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gambling ads regulation in the US – Learning from Kenya on Gambling Ads Regulation

gambling ads regulation in the US at Lotus Asia. As the US gaming industry grapples with the proliferation of gambling advertisements, Kenya's recent ban on such promotions offers

Kenya has banned all gambling ads for 30 days
Government officials say sports betting firms haven’t complied with advertising rules
Sports betting is wildly popular in Kenya

Consumers in the United States continue to face an overwhelming barrage of gambling advertisements when they watch TV or scroll through social media. In a striking move, the Kenyan government has enacted a 30-day ban on all gambling promotions, aiming to enforce compliance with responsible gaming regulations.

Gambling regulation — Image by Ralf1403 from Pixabay

Since the US Supreme Court’s decision in 2018, which allowed states to legalize sports betting, the prevalence of gambling ads has escalated dramatically, raising concerns among lawmakers and regulators across the country. Proposals to limit such promotions have emerged, but none have been enacted into law at this time.

Responsible gaming advocates are arguing that the US industry could learn valuable lessons from Kenya’s recent directive. The Betting Control and Licensing Board (BCLB) of Kenya, functioning under the Ministry of Interior and Coordination, issued a 30-day prohibition on gambling ads across all media. This initiative aims to ensure that operators adhere to the country’s regulations pertaining to responsible advertising.

“Kenyans will NOT see betting adverts on TV or hear them on the radio for the next 30 days,” the BCLB announced via social media. “We have suspended all gambling advertisements until promoters comply fully with our marketing guidelines.”

Kenya ranks as the 27th most populous country globally, hosting a range of small casinos and a thriving sports betting market, primarily facilitated through local retail outlets. Betting is a popular pastime in this East African nation, making the need for regulated advertising even more pressing.

Gambling Marketing Crackdown

High-ranking officials in President William Ruto’s administration are taking a firm stand against continuous sports gambling promotions. The need for stringent measures has become evident, especially since the Communications Authority of Kenya indicated that several licensed sportsbooks were not adhering to media regulations concerning responsible gaming messaging.

The Communications Authority remains committed to ensuring broadcasters function within their licensing parameters and in line with the Programming Code. Non-compliance will lead to strict regulatory actions, including the potential revocation of broadcasting licenses,” the agency warned operators, setting a 14-day compliance deadline.

The BCLB’s temporary ban offers advertisers a grace period to amend their advertisements to align with compliance obligations. The BCLB has encouraged the public to report breaches of the advertising ban directly to the Board.

“This suspension aims to mitigate misleading advertising, safeguard minors, and foster responsible betting,” added the BCLB. “No betting firm will be permitted to advertise until they fulfill the updated BCLB guidelines.”

US Take Page From Kenya?

Polls conducted in various US states where sports betting operates legally indicate that the majority of consumers prefer to see a reduction in gambling ads. Sportsbooks claim they’ve reduced advertising frequency as the market stabilizes after the frenzy for market share following the 2018 ruling.

For two years, US legislators like Rep. Paul Tonko (D-New York) and Sen. Richard Blumenthal (D-Connecticut) have championed the SAFE Bet Act in Congress, which seeks to further limit sportsbook commercials. This proposed law would prohibit gambling advertisements between 8 a.m. and 10 p.m. and also during live sports programming on FCC-regulated media.

This federal legislation would go so far as to bar ads from including phrases designed to entice gambling, such as “bonus,” “no sweat,” “bonus bets,” and “odds boost.” Unfortunately, the SAFE Bet Act has encountered stagnation in Congress, remaining with the Committee on Energy and Commerce.

The situation in Kenya serves as a timely reminder of the importance of responsible advertising in the gambling sector. With growing concerns about gambling’s impact on society, an evaluation of existing laws and regulations in the US might be prudent.

Summary

Kenya’s recent ban on gambling advertisements highlights a crucial shift towards enforcing responsible gaming regulations. As the US grapples with similar issues, there are lessons to be learnt regarding the regulation and promotion of gambling activities. The effectiveness of Kenya’s measures can influence the ongoing discussions about gambling ads in the US, making a case for more stringent controls in the industry.