Problem Gambling and Gaming Machine Density: Socio-spatial Analysis of Three Victorian Localities

This paper examines the debate about possible relationships between problem gambling and accessibility to electronic gaming machines (EGMs), in the context of the Victorian Government's policy that imposed a ‘cap’ on EGMs in disadvantaged communities. Using GIS (Geographical Information Systems), the spatial distribution of social disadvantage in three ‘capped’ localities was compared with the spatial distribution of gaming venues and patterns of concentrated EGM expenditure during 2001–2005, including seasonal trends. Research revealed different relationships between spatial and social categories in the study localities, indicating the need for more systematic local area analysis. This research raises questions about the limitations of conventional methodologies and regulatory strategies based on simple measures such as gaming machine density. We propose improvements to the methodology to better measure the changing level of local supply and demand for machine gaming.     

Gambling Behaviour and the Prevalence of Gambling Problems in Adult EGM Gamblers when EGMs are Banned. A Natural Experiment

In this article, findings of a panel study among former EGM gamblers are discussed. The data were collected in two waves during 2007, and 1293 people, 18 years or older, participated. The background for the study was the Norwegian ban on EGMs from 1 July 2007, and the aim was to investigate how this ban affected gambling involvement and problem levels in the sample. The analysis shows that gambling participation, gambling frequencies and gambling problems were reduced after EGMs disappeared from the market. There was no indication of the development of an illegal EGM market, or of substitution of EGMs with other types of gambling. A reduction in other types of gambling is interpreted as an indication of synergetic effects between games. Reduced gambling participation among the most active EGM gamblers, and among risk gamblers, shows that the reductions in gambling availability had an effect even on highly involved gamblers.     

An Initial Investigation of Individual Rate-of-Play Preferences and Associations with EGM Gambling Behavior

Electronic gambling machines (EGMs) show a strong association with gambling problems. The high speed of gaming offered by modern EGMs allows playing numerous games in a short span of time, which is thought to contribute to attentional distraction, increased spending and prolonged play. However, the relationship between EGM speeds and potentially risk-related gambling behavior remains unclear. We introduce a novel approach to investigating the role of gaming speed in EGM gambling behavior by examining ‘individual rate-of-play’ (I-ROP) during simulated EGM gambling. A community sample of male regular gamblers (N = 72) played virtual slot machines in pairs offering sequentially adjusted game speeds towards the estimation of a behaviorally expressed preference speed, or I-ROP. This initial experiment aimed to explore the variability of I-ROPs during simulated EGM gambling, and examine behavior while playing EGMs at speeds relative to their I-ROP. Estimated I-ROPs ranged from less than one half second to over seven seconds and were negatively associated with cognitive ability, but not related to problem gambling severity, impulsiveness, or gambling-related cognitions. Subsequent gambling sessions on EGMs offering individually calibrated faster and slower gaming speeds were associated with greater and reduced risk-related gambling behaviors respectively. I-ROPs represent a potentially informative construct for exploring influences of gaming speed on gambling behavior, and may lend insight into potential risk-related behavior an individual vulnerability with respect to commercially available EGMs that warrants additional research.     

The evolving market structures of gambling: case studies modelling the socioeconomic assignment of gaming machines in Melbourne and Sydney,Australia

The expansion of gambling industries worldwide is intertwined with the growing government dependence on gambling revenue for fiscal assignments. In Australia, electronic gaming machines (EGMs) have dominated recent gambling industry growth. As EGMs have proliferated, growing recognition has emerged that EGM distribution closely reflects levels of socioeconomic disadvantage. More machines are located in less advantaged regions. This paper analyses time-series socioeconomic distributions of EGMs in Melbourne, Australia, an immature EGM market, and then compares the findings with the mature market in Sydney. Similar findings in both cities suggest that market assignment of EGMs transcends differences in historical and legislative environments. This indicates that similar underlying structures are evident in both markets. Modelling the spatial structures of gambling markets provides an opportunity to identify regions most at risk of gambling related problems. Subsequently, policies can be formulated which ensure fiscal revenue from gambling can be better targeted towards regions likely to be most afflicted by excessive gambling-related problems.     

Evaluating the Effectiveness of a Limited Reduction in Electronic Gaming Machine Availability on Perceived Gambling Behaviour and Objective Expenditure

In Australia, there is evidence to suggest that there is a positive association between the geographical accessibility of electronic gaming machines (EGMs) and the frequency and intensity of gambling in local areas. Evidence such as this has been used to introduce regulatory policies to reduce the geographical accessibility of EGMs through the reduction of gaming machine numbers in venues. The aim of this paper was to describe the process involved in the 15 per cent reduction in gaming machine numbers in the state of South Australia and the apparent effects on gaming revenue and gambling behaviours. Detailed analysis of objective EGM data as well as survey-based interviews with 400 regular EGM players provided only limited evidence of behavioural changes or significant reductions in gaming revenue. The paper describes the nature of industry responses to circumvent the effects of the reduction in machine numbers and the implications of these findings for future regulatory policies relating to EGM gambling.     

The Impact of Jackpots on EGM Gambling Behavior: A Review

This paper reviews literature on how jackpots influence Electronic Gaming Machine (EGM) gambling behaviour. Most of the available evidence addresses the motivational effect of the mere presence of EGM jackpots on play, as actual wins are relatively rare for individual gamblers. The review identifies a distinction between rational, biased and irrational motivations that attract people to EGM jackpots. The evidence suggests that EGM jackpots should generate additional consumption on EGMs above machines that do not have such lottery-like features. Rational motivations are likely to lead to consumer surplus, whereas biased and irrational motivations are likely to contribute to excessive consumption. Moreover, there is evidence that excessive gambling consumption is strongly associated with gambling-related harm. Future research should identify how the structural features of different types of jackpots; such as progressive, deterministic, hidden, mystery, linked and wide-area jackpots; may differentially appeal to rational, biased and irrational gambling motivations. Jackpots are common feature of EGM games, and therefore it is important to have a better understanding of how jackpot features influence play on the machines.     

Electronic Gaming Machine Gambling: Measuring Motivation

Electronic gambling machines (EGMs) are known to be a particularly risky form of gambling (Petry. Addiction 98(5):645–655, 2003). It is vital that researchers and clinicians are aware of factors which could lead to people having problems with this form. Gambling motivation is one such factor. This study developed a measure of EGM gambling motivations based on the results of qualitative research conducted with EGM problem gamblers and experienced counsellors (Thomas et al. Int J Mental Health Addiction 7:97–107, 2009). A community based sample of 232 females (M = 29.60 years of age, SD = 15.41 years) and 123 males (M = 29.64 years of age, SD = 12.29 years) participated. Exploratory factor analysis extracted three motivational factors indicating people gambled on EGMs to escape, for its accessibility and for the social environment. Gambling to escape and for its accessibility had substantial positive correlations with frequency of EGM gambling and gambling problems. Social environment correlated less well with these indicators of excessive gambling. Correlations between factors suggested the accessible, social experience offered by EGM venues increases their appeal as a means of escape. The new subscales were internally consistent and demonstrated good evidence of validity. This new measure will facilitate future investigations into the relationships between gambling motivations, other aetiological factors and EGM problem gambling.     

Problem Gambling and the Circumstances Facing Older People

Local gambling venues are an important contemporary context for older people's gambling in many parts of the world typically being more accessible to this segment of the population than traditional, centralised gambling venues, such as casinos. This study, undertaken in South East Queensland, analyses older people's electronic gaming machine (EGM) behaviour and motivations, specifically in the context of licensed social and recreational clubs-a popular local gambling venue in many parts of Australia. The study gathered data via a postal survey of 80 managers of licensed clubs, interviews with Gambling Help services and a survey of 414 people aged 60+ who regularly play EGMs, self-administered on site at local clubs. The analysis undertaken suggests that certain age-related circumstances of older people-such as being without a partner, having a disability that impacts on everyday activities, having a low annual income, and no longer participating in the workforce-are associated with higher overall levels of motivation for playing EGMs and greater reliance on EGMs to meet social, recreational and mental health needs. Over a quarter of the older people surveyed (27%) reported drawing on their savings to fund their EGM gambling. Certain categories of older people, including those who were without a partner and those with a disability, were more likely to report drawing on their savings to fund EGM play and betting more than they could afford to lose, pointing to age-related vulnerabilities older people may experience to the negative impacts of gambling given the greater likelihood of their dependency on smaller, fixed incomes. The explanatory contribution of a range of demographic and motivational variables on problem/moderate risk gambling status was computed via a logistic regression model. Younger age (60-69), male gender, single marital status and being motivated to play EGMs to experience excitement and to win money all emerged as significant predictors in the model.     

Determining optimal placement for pop-up messages: evaluation of a live trial of dynamic warning messages for electronic gaming machines

Dynamic warning messages are a harm minimization strategy aimed at preventing or reducing gambling-related problems by assisting individuals to make informed choices about their gambling. Laboratory studies have demonstrated the efficacy of dynamic warnings in facilitating responsible gambling. This article presents the results of a trial of the related effectiveness of dynamic warnings appearing either in the middle or on the periphery of electronic gaming machines (EGMs) screens in commercial gambling venues. Regular gamblers (n = 667) were surveyed to assess their recall of warning messages and the perceived impact of message placement on thoughts and behaviours. Messages appearing in the middle of screens were recalled to a greater extent, and respondents reported that these were more impactful and useful than messages on the periphery of screens. As one of the first trials of dynamic warning messages in operating EGM venues, the results provide important verification and validation of previous laboratory research. Results demonstrate that dynamic warning messages appearing in the middle of an EGM screen during play are likely to be a more effective harm minimization intervention than messages on the periphery of EGM screens.     

An empirical analysis of the use of the Herfindahl-Hirschman Index in assessing the distribution of electronic gaming machines and its socio-economic implications

Sargent and Holmes (2014) proposed the use of the Herfindahl-Hirschman Index in assessing the effects of the distribution of electronic gaming machines (EGMs) on expenditure and tax outcomes for local areas. This paper reports empirical analysis on the use of the Herfindahl Hirschman Index (HHI) in this application. Comparative testing of HHI and population-based measures, such as EGM density, was conducted using EGM data from the New South Wales State Government (Australia) for the period 1995 to 2005. The analysis also compares the use of the commonly used Australian Bureau of Statistics’ (ABS) Socio-Economic Indexes for Areas (SEIFA) Index of Relative Socio-Economic Disadvantage, with the Index of Education and Occupation. The socio-economic elements comprising the latter index are acknowledged as being relevant to the assessment of gambling impacts. The results indicate that the use of a concentration measure such as the HHI may augment the use of existing measures in policy development and localized decision-making on distribution of gambling facilities.     

Hierarchy of Gambling Choices: A Framework for Examining EGM Gambling Environment Preferences

This paper presents the Hierarchy of Gambling Choices (HGC), which is a consumer-oriented framework for understanding the key environmental and contextual features that influence peoples’ selections of online and venue-based electronic gaming machines (EGMs). The HGC framework proposes that EGM gamblers make choices in selection of EGM gambling experiences utilising Tversky’s (Psychol Rev 79(4):281–299, 1972). Elimination-by-Aspects model, and organise their choice in a hierarchical manner by virtue of EGMs being an “experience good” (Nelson in J Polit Econ 78(2):311–329, 1970). EGM features are divided into three levels: the platform—including, online, mobile or land-based; the provider or specific venue in which the gambling occurs; and the game or machine characteristics, such as graphical themes and bonus features. This framework will contribute to the gambling field by providing a manner in which to systematically explore the environment surrounding EGM gambling and how it affects behaviour.     

Electronic Gaming Machine (EGM) Environments: Market Segments and Risk

This study used a marketing-research paradigm to explore gamblers’ attraction to EGMs based on different elements of the environment. A select set of environmental features was sourced from a prior study (Thorne et al. in J Gambl Issues 2016b), and a discrete choice experiment was conducted through an online survey. Using the same dataset first described by Rockloff et al. (EGM Environments that contribute to excess consumption and harm, 2015), a sample of 245 EGM gamblers were sourced from clubs in Victoria, Australia, and 7516 gamblers from an Australian national online survey-panel. Participants’ choices amongst sets of hypothetical gambling environments allowed for an estimation of the implied individual-level utilities for each feature (e.g., general sounds, location, etc.). K-means clustering on these utilities identified four unique market segments for EGM gambling, representing four different types of consumers. The segments were named according to their dominant features: Social, Value, High Roller and Internet. We found that the environments orientated towards the Social and Value segments were most conducive to attracting players with relatively few gambling problems, while the High Roller and Internet-focused environments had greater appeal for players with problems and vulnerabilities. This study has generated new insights into the kinds of gambling environments that are most consistent with safe play.     

Mapping the proportional distribution of gambling-related harms in a clinical and community sample

Excessive gambling results in a range of diverse harms experienced by individuals and their family members. However, little consideration has been given to specifically assessing such harms. Despite recent attempts to comprehensively ‘list’ and describe the ‘wide net’ of specific harms, what remains particularly unclear is the best way to measure the presence of harm and quantify its relationship to gambling. This article proposes a two-step method for quantifying gambling-related harm. From the literature, 104 questions assessing 48 items of harm were categorized into seven domains. Items were administered to 391 clinical and 151 community gamblers. Results suggest that while high-impact harms such as suicide and divorce are commonly associated with problem gambling, the reported frequency is low. Most gamblers sustain low-impact harms such as reduced savings and worry. This study presents the evaluation of specific gambling-related harms distributed in a clinical and community sample taking into account severity and its relationship to gambling behaviours. It is concluded that gambling-related harms negatively impact on quality of life with a minority suffering more severe harms. It is argued that the proposed two-step methodology provides a basis for developing a psychometrically valid measure of gambling-related harm.     

Too close to home? The relationships between residential distance to venue and gambling outcomes

Although gambling accessibility is generally viewed as a multidimensional construct, few studies have successfully untangled the specific role of spatial accessibility in determining gambling outcomes relative to other forms (i.e. temporal, social and psychological). In this paper, we explore the association between gambling outcomes and the distance travelled from a person's home to their most-frequented gambling venue. To this end, we conducted a geocoded mail survey of 7044 households in the Northern Territory of Australia. We employed a geographic information system to calculate the network distance from each household to all visited electronic gaming machine (EGM) venues (n = 64). Multivariate regression modelling revealed that, when adjusted for individual and neighbourhood-level characteristics, frequency of venue visitation and gambling participation were inversely related to residential distance from venue. There was no additional distance effect for problem gambling. Spatial accessibility of EGMs is an important determinant of gambling risk and should be explicitly considered by regulators.     

Access or adaptation? A meta-analysis of surveys of problem gambling prevalence in Australia and New Zealand with respect to concentration of electronic gaming machines

It is widely believed that greater availability of electronic gaming machines (EGMs) has led to increases in problem gambling prevalence and related harms. It has also been proposed that individuals and populations adapt to exposure over time and that prevalence rates plateau or decline, even in the face of increasing availability. This study examines both hypotheses using a combined data set of 34 problem gambling surveys conducted in Australia and New Zealand since 1991. Strong statistically meaningful relationships were found for an increase in prevalence with increasing per capita density of EGMs, consistent with the access hypothesis and supported by no evidence of plateauing of prevalence with increasing density of EGMs. A decrease in prevalence over time with availability held constant is also evident, partially consistent with adaptation. It is likely that both forces are at work simultaneously, with implications for appropriate policy responses to gambling harm minimisation.     

Analysis of EGM licensing decisions by the gambling regulator,Victoria, Australia

Gambling expansion is commonly justified in public discourse by claims of community benefit, increased employment and capital investment. Compared to other jurisdictions, the Electronic Gambling Machine (EGM) license process in Victoria, Australia, is relatively transparent and amenable to analysis. This article describes research that assessed factors relevant to EGM license decisions made by Victoria’s gambling regulator between 2007 and 2014. During the period under review, the regulator granted 144 of 154 applications, finding that approving these applications would not be detrimental to relevant communities. Most commonly cited factors supporting approvals were commitments to undertake capital works, contribute to community purposes and increase employment. The regulator overwhelmingly agreed that supportive factors would balance harms, such as problem gambling, high levels of expenditure or socio-economic disadvantage. This research demonstrates the difficulty of balancing apparently quantifiable benefits against less readily measurable gambling-related harms in regulatory decision-making. The study found that harms were poorly conceived and understood inadequately and supportive factors frequently overstated. This process may lead to unnecessarily high levels of community harm, contradicting the purposes of the relevant legislation. The article suggests that better, more consistently applied principles are required to ensure the more rigorous scrutiny of supportive factors and improved understanding of gambling harms.     

The Effects of Pop-up Harm Minimisation Messages on Electronic Gaming Machine Gambling Behaviour in New Zealand

In New Zealand a simple pop-up message feature that provides gambling session information and forces a break in play is mandatory on all electronic gaming machines in all venues (EGMs). Previous research has demonstrated small effects of more sophisticated pop-up messages tested predominantly in laboratory environments. The present research examined gambler engagement with and views on the New Zealand pop-up messages and on the relationship between pop-up messages and EGM expenditure. A sample of gamblers was recruited at casino and non-casino (pub) EGM venues. Most participants were aware of pop-up messages (57 %) and many saw them often (38 %). Among gamblers who reported seeing pop-up messages, half read the message content, and a quarter believed that pop-up messages helped them control the amount of money they spend on gambling. Participants who reported being likely to stop gambling in response to pop-up messages spent significantly less money on gambling when variables that were independently associated with EGM expenditure were controlled for. A modest harm minimisation effect of the pop-up message feature that has been operating in New Zealand for 5 years was evident. Suggestions for improvement of the harm minimisation potential of the current pop-up message feature are discussed.     

A definition and set of principles for responsible consumption of gambling

Responsible consumption of gambling (RCG) is now a major paradigm driving industry, government and public health measures that aim to prevent or minimize gambling-related harm. This is reflected in the pervasive message to ‘gamble responsibly’. However, few attempts have been made to define the concept or identify its foundation principles, resulting in substantial ambiguity over what RCG means and its essential characteristics. This study addresses this void by synthesizing findings from a systematic literature review, website analysis and online survey of 107 experts – to develop a set of underlying principles and a definition of RCG. These tasks were facilitated by the reasonably consistent principles found to underpin RCG in the three data sources, despite wide variations in how the construct has previously been defined. Thus, the set of principles of RCG developed in this study (affordability, balance, informed choice, control, enjoyment, harm-free) should attract wide acceptance, as should the definition given that it combines and summarizes these principles. Adopting a consistent definition and set of RCG principles will provide a basis for developing consistent guidelines for consumers, offer direction for public health efforts for gambling harm minimization, and inform government policies and industry measures aiming to support safe gambling.     

Gambling Revenues as a Public Administration Issue: Electronic Gaming Machines in Victoria

Gambling activities and the revenues derived have been seen as a way to increase economic development in deprived areas. There are also, however, concerns about the effects of gambling in general and electronic gaming machines (EGMs) in particular, on the resources available to the localities in which they are situated. This paper focuses on the factors that determine the extent and spending of community benefit-related EGM-generated resources within Victoria, Australia, focusing in particular on the relationships between EGM activity and socio-economic and social capital indicators, and how this relates to the community benefit resources generated by gaming.