Vaunet asks Germany to rethink Advertising regulations

Vaunet, The German association of private media businesses, has asked German lawmakers to eliminate advertising restrictions that impact broadcasters in the new gambling regulatory framework currently being discussed.

The association believes the limitations, like daily periods when advertising is not permitted, and the phrasing of some aspects of the draft document violate the core goal of channelling players to legal offerings.

However, Vaunet, with over 150 TV, radio, streaming and online media companies as its members, said that it broadly welcomes the proposed liberalisation of the German betting market, with online casinos to be legalised alongside sports wagering.

Dr Matthias Kirschenhofer, Vaunet’s internal betting working group chair and a board member of Munich-based Sport1 Medien, explained, “Advertising underpins private broadcasters’ businesses, and acts as an instrument to steer players towards legal offerings in the gaming market, a key regulatory goal of the federal states.”

Kirschenhofer said the new regulations, in theory, should allow broadcasters to tap into new revenue streams when advertising spend from other sources was stagnating, and the planned advertising restrictions could shut this off.

Vaunet said Section 5(2) of the Glücksspielneuregulierungstaatsvertrag (GlüNeuRStV) which states that advertising may not be “excessive” would create considerable legal uncertainty – this is vague and open to interpretation.

GlüNeuRStV looking to limit advertising of newly-regulated products was called into question. The association said that considering the legislation aims to channel players away from illegal offerings, this could eventually put the licensees, and advertising channels, at a disadvantage. It argued that it was unnecessary to make additional rules as social responsibility controls were already included in the Interstate Broadcasting Treaty.

Vaunet specifically took issue with the provisions that prohibit advertising of online slots, casino and poker between 6 AM and 9 PM on TV and radio, as well as the whistle to whistle sportsbook advertising ban.

The broadcasters would be at a significant disadvantage to other media and advertising channels, where no such restriction applies, it argued. If such a prohibition is to be retained, internet portals should be subject to the same rules.

It added, the tenet was unclear as it did not clarify if sportsbook operators would be prevented from advertising their online casino products during times when gambling promotions were not allowed.

Moreover, the prohibition of any connection between sports betting advertising and live scores publication for sporting events led to an effective sportsbook advertising ban on all media portals, it argued – live score tickers are an “integral part” of all media companies’ online content.

Vaunet follows the Deutscher Sportwettenverband (DSWV) and the European Gaming and Betting Association (EGBA), who have already lobbied for changes to the GlüNeuRStV.

Lawmakers discussed the GlüNeuRStV in Nordrhein-Westfalen yesterday, ahead of the final meeting of state Minister-Presidents in Berlin to be held on 5^th March, where the final regulations may be ratified.