An Empirical Study of the Effect of Voluntary Limit-Setting on Gamblers’ Loyalty Using Behavioural Tracking Data

Abstract

AbstractOnline gambling has become increasingly popular over the past decade as has research using behavioural tracking (player account) data. To date, there is no study that has empirically investigated the effects of responsible gambling tools on loyalty. In the present study, the effect of voluntary limit-setting on player loyalty was evaluated over time using tracking data provided by an online gambling operator. More specifically, the authors were given access to an anonymised dataset of 175,818 players who had placed at least one bet or gambled at least once during January 2016 to May 2017 at the online gambling operator Kindred. The average age of the players was 31 years, and overall 18,484 of the players were female (10.5%). The dataset comprised a 20% random sample of the total player population of Kindred. In each of ten playing intensity groups, the percentage of active players in the first quarter of 2017 was higher in the group of players who had set voluntary money limits in the first quarter of 2016 compared to players that did not (suggesting players that set voluntary spending limits are more loyal compared to those who do not). The implications of these findings are discussed.