CELEBRITY ENDORSEMENTS
2. Their scope – advertisements promoting Ontario-licensed sportsbooks can still be viewed by consumers across Canada, 2 and 3. Perhaps, most notably, the use of celebrities in advertisements – ranging from globally renowned actors like Aaron Paul (Breaking Bad), Jon Lovitz (Saturday Night Live), and Jamie Foxx (Any Given Sunday), to some of the country’s most well-known public figures and professional athletes like Wayne Gretzky, Connor McDavid, and Auston Matthews (collectively, “Celebrities”). 3 It took about a year for Ontario’s igaming regulator, the Alcohol and Gaming Commission of Ontario (the “AGCO”), to hold consultations with various stakeholders to amend the AGCO’s Registrar’s Standards, the regulatory rules required to be followed by Operators in the province. As part of the amendments, which came into force on February 28, 2024, the AGCO prohibited Ontario registered igaming Operators from using (i) athletes, whether active or retired, in igaming marketing and advertising, or (ii) celebrities, role models, social media influencers, entertainers, cartoon figures, and symbols that “would likely be expected to appeal to minors”. However, the revisions to the Standards do not require Operators to end all their relationships with athletes and celebrity brand ambassadors. The Standards were revised to allow Operators to use active or retired athletes in their advertisements by adjusting the content of their advertisements to promote responsible gambling instead of advocating for viewers to use an Operator’s platform. An example of the shift in strategy can be seen from BetMGM, who originally launched a commercial featuring Connor McDavid practicing his slapshot with Wayne
Gretzky looking on and winning a bet on his BetMGM App. 4 After the changes to the Standards, a new commercial was published where McDavid is discussing BetMGM’s responsible gambling tools. 5 With respect to celebrity brand ambassadors, the AGCO issued additional guidance providing that while the nature of an individual’s appeal to different groups is fluid, Operators should use their judgement as to whether the individual in question would “likely appeal” to minors. 6 Some factors that Operators may consider when establishing their criteria for assessing the likelihood of an individual’s appeal to minors include, but are not limited to: the demographic composition of the individual’s following or fan base, an assessment of the individual’s audience demographic data, and whether the individual has obvious and direct links to activities that are popular for minors (e.g., did the individual gain or enhance their notoriety for appearing in a film that appeals to minors). The Gaming Control Act 7 allows the AGCO to fine corporations up to CA$500,000 for most violations of the Standards. Many Operators have been fined in Ontario due to various advertising activities, such as for offering bonuses and inducements, 8 but as of writing this article, no fines have been issued to Operators for violating the standards related to celebrity endorsements. So, how do Ontario’s revised standards for celebrity advertising compare to other regulated jurisdictions’ approaches? United States After the U.S. Supreme Court in 2018 struck down the federal ban on state-authorized sports betting, 9 various states have
2 Taylor Simmons, All those sports betting ads you’re seeing? “It’s illegal”, says Alberta gaming commission, CBC News, May 25, 2022. 3 Alcohol and Gaming Commission of Ontario, AGCO engaging stakeholders on proposed changes to standards that would restrict athlete and celebrity participation in internet gambling advertising, April 13, 2023. 4 BetMGM Shooting Practice Commercial (featuring Wayne Gretzky & Conner McDavid), Youtube.Com, October 12, 2022. 5 BetMGM Canada: Carried Away with Connor McDavid, Youtube.com, April 11, 2024. 6 Alcohol and Gaming Commission of Ontario, AGCO Release Guidance To Support Implementation of Revised Standard for iGaming, February 8, 2024. 7 Gaming Control Act , 1992, S.O., 1992, c.24. 8 Alcohol and Gaming Commission of Ontario, AGCO issues monetary penalties to BetMGM Canada and PointsBet Canada for alleged advertising and inducement infractions, May 3, 2022. 9 Murphy v. National Collegiate Athletic Association , No. 16-476, 584 U.S. 453 (2018) (hereinafter “Murphy”).
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IMGL MAGAZINE | MARCH 2025
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