TransUnion, a global information technology company, has recently released its latest US betting online survey of a representative sample of 3,000 adults. Conducted between April 29 and May 08, 2024, in collaboration with Dynata, the survey included data from all states.
Generations, as defined in the research, include Gen Z (18–26 years old), Millennials, (27–42 years old), Gen X (43–58 years old), and Baby Boomers, (aged 59 and above). Of these, Millennials accounted for 57% of high-value online bettors, spending $500 or more per month. While this group features high income and good credit scores, chances are good it also has substantial expenses such as loans, bills, and child support, the report explains.
Declan Raines, Senior Director of Gaming at TransUnion commented on the survey findings in a press release: “As we’ve found in prior reports, the majority of betting consumers can afford this form of entertainment.” He explained that most bettors wagered amounts they could afford to lose, indicating healthy gaming behavior.
The survey sheds light on the differences in the financial well-being of online and land-based bettors, compared to non-bettors. The collected data points to the first two having financial advantage over non-bettors. In terms of their income over the past three months, 20% of online and 18% of in-person bettors reported an increase, compared to only 4% of non-bettors. Furthermore, 55% of online bettors and 58% of in-person bettors confirmed they had good or excellent credit scores, as opposed to 50% of non-bettors.
Despite their better financial situation, high-value online and land-based bettors were more likely to face economic hardships versus non-bettors. For example, 44% of online bettors and 43% of land-based bettors expected to face difficulties paying current bills or loans in full, as opposed to just 24% of non-bettors.
Similarly, 54% of online bettors and 45% of land-based bettors confirmed they had been contacted by a collection agency for past due bills or loans within the past 12 months, compared to 17% of non-bettors. Court-ordered child support payments caused financial distress for 14% of online bettors and 13% of in-person bettors. In contrast, just 1% of non-bettors were troubled by such financial issues over the past month.
TransUnion report suggested that “the volatility among bettors can manifest in poorer financial management relative to the non-betting population.”
US Gambling Operators Can Expect Enhanced Media and Regulatory Scrutiny
It is critical that sportsbook and casino operators single out their high-value and high-risk customers. They must “proactively identify high-risk players without introducing unnecessary friction to the majority of consumers who play within their means.” Furthermore, gambling operators should revise their approach to adapt to industry dynamics, as the consumer credit reporting agency explains.
As the US casino and sportsbook industry matures, operators can expect enhanced scrutiny from the media, with queries concerning the setbacks associated with gambling as well as more stringent regulatory control. Other gambling jurisdictions, such as the United Kingdom and Australia, have already demonstrated that.
The research further explained that US gambling regulatory agencies had been already busy assessing existing consumer protections and ways to improve them. Operators would be subjected to increased requirements to evaluate responsible gaming risk for their clients. To this end, additional data regarding consumer financial status would be instrumental.
