Why Casino & Sports Betting Ads Are the Last Thing Gen Z Needs
It's hard to watch anything these days without an ad for casinos or sports betting. In what feels like no time at all, those two things have become major parts of the zeitgeist. Sporting events are perhaps the worst for this, because FanDuel, BetMGM, and others have a captive audience that should, in theory, be a little interested in the product.
Ads are always annoying. There's a reason most streaming sites offer ad-free subscriptions. No one wants to watch commercials, and to be totally honest, no one wants to watch casino or sports betting ads less than Gen Z.
Gen Z doesn't need sports betting ads
What sports betting ads do so well is appeal to a lot of our general sensibilities. They get at the fear of missing out (FOMO) on being involved in something big. Just watching a sport isn't the same when there are people out there making money off of it. The same is true for casinos. They look like a whole lot of fun, and what's more fun than card games?
They also use celebrity influencers. If you're a fan of LeBron James, then DraftKings is targeting you with its promotions. Like Jon Hamm? BetMGM knows you do. Ever listened to Megan Thee Stallion? Fanatics is betting you have. Dr DisRespect has over four million subs on YouTube, and FanDuel is targeting that audience.
There's a clear aim at Gen Z. Millennials aren't listening to Megan. The older generation hates LeBron. They don't even know who Dr DisRespect is. Some of them, like Derek Jeter or Barry Sanders, who do these ads are aimed at the older audience, but by and large, they want Gen Z.
This isn't exactly a good thing. Gen Z isn't the youngest generation, though they may sometimes act like it, but they exist in the perfect middle ground for sports betting and casinos. They're young enough to be impressionable while being old enough to have money and want to engage with these celebrities.
Bad news for Gen Z
Unfortunately, this is not ideal for that generation. They currently earn the least amount of money and face the highest living costs of any generation that came before them. They don't make money to spend on gambling, and they need more money than they make just to exist. It's rough out there, and gambling casinos or sportsbooks aren't helping that.
Gen Z has no money, yet they're lured in by these ads. It's hard to blame them. Sports are cool, and so are card games. Why not throw a bit of money in there to spice things up? LeBron James is part of it. So is Bryson DeChambeau, and so many others you love.
In 2023, almost one in every five adults aged 18-24 is addicted to gambling. That number has undoubtedly risen since the study took place. Sports betting can be a fun pastime, as can a friendly poker game or some blackjack at the casino.
Too often, though, it goes beyond that. It's not fun when Gen Z is addicted to placing bets and losing money they don't have because of it. Gen Z is also the fastest-growing group of gamblers. 37% of Gen Z bettors self-reported a potential addiction.
Nearly half of young adults who gamble reported mental health issues. 60% of boys aged 11-17 see YouTube ads for sports betting or casinos. 54% actually placed bets while underage. The same percentage spends real money on loot boxes in games, which is very similar to simulated gambling (stats via AIBM).
These are problematic trends for a group of impressionable young people, and the advertisements plaguing their phones and televisions do not help. Research suggests betting ads do increase the amount of betting, and when the ads target a generation like this, they're going to be successful.
