In recent developments, the Dutch Gaming Authority (KSA) has taken action against one of its online licensees for breaching the prohibition on non-targeted advertising. This ban, effective since July 2023, aims to curb untargeted promotions for online gambling, with the latest expansion including sponsorship of programs and events. The KSA’s recent enforcement reflects their ongoing commitment to protecting vulnerable populations, particularly young adults, from exposure to gambling advertisements.
Background on the Ban
The Dutch authorities introduced the prohibition on non-targeted advertising as part of a broader regulatory framework to shield at-risk groups from gambling-related content. This initiative, which came into force on July 1, 2024, was designed to address concerns about the impact of gambling promotions on young and impressionable audiences.
Recent Infraction and KSA’s Response
The KSA has recently issued a warning to an online gambling provider following a violation of these advertising restrictions. The infraction involved a television commercial featuring a football player wearing a T-shirt emblazoned with the name of an online gambling provider. The advertisement was broadcast on television and shared across social media platforms.
While the ad did not explicitly promote gambling services, the provider was held accountable due to the representation of their brand, even when displayed by third parties under sponsorship agreements. The KSA’s guidelines stipulate that sports sponsorships must have a clear and relevant connection between the provider, the sport, and the location where it is practiced, such as a football stadium. This criterion was not met in the advertisement in question.
In response to the violation, the gambling provider has since implemented measures to prevent similar breaches in the future. Consequently, the KSA opted to issue a warning rather than impose a more severe penalty.
Expanded Legislation: Programme and Event Sponsorship
As of July 1, 2024, the prohibition on non-targeted advertising has been extended to include sponsorships of programs and events. This expansion is part of the Dutch government’s effort to ensure that gambling promotions do not inadvertently reach vulnerable audiences through various media channels and sponsorship deals.
Increased Penalties for Illegal Gambling Terminals
In a related development, the KSA has also announced a significant increase in penalties for illegal gambling terminals. Under the new regulations, fines for each illegal gambling device have been substantially raised, ranging from €25,000 to €100,000 ($27,197 to $108,789). This increase is a substantial jump from the previous fine range of €7,500 to €20,000, reflecting the KSA’s heightened focus on combating illegal gambling activities.
The KSA’s recent actions underscore their commitment to enforcing strict regulations on gambling advertising and sponsorship. The warning issued to the online gambling provider highlights the importance of adhering to advertising guidelines, especially in relation to sports sponsorship. Additionally, the increased penalties for illegal gambling terminals signal the KSA’s intensified efforts to address and deter illegal gambling operations.