Betting advertising has defied all predictions and smashed its all-time revenue records. Even though many actions have been taken to curb it, spending on betting ads has reached a whopping number of $282 million.
In Australia, for example, in-play betting was deemed illegal and banned. However, that did not stop a lot of bookmakers to advertise their services during sports matches. As reports show, one in five ads shown during a football match is betting-related. Sometimes, this number goes as high as one out of three ads.
Betting Advertising Proves Profitable
Betting advertising is proving to be extremely profitable, earning huge money for the betting and gambling industry. Some experts claim this is the result of perfect timing, others say it is the outcome of targeting the weak and vulnerable.
Interestingly enough, betting ads are not seen as frequently during women sports events. These seem to be effective only during the male events, as men are more likely to actually take the corresponding action and place a bet.
During UK football matches, betting advertising is seen in 95% of advertising breaks. Therefore, it comes as no surprise that betting advertising is smashing all records and earning huge profits for the advertisers.
Is Betting Advertising Actually Effective?
This is a question worth answering, as many countries in the world are thinking of imposing new rules and regulations to limit betting ads.
However, the gambling industry reports that these ads have only a “limited impact” on gambling rates. However, the $282 million revenue proves that they are much more effective than that, otherwise, they wouldn’t spend such exorbitant sums of money on it.
Many countries have already decided to stand in the way of betting ads by imposing a regulation stating betting ads can only be shown after 21h. However, there is an exception that allows media companies to air betting ads during sports events, even if they air before the watershed.
We are yet to see how this will impact future revenues. It is highly likely they will suffer greatly, as the biggest portion is shown during matches that take place before the watershed, as was the case during the Football World Cup.
Gambling Advertising Trends
Gambling advertising shows a tendency to grow. For example, in 2016, just shy of $200 million was spent on betting advertising. Just two years later, $80 million dollars were added to that number.
That does not actually surprise since just one ad during a Premiership football match costs around $50,000 dollars
Almost all experts agree that the spending on betting advertisements will surpass $300 million and continue to grow the next year.
However, it remains to be seen what the legislators’ answer will be to this trend, as there are concerns that the pre-watershed exemption means that these ads are also targeting children and young people who are particularly vulnerable.