ATG CEO: Bonus offers are “embarrassing” for the industry
Hasse Lord Skarplöth denounces practice and argues RG implications far outweigh any potential customer acquisition
ATG CEO Hasse Lord Skarplöth has slammed fellow operators for using bonus offers to entice customers and labelled the practice as “embarrassing”.
In a blogpost on the ATG’s website, the CEO didn’t hold back in his assessment of the practice and argued that it was a driver of potential gambling harm.
ATG, Sweden’s state-affiliated horse racing operator, has banned the use of bonus offers on its site after an initial trial period which Skarplöth said was a “stupid idea”.
Reflecting on the topic, Skarplöth praised the Swedish Gambling Authority (SGA) for its work since the market’s re-regulation in January 2019 but pointed to the blind spot of bonus offers.
He said: “We think that the SGA misses an important parameter in its consumer protection; the one about the negative impact of bonuses on the gambling behaviour of vulnerable individuals.
“Bonuses not only drive gambling addiction, but they must also be seen as a bad rating on a product to have to sell it before you have sold it.”
Skarplöth did note the benefit of bonus offers for operators in attracting new players but argued the negative connotations outweigh any potential financial gain.
He continued: “The problem is that bonuses are probably a good idea for the betting companies. New customers flock in [but] when the [operator] thanks its customers with cash, it is cynicism.
“For the vulnerable player, a bonus offer, however mundane it may be, can contribute to problem development and relapse into problem gambling. You don’t have to think very long to understand that bonuses and sustainable gambling don’t actually play at all,” he added.
In his most damning put down on bonus offers, Skarplöth said: “It’s a bit embarrassing that a product like a game, which is supposed to be a fun experience and nice relaxation, is marketed as if it were a surplus stock of expired canned goods. Does the industry really not have more confidence in the content of its offer?”
Finally, the ATG CEO called on fellow operators to lead a sea change in the approach to bonus offers and shift to a more responsible model.