Dutch Regulator Issues Warnings over Gambling Sponsorships
The Dutch gambling authority, Kansspelautoriteit (KSA), recently issued warnings to three gambling operators for breaching advertising rules by sponsoring sports events and related merchandise.
Dutch flag. Gambling operators warned by KSA for sports sponsorship.
LISTEN TO THIS ARTICLE:The KSA has not revealed the names of the companies involved but said that each had been reprimanded for violating the Netherlands’ sponsorship regulations.
The warnings come after the implementation of a ban on “untargeted” gambling advertisements in the Netherlands, which took effect on July 1. While the regulation doesn’t completely ban gambling ads, it does prohibit them on TV, radio, print media, and in public spaces.
Currently, sports sponsorships remain the only type of commercial deal allowed in the Dutch market. However, as of July 1, sponsoring television programs and sports events became restricted. Among these rules is a complete ban on sponsoring sports venues and clubs, which will take effect on July 1, 2025. Operators have been given until this date to end any existing agreements. In preparation, the KSA requested operators in March to disclose their sponsorship contracts.
A Range of Violations Uncovered
The Kansspelautoriteit provided details of rule breaches by each of the three operators. One operator had an expired sponsorship deal with an organizer of a national event. Despite the agreement ending before to the new rules, the event organizer continued using promotional items displaying the operator’s branding. Following the KSA’s warning, the operator quickly removed its logo from these materials.
Another operator faced issues due to a sponsorship arrangement with a major sporting event. Ahead of the event, children and young adults took part in sports activities at the event venue, where the operator’s branding was visible. Since this allowed the branding to be seen by a vulnerable group outside the main tournament, the KSA stated that the operator should have been more vigilant about where its branding appeared.
A third operator was flagged for promotional items linked to an online sports store. T-shirts sponsored by the operator, associated with a famous athlete, were available for purchase in children’s sizes. After the KSA determined this aimed advertising toward a vulnerable group, the operator acted swiftly to ensure its logo no longer appeared on children’s sizes.
Related: Rising Illegal Online Gambling Raises Concerns in the Netherlands
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KSA Enforcement a Warning to the Gambling Sector
Due to these incidents, the KSA issued a reminder to the gambling industry regarding the updated sponsorship rules in sports, especially considering the impending sponsorship ban in 2025.
In sports sponsorship, providers may not target vulnerable groups, including minors and young adults. It is the responsibility of the gaming provider to adhere to these rules at all times, even if third parties are involved in the sponsorship. We have seen this go wrong several times. In these three cases, KSA once again explained the rules regarding sponsorship to providers. In the event of a subsequent violation, KSA may take enforcement action.
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