According to Front Office Sports, sportsbooks expect to spend $1 billion advertising NFL wagers this season. Too much?
At least one regulator thinks so.
Speaking on a GeoComply webinar September 13, David Rebuck, director of the New Jersey Division of Gaming Enforcement said marketing has gotten out of hand. To wit:
- The sheer level of advertising
- Overly confusing terms and conditions for bonuses
- Not enough focus on responsible gaming in ads
“Don’t allow your marketing staff to operate unchecked,” Rebuck said. “They can get you in a lot of trouble because they have different objectives to you. They are not thinking about compliance. We understand the business need. They want to attract people and be creative, but they cannot be unchecked.”
His message was clear. We will check you and it won’t be pretty, according to Legal Sports Report.
Rebuck talked about the early days of sports betting in New Jersey, when DGE staff would scrutinize every promotion. As the number of operators ballooned, the agency curtailed the practice. But the practice could be reinstated if standards don’t change.
“Do I have to go back to blocking promotions until they are pre-approved by the state of New Jersey?” Rebuck asked. “That would be very challenging for the state but if I am forced to do it, I will do it.”
Dan Hartman, Rebuck’s counterpart in Colorado, voiced the same concerns. Legislators have already made some waves.
“They are saying ‘this is too much, we did not expect this much’,” Hartman said. “Sportsbooks need to find a balance because the last thing you want is to have advertising legislated.”
Both regulators asked sportsbooks to get together with trade groups like the AGA or IDEA Growth to develop a best-practice handbook.
“You shouldn’t be waiting for regulators to drive the bus,” Rebuck said. “You should be at the head of table driving action with your vendors, contractors and marketers.”
