Ontario Bans Celebrity iGaming Endorsements

In a landmark move to prevent underage gambling and protect underage audiences from the rising influence of online gambling advertisements, the Alcohol and Gaming Commission of Ontario (AGCO) has enacted amendments to the Registrar’s Standards for Internet Gaming.

As of February 28, 2024, this new regulation restricts the use of athletes, celebrities, role models, and social media influencers, including bloggers, streamers, and content creators. This decision marks a critical shift in how gambling-related content is regulated, with a clear focus on safeguarding vulnerable populations from excessive exposure.

How Ontario’s new iGaming advertising ban came to be

Since Ontario’s move to regulate online gambling in 2022, the province has seen a significant rise in iGaming revenue, but also an increase in concerns over the impact of tv and social media advertising on younger audiences.

The shift in policy came into effect after extensive consultations with mental health experts, public health organizations, and gaming stakeholders, all of whom highlighted the risks of exposing youth to gambling promotions.

These consultations played a pivotal role in shaping the policy. They offered valuable insights into the potential long-term effects of gambling advertising on the mental well-being of young people.

Why the ban was necessary

Studies have shown that children and adolescents are particularly susceptible to the influence of celebrities and role models, making them an at-risk group for developing unhealthy gambling behaviours.

The emotional connection young people have with their favourite public figures means that their gambling endorsements could lead to a normalization of the practice.

The Canadian Mental Health Association (CMHA) has praised the AGCO's decision, noting that these regulations are a crucial step in protecting youth. By limiting celebrity involvement, Ontario is sending a strong message that gambling addiction is a serious public health concern that must be addressed comprehensively.

Key provisions of the ban

The amended standards under AGCO’s oversight are aimed at safeguarding young people from the potential harms associated with online gambling. These amendments are designed not only to protect the younger population but to also set a precedent for how gambling advertising should be approached moving forward. The primary changes are as follows:

• Athletes: Advertising and marketing materials are now prohibited from using the endorsement of both active and retired athletes. However, athletes can still appear in advertisements exclusively focused on advocating for responsible gambling practices.

• Social media influencers: The ban extends to celebrities and social media influencers whose content may have broad appeal to minors. This includes individuals with significant followings on platforms like YouTube, Instagram, and TikTok, whose fan bases could be underage.

• Celebrities: The AGCO has also broadened its scope to include any public figure or symbol likely to appeal to minors. This encompasses individuals from various entertainment sectors, including actors, musicians, and even cartoon characters.

Next steps: Ensuring compliance and enforcement

As Ontario’s iGaming market continues to grow, the AGCO has outlined several key areas of focus to ensure the success of these new regulations and to protect minors from the potential harms of gambling-related marketing. These measures include:

1. Monitoring the effectiveness of the new rules: This involves regularly assessing gambling trends and gathering feedback from stakeholders like mental health organizations. This will help identify whether minors are still being exposed to harmful advertising and if adjustments are necessary.

2. Addressing the potential loopholes: The AGCO will remain vigilant for emerging tactics that may bypass the regulations, such as influencer marketing or product placement, to identify and address loopholes.

3. Working with out-of-province broadcasters: The goal is to ensure that gambling ads comply with Ontario’s standards. This will involve clear communication with national and international platforms to prevent content that targets minors from slipping through the cracks.

The challenge will be ensuring that these new regulations are effectively enforced, especially given the global nature of online gambling platforms, which might not always comply with provincial laws. Nonetheless, AGCO’s outreach efforts are the first steps in establishing a cohesive and unified approach across the entire Canadian gambling landscape.

Final thoughts

Overall, the AGCO’s decision underscores a broader commitment to public health and responsible gambling practices in the online gaming industry, as the province strives to protect its younger population from gambling-related harms.

That being said, this regulatory framework not only safeguards vulnerable individuals but also helps build a healthier gaming environment for all users.

As the province continues to lead the way in responsible gambling regulation, it is hoped that other regions will follow suit, recognizing the importance of prioritizing youth protection and mental health in the digital age.

Sources

• Now Toronto: Celebrities and athletes are now banned from online gambling ads in Ontario

• iGaming Business: Ontario bans sports stars, celebrities from gambling ads

• CTV News: Ontario ban on use of celebrities in gambling ads begins today