Onlinecasino.amsterdam: Dutch ban on untargeted online gambling advertising in effect on July 1

The Dutch Ministry of Justice published legislation in April prohibiting untargeted advertising for online games of chance, which will take effect on July 1, 2023 writes local gambling vertical onlinecasino.amsterdam. The Ministry made the decision in response to public outrage about many adverts for online gambling and betting that had surfaced in the Netherlands since October 2021, when online games of chance were formally allowed.

As of September 2022, 22 companies had secured operating licenses, resulting in heated competition for market share. As a result, the number of advertisements from license holders increased dramatically. Nearly €200 million has been spent in the Net Alan Littler herlands on online gambling advertising since its legality. After the 1st of July new online casino’s entering the market will be solely dependent in their online advertising on affiliation.

Reasons Leading to the Ban

In its research, the Dutch Gambling Authority identified two critical issues regarding this advertising:

The massive engagement of young people between the ages of 18 and 24 years in online gambling activities;

The frequent exposure of children to messages and sponsorships from gambling websites; and

Consumers, legislators, and the gambling addiction community have all expressed outrage and disapproval in response to these findings.

In response to public protest and studies by the Dutch Gambling Authority, the Dutch government issued legislation prohibiting the untargeted promotion of online games of chance to protect vulnerable populations, particularly children and people in the abovementioned age group (18-24).

The restriction applies to online games of chance. Furthermore, all license holders must ensure that ads for other games of chance don’t link back to online games of chance. This measure should prevent those operators with online gaming licenses and licenses for other games of chance from gaining an advantage.

What Types of Advertisements are Banned?

The restriction applies to all advertisements in newspapers, magazines, television, radio, and billboards in public places. Other forms of untargeted advertising are also prohibited, including mailings to postal addresses and promotional games of chance aimed at increasing awareness of online games.

Internet advertising, including simple banner ads, social networking or video-on-demand platforms, and targeted advertising such as direct mail, is still legal, but only under tight conditions.

For starters, internet and targeted advertising will be allowed if a provider actively prevents the ads from reaching:

Those under the age of 24;

Individuals with a gambling addiction; and

Players who have self-excluded through CRUKS (Dutch gambling self-exclusion register).

Furthermore, operators must ensure and demonstrate that at least 95 percent of their adverts reach those over 24. Lastly, establishments must allow individuals to opt out of consuming gambling-related advertising.

Sponsor agreements

The ban also covers sponsorship agreements since they are classified as advertising in the Netherlands. A transition period has been given, and current sponsor agreements signed before July 1 will stay in effect for a specified time.

Sponsorship deals connected with sports, such as jersey sponsorship agreements, are legal until July 1, 2025. Other sponsorship arrangements, such as those for TV shows and events, can run until July 1, 2024.