Betsson, a prominent iGaming company and sponsor of the soccer team River Plate, is facing challenges in Argentina as the Chamber of Deputies recently approved a bill that proposes to ban online gambling advertisements and welcome bonuses. This legislation could have significant implications for licensed iGaming brands operating in the country, including Betsson. The bill, currently under review in the Argentina Senate, seeks to prohibit gambling ads across all media platforms, public spaces, and also aims to ban any form of gambling sponsorships of sports teams and leagues.
Betsson entered the Argentinian market in 2021 and set a record for sports betting partnerships in 2023 by signing a deal with Boca Juniors FC. The company believes that regulated online betting has significant economic benefits for soccer teams, stakeholders, and Argentine society through tax revenue. In response to the bill, Betsson expressed concerns about the potential impact on its operations and emphasized the importance of marketing within clearly defined regulatory limits.
The proposed legislation could jeopardize existing deals for Betsson, including its $7.5 million sports betting sponsorship with Boca Juniors. The bill also aims to ban gambling operators from using testimonials from famous soccer stars and other celebrities to promote their brands, as well as prohibiting the offering of welcome bonuses. While Betsson recognizes the need for regulation in the Argentine iGaming market, it argues that regulated marketing should still be allowed to protect players and maintain industry integrity.
Despite Betsson’s concerns, the bill has moved forward to the Senate without prior consultation with licensed operators, sports organizations, or media owners. In addition to Betsson, other betting companies, such as Spanish sportsbook Codere and Greece-based Kaizen Gaming subsidiary Betano, could also face challenges with their investments in Argentine soccer. Codere has a sponsorship deal with River Plate, while Betano recently secured a partnership with the Argentine Football Association to sponsor the country’s premier league.
If the bill is approved by the Senate, these companies may need to adjust their marketing strategies and sponsorship agreements to comply with the new regulations. Overall, the proposed legislation represents a potential shift in the landscape of online gambling in Argentina and could have far-reaching implications for both operators and sports organizations involved in the industry. Betsson and other betting brands will need to navigate these changes and adapt their strategies to remain competitive in the evolving market.