How will the German Federal regulator tackle the pressing matters raised by stakeholders, with many calling for tighter reigns? Other regions have faced similar challenges, but how will Germany choose to move forward?
The German trade association Deutscher Sportwettensverband (DSWV) took a stand for improved player protection measures. According to the betting trade association, black market gambling is a leading contributor to increased gambling harm, and the DSWV urges authorities to take a stricter stance on illegal gambling.
With more legal options this year, gamblers in Germany can safely wager with responsible operators, but gambling addiction figures have a few parties demanding action from lawmakers. Part of the crowd making demands is the Federal Center for Health Education (BZgA) which believes advertising bans could lower the problem gambling rates.
Germany celebrated its inaugural national Gambling Addiction Day on 28 September, where stakeholders worked to raise awareness of the disorder and discussed a way forward to a safer gambling market.
Weed Out the Problems
On national Gambling Addiction day, DSWV proposed that Germany's gambling regulator shift its focus to illegal operators targeting German gamblers. The trade association argues that unscrupulous black market providers bypass the necessary player safety protocols expected from licensed operators, thus leading to more gambling harm.
DSWV president Mathias Dahms commented on their proposition, saying:
"The black market in gambling and sports betting
has reached gigantic proportions in recent years.”
The association believes that if authorities intensify their work with ridding the country of black market gambling, problem gambling rates will drop. Following a research project, the DSWV confirmed that more than 400 unlicensed websites offer gambling services to Germans, and the association believes this may only be the tip of the iceberg.
Since Germany's Fourth Interstate Treaty on Gambling came into force, the country established a federal gambling regulator Glücksspielbehörde (GGL) and introduced more licensed operators. Player protection remains the priority for lawmakers who seek various avenues to create a safe gambling industry in the European country.
Advertising Conundrum
The argument on advertising restrictions is nothing new in the iGaming industry. Therefore, it is not surprising that Germany faces the challenge of managing the marketing of gambling products. Germany's Commissioner for Addiction and Drug Issues called on the authorities to enforce a ban on all gambling advertising before 9 pm.
In support of the proposal, BZgA raised concerns about remote betting and continuous access to online platforms and proposed a watershed ban on gambling advertisements. On national Gambling Addiction Day, the federal health association and commissioner for addiction turned the public's attention to alarming statistics among German gamblers.
Commissioner Burkhard Blienert voiced his opinion on the fact that the advertising of gambling products has increased at a tremendous rate in recent years and highlighted harm statistics. BZgA released data from a survey which found that approximately 229,000 German adults show signs of problem gambling, and 200,000 gamblers suffer from compulsive gambling addiction.
Based on these findings, both parties support the implementation of strict gambling bans to cover traditional and online media sources.
The Challenge GGL Must Face
Germany launched its regulated online gambling market under stringent regulations that drove countless top-tier operators away from the jurisdiction. Numbers support that players seek alternative routes to participate in games of chance and place themselves in harm's way because of it.
The licensed gambling industry relies heavily on advertising to channel players toward their platforms. With little choice in licensed providers and the threat of advertising bans, Germany could undermine the potential of its gambling industry. The DSWV warned the GGL of major challenges it will face in achieving market success, and right now, the warning seems on the spot.
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