AN INVESTIGATION INTO THE INFLUENCE OF SPORTS BETTING STRATEGIES ON YOUTH ENGAGEMENT IN SPORTS GAMBLING IN NIGERIA

CHAPTER ONE INTRODUCTION 1.1 Background of the Study In present-day Nigeria, sports betting has evolved into a thriving commercial venture (Okon, 2015). Globally, the betting industry stands as a dynamic and fast-growing sector within the economic landscape. The rapid proliferation of betting outlets has elevated its status as a significant social phenomenon, transcending national development levels. Sports betting has become deeply entrenched in mainstream culture, with notable presence across entertainment, leisure, sports, and tourism sectors. It now serves as a major source of revenue for both private businesses and government institutions (Wann et al., 2001). In Nigeria, sports betting operates legally under the regulatory supervision of the National Lottery Regulatory Commission. The sector is governed by the provisions of the National Lottery Act of 2005 and the amended National Lottery Regulatory Commission Act of 2007 (Lagos State Lottery Board, 2017). A key innovation in recent years has been the incorporation of in-play betting options into mobile platforms, allowing users to place bets and watch events simultaneously. This convergence has significantly increased user engagement between betting and live sports viewing (Benson et al., 2021). A pivotal moment in Rivers State occurred in 2019, where the sports betting industry experienced rapid growth in both the number of betting operators and active participants. This expansion also introduced new betting modalities and infrastructure (Lagos State Lottery Board, 2017). According to data from the Lagos State Lottery Board (2017), Rivers State alone boasted over 5,000 betting outlets, with more than 10,000 active participants recorded in 2021. This trend signals a broader shift within the gambling industry, from conventional gambling activities—like casino games and national lotteries—to more modern formats such as online sports betting (d'Astous & Gaspero, 2013). The sector has been particularly successful in leveraging Nigeria’s deep-rooted passion for football (Mustapha & Enilolobo, 2019). Popular European football leagues—such as the English Premier League (EPL), German Bundesliga, Italian Serie A, French Ligue 1, and Spanish La Liga—enjoy large fan bases in Nigeria. Betting on these leagues presents fans with opportunities to earn money from their enthusiasm for the sport (Jackson, 2019). In Rivers State, the expansion of betting companies has become more visible, with new betting shops and digital platforms continually emerging to serve in-person and remote clientele alike. As noted by Akingbolu and Akinlosotu (2019), the betting industry has experienced an annual growth rate of approximately 16% from 2016 to the present. The sector is now valued at over $147 million, highlighting strong potential for future economic expansion. Moreover, it contributes significantly to the national economy by providing approximately 8,000 direct and indirect employment opportunities and generating substantial revenue (Chiweshe, 2019). The competitive nature of the current market compels betting companies to adopt innovative strategies aimed at maximizing client engagement and user profitability. These strategies include generous registration bonuses, improved platform security and usability, and access to a broad selection of games with features such as dynamic odds, cash-out options, bonuses, and handicap betting (Griffiths, 2010). Given its surging popularity, the sports betting industry is expected to continue on a strong upward trajectory. Lopez-Gonzalez, Guerrero-Solé, Estévez, and Griffiths (2017) explored the implications of sports betting in Nigeria, particularly examining how technological advancements have influenced betting practices and affected vulnerable populations. Their findings also highlighted the effects of rapid expansion in the betting sector. Additionally, research by Olusola et al. (2021) evaluated how online betting enhances operational efficiency among Nigerian youth. Other researchers—such as Akinlosotu et al. (2019), Olaore et al. (2020), and Herskowitz (2016)—have advocated for extending research on online betting to broader areas to promote deeper understanding and sectoral advancement. This study contributes to the growing body of literature by examining two predictor variables—betting odds and betting bonus—which have been previously explored in gambling research and are particularly relevant to the Nigerian context. These variables are analyzed in relation to two key indicators of youth patronage: referral and repeat visit. A noticeable gap exists in the literature regarding empirical analysis of online betting strategies and the patterns of youth involvement in sports betting organizations. Despite the significance of relationship-building in online betting approaches, prior research has largely ignored the moderating role of betting regulation and failed to propose comprehensive frameworks. This study aims to bridge this gap by investigating the influence of sports betting strategies on youth engagement in sports gambling in Nigeria. 1.2 Statement of the Problem The high rate of unemployment in Nigeria, particularly among the youth, has become a growing concern for governments at all levels and stakeholders across sectors. The deepening economic hardship experienced by unemployed young Nigerians has driven many toward criminality, gambling, and violent behavior, while also rendering them vulnerable to political exploitation (Olayinka & Taiwo, 2017). The allure of winning big through sports betting has captivated many young and even older individuals, compelling them to become frequent patrons of betting outlets, largely due to the lack of viable employment opportunities in the country (Ofosu & Kotey, 2020). Despite this surge in participation, several betting organizations have witnessed declining levels of consumer engagement. This drop is attributed to challenges such as account breaches, cyber fraud, difficulties in withdrawing funds during live games, intrusive pop-up ads that obstruct website navigation, and unreliable payout systems. These issues have negatively impacted customer satisfaction, retention, and trust. Many users have expressed frustration over technical problems, especially those related to booking preferred games, leading to negative word-of-mouth, reduced return visits, and weakened brand loyalty (Ofosu & Kotey, 2020). In response to these challenges, this research seeks to assess the efficacy of a conceptual framework that includes online betting techniques—specifically betting odds and betting bonuses—and how these influence key indicators of youth patronage, namely referrals and repeat visits. The ultimate goal is to explore how these factors might be leveraged as part of broader strategies to address youth unemployment. In light of these issues, the study aims to conduct an empirical investigation into the impact of sports betting techniques on youth patronage of sports gambling in Nigeria. 1.3 Objective of the study The broad objective of the study is to investigate the Influence of Sports Betting Strategies on Youth Engagement in Sports Gambling in Nigeria. The specific objectives is as follows i.Identify the various betting techniques used by sport betting companies in Nigeria ii.Determine whether there is a significant relationship between sport betting techniques and youth patronage of sports gambling. iii.Find out the effects of sport betting techniques on youths’ attractiveness to sport gambling in Nigeria. iv.Determine the extent sport betting techniques influence youth patronage of sports gambling in Nigeria. 1.4 Research questions The following questions have been prepared for the study i.What are the various betting techniques used by sport betting companies in Nigeria? ii.Is there a significant relationship between sport betting techniques and youth patronage of sports gambling? iii.What are the effects of sport betting techniques on youths’ attractiveness to sport gambling in Nigeria? iv.What is the extent sport betting techniques influence youth patronage of sports gambling in Nigeria? 1.5 Research hypotheses H0: Sports betting techniques does not have an impact on youth patronage of sports gambling in Nigeria Ha: Sports betting techniques does have an impact on youth patronage of sports gambling in Nigeria 1.6 Significance of the study The findings of the study will be significant to government and policy makers as it will reveal the effects and dangers of sport betting so that they can plan for adequate job creation for youth and also come up with effective strategies to address the problem. The findings of the study will be significant to the academic community as it will contribute to the existing literature. 1.7 Scope of the study The study focuses on the impact of sports betting techniques on youth patronage of sports gambling in Nigeria. Hence, the study will identify the various betting techniques used by sport betting companies in Nigeria, determine whether there is a significant relationship between sport betting techniques and youth patronage of sports gambling, find out the effects of sport betting techniques on youths’ attractiveness to sport gambling in Nigeria and determine the extent sport betting techniques influence youth patronage of sports gambling in Nigeria. Hence, the study is delimited to Asaba, Delta State 1.8 Limitation of the study Like in every human endeavour, the researchers encountered slight constraints while carrying out the study. Insufficient funds tend to impede the efficiency of the researcher in sourcing for the relevant materials, literature, or information and in the process of data collection (internet, questionnaire, and interview), which is why the researcher resorted to a moderate choice of sample size. More so, the researcher will simultaneously engage in this study with other academic work. As a result, the amount of time spent on research will be reduced. 1.9 Definition of terms Sports Betting: The activity of predicting sports results and placing a wager on the outcome. It involves betting on the outcomes of events like football, basketball, or horse racing, often facilitated through online platforms or physical betting shops. Betting Techniques: Strategies or methods used by individuals to increase their chances of winning in sports gambling. These can include analyzing sports statistics, following betting tips, or using specific tools and technologies to make informed betting decisions. Youth Patronage: The involvement or support of young people, typically those aged between 18 and 35, in a particular activity or service. In this context, it refers to the participation and financial investment of young individuals in sports betting. Sports Gambling: The act of wagering money on sports events, where individuals bet on the outcome of matches, races, or tournaments. It is a form of gambling that has gained significant popularity globally, including in Nigeria. Gambling: The act of risking money or valuables on an event with an uncertain outcome, with the primary intent of winning additional money or goods. It involves various forms of activities, including betting, lotteries, and casino games.