V’Landys needs to sniff the wind on sports betting advertising.
Albanese has the cover of bipartisanship to put a ban on now, with Dutton mentioning during the budget reply.
The pressure on this issue isn’t going anywhere.
TV executives say the proposal by Opposition Leader Peter Dutton could cost them hundreds of millions of dollars in revenue.
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Gambling ad ban would hurt footy and media: Sportsbet
Mark Di Stefano and
Sam Buckingham-Jones
May 12, 2023 – 4.57pm
Opposition Leader Peter Dutton’s budget reply assault on gambling advertising during sports broadcasts has sparked anger among TV executives, who say they could lose hundreds of millions of dollars in revenue.
Mr Dutton has proposed banning gambling advertising for an hour before and after sporting matches because “footy time is family time”.
“The bombardment of betting ads takes the joy out of televised sports,” he said. “Worse, they are changing the culture of our country in a bad way and normalising gambling at a young age.”
The proposal would potentially have the most severe repercussions for the broadcasters of the AFL and NRL, including Seven Network, Nine Entertainment and pay-TV operator Foxtel. The media companies declined to comment publicly. Nine is the publisher of this masthead.
London-listed Sportsbet, part of London-listed Flutter Entertainment, has about half of Australia’s online bookmaker market and its advertising is omnipresent during sports broadcasts.
A Sportsbet spokesman supported “balanced” reform, warning against moves that would restrict the amount of money going into media companies and sporting bodies.
“Thursday’s announcement, which focuses solely on sport broadcasts, risks leading to significant impacts on sport and media funding,” the spokesman said.
“We encourage all political parties to work constructively in consultation with affected sectors on proportionate solutions that achieve this balance while reducing harm.”
Little warning
The surprise announcement comes at a tricky time for the online gambling industry, sports bodies and big media organisations. There has been growing support among MPs and voters for a crackdown on online bookmakers, particularly curbing the sheer volume of advertising that is plastered across TV, radio and social media.
Some executives at the companies were given a heads-up by the Coalition’s communications spokesman, David Coleman, before the announcement, according to a person familiar with the matter. “There was no notice, just a heads-up,” the source said.
Privately, TV executives say changes would put at risk up to $200 million of revenue from the gambling companies. Figures from Standard Media Index, which measures advertising agency spend, show TV networks made $180 million from the $300 million spent on gambling ads last year.
The figures are material for companies such as Seven, Nine and Foxtel, which have signed long-term broadcast contracts with the AFL and NRL worth billions. Those companies sign annual packages with the likes of Sportsbet, Ladbrokes and ASX-listed Tabcorp to place marketing around the games.
Under existing laws, gambling ads are banned from five minutes before a live sport starts until 8.30pm. After 8.30pm, the ads can also appear during breaks.
One gambling industry veteran said the amount of money flowing into media and the football codes would be “substantially less” if Mr Dutton’s idea were to become reality.
Other executives were more sanguine about the announcement, describing Mr Dutton’s speech as headline-grabbing rather than a serious policy proposal, coming weeks before the government’s inquiry into online gambling is due to report.
“It’s a simple way to get ahead of Labor on the topic,” one TV executive said, adding that blocking TV ads would shift promotion onto YouTube and social media apps.
The federal government’s parliamentary inquiry into online gambling has become the main venue for the likes of Sportsbet, media and sporting bodies to be consulted on the coming crackdown.
Last month, AFL chief executive Gil McLachlan
appeared at the inquiry along with NRL chief executive Andrew Abdo. They suggested the inquiry should look at banning so-called inducement ads, such as cash-back and free-cash offers, particularly on social media.
The inquiry has already led to the government committing to new laws that will ban people from using credit cards through online bookmakers.