A study commissioned by NCAA found that sports gambling is rampant on college campuses.
In a survey conducted by in April of 3527 college students between the ages of 18 and 22, 58% had bet on sports at least once during the past 12 months.
The NCAA stated that while college athletes might have participated in the survey there were not enough significant numbers to differentiate between athlete and non-athlete results.
The study’s publication comes at an important time, as college sports betting is under scrutiny following recent controversies in Alabama and Iowa.
Further findings revealed that 67% students who live on-campus actively bet, and they do so in greater volumes. 41% have betted on the team of their school.
71% of wagers lose up to $100 per day
The survey was conducted by Opinion Diagnostics and revealed that 71% had reported their largest daily losses of up to 100 dollars, while a further 16,7% recorded their largest daily losses of between $100 and $300. 5.9% of the respondents reported a maximum loss between $300 and $500, whilst a further 5.8% recorded a loss greater than $500.
The average wagering amount is between $10 and $20. 79% of bets fall between $1 and $50. Another 12.7% of bettors lost between $50 and 100 dollars, while 4.5% typically wagered more than $100.
Researchers analyzed the reasons why students bet on campus in order to find out how to address these issues. They found that 59.2% do it primarily to make money. This will cause concern amongst the RG community. 40.8% wanted to bet on the teams or athletes that they supported.
In addition, in terms of RG strategy, 36.7% agreed with the following statement: “If I were regularly to engage in sports betting, I could consistently earn a lot money.” However, 32.1% disagreed with this statement.
Students are attracted to sports betting advertisements
In recent months, sportsbook advertising and partnerships were scrutinized. This included Caesars’ relationship with MSU and LSU as well as PointsBets’ agreement with the University of Colorado.
There are many more examples of these partnerships than just the two mentioned above. They are also effective at driving sports betting on campus.
According to NCAA research, 56.3% had heard or seen sportsbook advertisements at a sportsbook or casino or on their phones. It is important to note that the percentage did drop, albeit slightly when compared with students who were under 21 years old and lived in states without legal sports betting.
The report is ambiguous as to whether the increase in ad volume or effectiveness was responsible for this rise, but it does show that those with higher education levels are more likely to remember ads.
The effectiveness of the ads is revealed by 52.8% respondents who stated that they were more likely to bet on sports after seeing ads from sportsbooks, as opposed to 19.6% of those who claimed it would make them less inclined to do so.
A deeper analysis shows that African Americans are more likely to be exposed than other races to gambling
The report revealed that those from minority backgrounds are more likely than others to be exposed and overrepresented to certain factors. 13,6% of respondents had a Black, African American, or Hispanic background. 51.2% were white.
An analysis of risky behaviors – defined as betting multiple times a day, losing $50 per bet or more, or losing $500 in one day – showed that Blacks or African Americans were overrepresented. 16% of 18-22 year olds engaged in at the very least one of these indicators.
6% of 18-22 year olds lost over $500, compared to 10% for the African American group.
Advertising studies show that while blacks or African Americans are exposed to ads at the same rate as other demographics they have an “outsized impact on betting likelihood”. 65% of them said they would be more likely to wager after watching an advertisement, compared with the 52.8% overall.
The report expressed concern about the betting habits of minority consumers. It stated: “There’s a worrying thread regarding Black or African American respondents attitudes towards sports betting activities.” Black or African American consumers are more likely than white respondents to bet more frequently, to wager more money and to lose more money. They are also more confident about their ability to win consistently through sports betting.
While Black or African American respondents don’t recall seeing advertisements at a greater rate than other ethnic group, they report that the ads were much more effective in increasing their likelihood to bet on sports.
The demographics of the respondents showed less difference, with 49.9% being male, 47.7% female, and 2.3% identifying as “other”. However, it is worth noting that 51% of women aged 18-22 admitted to betting and 25% said they bet at least once a month.
The NCAA President Charlie Baker commented on the study. “We needed to create a new baseline in order to better understand the experiences of student-athletes on their campuses, and with their peers. This will help us best assist them as they deal with the disruptive dynamics that legal sports betting could bring.
“Sports betting is increasing interest in college sports and other sports. This is good for fans. But the NCAA, coaches, athletics department staff, and college presidents need to better understand how sports betting can affect student-athletes.”
The NCAA will then conduct its annual national survey of student athletes’ sports betting report.