Seven of the biggest sports betting operators in the U.S. have joined forces in a historic alliance to address the spate of problem gambling in the nation. The gaming companies, accounting for over 85% of the industry’s market share, announced that they will be forming the Responsible Online Gaming Association (ROGA).
As revealed officially on Wednesday, March 27, the pioneer members of ROGA are FanDuel, BetMGM, Penn Entertainment, bet365, DraftKings, Hard Rock Digital, and Fanatics Betting & Gaming. The group of operators have since pledged in excess of $20 million towards the launch and running of ROGA throughout its first year.
Dr. Jennifer Shatley, Founder and Principal Consultant of Logan Avenue Consulting LLC will serve as the first Executive Director of ROGA. For over 25 years, Dr. Shatley has been a responsible gaming executive, with her most recent experience coming as President of the Nevada Council of Problem Gambling.
“I’m incredibly excited to move this forward and to really do some impactful things and to really expand the knowledge through the research and to create these evidence-based best practices and to really empower players with information,” Dr. Shatley said in the press release.
ROGA aims to focus on educating the populace on problem gambling and promote ethical advertising among its members. The group will also set up a database for compiling and sharing information about responsible gaming best practices and consumer protection.
ROGA Commits to Reveal Information About Excluded Clients
Remarkably, and for the first time in history, the member companies will make information about customers excluded due to problem gambling public. It is also working towards launching a certification program to standardize the efforts of its members at promoting responsible gambling.
“By coming together with a clear set of objectives, ROGA and our members will work to enhance consumer protections and help provide easier and more efficient access to responsible gaming tools for consumers to enjoy the entertainment of online gaming,” Dr. Shatley said.
Compliant operators will also receive incentives. Albeit nothing from the launch of ROGA indicates how all of these details will work.
Alliance Comes on the Back of Proliferated Problem Gambling
The establishment of the Responsible Online Gaming Association couldn’t have come at a more strategic time. First, the trade association was launched in March which is designated in the U.S. as Problem Gambling Awareness Month. Besides, the timing of the creation coincides with multiple cases of malpractices in the sports betting industry.
Earlier in March, former interpreter to MLB star Shohei Ohtani, Ippei Mizuhara was embroiled in gambling debts worth $4 million involving an illegal bookmaker. Similarly, U.S. Integrity, a tech company focused on tackling illegal college sports betting, revealed suspicious activities on betting lines for men’s basketball games at Temple University.
Furthermore, according to the National Council on Problem Gambling, about 2 million Americans suffer from severe problem gambling. Yet, sportsbooks have continued to grow sporadically in terms of reach and revenue, with thirty-eight states now having legal sports betting.
These events have put a greater spotlight on gaming operators and lawmakers across the country. With the launch of ROGA, there seems to finally be a response to the rising negative trend.
Caesars Dismisses Establishment of ROGA as Publicity Stunt
Despite being barely days old, ROGA has managed to attract skeptics, with Caesars leading this charge. The gambling powerhouse was excluded from the coalition for unknown reasons, and this has caused it to dismiss the intention behind ROGA’s establishment. Caesars believes that ROGA is merely a facade to cover up a publicity problem.
“While we applaud all efforts to ensure online gaming is both operated and marketed in a responsible manner, we are confident in our [own] Responsible Gaming approach,” Caesars’ representatives said in a statement.
It may take some time to determine if ROGA truly fulfills its mandate. Nonetheless, it seems to have taken off on the right foot. However, it appears the group may still need the input of government regulators to combat illegal gambling operators, another issue that has fueled problem gambling in the country.
