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Study: There’s real skill in fantasy sports

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If you’ve ever taken part in the armchair sport of fantasy football and found yourself at the top of your league’s standings at the end of the season, a new MIT study suggests your performance — however far removed from any actual playing field — was likely based on skill rather than luck.

Those looking for ways to improve their fantasy game will have to look elsewhere: The study doesn’t identify any specific qualities that make one fantasy player more skilled over another. Instead, the researchers found, based on the win/loss records of thousands of fantasy players over multiple seasons, that the game of fantasy football is inherently a contest that rewards skill. 

“Some [fantasy] players may know more about statistics, rules of the game, which players are injured, effects of weather, and a host of other factors that make them better at picking players — that’s the skill in fantasy sports,” says Anette “Peko” Hosoi, associate dean of engineering at MIT. “We ask, does that skill have an impact on the outcome of the [fantasy] game? In our analysis, the signal for skill in the data is very clear.”

Other fantasy sports such as baseball, basketball, and hockey also appear to be games of skill — considerably more so than activities based on pure chance, such as coin-flipping. What ultimately do these results mean for the average fantasy player?

“They probably can’t use our study to assemble better sports teams,” says Hosoi, who is also the Neil and Jane Pappalardo Professor of Mechanical Engineering. “But they can use it to talk better smack when they’re at the top of their standings.”

The team’s findings appear this week in the Society for Industrial and Applied Mathematics Review . Hosoi’s co-authors are first author Daniel Getty, a graduate student in MIT’s Department of Aeronautics and Astronautics; graduate student Hao Li; former graduate student Charles Gao; and Masayuki Yano of the University of Toronto.

A fantasy gamble

Hosoi and her colleagues began looking into the roles of skill and chance in fantasy sports several years ago, when they were approached by FanDuel, the second largest company in the daily fantasy sports industry. FanDuel provides online platforms for more than 6 million registered users, who use the site to create and manage fantasy teams — virtual teams made up of real players of professional sports, which fantasy players can pick and draft to their fantasy team. Players can pit their team against other virtual teams, and whether a team wins or loses depends on how the real players perform in actual games in a given day or week.

In recent years, the question has arisen as to whether fantasy sports are a potential form of online gambling. Under a federal law known as the Unlawful Internet Gambling Enforcement Act, or UIGEA, online players of games such as poker are prohibited from transmitting across state lines funds won through gambling activities using the internet. The law exempts fantasy sports, stating that the game is not a form of betting or wagering.

However, the UIGEA was not drafted to alter the legality of internet wagering, which is, for the most part, determined by individual states. As fantasy sports — and fantasy football in particular — have grown more popular, with prominent ads on commercial and cable television, a handful of states have questioned the legality of fantasy sports and the companies that enable them.

Gambling, of course, is defined as any money-exchanging activity that depends mostly on chance. Fantasy sports would not be considered a form of gambling if it were proven to be more of a contest of skill.

“That is the question that FanDuel wanted us to investigate: Have they designed the contest such that skill is rewarded? If so, then these contests should be classified as games of skill, and are not gambling,” Hosoi says. “They gave us all of their data, and asked whether we could determine the relative role of skill and luck in the outcomes.”

Tests of skill and chance

The team analyzed daily fantasy competitions played on FanDuel during the 2013 and 2014 seasons, in baseball, basketball, hockey, and football. In their analysis, the researchers followed guidelines laid out originally by economist and “Freakonomics” author Steven Levitt, along with Thomas Miles and Andrew Rosenfield. In a research paper they wrote in 2012, the economists sought to determine whether a game — in this case, poker — was based more on skill than on chance.

They reasoned that if a game were more skill-based, then a player’s performance should be persistent. It might be good or bad, but it would remain relatively constant over multiple rounds.

To test this in the context of fantasy sports, Hosoi’s team looked at the win/loss record of every fantasy player in FanDuel’s dataset, over one season. For each (anonymized) player, the researchers calculated the fraction of wins the player experienced over the first half of the season versus the second half. They then represented each player’s performance over an entire season as a single dot on a graph whose vertical and horizontal axes represented the win fraction for the first and second halves of the season, respectively.

If a given fantasy sport were based more on skill, then a individual player’s win fraction should be approximately the same — be it 90 percent or 10 percent — for the first and second halves of the season. When every player’s performance is plotted on the same graph, it should roughly resemble a line, indicating a prevalence of skill. On the other hand, if the game were one of chance, every player should have around a 50 percent win fraction, which on the graph would look more like a circular cloud.

For every fantasy sport, the researchers found the graph skewed more linear versus circular, indicating games of skill rather than chance.

The researchers tested a second hypothesis proposed by Levitt: If a game is based on chance, then every player should have the same expected outcome, just as flipping a coin has the same probability for landing heads versus tails. To test this idea, the team split the fantasy player population into two groups: those that played a large number of games, versus those who only participated in a few.

“Even when you correct for biases, like people who quit after losing a lot of games in a row, you find there’s a statistically higher win fraction for people who play a lot versus a little, regardless of the [type of] fantasy sport, which is indicative of skill,” Hosoi says.

The last test, again proposed by Levitt, was to see whether a player’s actions had any impact on the game’s outcome. If the answer is yes, then the game must be one of skill.

“So we looked at how the actual playing population on FanDuel performed, versus a random algorithm,” Hosoi says.

The researchers devised an algorithm that created randomly generated fantasy teams from the same pool of players that were available to the FanDuel users. The algorithm was designed to follow the rules of the game and to be relatively smart in how it generated each team.

“We ran hundreds of thousands of games, and looked at the scores of actual fantasy players, versus scores of computer-generated fantasy players,” Hosoi says. “And you see again that the fantasy players beat the computer-generated ones, indicating that there must be some skill involved.”

Sports on a spectrum

To put their findings in perspective, the researchers plotted the results of each fantasy sport on a spectrum of luck versus skill. Along this spectrum, they also included each fantasy sport’s real counterpart, along with other activities, such as coin flipping, based entirely on chance, and cyclocross racing, which hinges almost entirely on skill.

For the most part, success while playing both fantasy sports and real sports skewed more toward skill, with baseball and basketball, both real and virtual, being more skill-based compared to hockey and football.

Hosoi reasons that skill may play a relatively large role in basketball because the sport encompasses more than 80 games in a season.

“That’s a lot of games, and there are a lot of scoring opportunities in each game,” Hosoi says. “If you get a lucky basket, it doesn’t matter too much. Whereas in hockey, there are so few scoring opportunities that if you get a lucky goal it makes a difference, and luck can play a much larger role.”

Hosoi says the team’s results will ultimately be useful in characterizing fantasy sports, both in and out of the legal system.

“This is one piece of evidence [courts] have to weigh,” Hosoi says. “What I can give them is a quantitative analysis of where [fantasy sports] sit on the skill/luck spectrum. It’s mostly skill, but there’s always a little bit of luck.”

This research was supported, in part, by FanDuel.

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Emerging from the shadows: The evolving legal treatment of fantasy sports in India

• Published: 01 July 2021
• Volume 21 , pages 188–202, ( 2021 )

Cite this article

• Nandan Kamath   ORCID: orcid.org/0000-0001-7656-7423 1 ,
• Abhinav Shrivastava 1 &
• R. Seshank Shekar 1  

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With India emerging as one of the largest fantasy sports markets in the world, this article examines the legal environment that the sector has had to navigate along the way. It proceeds to describe the decisions and developments that have brought both clarity and new challenges to the industry.

The article also examines the regulatory prospects for the industry. These include a variety of new laws introduced by various State governments, continuing judicial scrutiny and the industry’s own initiatives to self-regulate.

With fantasy sports and paid games of skill having moved from the fringes to the mainstream of the Indian technology sector, this article takes the reader through the historical and emerging legal landscape that governs them. While showing how the industry has been shaped by law and regulation, it lays out the path ahead and suggests measures that can enable healthy innovation and provide the industry with an identity of its own.

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Maureen A. Weston

Chandran S., Has fantasy sports league got the direction right in India?, Mint, 16 June 2018 https://www.livemint.com/Sports/99Re8xEgpHHCDNDAn75ZLN/Has-fantasy-sports-league-got-the-direction-right-in-India.html . Accessed 14 May 2021.

James N., Dream11 is a proud homegrown brand, says Harsh Jain, The Hindu, 19 August 2020 https://www.thehindubusinessline.com/news/sports/dream11-is-a-proud-homegrown-brand-says-harish-jain/article32396741.ece . Accessed 14 May 2021.

Lavalette T., The Billion-Dollar Indian Premier League Has Americanized Cricket, 14 April 2019 https://www.forbes.com/sites/tristanlavalette/2019/04/14/the-billion-dollar-indian-premier-league-has-americanized-cricket/?sh=78ad5da0702d . Accessed 14 May 2021.

Kola V., “We want to make sports more personal than it already is” — Harsh Jain, The Perch, 26 September 2018 https://blog.kstart.in/we-want-to-make-sports-more-personal-than-it-already-is-harsh-jain-75758c64374f . Accessed 14 May 2021.

KPMG ( 2019 ), pp. 2.

Federation of Indian Fantasy Sports ( 2020 ) , pp. 6.

Ibid. , pp. 7.

Ibid. , pp. 50.

Parkin B. and Findlay S., India’s fantasy sports start-ups bat for glory during new cricket season, Financial Times, 26 September 2020 https://www.ft.com/content/f210393b-46b2-4449-b7c6-212d0d1e8b83 . Accessed 14 May 2021.

FIFS ( 2020 ) , pp. 16.

The Constitution of India, Schedule VII.

Ibid., Schedule VII, List II (State List), Entries 33-34.

Unlawful Internet Gambling Enforcement Act of 2006, 31 U.S.C. §5362(E)(ix)(I)-(III).

Ibid., Article 13.

The Public Gambling Act of 1867, s. 4.

The Public Gambling Act of 1867, s. 3

The Public Gambling Act of 1867, s. 1.

The Public Gambling Act of 1867, s. 12.

Benegal V. ( 2013 ), Gambling Experiences, Problems and Policy in India: A Historical Analysis, Addiction, Vol. 108, December 2013, pp. 2062–2067.

Bimalendu De v. Union of India, AIR 2001 Cal 30.

State of Andhra Pradesh v. K Satyanarayana, 1968 AIR 825, para 15; Dr. K.R. Lakshmanan v. State of Tamil Nadu and Anr., 1996 AIR 1153, paras 19-20.

Morrow v. State, 511 P.2d 127 (1973).

R.M.D. Chamarbaugwalla v. The Union of India, 1957 AIR 628.

Prize Competition Act, 1955, s. 2(d).

R.M.D. Chamarbaugwalla v. The Union of India, 1957 AIR 628, para 23.

Ibid., para 5.

State of Andhra Pradesh v. K. Satyanarayana, 1968 AIR 825.

Ibid., para 12.

Dr. K.R. Lakshmanan v. State of Tamil Nadu and Anr., 1996 AIR 1153.

Ibid., para 51.

Ibid., paras 22-26.

Ibid., paras 21-26.

State of Andhra Pradesh v. K. Satyanarayana, 1968 AIR 825, para 11.

Bombay Prevention of Gambling Act, 1887, s. 13—Nothing in this Act shall be held to apply to any game of mere skill wherever played.

Bengal Public Gaming Act, 1867, s. 11-A—Nothing in this Act shall apply to any game of mere skill wherever played.

Public Gambling Act, 1867 as amended by United Provinces Act X of 1938, s. 13A.

Rajasthan Public Gambling Ordinance 1949.

Karnataka Police Act, 1963, s. 176.

Ibid., s. 2. (7).

Ashoka Marketing Ltd v. Punjab National Bank, (1990) 4 SCC 406.

Collins P. ( 2003 ), pp. 18.

The Sports Law & Policy Centre ( 2018 ), pp. 6.

Indian Poker Association & Ors. v. State of Karnataka, Writ Petition Nos. 39167 to 39169 of 2013, Judgement dated 8 October 2013.

Ibid., para 6.

The Odisha Prevention of Gambling Act, 1955, s. 4.

Ibid., s. 5.

Ibid., s. 6.

Ibid., s. 3.

Chanchani M., “The rise & rise of Dream11 and fantasy sports gaming in India”, The Times of India, 24 March 2019 http://timesofindia.indiatimes.com/articleshow/68543816.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst . Accessed 14 May 2021.

Shri Varun Gumber v. Union Territory of Chandigarh and others, CWP No.7559 of 2017, Judgement dated 18 April 2017.

Ibid., paras 6-8.

Ibid., para 7.

Ibid., para 8.

Ibid., para 29.

The Constitution of India Article 136 (1) provides that the Supreme Court may, in its discretion, grant special leave to appeal from any judgement, decree, determination, sentence or order in any cause or matter passed or made by any court or tribunal in the territory of India.

Shri Varun Gumber v. Union Territory of Chandigarh and Ors., Supreme Court Order dated September 15, 2017, Supreme Court of India, Record of Proceedings, Diary No. 27511 of 2017.

Gurdeep Singh Sachar v. Union of India & Ors., Crim. PIL 22 of 2019, Order dated 30 April 2019.

Ibid., para 17.

Shri Varun Gumber v. Union of India, SLP (Cr.) No. 35191/2019, Order dated 4 October 2019; Gurdeep Singh Sachar v. Union of India, SLP (Cr.) No. 43346/2019, Order dated 13 December 2019.

Gurdeep Singh Sachar v. Union of India, SLP (Cr.) No. 43346/2019, Order dated 13 December 2019.

Union of India v Dream11 Fantasy Pvt. Ltd., Miscellaneous Application No. 11445/2019, Order dated 31 January 2020.

The State of Maharashtra and Ors. v. Gurdeep Singh Sachar and Ors., SLP (Cr.) No. 42282/2019, Order dated 6 March 2020.

Chandresh Sankhla v. State of Rajasthan and Ors., CWP No. 6653/2019, Judgement dated 14 February 2020.

Ibid., para 15.

Sayta J., “Online Gaming Industry In Doldrums, How Central Government Can Make A Big Difference” Outlook Magazine, 17 February 2021, https://www.outlookindia.com/blog/story/sports-news-online-gaming-industry-in-doldrums-how-central-government-can-make-a/4241 Accessed 14 May 2021.

The Sikkim Online Gaming (Regulation) Act, 2008, s. 3(2).

Ibid., s. 2(d).

Ibid., s. 3(2).

Law Commission of India ( 2018 ), Report No. 276, pp.65.

Nagaland Prohibition of Gambling and Promotion and Regulation of Online Games of Skill Act, 2016, s. 2(3).

Ibid., Schedule A.

Meghalaya Regulation of Gaming Act, 2021, s. 2(k).

Ibid., s. 3(1).

Meghalaya Regulation of Gaming Act, 2021, s. 10(4).

Statement of Object and Reasons, Telangana Gaming Amendment Act, 2017, Telangana Gazette Notification dated November 7, 2017.

Law Commission of India ( 2018 ), Report No. 276, pp.69.

Dhyani K., “IPL 2020:Mobile handsets category takes backseat, gaming companies likely to be the hottest advertising category for IPL 2020”, https://www.insidesport.co/ipl-2020-mobile-handsets-category-takes-backseat-gaming-companies-likely-to-be-the-hottest-advertising-category-for-ipl-2020/ . Accessed 19 May 2021.

D. Siluvai Venance v. State, Crl OP (MD) No. 6568 of 2020.

State of Uttar Pradesh and others v. Mahindra and Mahindra Limited, (2011) 13 SCC 77; Census Commissioner and others v. R. Krishnamurthy (2015) 2 SCC 796.

Avinash Mehrotra v. Union of India and Ors., CWP No. 5661/2019.

Amit M. Nair v. State of Gujarat, CWP No. 146/2020.

Sharada D. R. v. State of Karnataka, CWP No. 13714/2020.

Chandresh Sankhla v. State of Rajasthan and Ors., CWP No. 6653/2019.

All India Gaming Federation, Skill Games Charter, http://aigf.in/skillgamescharter/ ; Federation of Indian Fantasy Sports, Charter for Online Fantasy Sports Platforms, https://fifs.in/charter/ . Accessed 14 May 2021.

Ravindra Singh Chaudhary v. Union of India and Ors., D.B CWP No. 20779/2019.

Ibid. para 25.

Advertising Standards Council of India, Guidelines for Online Gaming, https://ascionline.in/images/pdf/press-release-gaming-guidelines.pdf . Accessed 14 May 2021.

Advisory on Advertisements on Online Gaming, Fantasy Sports, etc., 4 December 2020, https://mib.gov.in/sites/default/files/Advisory.pdf Accessed 14 May 2021.

NITI Aayog, Guiding Principles for the Uniform National-Level Regulation of Online Fantasy Sports Platforms in India, https://niti.gov.in/sites/default/files/2020-12/FantasySports_DraftForComments.pdf . Accessed May 19, 2021.

Ibid., p. 1.

Ibid., pp. 5-6.

Ibid., p. 6.

Ibid., Annexure 1.

D. Krishna Kumar v. State of A.P, 2002 (5) ALT 806.

The Director, Inspector General of Police v. Mahalakshmi Cultural Association, (2012) 3 Mad LJ 561.

Ibid., para 21. Note: The order and observations made in this case were subsequently dismissed by the Supreme Court due to the withdrawal of the petition on account of a material factual error. See Mahalakshmi Cultural Association v. Director Inspector General of Police, SLP No. 15371/2012, Judgement dated August 18, 2015.

Ramachandran K. v. Circle Inspector of Police , 2019 (1) KLT 574.

Dominance Games Pvt. Ltd. & Ors. v. State of Gujarat, C/SCA/6903/2017, Judgement dated 4 April 2017.

Shri Varun Gumber v. Union Territory of Chandigarh and others, CWP No.7559 of 2017, Judgement dated 18 April 2017; Gurdeep Singh Sachar v. Union of India & Ors., Crim. PIL 22 of 2019, Order dated 30 April 2019.

Junglee Games India Pvt. Ltd. v. Chief Secretary Home and Ors., CWP No. 23063/2017.

Junglee Games India Pvt. Ltd. v. State of Tamil Nadu, CWP No. 18022/2020.

Federation of Indian Fantasy Sports, Charter for Online Fantasy Sports Platforms, para 1.1.4, https://fifs.in/charter/ . Accessed 14 May 2021.

Ravindra Singh Chaudhary v. Union of India, D.B. CWP No. 20779/2019), pp. 18.

NITI Aayog, Guiding Principles for the Uniform National-Level Regulation of Online Fantasy Sports Platforms in India, Annexure 1, entry 2 https://niti.gov.in/sites/default/files/2020-12/FantasySports_DraftForComments.pdf . Accessed May 19, 2021.

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NITI Aayog (2020) Guiding Principles for the Uniform National-Level Regulation of Online Fantasy Sports Platforms in India. https://niti.gov.in/sites/default/files/2020-12/FantasySports_DraftForComments.pdf . Accessed 14 May 2021.

The Sports Law & Policy Centre (2018) The Laws Relating to Fantasy Sports in India. http://www.sportslaw.in/reports/FantasySportsPublication-Web.pdf . Accessed 14 May 2021.

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The authors and their firm, LawNK, represent and advise several fantasy sports operators, including Dream11 (a party in a number of the cases mentioned in this article). They also advise the fantasy sports industry body, Federation of Indian Fantasy Sports (FIFS). All information in this article has been compiled and derived from public sources.

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Kamath, N., Shrivastava, A. & Shekar, R.S. Emerging from the shadows: The evolving legal treatment of fantasy sports in India. Int Sports Law J 21 , 188–202 (2021). https://doi.org/10.1007/s40318-021-00190-2

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Accepted : 03 June 2021

Published : 01 July 2021

Issue Date : September 2021

DOI : https://doi.org/10.1007/s40318-021-00190-2

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Purpose – The purpose of this paper is to investigate the influence of price attribute framing and factors such as urgency and perceived price fairness on customer willingness to pay (WTP) in automated retail settings. Design/methodology/approach – The authors conducted two sets of quasi-experimental scenarios surrounding vending-machine purchase decisions. The first set was analyzed with MANOVA, the second set with choice-based conjoint (CBC) analysis. Findings – When prices are framed positively (as a discount), customer WTP is higher at high published price levels than it is for unframed or negatively framed prices. The effect on WTP holds whether the reference price range is broad (few large increments) or narrow (numerous small increments). In the CBC scenarios, immediate availability of the product was most influential on choice, followed by price and brand effects. These findings held under conditions invoking both urgency and price fairness. Providing an explanation for higher prices increases perceived price fairness. Research limitations/implications – Further study might assess the presence or absence of interaction effects in the conjoint scenarios. Practical implications – Managers should consider transparency in dynamic pricing, particularly when the price change is outside the control of the firm. The conjoint scenario results also offer evidence that dynamic pricing will not impact other marketing-mix decisions for fast-moving consumer goods (FMCG) dramatically (availability at point of purchase and presence in the consumer consideration set remain strong influences on choice). Social implications – Understanding these effects on WTP could help managers manage perceptions of unfairness and optimize WTP. Originality/value – A theoretical contribution from this study is that the immediate loss/gain consideration under theories of decision making under uncertainty outweigh considerations such as scarcity urgency or perceived unfairness. Use of conjoint analysis in WTP research, study of dynamic pricing in FMCG setting.

“We are a family firm”

Purpose Evidence suggests that some stakeholders perceive family firms as more trustworthy, responsible, and customer-oriented than public companies. To capitalize on these positive perceptions, owning families can use references about their family nature in their organizational branding and marketing efforts. However, not all family firms actively communicate their family business brand. With this in mind, the purpose of this paper is to investigate why family firms decide to promote their “family business brand” in their communication efforts toward different stakeholders. Design/methodology/approach Data for this study were collected using an in-depth interview approach from 11 Swiss and German family business owners. Interviews were transcribed and coded to identify different themes that help explain the different motives and constraints that drive their decisions to promote the “family business brand.” Findings The analyses indicate that promoting family associations in branding efforts is driven by both identity-related (i.e. pride, identification) and outcome-related (e.g. reputational advantages) motives. However, there are several constraints that may negatively affect the promotion of the family business brand in corporate communication efforts. Originality/value This paper is one of the first to explore why family businesses decide to communicate their “family business brand.” Building on the findings, the authors present a conceptual framework identifying the antecedents and possible consequences of promoting a family firm brand. This framework can help researchers and practitioners better understand how the family business nature of the brand can influence decisions about the company’s branding and marketing practices.

Modeling the implicit brand: capturing the hidden drivers

Purpose This paper aims to investigate modeling implicit attitudes as potential drivers of overall brand attitudes and stated behavior and investigate how the results are expected to be different from brand driver models that are based on explicit attitudes. Design/methodology/approach Data are collected via online surveys in five countries across 15 categories with sample sizes for each category/country combination in the range of about N = 1,000. Findings Implicit attitudes result in a higher number of significant effects than their explicit counterparts when used to explain behavioral intentions, brand closeness and brand usage in a multivariate situation with potential 12 brand attitude drivers. The authors also find fewer counter-intuitive effects in the implicit models. The results are consistent across 5 countries and across 15 categories (including CPG products, services and durable goods). They also show that implicit attitudes are less susceptible to response style effects (e.g. social desirability bias). Research limitations/implications The findings have implications for brand building and shopper activation. Further research should look into the impact of using implicit data on finding different brand segmentation and brand mapping results. Practical implications The findings have implications for brand building and shopper activation. Originality/value This paper contributes to the fast-growing field of implicit attitudes. The paper confirms and generalizes previous findings. This is the first paper to the authors’ knowledge that has investigated the impact of implicit attitudes on overall brand attitudes and stated behavior in a multivariate context.

Stairways to heaven: implementing social media in organizations

Purpose – This paper is aimed at both researchers and organizations. For researchers, it seeks to provide a means for better analyzing the phenomenon of social media implementation in organizations as a knowledge management (KM) enabler. For organizations, it seeks to suggest a step-by-step architecture for practically implementing social media and benefiting from it in terms of KM. Design/methodology/approach – The research is an empirical study. A hypothesis was set; empirical evidence was collected (from 34 organizations). The data were analyzed both quantitatively and qualitatively, thereby forming the basis for the proposed architecture. Findings – Implementing social media in organizations is more than a yes/no question; findings show various levels of implementation in organizations: some implementing at all levels, while others implement only tools, functional components, or even only visibility. Research limitations/implications – Two main themes should be further tested: whether the suggested architecture actually yields faster/eased KM implementation compared to other techniques; and whether it can serve needs beyond the original scope (KM, Israel) as tested in this study (i.e. also for other regions and other needs – service, marketing and sales, etc.). Practical implications – Organizations can use the suggested four levels architecture as a guideline for implementing social media as part of their KM efforts. Originality/value – This paper is original and innovative. Previous studies describe the implementation of social media in terms of yes/no; this research explores the issue as a graded one, where organizations can and do implement social media step-by-step. The paper's value is twofold: it can serve as a foundational study for future researches, which can base their analysis on the suggested architecture of four levels of implementation. It also serves as applied research that will help organizations searching for social media implementation KM enablers.

Responsible tourism as a strategic marketing tool for improving the negative image of South Africa

Purpose The purpose of this paper is to examine the effect of a destination positioning itself as a responsible tourist destination to improve its image. Design/methodology/approach A review of the literature pertaining to responsible tourism management, crime risk and destination image. Findings This paper observes that responsible tourism policy can help improve the image of destination South Africa. Research limitations/implications This paper provides recommendations for destinations impacted by a negative global perception or being seen as a risky area to travel to, in the context of crime. Originality/value This paper examines the role of responsible tourism management in countering the negative image of crime risk in South Africa. In general, there is a dearth of research on this association.

The impact of early failures on maintenance costs: an empirical study in Latin America

PurposeLiterature shows that the economics of early failures in maintenance and electric utilities have not been deeply analyzed. This study aims to focus on quantifying the economic impact that early failures in current transformers have on total maintenance costs. The empirical study is conducted in a regional transmission division of an electric utility located in Mexico.Design/methodology/approachThe utility's database was accessed to collect 219 maintenance records. Clustering techniques were used to identify early failures from a bimodal distribution of failures. Confirmatory goodness-of-fit procedures followed the analysis, and finally, direct and opportunity costs were estimated by adapting the cost-of-quality (PAF) Model.FindingsAround 11% of all maintenance activities are triggered by early failures, and they account for up to US$2.2m during the eight-year period under study, which represents 16% of total maintenance costs. Additionally, opportunity costs represent close to two-thirds of the total costs due to early failures. This was obtained after finding and validating a clear-cut border of 3.5 months between early failures and the rest.Originality/valueFailures in energy grids and power transmission can have a large economic impact on the power industry and the society in general. Thus, the maintenance function in equipment such as current transformers is a crucial entry of the budget of any electric utility. This study is one of the very few that highlights the magnitude and importance of direct and opportunity costs derived from early failures.

Social media: a blessing or a curse? Voice of owners in the beauty and wellness industry

PurposeThe rise in the use of Internet technologies and social media has shifted the marketing practices from offline to online. This study aims to determine the pros and cons of social media marketing in the beauty and wellness industry.Design/methodology/approachIn-depth interviews were conducted with the owners and marketing executives of beauty and wellness centers to understand the use of popular social media platforms in this industry and their pros and cons.FindingsThe researchers identified eight merits and seven demerits of social media in the beauty and wellness industry. Every respondent is happy and satisfied with social media use, particularly Instagram and Facebook. Irrespective of the demerits, they have shown the intention to increase its usage in the future. The merits override demerits; thus, social media is a blessing for this industry from the owners' perspective.Research limitations/implicationsThe research is exploratory and is confined to just one industry. Research implication is that the visual nature of social media makes it a powerful tool for the promotion of the beauty and wellness industry.Practical implicationsThe study's findings will be beneficial for small-scale businesses as it will push them to take advantage of this low-cost marketing tool.Social implicationsSocial media marketing is helpful for communication and marketing purposes for society.Originality/valueThe beauty and wellness industry remained unfocused by researchers because it is highly unorganized, fragmented and not regulated, yet has huge growth potential. This research will provide a closer look at this industry as well as social media marketing.

Internal projects as strategic tools: an organisation-level perspective and a research agenda

PurposeThe purpose of this conceptual paper is to describe and explain how organisations use internal projects to implement organisation-level strategy objectives.Design/methodology/approachTheory development with an emphasis on explaining key constructs and their mutual relationships. The theoretical contribution is represented in a diagram along with a detailed verbal account.FindingsThe paper develops a dynamic, cross-level framework to illustrate the organisational processes and outcomes that determine project-based strategy implementation within a single organisation. The interplay between the base organisation and the project, and benefits realisation were singled out as key future research areas. The proposed framework engages with central discourses in the fields of project management, strategic management, innovation studies, knowledge management and organisation studies.Research limitations/implicationsOnly the contours of an organisation-level theory of strategically motivated internal projects are outlined. Future research must elaborate on the complexities, the non-linear relationships and the boundary conditions that follow from the proposed framework.Practical implicationsManagers are alerted to the strategic role of internal projects, how these projects help connect strategy and performance and what the accompanying organisational processes and outcomes look like.Originality/valueThe paper constitutes an early conceptual treatment of strategy-driven internal projects as a distinct project category, thus addressing a major knowledge gap in project studies. Organisational project-management theory is extended with suggestions for future research.

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Please note you do not have access to teaching notes, gamification through fantasy sports – empirical findings from professional sport leagues.

Sport, Business and Management

ISSN : 2042-678X

Article publication date: 3 August 2021

Issue publication date: 6 October 2021

In this paper, Fantasy Sports (Hereafter FS) is conceptually classified as a concept of gamification for professional sport leagues. From a sporting perspective, FS is often criticized because such online activities may be at the expense of physical activities. Otherwise, gamification can ultimately lead to economic advantages for sport leagues. To further empirically analyse this supposed juxtaposition, an empirical study is presented.

Design/methodology/approach

In the empirical study, participation and non-participation in a sport league-related FS league are analysed and the study uses a divided sample ( N  = 319) for a one-factor Welch-ANOVA. FS effects on sport practice (engaging in doing sport) and usage (engaging with sport) of FS players as well as on gaining and retaining fans are investigated.

Results demonstrate that participating in gamified FS experiences increases sport usage while not harming general sport practice. Furthermore, FS participation increases consumption capital as well as sport fans' loyalty and word of mouth (WOM) towards the league brand. Building on the results, league brands should foster gamified FS applications to retain their fan base and acquire new fans.

Originality/value

The authors’ theoretical contribution indicates the importance of FS as a gamified application and essential marketing tool for professional sport leagues. By introducing the terms sport practice and usage, the authors bridge the traditional logic of sport consumption with innovative approaches around engagement in and with sports. The results refute the prejudice that FS leads to less physical activity due to time substitution or displacement.

• Fantasy sports
• Sport practice
• Sport usage
• Consumption capital
• Word of mouth

Buser, M. , Woratschek, H. and Ridpath, B.D. (2021), "Gamification through fantasy sports – Empirical findings from professional sport leagues", Sport, Business and Management , Vol. 11 No. 5, pp. 575-597. https://doi.org/10.1108/SBM-08-2020-0080

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Player Pricing Mechanisms and the Daily Fantasy Sport Chance Versus Skill Debate

• Department of Sport Management

Research output : Contribution to journal › Article › peer-review

• daily fantasy sports
• efficient market hypothesis
• chance versus skill

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• Fantasy Business & Economics 100%
• Pricing Mechanism Business & Economics 87%
• Sports Business & Economics 65%
• IS Strategy Business & Economics 19%
• Gambling Business & Economics 17%
• Football Business & Economics 16%
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• United States of America Business & Economics 5%

T1 - Player Pricing Mechanisms and the Daily Fantasy Sport Chance Versus Skill Debate

AU - Losak, Jeremy

PY - 2021/11

Y1 - 2021/11

N2 - Differentiating and defining games of skill versus chance have major legal implications when classifying gambling, especially in relation to Daily Fantasy Sports in the United States. This paper provides a theoretical discussion and introduces an empirical approach to analyzing game player pricing mechanisms. If game pricing mechanisms are fully efficient—player prices fully reflect the expected contributions from players—than that game is one of chance since there is no opportunity for skill to play a role in outcomes. This paper examines player prices from DraftKings' daily fantasy football product. Empirical results show that there are strategies deriving from the pricing mechanism that can be incorporated by skilled participants to increase their expected performance and improve their chances of winning. This provides evidence that Daily Fantasy Sports are skill-based—a necessary condition for skill to be a predominant factor in game outcomes as part of the legal debate.

AB - Differentiating and defining games of skill versus chance have major legal implications when classifying gambling, especially in relation to Daily Fantasy Sports in the United States. This paper provides a theoretical discussion and introduces an empirical approach to analyzing game player pricing mechanisms. If game pricing mechanisms are fully efficient—player prices fully reflect the expected contributions from players—than that game is one of chance since there is no opportunity for skill to play a role in outcomes. This paper examines player prices from DraftKings' daily fantasy football product. Empirical results show that there are strategies deriving from the pricing mechanism that can be incorporated by skilled participants to increase their expected performance and improve their chances of winning. This provides evidence that Daily Fantasy Sports are skill-based—a necessary condition for skill to be a predominant factor in game outcomes as part of the legal debate.

KW - daily fantasy sports

KW - efficient market hypothesis

KW - chance versus skill

KW - gambling

U2 - http://doi.org/10.32731/IJSF/164.112021.04

DO - http://doi.org/10.32731/IJSF/164.112021.04

M3 - Article

SN - 1558-6235

JO - International Journal of Sport Finance

JF - International Journal of Sport Finance

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Sports betting around the world: A systematic review

Repairer etuk.

1 Department of Psychology, University of Nevada, Las Vegas, NV, USA

2 William F. Harrah College of Hospitality, University of Nevada, Las Vegas, NV, USA

3 International Gaming Institute, University of Nevada, Las Vegas, NV, USA

Brett Abarbanel

6 Gambling Treatment & Research Centre, University of Sydney, Australia

Marc N. Potenza

4 Department of Psychiatry, Yale School of Medicine, New Haven, CT, USA

5 Department of Neuroscience, Yale University, New Haven, CT, USA

Shane W. Kraus

Background and aims.

This systematic review examines whether sports betting behaviors differ among and between sports bettors in different countries, evaluates psychosocial problems related to sports betting behaviors and how problems may vary by country, and lastly, summarizes the current regulatory guidelines for sports betting.

We followed the Preferred Reporting Items for Systematic Reviews and Meta-Analyses guidelines and included peer-reviewed articles from PubMed, Web of Science, and PsycINFO. Studies on sports betting behavior were included if they were published in English or Chinese between January 1, 2010 and March 28th, 2022. We gathered regulatory information from peer-reviewed articles, legal acts, and relevant websites. Of 2,450 articles screened, 65 were included in the final review.

Marketing and promotion of sports betting were more prominent for sports betting in Australia and the United Kingdom. Interviews with sports bettors demonstrated that sports betting is persuasive and normalized. Psychosocial problems do not appear to differ greatly by country, and sports betting appears to be associated with elevated levels of problem gambling. Responsible gambling approaches have helped address risky sports betting behaviors. China and South Korea have imposed more strict regulations and restrictions on sports betting access in comparison to countries such as Australia or the United States.

Discussion and conclusions

Currently, sports betting is easy to access, normalized, and contains many attractive features for sports bettors. Psychoeducation about potential risks of sports betting and encouragement of responsible gambling strategies could help lessen risky sports-betting behaviors, though cross-cultural adaptations should be explored.

Introduction

Sports betting is a rapidly growing industry that obtained a worldwide market size of over 200 billion United States (US) dollars in 2019 ( Ibisworld, 2020 ). In total, there are over 30,000 sports-betting-related businesses globally ( Ibisworld, 2020 ). Prior to the COVID-19 pandemic, the sports-betting industry in the regions of Asia, the Middle East, and South America had grown at above-average rates ( Ibisworld, 2020 ), while in 2021 weekly sports betting in the United States doubled ( Morning Consult, 2022 ). Although sports betting may be defined in different ways, the present study defines sports betting as placing a monetary wager on the outcome of one or multiple sporting events, occurrence/non-occurrence of an event within a sporting event, or betting on sports in a week-long or season-long competition. As sports betting continues to grow in the United States and elsewhere ( American Gaming Association, 2022 ), recent research has focused on identifying possible risk factors associated with problematic sports-betting behaviors (e.g., chasing losses, distorted gambling cognitions, preoccupation with gambling, social or financial problems due to sports-betting behaviors) ( Hing, Russell, Vitartas, & Lamont, 2016 ; Russell, Hing, & Browne, 2019 ). Research on this topic is of great importance, as problematic sport-betting behavior could eventually develop into a gambling disorder (GD). In the DSM-5, GD is an addictive disorder characterized by dysregulated and recurrent gambling behaviors that can generate clinically significant levels of distress and impairments in functioning ( American Psychological Association, 2013 ). GD requires meeting at least 4 of 9 diagnostic criteria in the DSM-5, and some gambling behaviors that do not meet full diagnostic criteria for a GD (e.g., 2–3 inclusionary criteria for GD in DSM-5) have been linked to adverse measures of functioning ( Loo, Kraus, & Potenza, 2019 ) and have been described as subthreshold GD or “problem gambling” or “at/risk gambling.”

The current systematic review examines the associations between sports-betting behaviors and psychosocial problems (e.g., erroneous sports-betting beliefs, mental health disorders, and family-related problems) and investigates whether sports-betting behaviors differ across Western and non-Western cultures. Furthermore, we also examine whether current regulations and policies for sports betting differ by Western and non-Western jurisdictions and cultures and make recommendations for future clinical and public health efforts aimed at reducing problematic sports betting.

Clinical correlates of problematic sports betting

For Australian sports bettors, greater engagement in gambling has been associated with the development of gambling problems ( Russell, Hing, & Browne, 2019 ). In another Australian study, researchers found that sports betting may also include cultural elements relevant to gambling risk, with speaking an additional language other than English potentially increasing risk for problematic online gambling in ethnic minorities ( Hing, Russell, & Browne, 2017 ). Similarly, Oei, Raylu, and Loo's (2019) review on culture's role in gambling and GD found support for cross-cultural differences more generally in GD, gambling behaviors, and gambling beliefs. Specifically, there were higher prevalence estimates of GD among culturally and linguistically diverse groups (e.g., ethnic minorities or Aboriginal groups within Western countries). Their review revealed cultural differences in gambling behaviors and beliefs, including stigma around gambling, motivations for gambling, willingness to seek out treatment for gambling, and gambling-related cognitions ( Oei, Raylu, & Loo, 2019 ). Notably, cultural differences have been more often seen between collectivist (e.g., typical cultures within China, Taiwan, Macau, etc.) versus individualist cultures (e.g., typical cultures found within Australia and Canada) ( Dhillon, Horch, & Hodgins, 2011 ; Oei & Raylu, 2010 ; Oei et al., 2019 ; Po Oei, Lin, & Raylu, 2008 ). While Oei and colleagues' ( 2019 ) review provides a valuable foundation for cross-cultural research in gambling, the potential cultural differences specific to sports betting remain largely unexplored.

The extant sports-betting literature has produced few reviews to date. Previous reviews have focused on in-play sports betting (i.e., placing a bet on a sporting event that is in progress) in primarily Western countries ( Killick & Griffiths, 2019 ) or examined general sports-betting behaviors and cognitions worldwide, rather than specific differences between countries ( Mercier et al., 2018 ). As such, a review of jurisdictional and cultural differences in sports betting will provide a unique overview of the current findings in this area and suggest future directions for sports-betting cross-cultural research. Although some previous research has examined cultural differences within sports betting and general gambling, this research frequently involves comparisons between only two countries (e.g., one Western country, such as Canada, and one Eastern country, such as China) or ethnic groups (e.g., White/European compared to East Asian individuals). A review of sports betting across jurisdictions can examine comprehensively for potential cultural differences between several different countries and ethnic communities.

To address current gaps in the literature, our systematic review explored three study aims: (1) to assess whether sports-betting behaviors differ within and between different countries (e.g., United States, Australia, United Kingdom, China); (2) to evaluate psychosocial problems related to sports-betting behaviors and how problems may differ by country; and (3) to summarize the current regulatory guidelines for sports betting in different countries, for the purpose of making broad recommendations for reducing problematic sports betting across Western and non-Western countries. In the interest of brevity, we chose to focus on traditional forms of land-based/online sports betting for this current review, and do not include esports betting, or forms of gambling-related activities that occur within video games, such as microtransactions or loot boxes.

Search strategy

We followed the Preferred Reporting Items for Systematic Reviews and Meta-Analyses (PRISMA) guidelines for this systematic review ( Moher, Liberati, Tetzlaff, & Altman, 2009 ). This review only included peer-reviewed articles, which we collected from the databases PubMed, Web of Science, and PsycINFO. The search strategy included the following terms: (sport* AND gambl*) OR (sport* AND betting) OR (sport* AND bet) OR (sport* AND bettor*) OR (sport* AND wager*). In addition, we conducted searches of reference lists of included articles. To achieve the aims of this review, for the 65 articles included in the final review, we assessed the country of origin for each article and determined which (if any) sports-betting behaviors/psychosocial problems differed by country. Figure 1 describes the selection and screening process of identified studies.

PRISMA flow diagram of the systematic review phases

Selection criteria and review process

All studies were managed and organized through Rayyan ( Ouzzani, Hammady, Fedorowicz, & Elmagarmid, 2016 ), a web-based application for systematic reviews. Two authors (RE, TX) screened each reference title and abstract independently for the full-text review and exchanged their decisions subsequently. When a selection could not be made, the authors discussed article inclusions as a group to reach a consensus. Studies were included in the initial pool of articles (after duplicates were eliminated) if they were: (1) published in English or Chinese as these languages were spoken by the researchers (the search criteria terms, however, were only in English) and (2) published between January 1, 2010, and March 28th, 2022, inclusively. This date range was chosen to focus on more recent studies and developments. We did not deliberately exclude any countries in the initial pool of articles. If a study met the following exclusionary/inclusionary criteria, it was included in this systematic review.

Exclusionary criteria

The following exclusion criteria were employed: (1) participants who were children, adolescents, college students, sports athletes, or treatment-seeking; (2) studies focused on esports, loot boxes/microtransactions, horse racing, social media account analyses (i.e., Twitter account data), or predictions of the outcomes of sports events; (3) studies that were a review, a case report, a book chapter, a thesis or dissertation, secondary data, or a conference paper; (4) studies that focused on measure validation, illegal gambling, or testing gambling models; and (5) non-human subjects were used (e.g., mice, rats). The reasoning behind these exclusionary criteria is explained below.

This review focuses on adults participating in legal sports betting, and therefore, it does not examine issues of legality. This review examines sports betting generally, and as such does not examine specific populations, such as college students or treatment-seeking sports bettors. Furthermore, studies that focus on esports, loot boxes/microtransactions, horse racing, social media account analyses, or predicting the outcomes of sports events were not included in the review for reasons of parsimony, and because this review focuses on sports-betting behavior as related to traditional sporting events. Measure validation, and animal studies were also considered to fall outside of the scope of this review. Lastly, articles had to be original, peer-reviewed studies published in scholarly journals to be included in the review. We thus excluded reviews, case reports, book chapters, theses or dissertations, secondary data, or conference papers.

Inclusionary criteria

Included articles had the following characteristics: (1) they were published in English (the primary language of the authors); (2) had a major focus on sports betting or sports bettors; (3) were primary data sources (studies using original data); (4) had been published in peer-reviewed journals (to guarantee studies had been critically examined and approved by other researchers); and (5) did not contain any of the exclusionary criteria previously covered in the methods section. We found no relevant publications in Chinese to include in the final review.

Regulatory guidelines

PRISMA systematic review guidelines were not used to find regulatory information for sports betting. Instead, we examined peer-reviewed articles, legal acts, and relevant websites in order to evaluate current sports-betting regulations within individual jurisdictions. As it was not feasible to include sports-betting regulations for every country, Table 1 includes regulations for countries that were most strongly represented (i.e., at least 3 articles for each Western country and at least 1 article for each Eastern country) from the articles included in this review.

Table 1.

Summary of sports betting regulations

Article categorization

The authors determined article category by grouping articles with similar aims and topics. This categorization was based on natural groups that derived from the literature review. For articles that could be classified into multiple categories, the authors conferred on which category was the best fit for the article, until full consensus was reached. This review found six common domains explored in relation to sports betting. These domains were created by the authors after examining the themes covered in the included articles of this review. The six domains included: Marketing, Fantasy Sports (i.e., activities in which participants create virtual teams that consist of real sports players), Qualitative Studies, Responsible Gambling, Problem Gambling, and Psychosocial. Articles may share some overlap between domains but were placed in the “primary” and best-fitting domain. Studies that could not be grouped by these common themes were put into an “Uncategorized” domain.

Sixty-five articles were included in the present systematic review. The most heavily researched topics included the marketing of sports betting ( n = 13) and fantasy sports betting ( n = 13), followed by problem gambling in sports betting ( n = 12), psychosocial aspects of sports betting ( n  = 9), qualitative interviews with sports bettors ( n = 7), and responsible gambling initiatives ( n = 5), with the remaining articles making up the uncategorized studies category ( n = 6). Most studies were conducted in Australia, the United States, or the United Kingdom, while a limited number of articles examined sports betting in Asia.

For the countries in this review, their regulatory guidelines for sports betting included state or federal regulations and/or sanctions (see Table 1 ). Countries differed in the types of sports betting allowed (e.g., sports lotteries are the only legal form of sports betting within China and Taiwan, and all online sports betting is illegal in Iceland), and in their sports-betting restrictions (e.g., in Australia, in-play betting is not allowed unless the bet is placed over the telephone or by using a machine at a licensed venue). Generally, Eastern countries tended to have more conservative and restrictive guidelines as compared to Western countries. For a full summary of sports-betting regulations for countries, see Table 1 .

Domain 1: marketing and sports betting

Thirteen studies investigated marketing within sports betting, and several of these studies examined the content of advertisements. As concluded by Lopez-Gonzalez, Estévez, and Griffiths (2018) , sports-betting advertisements aimed to reduce the perceived risk of gambling and to enhance the perceived control of bettors. Most characters in advertisements were male ( Lopez-Gonzalez, Guerrero-Solé, & Griffiths, 2018 ), as likewise found by Roth-Cohen and Tamir (2017) . Gender may play an important role in sports-betting promotions, as Hing, Vitartas, and Lamont (2017) found that attractive, non-expert, female presenters gained more attention from all gambling groups than other presenters.

In-play betting has been regularly marketed within sports-betting advertising, and overall seems to be quite persuasive to sports bettors ( Thomas, Lewis, Duong, & McLeod, 2012 ). Consistent with the finding of Thomas et al. (2012) , which found that in-play betting was one of the main themes of the advertisements, 46% of sports-betting television advertisements ( n = 135) contained in-play betting ( Lopez-Gonzalez, Guerrero-Solé, & Griffiths, 2018 ). Similarly, other research has suggested that advertising encouraged in-play betting and found that 39.1% of World Cup 2018 advertised bets could be determined before the match ended ( Newall, Thobhani, Walasek, & Meyer, 2019 ). Another form of marketing that was commonly used involved inducements (refund/stake-back offers, followed by sign-up offers and promotional odds), which were typically subject to numerous, difficult-to-understand terms and conditions ( Hing, Sproston, Brook, & Brading, 2017 ). Among them, bonus bets with play-through conditions, such as multi-bet offers, and refer-a-friend offers seemed particularly difficult to interpret for bettors, who frequently underestimated of the true costs of the inducements ( Hing et al., 2019 ). Generally, individuals with problematic sports-betting behaviors showed high approval of gambling promotions ( Hing, Lamont, Vitartas, & Fink, 2015 ). See Table 2 for a review of these articles.

Table 2.

Summary of studies exploring marketing and sports betting

Note . Problem Gambling Severity Index (PGSI).

Domain 2: fantasy sports and sports betting

Thirteen studies explored fantasy sports and sports betting. Fantasy sports have become increasingly popular, particularly in the United States ( Fantasy Sports & Gaming Association ). Betting on fantasy sports typically involves betting in two forms: (a) fantasy sports leagues and (b) daily fantasy sports (DFS). Betting in a fantasy sports league involves players creating a virtual team to compete against others for real money wagers. These competitions are generally longer-term and may run over an entire sports season. In contrast, DFS are an accelerated form of fantasy sports betting, wherein players create a virtual team, but participate in shorter-term competitions (usually with entry fees) that take place over a day or a week. Table 3 provides an overview of studies exploring fantasy sports betting.

Table 3.

Summary of studies investigating fantasy sports and sports betting

Note . Articles were listed as being in the USA due to the vast majority of these players being located in the USA. Problem Gambling Severity Index (PGSI), Motivational Scale for Fantasy Football Participation (MSSFP), Daily fantasy sports (DFS).

The majority of articles in this domain investigated DFS betting. Nower, Caler, Pickering, and Blaszczynski (2018) found that when comparing DFS participants to non-DFS gamblers, DFS participants reported involvement in higher numbers of gambling activities, gambling more frequently, and having similar problematic behaviors to those found within online gambling. The level of involvement in DFS is also important to consider, as previous research suggests that heavily involved DFS participants often show increasing engagement (i.e., escalating entries, entry fees and participation) in DFS over time ( Edson & LaPlante, 2020 ). Engagement in DFS could be also related to a big win, with a big win in DFS being associated with increased DFS engagement and loses, although this effect declined over time ( Edson, Tom, Philander, Louderback, & LaPlante, 2021 ). DFS participants' motivations to play may influence their cognitions, behaviors, and engagement, as extrinsically motivated (by financial gain) DFS participants were found to have similar cognitions to people with gambling problems, while intrinsically motivated (by entertainment) DFS participants spent more time and money on DFS activities than extrinsically motivated DFS participants ( Drayer, Dwyer, & Shapiro, 2019 ).

We found three studies that explicitly assessed DFS participation and traditional-only fantasy sports league betting. Dwyer and Weiner (2018) investigated similarities and differences in causality orientations of skill or chance (perceived beliefs that outcomes are determined by either skill or chance). Their results indicated similar relationships among causality orientations for both forms of fantasy sport involvement; however, no relationship was found between the Autonomy (skill) and Impersonal (chance) orientations. Although small differences have been found between DFS and traditional fantasy sports participants on impulsivity measures ( Dwyer, Drayer, & Shapiro, 2019 ) and motivations to play ( Weiner & Dwyer, 2017 ), overall, the two groups appear to present similarly. Broadly, the overall playing of pay to play fantasy sports is associated with higher levels of sports betting and online gambling ( Houghton, Nowlin, & Walker, 2019 ).

Domain 3: qualitative studies of sports betting

Seven studies have explored sports-betting behaviors through qualitative interviews. Three studies used Australian sports-betting samples, three samples were from the United Kingdom, and one sample was based in Nigeria. Table 4 contains a summary of the qualitative sports-betting studies.

Table 4.

Summary of studies qualitatively examining sports betting

Note . Problem Gambling Severity Index (PGSI)

Interviews with sports bettors have been used to evaluate sports-betting behaviors and opinions on sports betting. Overall, sports betting is easy to access and can be very pervasive, especially when considering modern online sports-betting features (i.e., in-play betting) ( Parke & Parke, 2019 ). For many sports bettors, sports betting is normative and enjoyable ( McGee, 2020 ). Although, many sports bettors were aware of the potentially addictive nature of sports betting, they saw mostly positives related to the activity, including beliefs that sports betting could alleviate their poverty or unemployment ( Akanle & Fageyinbo, 2019 ).

Thematic analyses were often performed to analyze the qualitative interviews, and the “normality” of sports betting was again identified. Positive themes related to sports betting included perceiving sports betting as embedded within sporting rituals, having a sense of identity around sports betting, as well as having shared cultural values and desired acumen/skill related to sports betting ( Deans, Thomas, Daube, & Derevensky, 2017 ; Gordon, Gurrieri, & Chapman, 2015 ). Relatedly, sports bettors may be motivated by fulfilling psychological needs of relatedness and competence ( Lamont & Hing, 2020 ). Some of the riskier aspects of sports betting described themes of feeling social pressure to gamble and temptations to gamble; interviewees also mentioned they felt a lack of industry protection from gambling-related harms ( Deans et al., 2017 ; Killick & Griffiths, 2020 ).

Domain 4: responsible gambling strategies and sports betting

Only five articles examined strategies for responsible gambling. Responsible gambling has been designed to minimize gambling-related harms among gamblers ( Blaszczynski, Ladouceur, & Shaffer, 2004 ), yet a content analysis of sports-betting advertisements revealed that few responsible gambling messages were displayed ( Thomas et al., 2012 ). These findings resonated with previous work which found that only 12% of sports-and race-betting inducements ( n = 223) contained information on responsible gambling in website advertisements ( Hing, Sproston, et al., 2017 ). These findings may be especially problematic when considering that gamblers tend to look more at information regarding inducement offers as compared to messages about responsible gambling ( Lole et al., 2019 ).

Responsible gambling strategies (RGS) in sports bettors' decision-making processes have been defined as “diverse strategies or regulations that contribute to minimizing negative personal and social impacts such as problem gambling ( Lee, Chen, Song, & Lee, 2014 ).” RGS may be divided into two types: supplementary RGS (e.g., voluntary treatment programs) and compulsory RGS (e.g., betting limits) ( Lee, Chen, et al., 2014 ). Supplementary RGS have been positively related to both harmonious passion and obsessive passion for sports betting ( Lee, Chung, & Bernhard, 2014 ). On the other hand, compulsory RGS have been negatively associated with obsessive passion ( Lee, Chung, et al., 2014 ). Thus, implementing compulsory RGS has been suggested as being possibly effective in protecting sports bettors against problem gambling by reducing their obsessive passion for sports betting. Similar RGS involved sending sports bettors messages aimed at increasing deposit limit-setting and were effective as sports bettors frequently set limits as compared to controls ( Heirene & Gainsbury, 2021 ). In other work, a consortium of gambling operators developed the Markers of Harm system (i.e., an algorithm) to identify problematic sports-betting behaviors. Although some markers were positively associated with gambling engagement and proxies of problem gambling, researchers suggested that further adjustments should be made to improve the algorithm's group classification and risk thresholds ( McAuliffe, Louderback, Edson, LaPlante, & Nelson, 2022 ). Table 5 summarizes these studies.

Table 5.

Summary of studies exploring responsible gambling strategies and sports betting

Domain 5: problem gambling and sports betting

The twelve studies within this category primarily focused on associations between problem-gambling behaviors, problem gambling, and sports betting. Table 6 contains a synopsis of these studies. Overall, sports bettors tend to be young, impulsive, and engaged in sports betting, with those with problem and moderate-risk gambling being more likely to have greater levels of sports-betting involvement than those with non-problem and low-risk gambling ( Russell, Hing, & Browne, 2019 ). Other factors associated with sports-betting problems included stronger gambling urges, more erroneous cognitions, overconfidence, poorer self-control, and problematic use of alcohol ( Bum, Choi, & Lee, 2018 ; Russell, Hing, Li, & Vitartas, 2019 ). Comparably, for participants in sports lottery, level of sports-lottery consumption was associated with financial and social consequences and compulsive (disordered) gambling ( Li et al., 2012 ). Sports bettors appear to be a high-risk group for developing problem gambling ( Cooper, Olfert, & Marmurek, 2021 ; Lopez-Gonzalez, Russell, Hing, Estévez, & Griffiths, 2019 ).

Table 6.

Summary of studies examining problem gambling and sports betting

Another problematic gambling behavior may be related to custom sports betting, in which gamblers create unique individualized bets. For example, one study found that custom sports betting was correlated with problem-gambling severity, gambling-related harms, and gambling consumption ( Newall, Cassidy, Walasek, Ludvig, & Meyer, 2021 ). Lastly, a study investigating problem-gambling behaviors in online sports bettors found that the amount of money spent was the strongest statistical predictor of problem-gambling-related exclusion for sports bettors ( Ukhov, Bjurgert, Auer, & Griffiths, 2020 ).

Domain 6: studies investigating psychosocial aspects of sports betting

Several articles investigated how psychosocial factors relate to sports-betting behaviors (see Table 7 ). Cognitive distortions have frequently been examined in GD, but these cognitions could also contribute to maintaining sports-betting behaviors. A recent study found that substance use mediated the relationship between cognitive distortions and suicidal ideation among sports bettors ( Chukwuorji et al., 2020 ). Other studies have more specifically examined sports bettors' cognitions (i.e., biases, illusion of control or decision-making). One study found similar levels of overconfidence bias for both sporadic and frequent gamblers ( Erceg & Galić, 2014 ). With regard to illusion of control, there was no significant difference between the groups with and without problematic sports-betting behaviors ( Huberfeld, Gersner, Rosenberg, Kotler, & Dannon, 2013 ).

Table 7.

Summary of studies investigating psychosocial aspects of sports betting

Note . Problem Gambling Severity Index (PGSI), South Oaks Gambling Screen (SOGS).

Personality features, such as aggression and neuroticism, may also influence sports-betting behaviors ( Lin & Lu, 2015 ; Polat & Yildiz, 2021 ). In a study exploring the relationship between sport spectators' gambling motivations and aggression propensities, greater propensities for violence were related to higher fandom levels among sports spectators who gambled ( Polat & Yildiz, 2021 ). A separate study found that sports lottery bettors with neurotic tendencies had lower risk tolerance, while bettors with extroversion, openness, and agreeable tendencies had higher risk tolerance ( Lin & Lu, 2015 ).

Domain 7: uncategorized studies examining sports betting

Six studies on sports betting that did not fit into the previous categories covered in this review were included in Table 8 as uncategorized. Overall, it remains unclear whether measuring gambling in a multidimensional measure is appropriate, as previous research did not find support for a taxonomic or dimensional model for extreme gambling behaviors among sports bettors ( Braverman, LaBrie, & Shaffer, 2011 ). A separate study investigated relationships between sports-betting behaviors and various factors (e.g., hunger level, alcohol consumption, and recreational drug use), and found that these factors had both indirect and direct effects on impulsive bet size ( Li, Hing, Russell, & Vitartas, 2020 ).

Table 8.

Summary of uncategorized studies examining sports betting

Several studies have analyzed sports bettors' account data (generally for online betting). One study found that most bets were placed on races or sports, with 77.63% of bets resulting in player losses ( Gainsbury & Russell, 2015 ). A different study investigating patterns of gambling behavior found higher losses for players, as subscribers to an online betting website lost 96% of the amounts they wagered ( Gray, Jónsson, LaPlante, & Shaffer, 2015 ).

Sports betting has grown to become a profitable and widely accepted activity around the world. The current systematic review aimed to assess whether sports-betting behaviors differ among and between different countries. We evaluated psychosocial problems related to sports-betting behaviors and how problems may differ by country, and additionally summarized the current regulatory guidelines for sports betting across different countries.

Overall, we found that research on marketing and promotion of sports betting was most prevalent in Australia and the United Kingdom. This could possibly be due to these locations having an environment where marketing and promotion of sports betting is acceptable and common. Indeed, large number of studies in these regions suggest that sports-betting advertisements are influential, persuasive, and associated with higher sports-betting-related behaviors. Qualitative studies have also suggested that sports-betting advertising and promotions may motivate sports bettors to gamble. Furthermore, sports betting has been normalized and is appealing for many sports bettors, perhaps especially due to the ease of access to participate in sports betting. Social factors such as perceived social pressure to bet on sports or camaraderie obtained through sports betting could be factors that maintain sports-betting behaviors. It should be noted that most of the marketing and qualitative articles in this review were from Western countries, and presently, it remains largely unclear how these domains of sports betting may present similarly or differently within Eastern countries.

This review found that RGS for sports betting have been researched in South Korea and Australia, and that messages promoting responsible sports betting have potential to help individuals who may be at risk of developing sports-betting-related problems. As expected, most research on fantasy sports betting has been conducted in the United States, which could be attributed in part to American football and fantasy sports in general being more popular within the United States than internationally. Most research of fantasy sports betting involved DFS participants, and results varied as most studies had unique aims. No major differences were noted between DFS and traditional fantasy sports bettors within studies that directly compared these two groups.

Psychosocial problems were related to sports betting, particularly among those reporting issues with problem gambling. Sports bettors in general tended to have high levels of problem gambling, and sports-betting involvement was frequently associated with greater problem-gambling severity. Psychosocial problems do not appear to differ greatly by country; however, certain countries are more restrictive (e.g., China, South Korea) with respect to which forms of sports betting are legal, which makes it more difficult to compare sports bettors as there may be vastly different sports-betting environments across countries. However, more strict restrictions on sports betting could limit the popularity and ease of access to these activities in some countries. While not as consistent as the relationship between sports betting and problem-gambling severity, several studies found that erroneous cognitions about gambling were associated with sports-betting-related problems. The relationship between erroneous gambling cognitions and problem-gambling severity has been reported in individuals seeking treatment for GD ( Ledgerwood et al., 2020 ); however, it is unclear whether cognitive distortions present similarly or differently for sports bettors who seek treatment for GD. When considering that sports bettors often endorsed ease of access, normality, and persuasive qualities of sports betting, psychoeducation about the potential dangers of sports betting may help reduce risky sports-betting behaviors. Psychoeducation could also be used in addition to RGS (e.g., limit setting), which have shown potential to assist sports bettors in managing their betting behaviors ( Heirene & Gainsbury, 2021 ).

Study limitations include a strict search criterion, which may have resulted in the potential loss of relevant articles, such as those published as grey literature. Relatedly, this review found relatively few studies from Eastern countries, which made cross-cultural comparisons difficult. This could reflect our search restrictions, which included a limit to English or Chinese language, or a general lack of articles from Eastern regions. This review chose not to include esports betting, but future cross-cultural research should include esports, since this is a profitable and growing area for the sports-betting industry, with an estimated esports sports betting market size between 200 and 300 million US dollars ( EsportsBettingTop, 2022 ). Additionally, studies that focused on horse racing were excluded from this review but could be examined in future studies. Strengths of the current review include its focus on recent sports-betting articles, which provides a wide-ranging review of the current sports-betting literature among different countries. Furthermore, the specificity of this study can be considered a strength as the findings of this review may be particularly helpful in explaining how the general population of sports bettors are affected by this activity. The findings of this review also provide a valuable overview of sports-betting behaviors internationally. Moreover, our review includes a detailed summary about the current sports-betting regulations around the world, offering a framework within which interpretation of research results from different jurisdictions may be considered for promoting healthy gambling behaviors.

Conclusions

This study examined differences in regulations, behaviors, and psychosocial problems related to sports betting. Among the included articles in this review, existing data suggest that cultural differences in sports betting may not differ greatly between Eastern and Western countries, with the biggest difference being a stronger emphasis of research on marketing and promotion of sports betting in specific Western countries (i.e., United Kingdom and Australia). Similarly, there were few differences between countries in types of psychosocial problems related to sports betting. Regulatory guidelines for sports betting had more prominent differences between countries as Eastern countries tended to be more restrictive in their sports-betting guidelines. As sports-betting restrictions varied by country, future cross-cultural research could explore how different elements of sports-betting regulations are related to problem gambling. If risk factors differ by country, then treatment for sports-betting-related problems may vary in focus for different countries and cultures.

Funding sources

This study was supported by a grant for pre-doctoral students (R.E., T.X.; Mentor: S.W.K) focused on sports wagering research, that was provided by the International Center for Responsible Gaming. Support for S.W.K. was provided by Kindbridge Research Institute. M.N.P. was supported through the Connecticut Council on Problem Gambling. The funding agencies did not provide input or comment on the content of the manuscript, and the content of the manuscript reflects the contributions and thoughts of the authors and does not necessarily reflect the views of the funding agencies.

Authors’ contribution

Drafting the article: RE and TX; Revising it critically for important intellectual content: MNP, SWK, BA; Supervision of draft: SWK and BA; and Final approval of the version to be published: BA, MNP, and SWK.

Conflict of interest

The authors declared no potential conflicts of interest with respect to the research, authorship, and publication of this article. Marc N. Potenza is an Associate Editor of the Journal of Behavioral Addictions.

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