Online Sports Betting in Greece: An Empirical Investigation

Abstract

JEL Classification: C21, L83, L86 1. Introduction Undisputable the development of communication technologies (ICT) brought with it new forms of online commerce. The advent of digital technology coupled with the enormous potential applications of the web, caused substantial changes in the global gambling industry. gambling constitutes one of the most dynamic, promising and rapidly changing businesses around the world. Despite the large volume of studies and internet databases on gambling there is almost nothing known empirically about gambling and its problems in Greece (Griffiths, 2009). Internet gambling is a relatively under-researched area (Griffiths and Parke, 2010). In its first part, the present study, reports some numerical features of the e-gambling commerce internationally and describes its current situation and future trends. At the same time, it presents an overview of the online gaming sector in Greece, highlighting critical legislative shifts and upcoming trends, which will definitely alter the gambling scene in the country. In the second part, the study examines the relationship between the characteristics of the internet sports betting sites and the sports bettors in Greece. The findings of the study, may guide key stake holders, including entrepreneurs, policy makers, regulators, researchers, treatment providers, and industry groups, in forming an appropriate response to internet sports betting in Greece. Data concerning punters' attitudes towards online sports betting, made available through links (banners) on relevant sports betting websites and forums accessible by active sports bettors in Greece. A recent survey showed that internet gambling is still a relatively low prevalence phenomenon (Wardle et al., 2007), making it difficult for someone to present an accurate picture of the characteristics of internet gamblers and their health. Most papers dealing with the gambling issue attempt to establish the active sportsbettors profile and shed light on their motivations, preferences and characteristics in the online sports betting field. 2. E-gambling categories and future trends The European Commission (2012) used the following definition for online gambling services: Online gambling services are any service which involves wagering a stake with monetary value in games of chance, including lotteries and betting transactions that are provided at a distance, by electronic means and at the request of a recipient of services. Due to its embryonic development, there have, and continue to be, several terminologies used to define digitized commercial gambling e.g. remote gambling, e-gaming, e-gambling, internet gambling, online gambling, online gaming, interactive gambling and virtual gambling etc. All these terminologies are assessed as equivalent under the scope of this research. Desktop computers, laptops, net books, smart phones, tablets, internet capable mobile phones, interactive televisions, video game consoles are included in a an expanding list of devices that can support e-gambling commerce or interactive gambling (News agents Association, 2011). According to KPMG (2010), the online gaming market is composed of a number of different types of games, with its own business models and technology. They include: Sports Betting, Poker, Casino Games, Bingo and Lottery. Although online gaming now accounts for only a small share of the total worldwide market, it has proven to be one of the fastest growing sectors over the past several years (Christian Capital Advisors, 2006). By the end of 1996 it is estimated that about 15 online sites accepted wagers, increasing to over 200 by the end of 1997, 650 by the end of 1999 and 1,800 by the end of 2002 (Schwartz, 2006). H2 Gambling Capital (2012) put the size of the online gambling industry at about 24.6bn [euro] in 2011, while the EU gambling market represented the 45% of the world market share (European Commission, 2012). …