The iGaming industry is no stranger to change, especially when it comes to regulations. As governments tighten rules around gambling, media buyers are feeling the pressure to rethink how they advertise in this space. These changes affect everything from ad creatives to user acquisition strategies, creating both challenges and opportunities for those in the industry.
Ad Creatives Under the Microscope
One of the first areas impacted by new regulations is advertising content. In tightly controlled markets like the UK, media buyers face strict guidelines that shape how ads are designed and delivered. For example, the UK Advertising Standards Authority (ASA) enforces rules that prohibit misleading claims about potential winnings and discourage ads that suggest gambling can solve financial problems.
Additionally, ads can’t feature individuals under 25 or influencers who appeal to younger audiences. This forces brands to be selective in choosing ambassadors and limits creative choices. Animated characters, youth-oriented color schemes, and themes tied to underage culture are also off-limits.
While these restrictions may seem limiting, licensed media buying agencies have adapted by incorporating legal disclaimers and compliance notices into their campaigns. Though this reduces creative space, it doesn’t significantly impact overall engagement.
The Double-Edged Sword of Regulation
Regulations aim to protect players, but they can also drive people toward unlicensed operators. Countries like France, Poland, and the Netherlands have seen a rise in offshore casinos that attract players with fewer restrictions and more aggressive promotions.
In Poland, nearly half of the gambling market operates in a gray area, resulting in an estimated annual tax loss of over $247 million. In 2023, unlicensed platforms handled $8.6 billion in transactions. This trend has led industry experts to push for regulatory reforms by 2026 to prevent further market decline.
Strict regulations limit marketing channels for licensed operators, making it difficult for them to compete with unregulated platforms. These black-market casinos often bypass compliance costs, allowing them to offer more appealing odds and fewer hurdles for players.
The Value of Operating Within Legal Boundaries
Despite the challenges, there are clear benefits to operating within regulated markets. Licensed operators must follow jurisdiction-specific advertising laws, implement responsible gambling policies, and avoid blacklisted traffic sources. While this adds complexity, it also fosters long-term trust among players and partners.
Higher user acquisition costs are a reality in regulated markets, but the quality of users tends to be better. Without misleading ads or scams, players are more likely to stay loyal, improving their lifetime value (LTV) for operators.
A representative from HighRoller Casino, a client of media buying agency RockApp, shared their perspective:
“Stricter regulations in the iGaming industry have significantly increased operational demands and social responsibility for businesses. While compliance creates a more structured and reliable market, it also adds layers of complexity that companies must navigate. There are both advantages and challenges. On the one hand, licensed operators benefit from greater stability and credibility; on the other, the regulatory burden requires continuous adaptation. Finding the right balance is key to ensuring sustainable growth without restricting innovation.” – HighRoller Casino, CEO.
Similarly, Soft2Bet’s CEO highlighted the importance of choosing the right media partner:
“Choosing the right traffic partner is crucial in today’s iGaming landscape. RockApp has proven to be a reliable partner, delivering high-quality traffic and seamlessly adapting to the regulated market with the right approach. They don’t just follow trends – they anticipate changes and optimize processes to ensure outstanding results. The strategies that worked in the past are no longer effective, but RockApp excels at evolving, refining, and elevating performance to an entirely new level.” – Soft2Bet, CEO.
The Rise of the Gray Market
While licensed operators face higher operational costs, unlicensed casinos operate with fewer expenses. They avoid licensing fees, taxes, and compliance costs, giving them a financial edge. However, this comes with risks like legal actions, lack of access to reputable payment processors, and difficulty building trust with players.
A 2024 report from the European Gaming and Betting Association (EGBA) pointed out that overly strict regulations in some countries are pushing players toward unlicensed platforms. In Sweden, for example, traffic to unlicensed operators has grown tenfold since 2019. The gross gaming revenue (GGR) from these operators now reaches 13 billion SEK ($13.64 billion) annually, with users spending significantly more in unregulated casinos.
The CEO of ATG, Sweden’s state-owned gambling company, criticized the current laws, arguing that excessive restrictions on licensed operators create an unfair playing field. This imbalance encourages players to turn to unregulated platforms, undermining the intent of consumer protection regulations.
Media Buying Strategies in a Changing Landscape
For media buyers, operating within legal frameworks offers several advantages:
- Access to larger clients, as major iGaming brands prefer licensed agencies.
- Better partnerships with ad networks and platforms that favor compliant advertisers.
- Higher-quality traffic due to reduced fraud and better targeting.
Platforms like Google, Facebook, and premium programmatic networks enforce strict iGaming policies. Compliant agencies gain preferential access, while unlicensed operators face bans and restrictions. In contrast, working with unlicensed brands may offer short-term profits but leads to long-term instability, including account shutdowns, payment delays, and damaged relationships with advertisers.
Influencer and Streaming Marketing Adjustments
Strict regulations have also affected influencer marketing in iGaming. In tightly controlled markets like the UK and France, streamers can’t serve as direct brand ambassadors for casinos. In less regulated markets, streamers aggressively promote gambling to younger audiences, but this practice is off-limits in countries with strict guidelines.
To adapt, agencies have developed creative workarounds:
- Using AI and deepfake technology to modify streamer appearances.
- Replacing copyrighted music with royalty-free alternatives.
- Carefully selecting influencers who meet compliance standards.
These strategies allow agencies to continue leveraging influencer marketing while staying within legal boundaries.
Looking Ahead
Regulation is an unavoidable part of the iGaming landscape, but it doesn’t have to be a barrier. Agencies that understand how to operate within legal frameworks can not only survive but thrive. RockApp, for example, has secured licenses in all regulated states across the United States, reinforcing its commitment to compliance and sustainable growth.
For media buyers, the key is to find the right balance between compliance and innovation. Those who master this balance will lead the way in the evolving iGaming industry.
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