66% of Brazil’s small businesses back betting ban

A majority of Brazil’s micro and small businesses support the country’s ban on online betting, with a new survey by Sebrae finding that 66% of respondents favour the measure.

The survey found that 57% were fully in favour of the ban and 8.8% partially supported it. By contrast, 23.5% opposed the measure, including 17% who were fully against it and 6% who were partially opposed.

Sebrae’s research also found that 26% of respondents attributed a decline in revenue over the previous 12 months to the growth of online betting. A further 23% said they could not assess the extent of any financial impact, while 51% reported no direct effect. Just 0.2% said they had benefited from the sector.

A separate poll recently found that 75% of Brazilians believe online betting platforms should be banned.

Changes in consumer behavior were reported by 48% of respondents

The most frequently cited issue was reduced disposable income, mentioned by 33% of business owners. Another 18% reported increased defaults or late payments, 11.5% saw greater demand for installment payments or informal credit, and 10% said customers were switching to cheaper products.

Among businesses with employees, 40% said their teams had been affected by online betting. Comments included reports of staff debt, requests for salary advances, betting during working hours, poor sleep, reduced productivity and financial shortfalls.

Business owners were optimistic about the ban’s potential economic effects

Some 38% expected revenue to increase, while 42% anticipated no change and just 0.6% expected sales to fall. 

The survey included 56% respondents representing microenterprises, 22.5% were individual microentrepreneurs and 21.5% came from small businesses. Services accounted for 53% of respondents, followed by commerce at 29%, industry and construction at 12.5%, and agribusiness at 3%.