More than a quarter of online gamblers in India experience significant issues ranging from identity theft to transaction complications.
The findings were published in a new study by Ken Research into online gambling consumer behaviour in the country.
The study, entitled “Consumer Behaviour Analysis for Online Gambling Industry in India”, outlined several reliability issues.
Primarily, for over 25% of online gambling participants, “challenges” included various potential risks. These included “instances of fraud… unauthorised transactions, or complications associated with withdrawing funds”.
The report suggested that “India’s diverse cultural and legal landscape” contributed to the challenges.
“Different states in India had different regulations regarding gambling, ranging from outright prohibition to regulation,” it stated. “This patchwork of laws sometimes created uncertainty for both operators and users.”
Patchwork laws
Furthermore, only a tiny fraction of online gamblers have a “comprehensive awareness” of industry regulations. This could allow individuals to use unregulated operators.
The study cited “the intricate nature of the laws” and “limited exposure to in-depth information” for this challenge. In November, Indian authorities issued blocking orders against 22 illegal betting apps and websites.
This came just weeks after a new flat 28% turnover tax was imposed on licensed online gambling operators.
Last January, India’s government also published new rules to regulate online gambling.
Growth potential
However, the study also identified future growth potential.
In Delhi and Maharashtra, online gambling is particularly popular among 36- to 44-year-olds. In Uttar Pradesh, the activity is most popular among 26- to 35-year-olds.
The study added that a majority of 36- to 44-year-olds in Karnataka are active in online gambling. These users are active for between 11 and 20 hours per week.