The Guardian report has accused the gambling industry of sending data to Meta, the parent company of Facebook, in a significant breach of data laws.
The Observer report tested a total of 150 sites, detecting that a total of 52 were automatically sharing data and subsequently flouting UK rules.
At the heart of the allegations is a tracking tool that is reportedly embedded in a wide variety of gambling verticals, gaining data of players who visit the site.
The UK paper is accusing the industry of unlawfully sharing the data with Facebook, causing them to intensify marketing content across that person’s feed.
Data like this can only be used for marketing purposes with the consent of the user, according to UK law.
The Observer named Hollywoodbets, Sporting Index, Bwin, Lottoland, 10Bet and Bet442 as sites that had been utilising the Meta Pixel tool.
However, the paper also detailed the names of operators whose utilisation of the Meta Pixel tool to deliver personalised advertising for players was within the rules. These included, Ladbrokes, Sky Bet, BetVictor, Tombola and bet365.
The news story comes as Sky Betting and Gaming recently revealed it is “considering” an appeal after the high court ruled the group did breach data regulations following direct marketing sent to a problem gambler.
The player at the centre of this case, who reportedly lost more than £45,000 over 10 years, underpinned his belief that the operator should have been aware they were a problem gambler and therefore should not have enabled their data to be utilised for third party marketing.
Sky Betting and Gaming did emphasise on site that it “never shares data with companies outside of its group for them to use for their own marketing.
The operator stated: “We fundamentally disagree with this judgment. We have made significant changes to our controls and processes over the past six years as part of our ongoing investment behind safer gambling and will continue to do so.”
It’s a case that magnifies the scrutiny around the usage of cookies within the gambling industry. The court emphasised that the operator didn’t have the right to collect the relevant data through cookies and subsequently utilise it for the purposes of direct marketing.
One of the key issues alleged by the claimant was that sensitive information had been tapped into in order to build a unique customer profile. The sensitive data at the centre of the claim included things like the player’s mental health and struggles with gambling addiction.
The case could change the approach to player profiling for the industry significantly, presenting a safeguarding obstacle for operators.
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