dr. sally gainsbury

The University of Sydney Page 1

Who ‘likes’ gambling? The impact of social media marketing

Presented byDr Sally GainsburyDeputy DirectorGambling Treatment Clinic & Responsible Gambling Research Group

Senior LecturerSchool of Psychology

EditorInternational Gambling Studies

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Gambling advertising is highly regulated

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Inappropriate advertisements may be banned

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The Internet has changed marketing methods

– 48% of Canadians have used social media to find products

– 40% of Canadian Millennials value and respect brands interacted with on social media– 38% have purchased products/services they

found through social media

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Social network site (SNS) ad spend to reach C$1 billion by 2017Social network ad spend in Canada

– 2015 $267.1 million– 2016 $695.2 million– 2017 $1 billion

3.7 x spend

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Social media = Interactive marketing

• Better business performance

• Increased sales• Profitability

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Gambling companies are using social media to reach consumers

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Gambling companies can work around advertising restrictions on SNS

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But, are all social media posts advertisements?

Current events

Customer service

Consumer engagement

User-generated content

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Social media may not fall under advertising restrictions

Ordered to take down – put up

online

Posted out of jurisdiction

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Age restrictions are not effective on SNS

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What is the impact of social media on gambling?

An Australian study by:

Sally Gainsbury, Daniel King, Paul Delfabbro, Nerilee Hing, Alex Russell, Alex Blaszczynski, Jeffrey Derevensky

Research commissioned by Gambling Research AustraliaGRA had no involvement in the research design, conduct, analysis,

or the preparation of this presentation.

Research conducted at Southern Cross University with the University of Sydney and University of Adelaide

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What did we do?

– Interviews with gambling operators– Interviews with Internet users– Audit of social networking sites– Online survey of Australian Internet users– Case study of Facebook

Also looked at social games

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Social media audit – Most gambling operators on SNS

% % % % %Facebook Twitter Instagram YouTube Google+

0102030405060708090

100

Betting agenciesCasinosEGM venuesLottery

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Wagering operators have the greatest social media presence

Casinos EGM venues

Lottery Betting agencies

020,00040,00060,00080,000

100,000120,000

FacebookTwitter

Average number of followers

Wagering & lottery are legal online

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Stated aims of social media use• Brand awareness• Customer engagement• Customer loyalty• Personal relationship with brand• Broader brand reach• Reputation building

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Sales and revenue appear to be at least an indirect aim

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Social media content and ads have a limited reach

– 1,339 adult (553 adolescent) social media users

– 41% (44%) had seen any promotions or content from gambling operators

– What content is seen?

– 19% (17%) paid or promoted content– 10% (12%) shared content– 11% (10%) official page

– 8% (11%) videos posted by operator

– 5% (6.5%) promoted content– 3% (5%) operator tweets

– 5% (7%) official page

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Less than one-fifth of users engage with gambling operators on SNS– 82% (81%) have no engagement

– 4% liked– 5% (6.5%) clicked on ad– 2% (3%) posted comment– 2% (3%) shared content

– 2% (3%) followed or retweeted

– 6% (7%) watched video– 2% (3%) shared video

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The target audience are interacting with gambling operators on SNS

Younger adults/older adolescentsMalesSpend more on gambling - adults

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Why do adults engage with gambling operators on social media?

1. Special offers, bonuses, promotions & discounts

2. To ask for help and advice

3. News, product updates & information

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Adolescents are looking for entertainment and social interactions– Humorous or entertaining content important– Recommendation by friend– Want to connect with others

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SNS promotions have a limited impact on users

75% No impact

11% decreased gambling

13% increased gambling

Adolescents have similar report (14% decrease, 11% increase)Greater impact is seen on desire to gamble 17% (20%) increase

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But, some vulnerable gamblers are affected by SNS promotions

Gamblers reporting increased gambling due to social media more likely to be:

Male Gamble more frequentlyYounger Spend more money gamblingHigher education Use social media more oftenWork full time At-risk & Problem gamblersEthnically diverse

Male adolescents more likely to increase gamblingOlder adolescents had increased desire to gamble

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There were few posts about responsible gambling on SNS

– 60% users never noticed RG messages by operators on SNS

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Considerations

Social media is a dynamic and rapidly changing platform

Regulation and policy needs to catch up

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Consider what is appropriate for gambling companies on SNS– Address volume, timing, and targeting of content– Consider public image & reputation

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Consider – should gambling companies be posting about this?

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Companies are responsible for user-generated content

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Proactively monitor and assess ALL posts

for breaches of advertising code

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What counts as advertising?

– Branded content– Official pages– Videos and media– Free-play games– Shared content

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Next steps?

– Can social media be regulated?– What about offshore companies?– Can companies self-regulate?– How can the community respond?– Role for counter-advertising & help?

– Thoughts…?

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Thank you!

Dr Sally GainsburyDeputy Director, Gambling Treatment Clinic & Research Group Senior Lecturer, School of Psychology, University of SydneyEditor, International Gambling StudiesResearch affiliate, Southern Cross University

Email: sally.gainsbury@sydney.edu.au

Website: http://sydney.edu.au/science/people/sally.gainsbury.php

@DrSalGainsbury

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References

– Gainsbury, S.M., King, D.L., Russell, M.T., Delfabbro, P., Derevensky, J., & Hing, N. (2016). Exposure to and engagement with gambling marketing in social media: Reported impacts on moderate risk and problem gamblers. Psychology of Addictive Behaviors, 30(2), 270-276. http://psycnet.apa.org/doi/10.1037/adb0000156

– Gainsbury, S., Delfabbro, P., King, D.L., & Hing, N. (2016). An exploratory study of gambling operators' use of social media and the latent messages conveyed. Journal of Gambling Studies, 32(1), 125-141. DOI 10.1007/s10899-015-9525-2 http://link.springer.com/article/10.1007/s10899-015-9525-2

– Gainsbury, S., King, D.L., Hing, D., Delfabbro, P. (2015). Social media marketing and gambling: An interview study of gambling operators in Australia. International Gambling Studies, 15(3), 377-393. http://dx.doi.org/10.1080/14459795.2015.1058409

– Monaghan, S., Derevensky, J., & Sklar, A. (2008) Impact of gambling advertisements on children and adolescents: Policy recommendations to minimize harm. Journal of Gambling Issues, 22, 252-274. DOI 10.4309/jgi.2008.22.7 http://jgi.camh.net/doi/pdf/10.4309/jgi.2008.22.7

– Gainsbury, S., King, D., Delfabbro, P., Hing, N., Russell, A., Blaszczynski, A., Derevensky, J. (2015). The use of social media in gambling. Gambling Research Australia. Available at: http://www.gamblingresearch.org.au/resources/d06679ec-3577-4cb0-867c-594ce741dbf6/grasocialmediareport.pdf

– Hing, N., Cherney, L., Blaszczynski, A., Gainsbury, S. M., & Lubman, D. I. (2014). Do advertising and promotions for online gambling increase gambling consumption? An exploratory study. International Gambling Studies, 14(3), 394-409. http://dx.doi.org/10.1080/14459795.2014.903989