Over the previous years, the UK economy has seen a number of customers shifting from traditional payment options to cashless transactions. Today in order to deposit at online casinos and land based casinos customers are using cashless transactions, while accepting new payment methods such as digital wallets and contactless transfers.
Based on the UK Finance report, debit cards already overtook cash transactions in 2018 while cash payments continued to decline. The outbreak of the COVID-19 pandemic will accelerate the drop even more.
The UK Gambling Commission has recently conducted consumer voice research via 2CV. The research is based on online surveys and community panels which examine the preferences of gambling consumers. The most recent research is conducted to better understand customer choice when it comes to payments at land-based casinos. The online survey was filled by 314 people who engaged themselves in land-based gambling over the last 12 months.
Results of the Official Report
Cash is considered the best method to control excessive spending at land-based casinos. 79% of land-based players think that cash transactions allow them to control expenses. On the other hand, using cashless payments prevent players from having total control over their expenses so they spend more money than they planned
Land-based players believe in the importance of sticking to a budget, which is not the case with younger players and those who belong to risk groups. Those between 18 to 34 don’t consider the budget so important (33%) compared to users over 55 (72%). However, gamblers believe that it is harder to stick to the budget with cashless payments.
Based on the 2CV findings, Cash is the most significant payment option for land-based customers, allowing them to better control their spending habits. Whilst cashless transactions are the most preferred methods for non-gambling purchases such as clothing (93%), groceries (91%) and dining (89%), cash is the most utilized payment method for land-based gamblers. It includes both playing slot machines and placing sports-related bets.
Even if some players prefer contactless payments, they usually belong to the younger groups. Those players prefer fast transactions, with increased security and the absence of contact due to Covid issues. There are also gamblers with higher risk who prefer digital over real money payments.
Possible Solution of the Problem
Considering the previous statements from customers, cashless payments are perceived very complicated when it comes to control of gambling spend. The possible solution to this problem may be the introduction of an app that will simplify contactless payments. This app should enable the following:
- Tracking of gambling activity with both money and time spent
- Entering the app whenever you want
- Allowing players to monitor their activity
The UK will continue to move from cash to contactless payments, but land-based casinos and other gambling venues will continue to offer cash transactions to support players in keeping track of their spending.