Google operates the largest online advertising network of all. With more than two million connected websites and over 650,000 apps, the potential reach is truly enormous - and therefore also extremely attractive for the international gaming industry. In Germany alone, such companies can reach around 90 per cent of all internet users via the network. This brings both legal and illegal providers onto the scene. However, an update to the rules for gambling advertisements, which will apply from 25 September 2024, is now intended to put a stop to the latter.

For gaming companies, the Google advertising network is an indispensable tool for addressing their target groups precisely and efficiently.

Its particular appeal lies in the combination of enormous reach and highly accurate targeting. Google Ads is the system behind the network, which allows advertisers to tailor their ads to specific demographic and behavioural criteria. This in turn can significantly increase the chances of users actually responding to relevant offers (viewing, registering, playing). In addition, the integration of real-time data analysis or optimisation tools offers operators ideal conditions for continuously improving their campaigns and increasingly tailoring them to user behaviour.

However, the new advertising rules that Google will introduce on 25 September 2024 will tighten the access criteria for gambling providers in Germany. In future, only companies with a valid licence from the Joint Gambling Authority of the Federal States (GGL) will be allowed to promote their services. This measure, which is being implemented by Google Ads, is part of a comprehensive market regulation strategy. It aims not only to increase security for consumers, but also to protect the integrity of competition in Germany by effectively excluding unlicensed or potentially illegal offers.

How does advertising on the Google network work?

Google advertising is placed via the Google Ads system. The first step is to create an account: The goal of the campaign is then defined in this account, for example increasing website visits or brand awareness. The ad type is then selected, such as text ads for the search network or image or video ads for the display network. Casino or sports betting adverts can appear both in the Google search network (especially in the search engine results) and in the display network (connected websites and apps - such as YouTube).

The next important component is keyword targeting: for gambling adverts, specific search terms can be selected that describe the respective offer or are related to it (e.g. ‘online casino’). Google then shows the adverts to users who search for these terms or consume content related to them.

In the case of display adverts, the advertiser determines on which partner sites or apps they are to be displayed. Contextual targeting is used here: Google analyses the content of the previously visited pages and decides whether an advertisement fits thematically. Google also offers advanced targeting options such as demographic data or interests that are specifically tailored to certain user groups, which is particularly important for gambling providers in order to reach their audience efficiently.

Certification process for Google Ads prevents providers without a German licence from advertising in this country in future

As Google announced in an update announcement at the end of August, the guidelines for gambling and games in Germany will be significantly updated. From 25 September, only applications for certification from gambling companies with a GGL licence will be accepted. Operators that do not hold a corresponding licence will lose all existing certifications from this date.

This primarily applies to casino and sports betting platforms. However, so-called gambling aggregation services are also affected, i.e. websites that (usually) link to several gambling offers. These are typically comparison portals for online casinos, bonuses, guides, etc.

In the certification process, advertisers will have to submit a specific authorisation in future. The certification process for gambling advertising on Google Ads will therefore be closely linked to the German licensing process from 25 September. Companies wishing to place gambling advertising in Germany must actively prove that they are in possession of a valid licence. As soon as an application is submitted, Google checks whether the provider has a licence before the relevant ads are displayed.

The certification process involves several steps. However, advertisers do not only have to submit the GGL licence. Even now, detailed information on the gambling offers must be provided, which includes information on the types of games, compliance with legal provisions and operational key points of the platform.

Will the amended regulations mean that only legal providers will be displayed on Google in Germany in future?

No! The adjustment to Google's guidelines only affects paid adverts that are placed via Google Ads - the conventional or organic search results remain unaffected.

This means that providers who do not have a German licence can still appear in the search engine's regular results. Google's ranking algorithm, which determines this, is based on various factors such as the relevance of the page, the quality of the content and the user experience. It often favours licensed and regulated gambling sites due to the region-specific .de domain, better content and greater trustworthiness. However, this alone does not guarantee that only legal companies will appear in the search results.

An illustrative example is the search query ‘online casino’, where websites such as Dreamz.com are currently also displayed at the top of the list. The platform clearly does not operate under a German licence, but is regulated by the Malta Gaming Authority (MGA).

Such providers can therefore continue to appear in Google's organic results as long as they fulfil the ranking criteria. However, the latter have little to do with paid advertising. These are two independent systems.

However, the new regulation means that from 25 September 2024, operators will no longer be able to place paid search ads, for example, and thus buy their way into the top positions of search results, which was previously a common practice. Comparison portals that advertise such unlicensed providers are also affected by the restriction.

Conclusion

The new Google Ads regulations, which come into force on 25 September 2024, mark an important step towards regulating gambling advertising in Germany. By only allowing providers with a valid German licence to display their advertising on the search engine leader's network, the spread of illegal gambling offers will be made significantly more difficult. This should also have an impact on the ongoing flood of misleading and potentially fraudulent casino apps.

But beware: while paid adverts on Google and its many partners will in future only come from licensed providers, organic search results will remain a potential playground for online casinos and sports betting platforms that are not regulated in Germany - an important distinction that users should always bear in mind when searching the internet.

Image source: https://pixabay.com/photos/google-www-search-online-seek-485611/

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