Clarity Sought in Ontario's iGaming Advertising Standards

In the dynamic world of online gambling, the rules and regulations governing advertising and marketing are constantly evolving. In Ontario, the Alcohol and Gaming Commission (AGCO) has recently implemented changes to iGaming advertising standards, specifically banning the use of active and retired athletes in ads.

While this move was aimed at addressing concerns related to inducement and protecting vulnerable individuals, it has left top online casinos and sportsbooks in the province seeking clarity on what defines an athlete or celebrity and the broader impact on advertising volume. This article looks at the recent developments in Ontario's iGaming advertising landscape, the challenges it poses and the perspectives of key stakeholders.

Ontario's iGaming Market Transformation

In April 2022, Ontario made history by becoming the first Canadian territory to privatize its online gambling market. This monumental shift paved the way for third-party operators to enter the sector, leading to a flurry of licensing and new online gaming platforms. The AGCO assumed the role of overseeing this transformed market, setting out a framework of standards for Internet Gaming.

One of the significant changes brought about by this transformation was a stringent approach to advertising and marketing, with the intention of safeguarding consumers and maintaining the integrity of the industry. However, as with any substantial shift, challenges and questions soon emerged, particularly surrounding the use of athletes and celebrities in gambling endorsements.

Stakeholders Seek Clarity

Amanda Brewer, representing the Kindred Group, has raised concerns about the lack of clarity in the new advertising standards. She points out that stakeholders are grappling with the definitions of an athlete or celebrity, which are crucial in light of the ban. Brewer highlights that during the early days of the market launch, inducement language was ambiguous, leading to fines for operators who inadvertently breached the rules.

The AGCO introduced updated advertising standards in August 2023, including the prohibition of sports stars in gambling endorsements. These regulations are scheduled to take effect on February 28, 2024, providing a transitional period for operators to adapt to the changes.

Brewer acknowledges the need for maintaining integrity within the industry, but questions whether the ban on sports stars truly addresses the issue of excessive advertising volume. She suggests that if the problem lies in the sheer number of ads aired, it should be a matter to be discussed with sports leagues and broadcasters directly, rather than placing the onus solely on operators.

Paul Burns, the president of the Canadian Gaming Association (CGA) shares similar concerns and questions the distinction between a celebrity and a retired athlete. He also raises the critical issue of determining what appeals to minors, a concern shared by many in the industry. The CGA has reached out to the AGCO, expressing the desire to be actively involved in the process of developing detailed advertising regulations.

A Missed Opportunity for Impact

Noah Vineberg, who completed Ontario's sole residential treatment program for problem gambling believes that while changes to iGaming advertising are a step in the right direction, they have come too late. He suggests that the province missed an opportunity to make a more significant impact by not heeding the advice of other countries and implementing stringent regulations from the outset.

Diana Gabriele, a certified counselor at the CPGDD at Hotel-Dieu Grace Healthcare, emphasizes that gaming ads have become increasingly problematic in recent years, particularly in sports broadcasts. She sees the ban on sports stars in gambling ads as a positive initial step in addressing the proliferation of such ads. For her, the changes signify a much-needed shift in the industry's approach to advertising and its impact on vulnerable individuals.

Conclusion

Ontario's iGaming advertising landscape is undergoing significant changes, with the ban on active and retired athletes in ads being a notable development. While the intentions behind these changes are clear – protecting consumers and promoting responsible gaming – stakeholders are seeking more clarity on various aspects of the new regulations.

The questions surrounding definitions of athletes and celebrities, as well as concerns about advertising volume and appeals to minors, demonstrate the complexity of regulating the rapidly evolving online gambling industry. As the February 2024 deadline approaches, it remains to be seen how these concerns will be addressed and whether the changes will have the desired impact on the province's iGaming advertising landscape.