Social media today is filled with ads. For the most part, it’s a double edged sword. For one, it’s a great way for businesses and brands worldwide to reach their targeted consumers but at the same time, over the last couple of years, it has become a tool targeting those who should not be privy to specific forms of content.
Some might argue that it’s a necessary evil, but the triggering nature of such content was (approximately 18 months ago) deemed a rising concern that needed to be addressed immediately (at least we thought so).
The Alleged Ban on Sports Gambling Ads
According to federal communications minister Michelle Rowland, the ban on gambling ads was devised to “break that nexus that has emerged between wagering and sports; [essentially] protecting vulnerable Australians, particularly children, and dealing with the saturation and targeting of ads, especially towards young men aged around 18 to 35.”
“We are doing this in a way that understands that there is a high degree of community concern. People want to see cultural change; advertising is one component of that. People are sick of seeing the number of sports wagering ads.”
While the recent statements seem promising, it’s actually been roughly 18-months since Anthony Albanese’s government announced that a complete ban would “soon” be placed on online gambling ads. Allegedly, it would now take up to two years for a TV ban to fully take effect.
Now, the ban has been shelved entirely amidst the upcoming federal election campaign. While the ban on social media for teens under 16 has been enforced, its promise on gambling advertising has retreated entirely.
Several reasons including ongoing consultations, insufficient Senate support, and the financial reliance that major sporting associations have on the ads have been cited.
The Impact of Such Ads on Consumers
A study conducted by the University of Queensland (UQ) reveals that platforms like Facebook specifically targets users with high risk of gambling and alcohol related harms with advertising that triggers their tendencies to partake in such activities.
While a lot of social media users are aware that their browsing history is used to target online ads towards them, it’s a new revelation that local gambling and alcohol companies were breaching the trust of their consumers by selling the acquired data to Facebook to further target them.
The UQ study also revealed that over 100 alcohol companies shared consumers data with social media platforms, and with some consumers actively trying to reduce their alcohol consumption, their data seemed to be shared tenfold to pique their interest once more.
Major Changes to Advertising Landscape Underway?
The gambling industry probably has one of the most innovative marketing strategies known to mankind. If you’ve ever seen a gambling ad, you’ll very well remember how clearly the ad outlines the pitfalls of excessive gambling. Everything from debt, crime, job-loss, violence, and more is outlined as the side effects of gambling. Yet, it still stands as one of the most profitable industries to date.
While a ban may or may not come into place, it offers advertisers and marketers several key lessons:
First, marketing in regulated industries like gambling and alcohol consumption require utmost agility and awareness to adapt to evolving legal landscapes.
Next, businesses heavily reliant on sectors like gambling need to explore alternative revenue streams to maintain profitability.
Last but not least, businesses should avoid alienating audiences by limiting over-reliance on ads forcefully pushed towards them. It is essential to prioritise targeting only those genuinely interested.