Advertisements of Aussie Bookmakers Reach New High
The Aussie market is expected to witness great changes and shifts in regards of gambling. It is expected that the political winds are going to shift in the favor of Senator Xenophon and his fellow anti gambling lawmakers. This is why the Aussie bookmakers are starting to scramble in order to stop the expected reduction of their exposure to the public.
The increasingly and the preferred method to achieve that seems to be the bombardment of the air waves with Aussie bookmaker ads during the telecasts of the different sports matches. There was a report that was released by The Australian earlier this month. It cited Nielsen data that was compiled by a major media buyer. This report detailed the great increase of Aussie bookmakers’ advertisements. According to this reports, the bookmakers have spent almost 125 million AUD on their ad campaigns through June of 2016. This number indicates a 25% increase, when compared to the same period last year. In addition, the report stated that these numbers are most likely lower than the real advert amounts. This is because the report did not cover the Pay TV ads at high density sports channels and other broadcasts that include great amounts of sports wagering ads.
I terms of spending on gambling ads, Sportsbet is in the first place. This company is owned and ran by Paddy Power, one of the gambling giants that is based in Ireland. It has spent 38 million AUD during the 1st half of 2016. This is nearly equal 20% increase, when compared to 2015.
In a statement by the company, a spokesperson for Sportsbet declared that the company has devoted 35% spike in marketing and sales overall. The representative added that this was a result of the substantial investment that is ongoing, in the media asset. It was also the result of the cost inflation that resulted from the cutthroat competitive market.
In second place, following Sportsbet came Ladbrokes, the UK based company. It has spent 20 million AUD, which is the same amount that was spent by CrownBet, which is owned by James Packer. Domestic Aussie bookmakers, Tatts and Tabcorp invested 8 and 18 million AUD respectively.
The reports explained the huge gap between the ad spending between the offshore, and the Aussie local bookmakers to be due to their limited budgets. This is a result of the high taxation rates that are being imposed on the Aussie based operations. While everyone is boosting their advertisements budgets, there are 2 UK based companies that reduced the budgets. These two companies are Bet365, which cut down on advertisement spending by 39%, and William Hill that cut its spending by 21%.