Brazilian officials are currently examining the advertising strategies employed by CazéTV, Globo, and SBT after betting promotions were aired during prime-time broadcasts of the World Cup. This scrutiny follows data from Kantar Ibope, which indicates a notable surge in betting activities throughout the tournament.
The Ministry of Justice has launched an inquiry into the three companies due to suspected instances of abusive advertising practices. All three networks aired World Cup matches, and CazéTV, a YouTube channel, has also faced backlash for showcasing betting options through its presenters during the live coverage.
This investigation coincides with findings from a Klavi survey, which utilized data from Brazil's Central Bank integration system and was reported by Folha de S.Paulo. The survey revealed that 34.8% of Brazilians have engaged in betting since the World Cup commenced, a figure that has more than tripled from the 11% recorded in May.
Conducted with a sample size of 1.2 million individuals, Klavi's survey focused solely on transactions made to licensed betting platforms. It also highlighted an increase in average deposits during the tournament. For instance, on June 28, the average deposit per user was R$ 272 ($52.3), compared to R$ 188 in the days leading up to the championship. Since the World Cup began, the daily average has consistently remained above pre-tournament levels.
The highest average deposit was noted on June 14, the day following Brazil's match against Morocco, with bettors averaging R$ 524 ($100) each. Additionally, Klavi's findings indicated a significant spike in activity during the evening hours, with over 60% of deposits occurring after 6 PM, while only 10% were made in the morning when no matches were scheduled.
Rodrigo Machado, who coordinates the Technological Dependencies Group at the Psychiatry Outpatient Clinic of the Hospital das Clínicas, remarked that studies have associated compulsive behavior with nighttime activities. He noted, "That's when individuals are not under the watchful eye of their partners and tend to exhibit less self-control." Machado added that feelings of shame in front of family and friends often drive gamblers to seek medical help.
The survey also revealed a significant disparity in betting expenditures. The top 10% of bettors, classified as “high rollers,” spent 20 times more than the combined total of the remaining 90%, according to Klavi.
The Brazilian Institute for Responsible Gaming (IBJR), which represents the companies under scrutiny, stated that Brazil's existing laws are already stringent and expressed support for the ongoing investigation.
Current advertising regulations in Brazil focus on format limitations, mandating that companies include warnings about the risks of gambling and health advisories. The Ministry of Finance oversees the conduct of betting companies and has the authority to impose fines up to R$ 2 billion ($380 million) for any violations.
In contrast, other regions enforce stricter advertising guidelines. For instance, Australia prohibits betting ads during live sports events, while the UK restricts such advertising to after 9 PM. Portugal allows it only after 10:30 PM, and both the Netherlands and Belgium ban ads featuring public figures.