CHAPTER 4:
POKER MACHINES– LETHAL MONEY STRIPPERS
‘…. Gaming
machines are relentless. Just keep feeding and they will continue to swallow.
Only rarely do they spew up more than you have sunk in their multi-coloured
maws’ (Forell, 1997).
INTRODUCTION
Rather than a homogenous
group of activities, gambling activities vary significantly, for some are more
conducive to excessive gambling than others. A direct relationship between the
structural qualities of an activity and excessive gambling has been firmly
established ( Dickerson, 1990 ). Excessive gambling is always associated with
those games which allow rapid and repeated staking in a single session:
betting, both on and off the course; slot and video machines; and casino games
(Dickerson, 1985). These activities are termed continuous and
incite persistent play, making it possible to lose large amounts of
money over a short period of time. Currently in
It is very rare for
excessive gambling to be associated with lotto or pools. Lotto and pools allow
for longer periods of time between betting and the result, and the odds are
made clear to the participants. Extensive research (Dickerson, 1990) shows that
most gamblers who seek help from treatment services have as their problem
gambling activity, a continuous form of gambling. Out of the continuous forms
of betting causing excess, poker machines are the leading activity (Fisher and
Griffiths, 1995). Current reports in
Cornish (1978) points out
that the structural characteristics of a particular gambling activity are
responsible for reinforcement, may satisfy the gamblers needs and may actually
facilitate excessive gambling. By identifying such structural characteristics
it may be possible to see how (a) needs are identified, (b) information about
gambling is presented or misrepresented, and (c) cognitions are influenced and
distorted (Cornish, 1978). Showing the existence of such relationships is of
great importance because not only can potential dangerous forms of gambling be
identified, but effective and selective legislation can be formulated (Cornish,
1978).
The Royal Commission (1951,
in
STRUCTURAL CHARACTERISTICS OF
POKER MACHINES
Pay-out Interval and Event
Frequency
The time between the
initial gamble and the winning payment, that is the pay out interval, is very
short on poker machines, unlike lotto and pools which have few event
frequencies. There are therefore few constraints on repeated gambling, and with
the advent of technology the speed of the machines today have been accelerated.
Limits are set only by the speed of the machine’s mechanisms and the players
themselves. Such a characteristic may therefore be an inducement to gamble and
an inducement to continue. The frequency of playing, when linked with the
result of the gamble (win or loss) and the actual time that winnings are
received, exploit the behaviourist psychological principles of learning (Moran,
1987, in Griffiths, 1993). This process is operant conditioning whereby habits
are conditioned by rewarding behaviour. This acts as a reinforcement to
continue the habit and in the case of gambling, the reward and the reinforcer
is money. The poker machines also operate on variable ratio schedules (intermittent
rewards) which have shown to be most effective in producing high rates of
response (Skinner, 1953). Slot machines are the paradigm example of operant
conditioning controlling the behaviour of human beings (Skinner, 1953, in
Walker, 1995).
Combining the rapidity of
the payout interval, event frequency, and the variable ratio schedule, it is
not surprising then that high rates of responses and consequential excess
occur. Cornish (1978) also notes that the gaming industry understands this
concept because they acknowledge the need to pay out winnings as quickly as
possible to reinforce winners to continue gambling.
Poker machines pay out
small wins, and Dickerson (1990) found that small wins increased the rate of
play for all groups researched. Also the rapid event frequency means that the
period of loss is brief which does not allow for financial consideration and,
more importantly, winnings can be regambled.
The Psychology of the Near
Miss and Symbol Ratio Proportions
The psychology of the near
miss (Reid, 1986) is a related aspect to operant conditioning which acts as an
intermediate reinforcer. Reid (1986) notes that near misses, that is failures
that are close to being successful, encourage future play, which induces
continued gambling. He states that, in particular, poker machines are
formulated to ensure a higher than chance frequency of near misses – that is
the appearance of two winning symbols. The poker machines’ pay out line that is
horizontally located in the middle line of a 3 x 3 matrix. When the three
winning symbols are displayed, money is won – a reinforcer to play. However,
when two winning symbols and a third losing one appear, this is still strongly
reinforcing at no extra expense to the machine’s owner (Skinner, 1953). A near
miss produces some of the excitement of a win through secondary reinforcement
(a psycho-structural characteristic), so players are therefore not constantly
losing but constantly nearly winning.
The near miss can also be
explained in terms on Amsel’s (1958, in Reid, 1986) Frustration Theory where
failing to fulfil a goal (losing on a poker machine) produces frustration which
energises ongoing behaviour. Future wins then reinforce high rate behaviour.
Cognitive regret (Kahneman and Tversky, 1982, in Reid, 1986) induced by the
frustration of ‘nearly winning’ also plays a part because the elimination of
regret can be achieved by playing again, and this in turn encourages future
play.
A design within the
machines to produce a greater perception of the ‘near miss’ was discovered by
Strickland and Grote (1967, in Griffiths, 1993). They found that fruit machines
are programmed to show winning symbols early in the result sequence. The first
reel on a machine tends to have a larger proportion of winning symbols than the
second reel, what has a larger proportion of winning symbols that the third
reel. Since the reels stop in this order, the player is most likely to see a
winning symbol early in the result sequence. Strickland and Grote (12967, in
Griffiths, 1993), by presenting players with frequent winning symbols either
early or late in the fruit machine’s result sequence, found that the former
situation led to a significantly longer play than the latter.
Multiplier Potential
This structural
characteristic is the range of odds and stakes that the form of gambling offers
and can be viewed as a primary inducement to play. The gambler can choose the
rate at which their wins and/or losses multiply. Stakes to gamble on fruit
machines range from the smallest coin denomination to the largest with the
general rule that the more money initially staked the greater the jackpot
(Griffiths, 1990). The opportunity to bet higher stakes in order to multiply
winnings or recoup losses, combined with the high event frequency, short pay
out interval, participants can be tempted to continue gambling longer than they
might otherwise (Cornish, 1978).
Bettor Involvement and Skill
Cornish (1978) states that
to some extent the degree of personal participation, that is bettor involvement
and the exercise of skill is interrelated. Fruit machine playing requires the
player to be at the site of the gambling activity and to interact with the
machine. This is a psycho-structural interaction in which the player is
actively involved in making constant decisions in reaction to the machine’s
display after each separate gamble. The more actively involved a person is with
a gambling activity the more likely they are to believe that their actions can
affect gambling outcomes, most probably through the illusion of control.
Langer (1975, in Griffith,
1993) defined the illusion of control as being an expectancy of personal
success inappropriately higher than the objective probability would warrant.
She found that in chance settings those conditions which involve factors of
choice, familiarity, involvement and/or competition may stimulate the illusion
of control to produce skill orientations. For example, early wins during chance
games such as ‘heads or tails’ induced a skill orientation (Langer & Roth,
1975, in Griffiths, 1993). Reid (1986) also found this to be the case with
fruit machines.
Fruit machines are based
wholly on chance so player’s abilities are precluded from the outcome.
‘However, in manufacturing and profit terms, to make the players think they are
affecting the outcome is as good as if they actually are – and is at no extra
recurrent cost to the operator’ (Griffiths, 1993,p.109). Griffiths (1990) found
that the structural characteristics of the fruit machines enable it to mimic
skill determined situations. Added specialist play features such as ‘nudge’,
‘hold’ and ‘gamble’ buttons increased the achievement of creating perceived
skill.
Research (Griffiths, 1990)
shows that regular fruit machine players believe their activity to be skilful.
Griffiths (1993) argues that the specialist play features stimulate the
illusion of control through personal involvement, perception of skill, and familiarity
with a particular machine. Fruit machine gambling thus combines active
participation and personal skills (whether real or imagined) encouraging
continuous gambling. White (1989, in Griffiths, 1993) argues that specialist
play features lead to longer play because there are no instructions as to how
to use the features, therefore players have to spend money learning to ‘master’
the controls.
Win Probability
Win probability and pay out
ratios differ in most types of gambling but are important structural
characteristics (Royal Commission, 1951; Weinstein and Deitch, 1974; both cited
in Griffiths, 1993). The choice to gamble on a particular activity may be
determined by these basic risk dimensions. Griffiths (1990) found that winning
money is only one of a variety of reasons adolescent fruit machine players
indicated as their motivation for playing. Other reasons for playing included
fun, boredom, social influences, atmosphere, escapism, and excitement. Studies
involving pathological fruit machine players (Griffiths, 1990) indicated that
these gamblers play with money rather than for it, and their aim was to stay on
the machine for as long as possible using the least amount of money similar to
video game play. Probabilities of winning on fruit machines are fairly high in
comparison with other gambling activities with most machines given a 75-90% pay
out, even though the amounts won are small in comparison to other
activities. New fruit machine gamblers may be attracted by machines displaying
amounts that can be won. It is also highly likely that the ordinary gambler
does not think about the actual probability of winning but relies on heuristic
strategies for handling the available information (Griffith, 1990).
Light and Sound Effects
White (1989, Griffiths,
1993) states that the flashing lights and sound effects of a fruit machine give
a constant impression of fun and activity, as well as suggesting big money wins
technically beyond the machine's capacity. These psycho-structural
characteristics are gambling inducers and stimulate further gambling. Sound
effects are used to give the impression that winning is more common than
losing. Firstly, fruit machines have metal trays into which winnings fall. The
sound of coins falling into a metal tray, which is a loud noise, means that
everyone in the vicinity knows there is a winner. It also gives the impression
of a bigger win than it actually is, because the winnings are usually paid out
in small denomination coins, but still makes a convincing noise. Secondly, after
each win fruit machines buzz loudly or play a musical tune.
Light and colour variables,
which are often inter-related, affect behavioural patterns in a variety of
contexts, (Birren, 1978, in Griffiths, 1993). There is a direct relationship
between colour stimulation and central nervous system activity (Bornstein,
1978, in Griffiths, 1993). Colour evokes affective states and influences
behaviour. It has been found that red is exciting and stimulating, blue is
comfortable, secure and soothing, orange is disturbing and green is leisurely
(Wexner, 1954, in Griffiths, 1993). In addition, variations in colour can
affect human physiological reactions such as blood pressure and breathing rate
(Acking and Kuller, 1972, in Griffiths, 1993). Red also appears to be
associated with increased frequency and intensity of responding as compared
with blue or green (Eysenck, 1941, in Griffiths, 1993).
Stark, Saunders and Wookey,
(1982, in Griffiths, 1993) found that gambling subjects exposed to red light
had a less inhibitory effect on gabling behaviour than blue lighting. Griffiths
and Swift, (1992, in Griffiths, 1993) did a small study on gambling arcades in
Plymouth, England, and found the general colour of all the arcades’ interiors
was towards the red end of the colour spectrum. They also found that the
lighting was very dim while the machines were a series of flashing lights. As a
consequence, they speculated that a subtle effect would be the increase of
gambling, and the decrease of social interaction because dim lighting increases
verbal latency and reduces eye contact (Carr and Dabbs, 1974, in Griffiths,
1993).
The Psychology of Naming
Costa (1988) says that the
names of fruit machines are also important inducements to play. They have been
named to produce different impression formations, and can be viewed as
psycho-structural characteristics which are potentially gambling inducing. For
example, the first slot machine was call ‘The Liberty Bell’, a symbol of
patriotism of American Independence. Griffiths (1990, in Griffiths, 1993) in
his observation of amusement arcades in England found the names of machines
fell into 4 categories. The most common (53%) were the names which had a
reference to money – for example Cashpoint and Piggy Bank. These names gave the
impression that the machines are places where a player gets money from, not
lose it. The second category suggested that skill was required to play – for
example Skillcash and Fruitskill. The third category gave the impression that
the odds of winning were fair in comparison to that of the ‘house’ with names
such as Fortune Trail and Silver Chance. The remaining machines either included
reference to the word reel like Reel Money and Reel Crazy, or were affectively
appealing like Nifty Fifty and Naughty but Nice.
Suspension of Judgement
Suspension of judgement,
that is the disruption of a gambler’s value system stimulates further gambling.
Fruit machines usually consist of low coin denominations, giving the impression
that there is little to be lost in each gamble. The speed of the machine erodes
the gambler’s financial decisions as there is little time to collect one’s
thoughts about how much money is being lost.
These structures could be
differentiated as just structural characteristics. However, they are
‘psycho-structural’ (Griffiths, 1990, p.106) characteristics because they are
designed on psychological theories of the human psyche. The psychology of the
‘near miss’, the operant conditioning and variable ratio schedule, the illusion
of control, cognitive regret, the psychological naming, the light and sound
effects produced, the speed of the machines which are designed to halt thought
processes, the opportunity to ‘win’, and the taking of risk, are
‘universalised’ human psychological and behavioural processes – that is they
can tap into the potential in all of us. Therefore, any-one who chooses
to pay the poker machines will experience a similar phenomenon. Thus,
differences in individual characteristics of those people who choose to play
the machines are irrelevant. The only relevancy is that some people do not like
poker machine playing, while others do – a relevancy which would be important
to the gaming industry. It is the same relevancy as why some people like and
play tennis, and not golf, except poker machine playing is a different leisure
product because it guarantees economic ruination.
The constellation of
psycho-structural characteristics are designed on ‘selectively’ chosen
psychological theories of human nature on the basis of the potential to arouse basic
human qualities which play and continuous play. The psycho-structural
characteristics are not independent of the player because a relationship is
formed between the player and machine, as the player acts upon and responds to
the machine, which acts upon the player.
The gambler, regardless of
biological or psychological constitution is caught in a continuous relationship
of arousal and behavioural responses which has been structured into the
machines. The gambler responds as a ‘normal’ human being inherently
potentialised with the psychological and affective characteristics which are
purposefully chosen psycho-structural machine characteristics. However, these
purposefully incited ‘natural’ responses are labelled as ‘addiction’, the
player earning the title of an ‘addicted personality’. The gaming industry then
pathologises the players for their natural responses, which the industry has
incited through the purposeful structuring of the poker machines.
The Unfair Bet
Poker machines are
programmed for punters to lose. It is not a ‘fair bet’, for the odds and
probabilities are in favour of the ‘house’ (Hess and Diller, 1969; Walker,
1995). Therefore, participation on any level guarantees economic loss,
but continuous and persistent play guarantees eventual financial demise. It is
the financial ruin that is the cause of the gambler’s demise (Walker, 1995).
Exploitation
The minimum legislated
return to players in Australia is eighty-five percent (The Hill Report, 1995) ,
so for every $100 fed into the machines, the average return is $85 – an
automatic loss of $15. The next bet then is eighty-five percent of the eighty-five
percent and so on until there is nothing left. The fact that the return is
eighty-five percent does not entail every time a players bets they get $85 back
either. Poker machine playing requires no skill; it is purely a game of
‘chance’ (a doubtful label when considering the machines are programmed and how
they are programmed). Players therefore have no control over the activity.
Instead the machines dictate the play, and are programmed to only return fixed
amount that are less than the player feeds in.
Delfabbro (1997),
researching poker machines in South Australia shows that they are designed to
increase the probability of a ‘near miss’. On each reel there are usually
between 25-50 symbols. Typically there will be more of a certain type of
winning symbol on alternate reels. Thus the player will very often obtain 2
winning symbols but not the third which is required to win. The first reel has
been programmed with most winning symbols, and the last reel with the least.
Symbols appear from left to right, so poker machine players observe constant
near misses. This deliberately increases the players’ expectations that a win
will eventually arrive, or else that winning is possible.
Research (Delfabbro, 1997)
on the same machines has also shown the probability of winning the higher
jackpots is very poor. For example to obtain 5 ‘Black Rhinos’ (‘Black Rhino’ is
the most popular machine in Adelaide), the probability is ^5(1/25) p=(1/25) ^5*
the number of lines bet. These figures mean that the probability of winning is
1 in over 8 million, just slightly more than the probability of winning cross
lotto. If 9 lines are played this decreases to approximately one in 1.2
million.
Combining the facts that
economic loss for the punter is programmed into the machines, and the probability
of winning the Jackpot is rare, with the constellation of psycho-structural
characteristics which encourage involvement, which incites continuous and
persistent play, which guarantees economic loss, and we have a financially
dangerous machine – a lethal money stripper. Add the facts that the machines
are presented as financially profitable, and marketing strategies are designed
to purposefully not only seduce people into playing the machines, but to incite
persistent playing, to the massive profits being made by the entrepreneurs,
hoteliers, and corporations from poker machine playing, the situation is
without doubt exploitation. The gaming industry has been handed the license to
exploit, justified by the basic capitalist principle of the maximising of
profit.
ADVERTISING AND MARKETING
STRATEGIES
Aggressive advertising
persuading people to spend their live savings, with strategies like ‘in your
face’ images projecting every-one as winners which deceitfully presents gaming
as a prosperous activity for every one. Advertising messages are overwhelmingly
positive and promote gaming as an economically profitable venture. Gambling has
been glamourised, normalised, and sanitised, and promoted as a fun and
financially productive pastime (Mellor, 1995).
Advertising sells the
notion that gaming is an easy and quick opportunity to ‘get rich’ and for all
who play (a contradiction by capitalist governments who advocate hard work and
savings as being the back bone of a country). The advertising is the marketing
of dreams epitomising the capitalist dream of untold wealth, offering all who
play the chance to be millionaires. Given the acquisition of wealth is highly
valued in our capitalist society, as well as the fact that money is the
commodity upon which every Australian has been made dependent, the advertising
appeals to economic gain provide powerful motivations to play.
Glossy pictures portray all
poker machine players as happy ‘winners’. The financial losers who constitute
mostly every-one who play are missing. The advertising creates the impression
that if one does not play they are ‘losing’. Two basic human motivations
are appealed to – the want to be a winner, and the ‘not wanting’ to be a loser.
Instead of losers being those who participate, ‘losers’ have been framed by the
advertising as those ‘boring’ people who do not participate in gaming. An
example, although not an advertising for poker-machines, but still has the
capacity to be generalised, is television advertising for Lotteries where a
woman reading in a shop is depicted as ‘boring’ and a ‘loser’ in relation to an
excited woman who is screaming loudly about her ‘win’.
Advertising also lures
people into playing the machines by promoting and encouraging new forms of
socialising – in Hotels and Casinos (with machines, alcohol, money and
inanimate objects). Casino advertisements show sophisticated men and women
engaging in exciting and glamorous social interaction. The gambling activity,
although in the image, is not the feature. The Adelaide Casino invites people
to ‘come and join the party’, rather than ‘come and gamble’. The Crown Casino
is advertised as an entertainment centre for all the family. Children’s
entertainment is available while the parents gamble.
High powered marketing
strategies have targeted new gamblers. Their ploys have been successful, for
women are now the ‘new’ gamblers. Gaming has been socially acceptable for
women. The hotels are now ‘respectable’ venues for women to participate in
poker machine playing.
Economic viability is also
presented in the form of cheap meals. Advertised prolifically in local papers
are ‘packages’. For example, an $8 package entails $3 worth of coins with which
to play the pokies, a meal, a free drink, (wine, beer or a soft drink), and a
‘free’ Keno ticket.
Another package is a ‘Poker
Voucher for $7’, which includes $3 off any meal, $4 of pokies coins, a free
drink, free entry into 5 lucky draws. Food is now synonymous with poker machine
playing. The association of gambling and alcohol is also further established.
Buying a package is presented as an economically practical choice.
Created is an illusion that
both financial and social human needs will be met. Projected is the
notion that everyone is a winner, and ‘Jackpots’ of large amounts of money is
readily won; and images of men and women happily socialising in a convivial
environment. These are particular lures for those struggling financially, those
in structural poverty, and those who are socially isolated and/or lonely. The
Hill Report (1995) found that 81% of players earn below $30,000 per year. Not
that these people are the only ones affected. Middle class gamblers are also
facing ruination as a result of poker machine playing.
ABUSE OF THE HUMAN SCIENCES
The structural
characteristics of the poker machines and the powerful marketing strategies
indicate the knowledge of human sciences by the gaming industry. The poker
machines are designed on basic human principles. The importance of money in
people’s lives as well as social needs is also understood as these are the
major appeals made in the advertising and marketing strategies.
Given that: the appeals to
both social and economic needs is used to encourage people to play the
machines; and the machines are psycho-structurally designed to incite
‘continuous’ play, but are programmed for punters to lose and guarantee
financial ruin upon persistent play, the gaming industry have abused the
knowledge of the human sciences. It is the contention of this thesis that in
turn, the players are psychologically abused. They are powerfully manipulated
into continuous play which guarantees financial demise. Considering the massive
profits generated by the entrepreneurs, corporations, and the hotel owners from
people who are psychology manipulated into losing their money, who are then
scape-goated as deviant, the situation is indeed morally reprehensible.
It has been shown in this
chapter that anyone who plays the poker machines will experience a
similar phenomenon, for the machines have been structured with
psycho-structural characteristics which are inherent potentialities in all of
us. Thus players’ responses to the machines are ‘normal’ human responses. The
constellation of psycho-structural characteristics are selected to incite
continuous play, thus when players continue to play the responses are ‘normal’
human responses rather than ‘addictive’. The machines are programmed for the
punters to lose. Thus financial loss is inevitable and a natural outcome of the
activity, with gambling problems potential for every player.
CHAPTER 1: THE SCAPE-GOATED
CHAPTER 2: FROM A SIN, TO A VICE, TO A DISEASE, TO A SOCIAL VIRTUE
CHAPTER 3: TWO TYPES OF GAMBLERS? A LITERATURE REVIEW
CHAPTER 5: THE SCAPE-GOATED
CHAPTER 6: THE FIELD OBSERVATION
CHAPTER 7: QUESTIONNAIRE SURVEY
CHAPTER 8: CONCLUSION
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