Advertising strategies employed by companies offering online gambling have come under scrutiny, and the Alcohol and Gaming Commission of Ontario (AGCO) recently amended its rules to prohibit athletes, celebrities, entertainers, social media influencers, role models, and cartoon characters that may appeal to underage Ontarians from promoting online gambling services.
This move is aimed at protecting vulnerable individuals and ensuring responsible gambling practices, but it has also led to confusion, with some saying it may lead to creative advertising techniques to bend the rules.
Steven Salz, the CEO and co-founder of Rivalry, an esports-focused betting company, told CBC News in an email that the restrictions will likely push operators to be more creative in their advertising efforts.
The new rules “will likely push operators to be more creative,” Salz wrote in the statement. “(They have) historically relied heavily on celebrity and athlete endorsements.”
Companies operating in Ontario, such as the British bookmaker Fitzdares, have already faced similar bans in other jurisdictions. When faced with a ban on athletes’ participation in gambling advertising in the U.K., Fitzdares replaced athletes with former players and pundits in its ads.
It also utilized vintage sports images in their advertising, hoping to comply with the regulations without infringing on the rules. Other companies may need to follow suit and find alternative ways to promote their services without using prohibited individuals or characters.
It has certainly led to a bit of confusion, and Aly Lalani, head of marketing at BetRegal, told CDC Gaming Reports that the rules are a bit vague.
“I’m not totally sure I understand exactly what they mean,” Lalani said. “They seem to paint with an awfully wide brush. How is it possible to say ‘social influencers’ are part of the restriction? How exactly is a ‘social influencer’ defined? Is it follower count? Is it content? Is it follower demographics?”
Lalani predicted the market could see some operators leave.
“While some would say moves like this level the playing field, I would disagree and say moves like this are actually just making the playing field smaller and forcing operators to rely on more traditional marketing channels where the bigger brands’ budget dominance will be even more obvious,” Lalani told CDC.
“Restrictions like this really limit operators’ ability to be creative marketers. Restrictions like these will help push some of those operators over the fence and I think we’ll see a trickle of brands choosing not to pursue Ontario.”
