BetComply: Why an ad ban in the Netherlands would be the industry’s fault
The KSA has been very clear on what it expects from licensees, but many are still falling short. It’s not too late, but the clock is ticking, says chief compliance officer Mike de Graaff
Earlier this month, Renske Fikkers, head of market supervision at the Netherlands Gambling Authority (KSA), delivered a speech that should have jolted every marketing team across the Netherlands.
Her message was clear: public confidence in the online gambling sector is eroding, and unless we correct course quickly and collectively, a total advertising ban is a very real possibility.
Let’s not pretend this came out of nowhere, or that the regulator is overreacting. In fact, we in the industry need to admit something uncomfortable – that this situation is largely of our own making.
Over the past year, we’ve seen a string of campaigns that have very clearly crossed the line. The KSA has already reprimanded operators for clear breaches, including sexually suggestive adverts and even one campaign that tied winning a jackpot to childbirth.
Both campaigns sparked public outcry. It is worth emphasising here the campaigns were signed off by licensed operators. We’re not talking about a minor misstep or technicality here; they are fundamental failures of judgement.
We need to start thinking about what this looks like from the outside. There’s a growing feeling among the public that our industry is more interested in short-term traffic than building long-term, sustainable trust. That’s a real problem, and one the KSA won’t tolerate for long.
Or to be blunt, if we continue to overstep the rules, we won’t have rules anymore. We’ll have an outright advertising ban instead.
Political capital
I know people will respond to this situation by arguing that a total advertising ban will only push players towards unlicensed operators. They are absolutely correct.
A blanket ban would harm channelisation and reduce visibility of regulated options, creating fertile ground for illegal operators to thrive. The KSA knows this. Fikkers even called such a ban “undesirable”. But it’s naive to believe this argument will trump wider societal concerns.
When legal operators act irresponsibly, an advertising ban suddenly becomes popular among regular people, and in turn politically viable. The campaigns I mentioned, and some others, have undercut the arguments our sector has made in favour of advertising freedom.
If you were a policymaker watching this unfold, would you really believe the industry can be trusted to self-regulate?
What concerns me just as much as the campaigns themselves is the collective silence that tends to follow them. Time and again, serious breaches happen, and the response from the wider industry is muted. We brush it off and pretend it’s a one-off. This is a deep, strategic error on our part.
When one operator behaves irresponsibly, we all feel the consequences. Public sentiment does not distinguish between licence holders. The distinction between a ‘bad actor’ and ‘the industry’ vanishes in the public eye.
If we want to preserve the freedoms we currently have, we need to find our collective voice. We need to speak out not only when it’s convenient, but when it’s necessary.
Remember, for some time now the KSA has been evolving in the way it views its own responsibilities. It is very much open to dialogue with stakeholders, but it also expects licensees to operate in good faith not just to the letter of the regulations, but also in the spirit of them.
This is absolutely the right approach, and the KSA is leading the way here. Other regulators around Europe and beyond are beginning to follow the example.
But this new, constructive relationship must be met with a new kind of licensee. One that doesn’t need to be threatened into compliance, but rather understands not just the rules, but why we need to follow them. The days of compliance as a checkbox to tick are long gone.
The future of advertising in the Dutch market doesn’t have to be a story of bans and restrictions. It can be one of innovation and leadership. But the clock is ticking.
This is about embracing responsibility. When mistakes happen, and they will, we must be transparent, proactive and accountable. The KSA expects it, and more importantly, so does the public.
Talk of a blanket advertising ban isn’t a threat. It’s a final warning. And it’s up to us whether we listen.
Mike de Graaf is co-founder and chief compliance officer at BetComply, as well as a leading voice on regulatory issues in the Netherlands and beyond.