Norsk Tipping and Norsk Rikstoto Ordered to Reduce Marketing Costs

October 28, 2023 | Advertising

Førde, Norway (October 26, 2023) – The Norwegian Lottery Authority is satisfied that both gambling providers have completed the process of reducing the marketing pressure. Advertising and marketing for gambling is harmful for those who have problems with gambling, says Atle Hamar, director of the Lotteries and Foundations Authority.

The two sole operators are thus following the Norwegian Lottery Authority’s order to reduce marketing costs. Norsk Tipping must cut by at least NOK 45 million from 2022 to 2023, and Norsk Rikstoto must cut close to NOK 3.4 million.

Illegal gambling advertising has been removed

The order to cut marketing occurs as a result of the fact that advertising from illegal gambling is gone from Norwegian television screens.

-According to Norwegian law, gambling can only be marketed as far as is necessary to inform about the gambling offer and lead the desire to gamble in society to responsible and safe gambling, says Hamar.

The Norwegian Lottery Authority notified the monopoly operators in August last year that they had to take measures to reduce advertising pressure. The companies have now adopted this.

Competition from illegals affects the reduction

Norsk Rikstoto must reduce less than Norsk Tipping, among other things, because the competition for the companies’ games faces different competition from the illegal players.

– The illegal providers’ bets on horses with fixed odds are not in direct competition with the bets of the Norwegian National Sports Confederation. Nevertheless, we have seen that such games have been marketed by the illegal players in order to lure Norwegians to an illegal casino offer, says Hamar.

How much the companies reduce depends on the basis. Norsk Rikstoto must reduce by 5.2 per cent of a calculation basis of NOK 64.5 million, while Norsk Tipping must reduce by 20 per cent of NOK 227.5 million.

The companies must implement the reduction by 30 June 2024.

SOURCE: The Norwegian Lottery and Foundation Authority.

Tags: , , ,