AFL asks Sportsbet to curb ad controversy as season restart looms
Ads featuring former NRL player Todd Carney and a parody of Prince Harry attracted criticism and controversy.
The AFL has demanded assurances from one its biggest sponsors that they will curtail some of their controversial advertising ahead of the code’s return to the field next week.
Sources have confirmed with The Australian that the AFL wrote to wagering market leader Sportsbet this week about their sponsorship deal, worth about $8m annually and one the betting giant is set to assume after its recent merger with BetEasy.
Sportsbet’s irreverent advertising and branding campaigns have long attracted the attention of punters, making it an essential part of the company’s rise to becoming entrenched as the biggest digital or corporate bookmaker in Australia.
But some of the advertisements, including those featuring former NRL Todd Carney and a parody of Prince Harry, have also attracted criticism and controversy in the wider community.
The AFL is understood to have raised concerns about these types of advertisements being featured during coverage of the sport or in digital form connected to AFL betting offerings or any other advertising.
Sportsbet executives would not comment but are understood to have been extremely keen to not fall out of favour quickly with the AFL, and scrambled to put together a presentation for AFL executives to try to allay their fears of being associated with a sometimes controversial brand. There are potential doubts about the long-term future of the partnership, however.
In a statement, an AFL spokesman said: “We have strong relationships with all our corporate partners and work closely with them to ensure that we are aligned and we look forward to working with Sportsbet as they move to transition the BetEasy brand.”
The AFL had renewed its wagering partner deal with BetEasy at the beginning of this year after first striking a surprise five-season deal with the then upstart brand worth more than $40m in 2015. Then and earlier this year, BetEasy beat out its then rival Sportsbet for what is considered one of the most important sports betting deals in the country.
While both wagering companies were close in dollar terms, it is understood the AFL was more comfortable with BetEasy’s more conservative advertising campaigns and having its branding associated with the sport.
The BetEasy brand is now being subsumed by Sportsbet after each brand’s global parent companies, The Stars Group and Flutter Entertainment, finalised a $US12bn merger in early May.
While the AFL had inserted some break provisions in its contract with BetEasy in case of a change of ownership, the league has realised it is unlikely to be able to strike a deal with any rival brands with the season restart around the corner and a tough economic climate in general for the business sector.
Therefore next Thursday night’s clash between Collingwood and Richmond will prominently feature Sportsbet footage on stadium signage and it is likely the wagering giant will also buy significant advertising slots for television coverage.
The AFL is also battling doubts over another big sponsorship deal it has with airline Virgin Australia, which has been in the hands of administrators Deloitte since April after entering voluntary administration because most travel has being shut down due to the COVID-19 pandemic.
Virgin’s deal with the AFL is worth up to $10m annually and involves it usually flying players, umpires, coaches and officials around the country to matches.
Sportsbet is the market leader in the $4bn Australian online betting industry with a share of about 25 per cent, while BetEasy has about 14 per cent.
Globally, Australia accounts for about 15 per cent of the merged Flutter-Stars business. The pair had combined earnings before interest, tax, depreciation and amortisation of $300m in Australia last year.