As European countries tighten gambling advertising laws, major jurisdictions are trying to balance marketing with participation in safer gambling measures. Marese O’Hagan describes how operators in these jurisdictions face the challenges of how to market effectively and legally.
Across Europe, countries are steadily restricting gambling advertising, failing to heed warnings from the industry.
In May 2022, the Belgian government proposed banning all forms of gambling advertising, with the exception of the National Lottery. The Belgian Carriers Association Bago has criticized the government for not contacting the industry before announcing the proposal.
In the UK, the long-awaited review of the Gambling Act 2005 will feature advertising. A blanket ban like Belgium’s is unlikely, but further restrictions could be implemented.
In Spain, in 2021, when marketing activities were restricted from 1 am to 5 am, strict advertising restrictions were imposed for the first full year. Perhaps in response, the country’s carriers’ marketing spending fell 0.9% year-over-year.
In Italy, gambling advertising is largely banned, and football teams are banned from accepting sponsorship from operators, which is especially problematic.
Meanwhile, the Netherlands, which opened its gambling market in October 2021, has responded swiftly to the rise in gambling advertising with a particular focus on limiting exposure to people under the age of 25.
However, the speed of action of regulators often leaves little controversy, which some argue that restricting advertising rarely has the desired effect. Gambling is legal. Options are not being properly promoted and operators are often forced to interpret opaque regulations.
Special poems adjusted moderation
Sweden provides a good example here. The country’s government proposed major gambling reform bills earlier this year, including tougher measures on gambling advertising to protect young people and those vulnerable to gambling. Among the proposals was a plan to limit advertising to certain times.
It was intended to introduce a “special moderation” rule that would treat gambling as a potentially dangerous product and subject it to special restrictions. .
However, the final version of the bill, which came into force in July, removed this measure. Instead, ads should follow “coordinated moderation.” Requirements that the Swedish online gambling industry group Bransch föreningen for Online spel criticized as ambiguous.
Astrid Hjertaker, legal representative of the Swedish Consumer Agency, says all businesses are ultimately responsible for managing their own marketing.
“Game companies with Swedish game licenses have the opportunity to market their products to Swedish consumers,” explains Hjertaker. “Therefore, game companies have a wide range of responsibilities to ensure proper marketing.
“The moderation requirement does not mean a marketing ban, but a limitation on how such marketing is designed and presented.”
The challenge is how to strike this balance between marketing and vulnerability protection to promote legitimate markets and enable businesses to survive as a business.
“There are several values to consider in gambling advertising,” she says. “It is partly the right of companies to market their products and partly measures that help protect public health from the harmful effects of gambling.
“It is possible for gambling companies to sell their products, but there are precautions that come with protection laws. [Swedish] Gambling method. “
France, by contrast, has taken a more considered approach to regulating gambling advertising, where collaboration with the industry is a top priority.
After gambling regulator L’Autorité Nationale des Jeux (ANJ) ruled that the number of gambling ads shown during the 2020 European Championship tournament was excessive, the country has taken some of its regulatory measures. I have carried it.
This has launched a public consultation on gambling marketing in September 2021, the outcome of which is still pending. ANJ’s president, Isabelle Falque-Pierrotin, said it was important for regulators to listen to stakeholders, operators and players.
“People were criticizing the amount of advertising and the content of the message,” says Falque-Pierrotin. “Some radical voices were voicing a ban on gambling ads.
“Rather than rushing into legislation, we thought it would be better to start consultations to bring all perspectives together to build a solution.”
take action
Earlier this year, ANJ proposed an action plan to tackle domestic advertising. This includes controlling how operators use advertising channels and better enforcing rules that have already been enforced.
The broader point of this regulatory measure is to encourage operators to work with ANJ to develop a viable framework for responsible advertising.
There is a echo of Hjertaker’s point that the onus is on operators to act responsibly, but with additional guidance from ANJ.
“More generally, the goal is to build a joint regulatory approach, which means that operators are more responsible, but within the regulatory scheme set by the regulatory agency,” said Falque-Pierrotin. That’s it. “
She admits that this is a difficult balance to strike, but she is looking to markets where advertising and safer gambling standards go hand in hand.
“The idea is that we can sustain a growing market, especially from a public health perspective, as long as its negative impacts are included.”
Affiliate Perspective
However, there is a sector of experienced industry marketers who have first-hand experience working in tightly restricted environments rather than seeking test cases from other markets. They face significant scrutiny and are often faced with great turmoil as a result of the rapidly adopted changes in the conditions in which they operate.
Rather than looking at other businesses, there is a debate that businesses will look at how affiliates survived and prospered under these conditions.
“Considering the UK, affiliates are severely restricted as operators are given guidelines on how to work with affiliates,” explains Joonas Karhu, CEO of affiliate gambling website Bojoko. . “Affiliates cannot use specific languages or words, they should always present key terms and use the full term in one click.”
While many operators question whether regulators are acting without understanding the importance of marketing, Karhu believes he understands the predicament at hand, especially from a financial perspective. I’m here.
“I’m sure regulators understand that if the market cannot survive and businesses cannot make a profit, they cannot generate tax revenue for the government, employ people or buy services. I do,” he says.
“For the most part, the new limits we see make sense and businesses can operate well and even make a profit within these stringent requirements.”
Advertising limits for Operators inherently affect how Operators work with Affiliates and how each party benefits. Any policy change that operators must abide by will have ripple effects for affiliates. This means companies like Bojoko must keep abreast of the latest industry rules and regulations.
Karhu believes that there are two important areas that affect businesses. It’s products and employees.
“With few advertising channels and very limited published channels, you have to make sure your product is great so that users keep coming back for more content. “It puts a lot of pressure on the team,” he said.
“Then there is the employee aspect. With fewer ad channels available, and therefore fewer channels to manage, some ad jobs may be at risk as larger teams are not needed.” there is potential.”
trial and error
The future of gambling advertising is volatile and unforgiving under constant scrutiny and a desire to do better.
In Sweden, the advertising reform bill will come into force in the coming weeks. It won’t overthrow the gambling industry, but it will definitely establish new ways to open up markets that lock the industry to specific standards.
Karhu believes that the future of the advertising market will depend on the types of restrictions introduced.
“A few years ago there were restrictions on the use of cartoon-type images and illustrations that could clearly appeal to minors,” he says. “Such restrictions are welcome and reasonable. We must do whatever we can to protect minors from gambling.”
“However, some restrictions make no sense and actually drive players towards the black market and offshore brands. It’s a dodge and £2 spin limit that may be enforced at online casinos.”
For France, the coming months will be important to how businesses can sell their products.
“Advertising self-regulatory bodies [media regulator] ARCOM, and all of us, will try to build all co-regulatory tools at the same pace,” says Falque-Pierrotin.
“At the same time, operators will also work on digital guidelines that require them to meet high standards of protection set by regulators. The goal is to be ready for next October or November.”
Here, Falque-Pierrotin foresees the potential for collaborative work where operators, vulnerable people and regulators can have common ground.
“Regulation does not necessarily oppose business. If [operators] If you can show responsible behavior and prove that you respect the players, it could be their marketing tool. ”
