For most readers, these two realms might seem to be light-years apart from one another. A video game is purely entertainment, right?
While iGaming demands the wagering of real money and requires the chance factors of gambling, the more I have studied and engaged in these two sectors over the years, the more they have coalesced.
Being an expert in this industry, I have noted and tracked the intersections of gaming, regulation and player behaviour as the years have gone by.
As more and more casinos have come online and more games have been released to the public, I have observed how game mechanics, reward systems and psychological paradigms have carried over into the iGaming industry, thus shaping the way I and other players engage with online casinos and betting platforms more generally.
In this article, I will be taking a look at how the video game industry has informed the iGaming boom. Not just gamifying the experience for players, but also leading to risks that some people may not even be aware of.
Why video game mechanics attract players in iGaming
Video games have evolved far beyond Pong or Tetris. They are now built on sophisticated achievement systems that are designed purposefully to make players feel rewarded by progression, ensuring retention and engagement. iGaming operators have grabbed on to this, stealing various game mechanics for themselves to improve their online casino offerings.
Reward trees, in-game achievements, level progression bars and even loot boxes are all examples of features implemented by operators and game providers alike to boost the dopamine-driven engagement of their gaming experience, encouraging players to keep coming back. It’s not hard to see these systems mirrored in iGaming during bonus levels, tournaments, loyalty systems and site graphics. Players feel rewarded by the sense of personal growth, even if the financial outcomes are not ultimately positive.
Conversely, games like Fortnite and even FIFA: Ultimate Team employ pay-to-play mechanics, revolving around the spending of in-game currency to buy trivial aesthetics for characters, or gambling on statistical minor upgrades for football stars, sometimes paying hundreds of pounds for non-tangible items.
The mechanics of this reward-centric system are identical to the processes of online slot bonuses or even digital scratchcards, the only difference being actual money at the end of the day and not just a new avatar skin. This crossover is far more superficial, shaping expectations of reward regularity, frequent risks and value being perceived more in gambling contexts than anywhere else.
The mechanics influencing player behaviour
The psychological aspect of these mechanics is deeply rooted, it’s new and has so far only been tested in shallow waters. After all, video games have only been available to us for half a century, at a push.
The similarities between video games and iGaming focuses on intermittent rewards, known in behavioural science as ‘variable ratio reinforcement’. This principle is emblematic of what is experienced when spinning on slot machines or opening loot boxes. Rewards are randomised and often unfavourable, which therefore increases engagement, especially for players looking to cover losses or achieve a statistically rare outcome.
In iGaming, more specifically, this is seen in free spins, mystery prizes and progressive wins. Gamers will incessantly chase their next win or reward, oblivious to the odds or terms and conditions attached to what they are wagering, similar to the FIFA Ultimate Team Player looking to make a big pull from a pack.
Game developers astutely grasp this malleable design and bend it into shape to fit their casino design, because it keeps retention high and ultimately revenue at a constant flow.
Effectively, both entities have meshed into one another by this point, causing casual gamers to believe that what they are doing is not in fact gambling but simply gaming instead.
Understanding the risks of blended experiences
While it is innovative and alluring for the iGaming industry to diversify and branch into these avenues of gamification, there is always going to be a significant risk along with this. There is a thin, delicate line between fun and financial harm, especially for the younger generation or those who are new to gambling.
The obvious concern is the normalisation of behaviours associated with gambling being trivialised through gaming. Loot boxes or packs in games, for example, have been openly scrutinised in the past for their likeness to slot machines.
An invaluable study made by the UK Gambling Commission in 2021 reported on this engagement, noting that players who purchase loot boxes or similar revisions are more likely to engage in gambling later on in life.
Though not everyone subject to packs or loot boxes is guaranteed to gamble, the behaviour conditioning is as clear as day.
A bigger risk that perhaps flies under the radar is the misperception of control.
As video games often reward players for increasing their skill, it creates an illusion that this effort is the sole route to success. In online gambling, this mirage is still there, particularly in skill-adjacent games (like live video poker or instant games), leading some gamers to overestimate their level of control over what are essentially seemingly random outcomes.
How game design shapes gambling habits
The inherent design of video games will always be pivotal in the appeal of iGaming, considering its restructuring of the framework.
Fantastical, narrative-driven visuals, dynamic animations and levelling-up systems invigorate the brain in ways that parallel the joys of gaming. Gradual big wins and even smaller incremental triumphs are carefully calibrated to trigger dopamine receptors and reinforce consistent playing.
After analysing some of the best-performing casinos across platforms, the parallels have only been growing. Virtual heroes to play as or capture, customisable domains and narrative-focused slots all borrow from mainstream gaming. Even though not specifically linked to progression, aesthetic, non-tangible elements drive immersion and make platforms feel less financially straining – or even realistic – because they’re so deeply rooted in fiction.
Extending further beyond this, the psychological aspects are amplified by social portals. Multiplayer features in this setting are being used to immerse gamers in a hyper-reality of sorts, simulating video games and even real life with chat functionalities and leaderboards. Players not only have a desire to chase after rewards but also compete in social settings, enhancing engagement and retention.
The role of skill vs chance
The obvious comparison to draw between both formats is that video games often reward skill deservingly, whereas iGaming prioritises luck over everything else. There are hybrid models in the works that integrate skilful gameplay with the core mechanics of slots or interactive casino games, mimicking the visceral feeling of control gained from playing video games.
From a personal perspective as a player, games at casinos feel more ‘fair’, and predictably so because their outcome is mostly based on RNG technology. Software developers have a tendency to exploit this idea to make their audience feel empowered, once again driving engagement, and as part and parcel of this, spending more and more. Quite the marriage, isn’t it?
How players can navigate the crossover
Tread with caution. I enjoy video games as much as everyone else; they’re by no means inherently harmful, but understanding how they could be is crucial. Players should always be aware of how these reward systems affect the neurological systems in the brain. Understanding how chance compares to skill, especially when money is involved, is invaluable knowledge.
When it comes to iGaming, double-checking that the platform is licensed by a reputable regulator like the UKGC or MGA is a great tick-box, and one I often use. Being licensed by a stringent entity ensures that certain standards are being met, and that gameplay is always transparent. That’s not to say a license rules out risk, as gamified mechanics are difficult to recognize and avoid.
Responsible gambling tools are always my first port of call in this scenario – making sure I am always equipped to self-regulate is the ultimate form of navigation, in my experience.
The future of gaming and iGaming
With the scary increase of virtual reality (VR) and augmented reality (AR) set to take over, well, reality, the intrinsic link between video games, iGaming and the human psyche is only set to strengthen.
Esports betting, skill-based casino games and NFT-centric rewards illustrate how hybrid models can blur the already fuzzy lines between entertainment and gambling. With these innovations creating compelling and innovative experiences, there is also more room for harm if players are not fully educated and made aware of the impending risks.
Essentially, all benefactors and independent domains within this evolving landscape must collaborate to ensure a responsible atmosphere is being created across the board. Awareness is key, and education goes without question. Gamification and digitalisation of reward cycles are potent drivers of revenue, but without consideration of safety, they could perpetuate pre-existing gambling problems.
Is gamification a cautionary tale? My final take
From my own perspective – and as a fan of both video games and iGaming – I find this fusion between these two sectors to be just as exciting as it is scary. There is a reason why both domains are successful, with systems being fine-tuned for years to hook players. But when money enters the fray, the implications of these systems rise dramatically. Gamified casinos can be enjoyable, but only when their tricks are understood.
The crossover is certainly a double-edged sword. It’s entertaining, but demands an eagle eye to manage sensibly. Both operators and regulators need to pursue a balance between the two possibilities. But for players, the approach is still the same – enjoy the gameplay, but never forget what is driving you to hit that next level or click for another spin.
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