“Bets pandemic” spreads faster than COVID-19 outbreak in Brazil

Approximately 25 million people began placing sports bets on electronic platforms in the first seven months of 2024. This averages to about 3.5 million new users per month. For perspective, this growth rate surpasses the time it took for the coronavirus to infect the same number of people in Brazil, which occurred over 11 months, from February 26, 2020, to January 28, 2021.

Over the past five years, the number of Brazilians who have placed bets on various platforms has reached 52 million. Of this total, 48 percent are considered new players, having started betting in the first seven months of this year. This data comes from an opinion poll conducted by the Locomotiva Institute between August 3 and 7.

The habit of placing bets on electronic platforms in Brazil now encompasses a population comparable to the entire population of Colombia and exceeds that of countries such as South Korea, Spain, and Argentina.

The survey outlined the profile of bettors: 53 percent are men and 47 percent are women. Among them, 40 percent are aged between 18 and 29, 41 percent are between 30 and 49, and 19 percent are 50 or older. Additionally, 80 percent come from socioeconomic classes C, D, and E, while 20 percent are from classes A or B.

According to the survey, 70 percent of gamblers place bets at least once a month. Additionally, 60 percent of those who have won a bet use at least part of their winnings to place additional bets.

Renato Meirelles, president of the Locomotiva Institute, attributes the appeal of online gaming platforms to several factors: the convenience of placing bets via mobile phones, the high-profile advertising by betting companies sponsoring Brazilian teams and championships, and the engaging nature of the games themselves.

“You bet on who will score, whether the goal will be scored in the first half or the second half, how the Brazilian Championship table will look, and whether someone will receive a red card. This logic creates the impression of winning something. In reality, people often lose more than they win, but the strong feeling of winning can be very convincing. This ultimately perpetuates the belief that they are always successful,” says Renato Meirelles, president of the Locomotiva Institute.

Default

The Locomotiva Institute also found that 86 percent of gamblers have debts, and 64 percent are in default, making it impossible for them to secure loans. Among those in debt and default in Brazil, 31 percent are gamblers. "When individuals who are already in debt turn to gambling with the hope of resolving their financial problems, it signals a deeper issue," reflects Renato Meirelles.

The economic situation helps explain why “making money” is the primary reason for placing sports bets online (53%), surpassing other reasons such as “fun/entertainment/pleasure” (22%), “excitement and adrenaline” (10%), “passing the time” (7%), “curiosity” (6%), and “relieving stress” (2%).

Meirelles views the rise of electronic sports betting, which was regulated in the country in January this year, as a “pandemic” with significant effects on mental health. The survey collected data on the psychological impact of betting, revealing that 67 percent of respondents know individuals who are “addicted to sports betting.”

Emotional state

The survey report points to a lack of control among some bettors. The data reveals that 45 percent of respondents acknowledge having experienced “financial losses” due to sports betting, 37 percent admit to using “money meant for other important expenses for online betting”, and 30 percent report having “damaged personal relationships” as a result.

However, positive emotions were also reported, with 54 percent of respondents mentioning excitement, 37 percent happiness, and 11 percent relief. Additionally, 42 percent of participants view online sports betting as “a way to escape from problems or negative emotions.”

The Locomotiva Institute surveyed 2,060 individuals aged 18 and older across 142 cities nationwide. Conducted by telephone via a self-completion platform between August 3 and 7, the survey has a margin of error of 2.1 percentage points and a 95 percent confidence interval.