A recent study has revealed that 63% of Brazilian online bettors have compromised on other retail purchases, including food and medications, on account of gambling losses.
The study, conducted by Sociedade Brasileira de Varejo e Consumo (SBVC), in partnership with AGP Pesquisas, has interviewed 1,337 consumers from across Brazil, through online quantitative research.
Regarding the betting frequency of participants, 38% confirmed that they had placed online bets at least once, with 58% being male. A bit more than half of all interviewed said they gambled every week. Additionally, 49% have increased their betting volume in the past few months, whereas 35% reduced it owing to fear of gambling addiction.
Football attracted the lion’s share of bettors’ attention, with 77% of the study participants placing wagers on football matches.
The young generation seemed to be most fascinated by sports betting, with 28% of respondents aged 18 to 24 refraining from other purchases. Some 10% of participants aged 45 to 54 put gambling first. Additionally, 12% of bettors aged over 65 skipped a purchase for the sake of gambling.
The Study Assesses Sports Betting’s Impact on Consumers
Ultimately, the study aimed to assess the impact of online sports betting on the income and consumption of Brazilians, as well as the share of wallet (SOW) of consumers whose income comes from a single source.
According to the study’s findings, 64% of bettors confirmed they used their main source of income to finance their betting. The categories most affected by sports betting included clothes, grocery items, and travel. Nearly 23% of bettors refrained from buying new clothes for the sake of wagering. Some 19% skipped purchasing grocery items, and 19% postponed their travel plans.
Makeup, beauty, and hygiene supplies were scratched off the shopping list of 14% of bettors. Most alarmingly, 11% cut down spending on healthcare and medications. The same percentage of bettors did not pay utility bills.
SBVC is a leading Brazilian Retail and Consumer Association, with some major retailers being Amazon, Dia, and C&A.
Eduardo Terra, President of SBVC, commented on the study’s findings. He said that monitoring the growth of indirect competitors for the customer wallet share was necessary in a dynamically developing economy.
Several regulatory changes concerning sports betting have taken place in Brazil over the last few years. In December 2023, the Brazilian government passed Law No. 14,790, regulating fixed-odds betting. The legislation aimed to protect players and industry participants and to generate tax income. Licenses are issued by the Ministry of Finance at a cost of BR$ 30 million for five years. An additional measure required betting operators to establish corporate headquarters in Brazil by the end of 2024.
