Online gambling advertising in local TV spot space in Q1 of 2021 skyrocketed to $153.6 million. According to a new report by Nielsen, gambling advertising grew significantly from the $10.7 million spent in 2019. FanDuel was the top advertiser who spent most on spot TV advertising in Q1 of 2021, followed by DraftKings and BetMGM.
Gambling Advertising via Local Spot TV Skyrockets in the US
Leading global data and analytics company, Nielsen, released a new report outlining how much are gambling operators spending to advertise their products within local TV markets in the United States. The report reveals that a staggering $153.6 million was spent on online gambling advertising in the local spot space in Q1 of 2021.
This number represents a significant increase from the $10.7 million, which operators spent back in 2019. Second in line was national television, where operators spent $24.8 million in Q1, 2020. On the other hand, gambling operators spent only $6 million on TV network advertising.
The US Online Gambling Market Holds Potential to Boost the Local TV Industry
According to Nielsen Ad Intel data, which was released back in March, US TV advertising barely reached $76 billion in 2020. This marked a decrease when compared to the $84 billion, spent on advertising in 2019. The decrease in advertising was a direct result of several advertising categories pulling back such as retail advertising, which decreased by 22%. Furthermore, auto advertising decreased by 17%, followed by a decrease in restaurant advertising by 8%.
Although some advertisers are pulling back, others, such as gambling operators see this as an opportunity. In fact, according to BIA Advisory Services, US online gambling has the potential to bolster $587 million to the local TV industry by 2024. This, according to Nielsen is good news, considering that nearly 80% of the online gambling ads are aired within local TV markets.
FanDuel Has Spent Most On Local Spot TV Ads in Q1 2021
Focusing on top online gambling advertisers across local spot TV in Q1, 2021, we find FanDuel at the top. The US-based company has spent $57.7 million on spot TV advertising in Q1 2021, which represents 37.5% of the share. DraftKings ranked second in Q1 2021 with $43.6 million spent on spot TV advertising. Additionally, BetMGM spent some 24.9 million, followed by BetRivers and Betfair with $9.3 million and $6.7 million respectively.