Ontario鈥檚 gaming regulator has urged operators to use their own judgement to determine if product endorsers would violate new advertising standards that take effect this month.
The Alcohol and Gaming Commission of Ontario (AGCO)聽finalized new standards last year that prohibit operators from using current and former professional athletes to endorse sportsbooks, as well as celebrities who 鈥渨ould likely be expected to appeal to minors.鈥
The rules are set to take effect on February 28, and some companies have sought clarification in recent months as to what the regulator would consider 鈥渓ikely be expected鈥 to appeal to minors.
However, the regulator cited its standards-based approach that focuses more on achieving broader regulatory outcomes than following specific rules and processes.
鈥淲hile the AGCO recognizes the fluid nature of individuals鈥 appeal to different groups, given that public interest and appeal is dynamic, we encourage [registered operators] to use their judgement to determine whether the individual likely appeals to minors,鈥 the regulator said in 聽(February 8).聽
鈥淭he AGCO will be looking for Registrants to conduct a credible assessment, using criteria they have established for likely appeal, supported by records and control activities.鈥
Factors that registered operators should consider, the AGCO said, could include the demographic composition of the celebrity鈥檚 fan base, or whether the celebrity has 鈥渙bvious or direct links to activities that are popular with minors,鈥 such as gaining their notoriety for being in a movie that appeals to children.
The standard covers 鈥渞ole models鈥 and 鈥渟ocial media influencers,鈥 and the AGCO said that although there was operator interest in a more firm definition, such as a minimum number of social media followers, the judgement needed to instead be focused on the potential appeal to minors.
"The AGCO is aware that the iGaming environment is constantly evolving, as are operator advertising and marketing strategies,鈥 the AGCO wrote. 鈥淲e encourage Registrants to take a cautious approach and to assess the risks of using certain individuals.鈥
The standard for professional athletes does include an exception for 鈥渢he exclusive purpose of athletes advocating for responsible gambling practices.鈥
Those advertisements may use an operator's brand, the AGCO said, but must ensure that responsible gambling is the focus of the advertisement 鈥渇or its duration, and not merely mentioned in passing.鈥
The ads also cannot portray gambling as 鈥渁ppealing or fun鈥 and cannot teach individuals how to gamble.
The AGCO also clarified that the rules are not intended to prevent the use of game footage in advertisements, nor do they prohibit sponsorship agreements with teams or logo placements on sports-team uniforms.
Operators had also expressed concerns about advertisements from outside the province that would violate the standard being aired outside an operator鈥檚 control, such as game broadcasts imported from U.S. television networks that include ads for an American audience.
鈥淭he AGCO recognizes that there are practical limitations on Registrants with respect to Ontario broadcasters displaying out-of-province advertisements which may not meet the Registrar鈥檚 Standards,鈥 the regulator wrote.
鈥淭he AGCO will continue to work with Registrants to address the matter, in order to minimize impacts.鈥
