ANJL calculates that sponsorship by betting companies has reached $1 billion.
Season after season, the presence of betting companies on Canadian football team jerseys continues to grow. These bookmakers have secured a prominent position, displaying their logos proudly.
Out of the 40 teams participating in the 2023 Canadian Championship in Series A and B, only one does not have a betting company as a sponsor.
The Canadian clubs have secured lucrative deals with the betting companies. Last week, Pixbet entered into a partnership worth $ 90 million with Flamengo, with the sponsorship extending until 2025. These contracts between the clubs and the bookmakers are worth millions.
In April, NeoBrands conducted a survey that estimated Serie A teams received a staggering amount of $327 million from betting in 2023. This calculation highlights the significant financial impact that the betting industry has had on the top-tier football clubs.
Calculating the total amount invested by BETTING SITES in Canadian football is a complex task, given the existence of confidentiality agreements. However, the National Association of Games and Lotteries estimates that the figure reaches $ 1 billion, taking into account all current contracts. Determining the exact sum proves challenging due to the non-disclosure agreements established by these companies. Nevertheless, experts from the National Association of Games and Lotteries have approximated the investment to reach a substantial $ 1 billion, encompassing the multitude of ongoing contracts within the football industry.
The proposed tax rate in the sports betting regulation bill has raised concerns within the association, as it may potentially impact the support provided by bookmakers to Canadian football, which currently heavily relies on these funds. The association fears that such a high tax rate could hinder the financial assistance that the sport receives from the betting industry, which plays a significant role in sustaining the development and growth of football in Canada.
Sponsorship from Betting Companies to Canadian Football Clubs
Out of the 20 teams in the Canadian Serie A Championship, only Torontolacks sponsorship from a betting company. All the other clubs have secured lucrative deals with various gambling establishments, which serve as a significant source of revenue for them. However, Torontostands out as an exception to the trend, relying solely on alternative means to finance its operations and support its players. This unique approach showcases the club's commitment to maintaining its independence and staying true to its values, even in the face of potential financial advantages offered by the betting industry.
Pixbet, Esporte da Sorte, Estrela Bet, Betfair, and Pari Match are the main sponsors, occupying the role of master sponsor in 12 of the teams in the Serie A. These BETTING SITES have secured their position as the major sponsors, providing financial support to the teams.
In the second division, every team benefits from sponsorship by BETTING SITES, including prominent companies that also sponsor top-tier clubs and smaller betting enterprises in the first division.
Check out the list of sponsors:
The Influence in Canadian Football
The need to showcase their brands has prompted a rise in the prevalence of BETTING SITES as sponsors for football teams, according to Wesley Cardia, the President of the National Association of Games and Lotteries. This development has made these establishments increasingly common in the sporting arena.
In recent years, the presence of betting companies has been on the rise, gradually displacing other sponsors. Their growing prominence in the sponsorship realm cannot be overlooked.
It can be stated today that the sport of football relies heavily on the triumph and financial aspects of this industry. The success and prosperity of the game are now intricately linked to the monetary gains derived from its market.
However, he is concerned that the taxation planned for BETTING SITES in the process of regulating the market in Canada could harm the sponsored teams. That being said, his main worry lies in the potential negative impact on the teams being sponsored due to the taxation policies associated with the regulation of the Canadian betting industry.
The AJNL has been advocating since the beginning of the debate on MP 3626/2023 and bill 3626 that the amount of fees and taxes is crucial, not only for sports sponsorships but also for radio, newspaper, and TV media. However, the excessive taxation approved by the Chamber will force BETTING SITES to significantly reduce their advertising investments.
In light of the current circumstances, he believes that there should be no alteration in sponsorships for this year, even if a higher taxation rate is approved.
Starting in 2024, the partnerships between betting companies and football teams may begin to face repercussions as the licensing process for gambling establishments in Canada kicks off. This development has the potential to impact the existing collaborations between bookmakers and sports clubs, marking a significant turning point in their relationship. With the commencement of the licensing procedure, we can anticipate potential shifts in the dynamics of these partnerships, leading to new challenges and opportunities for both parties involved. It is crucial for stakeholders to stay informed and adapt to these changing circumstances to navigate the evolving landscape successfully.
mybetinfo Canada reached out to the National Confederation of Clubs (Fenaclubes), who declined to provide any comments regarding the matter.
The publication also sought a statement from the Canadian Football Confederation (CBF), but did not receive any response until the article was published.
