Imagine browsing an online betting site, confident that your personal data is protected. A few hours later, targeted adverts for gambling sites invade your Facebook news feed. Coincidence? Not really. A recent investigation revealed that many gambling sites secretly share their users’ data with Meta, Facebook’s parent company, without their explicit consent.
The investigation’s revelations
The Observer’s investigation highlighted the use of the ‘Meta Pixel’ by many gambling sites. This tracking tool captures a range of information about visitors’ activities, such as pages viewed and clicks on betting-related buttons. Of particular concern is the fact that this data is transmitted to Meta before users have the opportunity to opt-in or opt-out of tracking, a potential breach of data protection laws.
According to the investigation, out of 150 UK gambling sites analysed, 52 automatically transmitted data to Meta, without the consent of users. These sites included well-known names such as Hollywoodbets, Bwin and 10Bet. Even when these sites display consent banners, tests revealed that data was still being transferred to Meta without users’ explicit consent. This led to many users receiving targeted gambling ads on Facebook, suggesting that Meta had profiled them as potential punters.
Reactions and consequences
The revelation sparked outrage among regulators and legislators. Iain Duncan Smith, Chair of the All-Party Parliamentary Group on Gambling Reform, called for immediate action, stating that the gambling industry’s marketing practices are out of control and that regulators are failing to enforce the rules.
Privacy expert Wolfie Christl also criticised Meta’s involvement, saying:
‘Even with consent, sharing data with Meta is risky. Doing so without user approval is a blatant violation of the law. Meta benefits from these practices while avoiding responsibility.’
For its part, the Information Commissioner’s Office (ICO) is currently reviewing the use of tracking pixels, warning that companies must use them in a ‘fair, lawful and transparent’ way. The ICO has said it will impose fines of up to £500,000 if necessary.
Responses from the companies concerned
Following these revelations, some gambling companies have taken corrective action. Bwin, former sponsor of Real Madrid, attributed the data-sharing problem to an internal error and said it had corrected it. AG Communications, which operates several gambling brands, has also changed its tracking settings.
However, others, such as Sporting Index and 10Bet, did not respond to requests. Hollywoodbets insisted it was complying with all regulations, but tests showed it was still sending data to Meta without consent.
The findings add to growing concerns about gambling advertising and data privacy. Last year, the ICO reprimanded Sky Betting & Gaming for illegally using advertising cookies. In another case, Sky Betting & Gaming collected data on a compulsive gambler and sent him more than 1,000 targeted adverts, aggravating his addiction.
Meta, which has already been criticised for its handling of personal data, is once again under fire. According to experts, the company is benefiting from these data transfers while escaping any real legal responsibility.
Implications for users
For players, these practices raise serious privacy issues. Not only is their data shared without consent, but it is also used to target them with personalised advertising, which can exacerbate problem gambling behaviour. Although measures have been taken to limit excessive advertising, such as the ban on gambling advertising in Belgium from July 2023, it is clear that further efforts are needed to protect consumers.