An investigation into the promotion of sports wagering, funded by the American Gaming Association (AGA) and carried out by Nielsen, revealed a reduction of 33.3% in the quantity of television advertisements for sports betting since 2021.
The research examined trends in sports betting advertising from 2013 to 2023. The AGA pointed out that television is the main platform for sports betting advertisers.
The report proposes that the transition to localized marketing strategies, as more states legalize sports betting, could be a contributing factor to the decline in sports betting ads.
The AGA declared, “Promotion by legal sports betting businesses plays a crucial role in informing consumers about legitimate betting operators and guiding them towards secure betting choices. As sports betting expands into more states, legal operators typically launch advertising campaigns to raise awareness of legal sports betting companies and vie for market share. Over time, these markets mature, and advertising levels tend to decrease.”
The number of television sports betting ad units also experienced a decrease of 11% annually.
In 2023 alone, sports betting accounted for 0.8% of the total national television advertising expenditure. Sports betting represented 0.4% of the total television ad share that year. In comparison, alcoholic beverages accounted for 0.5%, fast food for 3.8%, and pharmaceuticals for 14.1%.
During the year 2023, for each solitary advertisement for sports wagering displayed on television, there were eight advertisements for fast food establishments and thirty-one advertisements for pharmaceuticals.
Expenditures allocated to sports wagering advertisements on television experienced a reduction of $210 million, signifying a 23% decrease in comparison to the preceding year, 2022.
In aggregate, spending on sports wagering advertisements across all media platforms witnessed a decline of $210 million (£167.1 million/€195.4 million) in 2023, representing a 15% decrease from 2022. Excluding daily fantasy sports, the figure amounted to 21%. The quantity of sports wagering advertisements disseminated across all channels exhibited a 4% year-over-year reduction, marking a 20% decrease from its zenith in 2021.
The report further delved into the prevalence of all gambling advertisements within the United States. It observed that gambling advertisement spending across all channels experienced a 14% year-over-year decline, reaching its peak in 2022 but subsequently undergoing a relative decrease in 2023.
The report highlighted that this constituted the initial non-pandemic-related decline in gambling advertisement spending since 2016.
Gambling television advertisement spending registered a 15% year-over-year decrease. Digital advertisement spending declined by 17%, while radio advertisement spending remained stable.
The United States is currently contemplating the implementation of regulations pertaining to sports wagering.
Sports wagering is sanctioned in 38 states within the US. However, in recent times, certain states have been considering the imposition of restrictions on sports wagering.
Last week, in Pennsylvania, State Senator Wayne Fontana introduced a legislative proposal that would prohibit the utilization of credit cards for online gambling, encompassing sports wagering. If enacted, Pennsylvania would join Iowa, Massachusetts, and Tennessee in prohibiting the use of credit cards for gambling activities.
Theres a strong movement to prohibit wagering on collegiate contests. The NCAA desires to ban all wagers on college athletics nationwide. Ohio was the initial state to implement this, back in February, in response to the NCAA’s request.
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