In the United States, the American Gaming Association (AGA) is the preeminent trade group that represents the issues of the commercial and tribal gaming industries in Washington D.C., and state capitals in the US. The AGA is trying to defend how regulated sportsbooks can advertise. There have been calls to Congress and certain state capitals to limit or restrict how these sports betting operators advertise in their specific markets. According to the AGA, these marketing tactics must stay in place as they help rid illegal gambling and offshore betting enterprises.

Customers seeing legitimate advertising from legal sportsbooks let them know they are in a safe betting zone. It will help drive them away from the offshore markets that continuously steal revenue. Illegal offshore markets use deceptive online marketing tactics to dry and draw in the customer. These ads are misleading but are effective for those who are not educated on illegal gambling practices. The AGA wants to ensure its business market is fully legal and thriving. That helps the commercial and tribal gaming operators, gaming suppliers and manufacturers, and independent testing labs who are core members of the group.

According to the American Gaming Association (AGA), 70% of sports bettors using offshore websites were unaware the business was being run illegally. That is why the AGA is focused on advertising legal operations in the US. They believe customers will want to switch to a legal market once they realize they are using an illegal one. In the past, lawmakers and responsible gaming experts opposed the frequency of sports betting ads. However, the AGA has reported that sports betting ads have decreased recently. The AGA reported that sportsbook and daily fantasy sports advertising spending declined by $210 million this past year, roughly 15%.

Sports betting advertising hit its peak in 2021. Per Nielsen As Intel, sports betting ads accounted for just 0.4% of the total advertisements ran last year. That is less than fast food, alcohol, and pharmaceutical ads. Legal sports betting is available in 38 states in the US including Washington D.C. The twelve states that still outlaw gambling are Alabama, Alaska, California, Georgia, Hawaii, Idaho, Minnesota, Oklahoma, South Carolina, Texas, and Utah.

A federal bill stalled in March

This past March, US Representative (NY) Paul Tonko introduced the SAFE Bet Act. Tonko wanted to ban sports betting advertising from being run during live sporting events. Additionally, he wanted to prohibit sportsbooks from using messaging that would entice someone to gamble with a boost or free wager. Unfortunately, Tonko’s bill has not gained any traction in Congress. Tonko had this to say.

“Just as in the tobacco industry when it was determined that that industry was posing a public health situation, we have now displaced Joe Camel with celebrity spokespeople and, yes, free product,” – Paul Tonko