Influencers a growing concern for New Zealand ahead of market transition

New Zealand has turned its attention to influencers promoting casino content at a time of heightened political focus on the betting and gaming sector.

The country is not alone in finding frustration with influencers of late with gambling marketing and the role social media personalities can play in this falling under an increasingly bright regulatory spotlight.

According to Radio New Zealand (RNZ), the Department of Internal Affairs (DIA) is issuing takedown notices to influencers promoting overseas gaming firms.

Influencers have been live streaming their use of these firms’ products, carrying out promotional giveaways and similar activities, and have been posting links to offshore companies’ websites, the DIA told RNZ.

This violates the terms of New Zealand’s Gambling Act, which prohibits New Zealanders from advertising online gaming firms. It also comes ahead of the launch of an online casino market in New Zealand, which the state-backed TAB gaming group has some reservations about.

SkyCity Entertainment Group, the biggest land-based casino operator in the country, is also concerned about the impacts of an open online casino market – but the TAB”s betting partner, Entain, did not seem as fazed when contacted by SBC News earlier this month.

Meanwhile, the controversy around influencers shows the difficult challenge faced by regulators when it comes to governing betting marketing. Like other sectors, influencers have become increasingly important for operators looking to engage with a highly digitally-driven consumer base.

This approach has come across hurdles in both white and grey markets. In the UK for example, a PokerStars advert featuring two influencers was ordered to be taken down by the Advertising Standards Association (ASA).

In other markets in the midst of transition, like Brazil, the new legal market has highlighted the prevalence of influencers promoting grey market unlicensed operators as a lingering problem. It seems that stakeholders in New Zealand share similar concerns.

New Zealand’s DIA told RMZ that it is considering harsh measures to address this issue. The Department informed the outlet that influencers which continue to breach the Gambling Act could be hit with fines of up to NZ$10,000 (£4,378).