Germany: VAUNET criticises gambling ad proposals

VAUNET_ Germany

The proposed German State Treaty for gambling has yet another disapprover: VAUNET. The association, which represents over 150 media firms in the country, was particularly critical of ad regulations.

According to the organisation, the blackout on gambling ads will harm regulated marketing efforts in Germany.

Disregarding the value of advertising in the regulated German market 

In January’s proposed treaty, the country’s 16 Federal States agreed to an ‘telecommunications’ blackout across traditional broadcast and digital mediums. This would last from 06:00 to 21:00 daily.

VAUNET ChairmanDr Matthias Kirschenhofer, isn’t fond of this idea. In his eyes, legislation deciders have ignored the value of advertising as important in supporting a regulated market.

His opinions on the matter, which featured in an official statement, were as follows.

“Advertising is the financing basis for private broadcasters and an instrument that steers legal games in the gaming market, the regulatory goal of our Federal States.”

Concerns expressed by members 

According to VAUNET, some of its members have raised concerns of their own. These relate to unclear digital advertising requirements and the implementation of restrictions.

If the proposed digital blackout comes into effect, media owners will need to make reforms to their sports-related content. Some of the necessary changes shall include restricting webpage access, API integrations, advertising solutions and additional data requests. This would all be within a smaller timeframe, too.

According to Kirschenhofer, Germany has a ‘safe advertising environment’ as things stand. Thus, since they adhere to what’s allowed in the ‘Interstate Treaty on Broadcasting‘, he questions why legislators would want to introduce such heavy restrictions.

Jörg Wacker, Bayern Munich Executive, shared similar views when criticising the treaty last week. In an interview with German tabloid BILD, he said the below.

“If products like in-play betting and poker are allowed does Germany suddenly become a land of gambling addicts… Sodom and Gomorrah! These products have been offered in Germany without restrictions for over a decade now and that outcome has simply not happened.”

Revenue 

Kirschenhofer also left a comment about how advertising could help media in the country utilise new revenue sources. At the moment, broadcasters in Germany face stagnation in a marketing respect.

“The State Treaty on Gaming offers the opportunity for private Broadcasters to generate new advertising revenue. The planned advertising restrictions do not take sufficient account of the economic development of media companies in relation to other media types.

“They are ultimately at the expense of investments in attractive content. We, therefore, appeal to the federal states to make improvements here again.”