Australian gambling companies crack down on profitable bettors, placing restrictions on those who exploit promotional offers to make consistent wins.
Amid mounting evidence revealed in a recent parliamentary inquiry, it has been discovered that bookmakers have been unfairly limiting successful gamblers while catering to risky and high-loss customers.
Betting companies are implementing restrictions to prevent groups of bettors from taking advantage of discounted promotions. This often involves bettors creating multiple accounts to manipulate specific markets.
Gambling companies are unlikely to stop or reduce their use of gambling inducive promotions, despite concerns. These promotions are viewed as crucial tools within the industry and are increasingly being utilized to keep gamblers who frequently lose money engaged.
The companies in question have openly acknowledged using these promotions as a strategy to counteract higher tax rates. By continually enticing gamblers who have a higher rate of losing money, they aim to compensate for the lost revenue caused by the new tax measures.
Overall, gambling companies are relying on these promotions to maintain their customer base and combat financial challenges imposed by increased taxation.
In 2021, Sportsbetting blocked promotions and limited betting amounts for one bettor. Betr, supported by News Corp, also restricted a bettor’s account from accessing specific promotions. Other smaller companies followed suit, imposing restrictions on bettors who were seen as exploiting promotions. Even the major operator Ladbrokes, owned by Entain, expressed that their promotional offers were intended for recreational gamblers only and they would disqualify those who took advantage of them. Ladbrokes clarified that while they do restrict certain accounts, they do not block winning bettors. Australia’s largest betting company, Sportsbet, also cited excessive use of promotions as a reason for imposing restrictions.
Industry leaders have made their position clear: promotions are essential for attracting bettors, but restrictions are necessary for long-term profitability and customer loyalty.