May 3, 2024 2 min read

likes:

Nielsen Study Reveals Sports Betting Ads Decrease in 2023

TV advertising volumes experienced an 11% decrease in 2023 in comparison to the previous year

The number and spending for sports betting ads has dropped significantly in 2023, according to a Nielsen study commissioned by the American Gambling Association (AGA). The organization that monitors trends in sports betting and gambling advertising budgets and volumes offers an in-depth analysis of the changing landscape of sports betting advertising.

The Vital Role of Advertising in Guiding Bettors to Regulated Sites

The legalization of sports betting in most US states has led to increased competition between licensed and regulated sports betting companies and illegal offshore operators. These illegal operators often use deceptive online marketing strategies to lure US gamblers with misleading claims about their legal status. Other recent research commissioned by AGA revealed that a large proportion of sports bettors are unaware that they are using unregulated offshore websites.

Notably, advertising by licensed sports betting companies has played an important role in educating consumers about legal gambling options and guiding them toward safe gambling practices. However, despite the importance of advertising for channelization rates, the volume of gambling and sports betting advertising has declined in recent years.

A recent Nielsen study commissioned by AGA found that overall sports betting ad budgets fell 15% in 2023 compared to 2022. Compared to 2022, total sports betting ad budgets fell 21%, excluding daily fantasy sports. Similarly, sports betting ad volume across all channels is down 4% year-on-year. Additionally, there is a significant 20% decline from the highs of 2021.

TV Sports Betting Advertising Declines by 11% in 2023

Television remained the most significant sports betting advertising channel for companies, accounting for more than half of total advertising budgets. However, TV advertising volumes also fell by 11% in 2023 and by 33% compared to 2021. 

The share of sports betting in the total TV advertising volume was only 0.4% in 2023, significantly less compared to other industries such as fast food, alcohol, the telecom industry and the pharmaceutical industry.

In 2023, the gambling industry also faced challenges and controversy with attempts to limit sports betting advertising. New York Congressman Paul Tonko, for example, filed a bill last year that sought to ban sports betting advertising in electronic media because of the growing number of US citizens with gambling problems. 

The bill was intended to limit advertisements during sports events and the ads that promote various types of bonuses. This bill reflected concerns about the impact of sports betting ads on consumers.

Author

Silvia has dabbled in all sorts of writing – from content writing for social media to movie scripts. She has a Bachelor's in Screenwriting and experience in marketing and producing documentary films. With her background as a customer support agent within the gambling industry, she brings valuable insight to the Gambling News writers’ team.

Leave a Reply

Your email address will not be published. Required fields are marked *