Reduced sports betting ads in the USA: Firms scale back on promotional expenditures, yet industry still expands.
The American Gaming Association (AGA) tracks gambling advertising spending in the USA annually. Recent studies show a decrease in sports betting ad spending and occupied spaces. However, the industry remains thriving in the nation.
Sports Betting Advertising Dip Since 2021
Gambling industries saw a significant rise in advertising budgets post-2018's legal online sports betting market launch in the USA, as demonstrated by official stats [English study].
But since 2021, both ad spending for online sports betting and its corresponding campaigns have declined. Only 0.4% of the overall market is occupied by sports betting ads. Compared to other industries, there's higher expenditure on alcohol, fast food, and pharmaceuticals advertising.
Booming Sports Betting Market Regardless of Ad Dip
With states deciding on the legality of various gambling forms, multiple US states have legalized online sports betting. Despite less advertising intensity, players eagerly invest. Last year, gambling provider PENN and television broadcaster ESPN reached a billion-dollar deal for a new bookmaker that boasted record downloads.
Reports reveal that New York's online sports betting market is particularly growing rapidly.
Lower Ad Spend a Potential Risk for the Legal Market?
While Germany considers a sports betting advertising ban, the AGA reviews the USA's situation critically. The lower ad spend could result in less awareness of legally compliant services. Research found that about 70% of US sports bettors can't distinguish between legal and illegal providers [English study].
Sports betting ads ensure interested individuals have an easier time navigating the betting market. Although gambling interests exist, it's crucial to draw enough attention to the legal offer.
Growing Gambling Industry in the USA
Though ad expenditure is decreasing, the industry seems to be growing in relevance. Gambling is seen as an economic factor in the US, which has shown stellar recent growth.
Additionally, it's likely that there's more untapped potential, as the legalization of online sports betting is still discussed in many states. If suitable decisions are made, ad volume may rise again.
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Source: www.onlinecasinosdeutschland.com
