleistä keskustellaan, miten pelaamista ja pelitarjontaa oikeutetaan, miten pelaaminen ymmärretään ja miten mahdolliset ongelmat käsitteellistetään. Sosiologisen teorian avulla tutkimuksessa keskustellaan siitä, kuinka eri institutionaalisissa ja kulttuurisissa konteksteissa rahapelaamisen kaltaiset käsitteet voidaan ymmärtää eri tavoin. Tuloksista tulee ilmi, että Suomi ja Ranska eroavat toisistaan sekä siinä, kuinka rahapelilainsäädäntöä on oikeutettu, että siinä, miten pelaajat keskustelevat pelaamisesta. Pelaajien käsitykset hyväksyttävistä syistä pelata, ongelmapelaamisen syistä sekä maan pelitarjonnan hyväksyttävyydestä erosivat. Tutkimuksessa esitetään, että nämä erot heijastelevat erilaisia rahapelaamiseen liittyviä historiallisia perinteitä, erilaista rahapelitarjontaa, mutta myös kulttuurisia eroja vastuun ja individualismin suhteen. Analyysi tukee hypoteesia, jonka mukaan se, miten pelaaminen ymmärretään, riippuu sosiaalisesta kontekstista. Rahapelaaminen on sosiaalinen ilmiö, ja tämä sosiaalinen perusta tulisi pitää mielessä myös kun pelaamisen vaikutuksista, tarjonnasta tai tärkeydestä yhteiskunnalle keskustellaan

A scoping review of gambling policy research in Europe

In Europe, gambling policy is conditioned by different administrative levels, including national authorities and the EU, as well as institutions of the European Economic Area (EEA). The legal framework of the EU/EEA requires Member States to pursue evidence-based policy. The current scoping review focuses on what kind of policy research is available on gambling in the European context to support evidence-based policy. We searched three scientific databases for research literature on gambling regulation and policy in the European context. The final sample consists of 88 papers. We analysed the corpus with Term Frequency-Inverse Document Frequency mapping, and, narratively, by applying the policy cycle phases (agenda-setting, formulation, adoption, implementation, and evaluation). Overall, the results show that gambling policy research is a growing field in Europe, and the policy cycle describes the available literature amply. The largest part of the existing research concerns the evaluation phase, while the formulation and implementation phases are under-represented. The findings are discussed in terms of the main outcomes, as well as in terms of the gaps in the existing research

How Do State Gambling Monopolies Affect Levels of Gambling Harm?

Purpose of Review: This systematic literature review evaluates the potential of gambling monopolies to affect gambling harms. It compares the occurrence of gambling harms in jurisdictions with gambling monopolies to jurisdictions with license-based regimes. Recent Findings: The review identified 21 publications concerning three gambling-related harm indicators: problem gambling prevalence, total consumption, and the appearance of conflicts of interest. Due to the dearth of literature, concept papers and older publications were also included. Summary: Results show that there is a paucity of empirical research on the effectiveness of different regulatory regimes in affecting gambling harms. Available research demonstrates that monopolistic regimes appear to perform somewhat better in terms of problem gambling prevalence and total consumption but may also be more prone to conflicts of interest than license-based regimes. Monopolistic configurations also differ between themselves, and issues such as availability, accessibility, product range, scope of preventive work, monitoring, as well as the recognition of the public health approach may better predict the levels of harm in society than the existence of a monopoly.Peer reviewe

Gambling During the COVID-19 Pandemic : Experiences of Risks and Change Among Finnish Gamblers

Publisher Copyright: © 2022, Centre for Addiction and Mental Health. All rights reserved.This brief report presents results on how gamblers have experienced risks and change during the exceptional situation caused by the COVID-19 pandemic. The study is based on online questionnaires collected by the University of Helsinki and the Finnish Association for Substance Use Prevention (N = 586). Results show that the reduced availability of gambling in the Finnish context has limited its total consumption. The risk of gambling-related harms has therefore become less pressing during the pandemic. Although gambling is a public health risk in addition to being a harmful activity for the individual, the policy measures during the pandemic have revealed that, at a societal level, the risk of infection with COVID-19 was perceived as being a more serious problem than was the risk of gambling harms.Peer reviewe