The name of the game - A qualitative study on what influences how Swedish iGaming operators manage the balance between customer retention and responsible gambling

Abstract: In industries where homogeneity of products and services prevails, the objective of retaining customers becomes tangible. Due to the potential adverse effects of business operations on both society and individuals, the significance of Corporate Social Responsibility (CSR) has become evident. It has been established that prioritizing CSR facilitates the challenge of enduring customer relationships and the preservation of loyalty, resulting in customer retention. Despite the extensive literature on CSR and customer retention, a research gap exists regarding how corporations within stigmatized industries manage their commercial and social activities, the balancing act between CSR and customer retention. One example of such an industry is the iGaming industry. To answer the research question: "What influences how iGaming operators manage the balance between customer retention and responsible gambling? 11 qualitative semi-structured interviews were conducted with representatives from four iGaming operators and three external iGaming stakeholders. The research drew upon the Theory of Planned Behavior and Stakeholder Theory. The research revealed divergent attitudes among operators towards responsible gambling, with some regarding it as a competitive advantage, while others perceive it as a hygiene factor. External stakeholders, including investors, suppliers and a regulatory authority, exert influence over operators' intentions and behaviors. Furthermore, the operators exhibit their perceived behavioral control and commitment to balancing business objectives with social responsibility through the AI detection systems and customer support. Moreover, the lack of clarity in gambling regulations allows for varying legislative interpretations by operators, potentially resulting in harm for vulnerable customers. The study emphasized the necessity for more precise regulations and guidelines in the iGaming industry to facilitate the balancing act.