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Brazil's betting sector debates digital ads to curb illegal operators

Can stricter ad rules backfire? Brazil's betting sector warns that limiting licensed brands may empower unregulated operators. Discover the proposed solutions.

The image shows a yellow background with a map of Brazil on the left side and an arrow pointing...
The image shows a yellow background with a map of Brazil on the left side and an arrow pointing upwards. On the right side of the image, there is text that reads "78 2% increase to 23,675 Brazilian students in the U.S."

Brazil's betting sector debates digital ads to curb illegal operators

Speaking during the Public Policy Forum for Digital Advertising, organised by the IAB Brazil in Brasília, Chief Business Officer Hugo Baungartner emphasised the vital role that education and public awareness must play in distinguishing regulated operators from unlicensed platforms.

At the heart of this challenge is the need for the public to clearly understand which operators are legal and which are not - a distinction that depends directly on formal, regulated advertising acting as a trusted point of reference.

The regulated market wants to be part of the solution. For the sector to be sustainable, we need to invest in education and public awareness, helping users clearly understand who operates within the rules and who does not. Advertising plays a crucial role in that - it's not just marketing, it's a mechanism for consumer protection.

The discussion highlighted how restricting licensed operators' ability to communicate can unintentionally blur the lines between legal and illegal providers, making it harder for consumers to make informed choices.

When licensed brands are unable to communicate effectively, it creates a vacuum that illegal operators are quick to fill, users don't stop seeking entertainment, but without clear signals, they lose the ability to differentiate between safe, regulated environments and unlicensed platforms.

The forum brought together industry stakeholders and policymakers to explore the future of digital advertising within Brazil's regulated betting landscape, with a shared understanding that collaboration between regulators and operators is essential.

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