DraftKings Responds to Congress on Customer Targeting Practices and Responsible Gaming Controls
DraftKings told Congress it has never targeted problem gamblers with promotions and excludes such users from VIP programs. Only 1% of customers reach top tiers; monitoring continues post-admission via a Responsible Engagement Team. The response addresses NYT-driven scrutiny while noting strong projected 2027 revenue up to $7.75 billion.
SCCG Take — This filing signals operators must document monitoring protocols clearly to withstand regulatory and legislative review. Sustained state-level attention could tighten permissible data use in personalization.
DraftKings has denied using technology to target vulnerable consumers, responding to a congressional letter that questioned its VIP and rewards programs.
The inquiry, sent on October 22, 2026, came from Sen. Richard Blumenthal and Reps. Paul Tonko and Valerie Foushee. It focused on how the company interacts with customers and leverages data for promotional offers.
DraftKings Responds to Congressional Scrutiny
DraftKings stated flatly that it has never targeted people showing symptoms of problem gambling with its promotional offers. Self-excluded customers and those on the involuntary exclusion list receive no such materials, let alone access to exclusive VIP and rewards programs.
Once admitted to the VIP program, the company continues monitoring for signs of addictive or reckless behavior. A dedicated Responsible Engagement Team oversees this process. DraftKings maintained that all customers play within their means.
The questions follow a New York Times article on whether sports betting operators use technology to identify customer "elasticity" and direct more promotions toward those likely to spend larger sums. That coverage prompted both congressional attention and reviews by multiple state gaming regulators.
FanDuel has faced parallel scrutiny. Both companies acknowledged knowing which customers had lost money and in what amounts. They asserted there was no malice, providing the same product to all non-problem accounts while maintaining built-in mechanisms to prevent gambling-related harm.
Clarifications on VIP Access and Technology Deployment
DraftKings reported that only 1% of customers reach its highest loyalty tiers. The company does not send personalized videos from prominent personalities and has no plans to do so.
While it employs AI and human expertise to track players, DraftKings insisted this information is never converted into bonus promotions designed to increase losses or cause harm. The letter arrives as the company projects FY 2027 revenue between $7.35 billion and $7.75 billion and EBITDA of $800 million to $1 billion, according to reporting by GamblingNews.
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