Sports and gambling is something that has gone hand in hand for many years. Without sports the gambling landscape would look a lot different, so it makes sense that there are intrinsic links at every level. One question that always seems to get asked though, is why do online gambling companies pump so much of their money back into sports?
We’ve taken a look at some of the more obvious reasons why as well as some you might not have been able to spot. Read on to learn about the deep seated link between sports and gambling.
Sports Gamblers Tend to be Sports Fans
This is something that many people don’t take into account. It stands to reason though, if you’re a fan of gambling on sports, then it’s quite likely that you’re a fan of sports in general. People don’t tend to place real money bets on things that they don’t understand. So, because sports fans have a better than average understanding of sports, it makes sense that they will gravitate towards betting on sporting events.
This manifests in two different ways. The first way is through sponsoring sports teams. So, in soccer especially you will see sponsors on the front of the team shirts. Many soccer teams have gambling companies as their sponsors on their shirts. This is because soccer is one of the most popular sports to bet on worldwide. In almost all sports you will see sponsors around the edge of the playing area. This ensures that different brands are on show at all times. Gambling companies will also sponsor the ad hoardings around the playing area.
What is an excellent additional benefit to sponsoring a soccer team is that fans will buy the replica shirts which have the sponsor on the front. So not only are the gambling company advertising to its target market, but they will also get additional advertising when the fans wear the shirts outside of the soccer game environment. This is an especially common occurrence in countries where soccer is the main sport.
It also sees events being sponsored by gambling companies. This means that an entire tournament could be sponsored by a betting company. It will be constantly on show and therefore seen by far more people.
The reasoning behind this is that it advertises the company to the market that is most likely to engage with it. There would be no point advertising to fans of comic books because they’re not as likely to use gambling sites as sports fans are. By choosing to sponsor sports it means that gambling companies are able to get the most likely customers to see that their product is available. This will in turn increase the number of people who sign up and make the gambling company more likely to be successful.
The Gambling Market is highly competitive
You might have noticed that over the last few years, there have been a lot more gambling companies springing up. This is because the advent of online gambling has made it significantly easier for players to choose a site to play at. With more choice comes more competition between companies. This means that gambling companies need to be able to make themselves stand out.
As previously mentioned, one of the best ways to do this is to target a particular market. It’s generally perceived that the sports fan market is the best market for gambling companies to advertise to. So, this is yet another reason why gambling companies choose sports as a market to target heavily.
It Works out Cheaper
For the third time we will mention how sports fans are a really positive market for gambling companies to target. However, it should also be mentioned that gambling companies have an advertising budget that they have to adhere to. This is why they have to get the best value for money when it comes to targeted advertising.
Sponsoring sports teams and sporting events is not cheap. But, it will usually give much better value for money. For example, sponsoring a Premier League soccer team can cost well into the tens of millions. However, that sponsorship will be seen by billions of people over the course of the year. It will also be seen by more people who are likely to use the service than advertising in other areas. So while it might be cheaper to advertise in other spaces, in the long term more people will see the sponsorship per each dollar spent when sponsoring sports teams.
All of this comes together to make sports one of the most lucrative areas for gambling companies to target their advertising. By sticking to this particular niche it means that the advertising budget can be used more effectively and that companies can easily create a much more successful advertising campaign.