Technical Report Exploring Social Gambling: Scoping, Classification and Evidence Review Commissioned by: Gambling Commission Exploring Social Gambling: Scoping, Classification and Evidence Review Final Report April 2012 Commissioned by: Gambling Commission Dr. Jonathan Parke The Gambling Lab Heather Wardle University of Glasgow Jane Rigbye The Gambling Lab Dr. Adrian Parke University of Lincoln 2 Contents List of Tables and Figures ................................................................................................... 6 Executive Summary ............................................................................................................ 7 Aims and Scope .............................................................................................................. 7 Introduction ..................................................................................................................... 7 Social Gambling Classification......................................................................................... 7 Distinctive Game Characteristics ..................................................................................... 8 Social Characteristics: Implications for Risk ..................................................................... 8 Freemium: Implications for Risk....................................................................................... 9 Other Potential Risk Factors .......................................................................................... 11 Current and Planned Research ..................................................................................... 11 Data Analysis ................................................................................................................ 11 Social Gaming, Social Gambling – A Question of Perspective........................................ 12 Conclusions .................................................................................................................. 12 Future Research ........................................................................................................... 13 Background to the Report ................................................................................................. 14 Terms and Definitions ....................................................................................................... 15 Introduction ....................................................................................................................... 17 Social Gaming Genres .................................................................................................. 19 Social Gambling ............................................................................................................ 19 Social Gambling Classification .......................................................................................... 21 Online Gambling ........................................................................................................... 24 SNS Real Money Gambling ........................................................................................... 24 App Real Money Gambling ............................................................................................ 24 Online Social Gambling ................................................................................................. 24 Console Based Gambling .............................................................................................. 26 Virtual World Gambling ................................................................................................. 26 SNS Freemium Gambling .............................................................................................. 26 App Freemium Gambling............................................................................................... 27 SNS Gaming ................................................................................................................. 27 Summary ...................................................................................................................... 27 Distinctive Game Characteristics ....................................................................................... 28 Social Characteristics .................................................................................................... 28 ‘Like’ Game ............................................................................................................... 28 Invite friends .............................................................................................................. 28 Ask............................................................................................................................ 29 Mini games ................................................................................................................ 29 3 Community ................................................................................................................ 29 Challenge/tournament ............................................................................................... 29 Chat .......................................................................................................................... 30 Link to Social Network ............................................................................................... 30 Evolving Payment Characteristics: Freemium ................................................................ 31 Risk and Protective Factors............................................................................................... 32 Social Facilitation and Inhibition of Gambling Initiation, Persistence and Intensity ....... 32 Social Rewards as Added Benefit .............................................................................. 33 Social Rewards Attenuating the Gambling Function ................................................... 34 Shaping Positive Attitudes to Gambling ..................................................................... 35 Increased Exposure to Gambling-Related Media ....................................................... 35 Gambling Communities and Collaborative Mind-sets ................................................. 37 Social Marketing for Responsible Gambling within Social Networking Sites ................ 37 Freemium: Implications for Risk..................................................................................... 38 Judgement and Value in the Virtual Economy ............................................................ 38 Freemium and Payback Percentage .......................................................................... 39 Freemium and Chasing Behaviour ............................................................................. 40 How real is ‘Virtual’? .................................................................................................. 40 Freemium Gambling as a Mechanism to Inhibit Problem Gambling ............................ 41 Limited Regulation of Freemium and Virtual World Gambling for Adolescents ............ 42 Early Onset of Gambling Behaviour as a Risk Factor for Gambling-Related Harm ...... 43 Other Potential Risk Factors .......................................................................................... 44 Convergence of Gambling and Gaming ..................................................................... 44 Advertising and Age Verification ................................................................................ 45 Current and Planned Research ......................................................................................... 47 Other Findings .................................................................................................................. 48 Problem Gambling Clinicians Survey ............................................................................. 48 Evidence from the NLC Youth Tracking Survey 2012 ..................................................... 48 Social Gaming, Social Gambling – A Question of Perspective ........................................... 51 Identities, Networks and Platform – Some Considerations ............................................. 55 Conclusions ...................................................................................................................... 57 Future Research ............................................................................................................... 60 Transitions ................................................................................................................ 60 Integration ................................................................................................................. 60 Conceptualisation ...................................................................................................... 61 Research recommendations .......................................................................................... 61 Youth ........................................................................................................................ 61 Adults ........................................................................................................................ 61 4 General ..................................................................................................................... 62 References ....................................................................................................................... 63 Appendix A: Problem Gambling Clinicians Survey Results................................................