Playing by the rules: Government regulation and consumer trust in the online poker industry

This study examines how government regulation can affect consumer trust and the perceived value of digital services. Data from interviews, a focus group, and a discrete choice experiment conducted by online poker players find that regulation significantly increases the amount players are willing to...

Full description

Saved in:
Bibliographic Details
Main Authors: Kahlil S. Philander, Bradley S. Wimmer
Format: Article
Language:English
Published: Elsevier 2025-03-01
Series:Computers in Human Behavior Reports
Subjects:
Online Access:http://www.sciencedirect.com/science/article/pii/S2451958825000144
Tags: Add Tag
No Tags, Be the first to tag this record!
_version_ 1825199457548894208
author Kahlil S. Philander
Bradley S. Wimmer
author_facet Kahlil S. Philander
Bradley S. Wimmer
author_sort Kahlil S. Philander
collection DOAJ
description This study examines how government regulation can affect consumer trust and the perceived value of digital services. Data from interviews, a focus group, and a discrete choice experiment conducted by online poker players find that regulation significantly increases the amount players are willing to pay to play online poker and that the size of this regulatory premium differs according to player attitudes. Players are willing to pay an extra $1.83 per hour to play on government-regulated sites and players who view these sites as more secure are willing to pay even more. However, the size of the regulatory premium falls and, in some cases, becomes negative when players believe that government regulation increases the likelihood that their winnings will be taxed. The study also finds lingering effects of the Unlawful Internet Gambling Enforcement Act, which made it difficult for players to manage funds on unregulated sites. Players who think regulation eases these transactions are willing to pay more. Interestingly, government regulation seems to offer an assurance against future government disruptions in the market. Our findings contribute to the understanding of trust-building mechanisms in online services, highlighting the complex effects of government regulation in complementing private measures.
format Article
id doaj-art-e015cb029a36457da858c221589de306
institution Kabale University
issn 2451-9588
language English
publishDate 2025-03-01
publisher Elsevier
record_format Article
series Computers in Human Behavior Reports
spelling doaj-art-e015cb029a36457da858c221589de3062025-02-08T05:00:45ZengElsevierComputers in Human Behavior Reports2451-95882025-03-0117100599Playing by the rules: Government regulation and consumer trust in the online poker industryKahlil S. Philander0Bradley S. Wimmer1Carson College of Business, Washington State University, USA; Corresponding author.Lee Business School, University of Nevada, Las Vegas, USAThis study examines how government regulation can affect consumer trust and the perceived value of digital services. Data from interviews, a focus group, and a discrete choice experiment conducted by online poker players find that regulation significantly increases the amount players are willing to pay to play online poker and that the size of this regulatory premium differs according to player attitudes. Players are willing to pay an extra $1.83 per hour to play on government-regulated sites and players who view these sites as more secure are willing to pay even more. However, the size of the regulatory premium falls and, in some cases, becomes negative when players believe that government regulation increases the likelihood that their winnings will be taxed. The study also finds lingering effects of the Unlawful Internet Gambling Enforcement Act, which made it difficult for players to manage funds on unregulated sites. Players who think regulation eases these transactions are willing to pay more. Interestingly, government regulation seems to offer an assurance against future government disruptions in the market. Our findings contribute to the understanding of trust-building mechanisms in online services, highlighting the complex effects of government regulation in complementing private measures.http://www.sciencedirect.com/science/article/pii/S2451958825000144Online trustDigital servicese-commercePokerRegulation
spellingShingle Kahlil S. Philander
Bradley S. Wimmer
Playing by the rules: Government regulation and consumer trust in the online poker industry
Computers in Human Behavior Reports
Online trust
Digital services
e-commerce
Poker
Regulation
title Playing by the rules: Government regulation and consumer trust in the online poker industry
title_full Playing by the rules: Government regulation and consumer trust in the online poker industry
title_fullStr Playing by the rules: Government regulation and consumer trust in the online poker industry
title_full_unstemmed Playing by the rules: Government regulation and consumer trust in the online poker industry
title_short Playing by the rules: Government regulation and consumer trust in the online poker industry
title_sort playing by the rules government regulation and consumer trust in the online poker industry
topic Online trust
Digital services
e-commerce
Poker
Regulation
url http://www.sciencedirect.com/science/article/pii/S2451958825000144
work_keys_str_mv AT kahlilsphilander playingbytherulesgovernmentregulationandconsumertrustintheonlinepokerindustry
AT bradleyswimmer playingbytherulesgovernmentregulationandconsumertrustintheonlinepokerindustry