Meta Tightens Betting Ad Standards on Facebook, Instagram
Meta Platforms is strengthening its regulations for online gambling advertisements on Facebook and Instagram, which are among the largest social media platforms globally.
The company from California announced new regulations for advertisers promoting real-money games on its social media platforms to combat advertisements from black market and offshore operators. According to the company’s updated policies, advertisers must complete additional documentation, possibly provide gaming licenses, and demonstrate their compliance in the areas where the advertisements will be displayed.
For instance, if an operator like DraftKings or FanDuel wishes to advertise to bettors in Ohio, they must demonstrate to Meta that their licenses are legitimate in that state and that they adhere to the state’s regulations.
Meta's updated guidelines apply to ads related to all types of real-money gambling, such as iGaming, poker, sports betting, and sweepstakes. Meta's new guidelines do not apply to social casinos and free-to-play games
“Meta defines online gambling and games as any product or service where anything of monetary value is included as part of a method of entry and prize. Monetary value includes but is not limited to cash or digital currencies like Bitcoin,” according to the company.
The Importance of Meta Rules for the Industry
Meta’s enhanced regulations on gambling advertisements hold significant importance for the gaming sector due to a straightforward reason: Facebook and Instagram rank among the top platforms for online marketing. According to certain estimates, excluding China, Google’s parent company Alphabet, along with Meta and Amazon, dominate almost 90% of the worldwide internet advertising market.
The sports betting sector has depended significantly on TV advertising, yet social media channels are crucial for operators aiming to attract younger bettors. The positive aspect is that Meta is not imposing excessive strain on the gaming industry
“To run ads that promote online gambling or games, advertisers will need to request authorization from Meta through the Authorizations and Verifications tab in Meta Business Suite. Authorization is granted to specific ad account IDs,” according to the company.”Note that advertisers only need to obtain a single authorization to be able to target online gambling and gaming ads globally with the exception of unsupported markets.”
Alongside free-to-play games, Meta’s new protocols do not apply to land-based casinos, purchase-required prize promotions, and state lotteries.
Might WhatsApp Be Next?
To increase ad revenue, Meta revealed last month it will permit companies to place ads on WhatsApp, its widely-used messaging platform. Nonetheless, the social media giant did not include WhatsApp regarding the new regulations for betting advertisements.
Gaming companies may see WhatsApp as an attractive advertising platform due to its three billion global monthly users, with 100 million located in the US.
