A new era began in the sports betting market in Brazil this week. And it will have a major impact on the sports world. Since January 1st of this year, the new regulation of the so-called 'Bets' market has been in effect, a process that lasted months and went through many adjustments behind the scenes and in debates in the National Congress.
Officialized in the Official Gazette of the Union on the last day of 2024, the new law applies a series of recommendations that aim to prioritize responsible gaming. These measures range from the simple requirement that betting houses use the “bet.br” domain on their websites to the payment of a 12.5% tax on annual gross revenue to the federal government, as well as the prohibition of abusive advertising practices.
The federal government promises to enforce strict enforcement, so much so that failure to comply with the rules could result in fines of up to R$2 billion (US$ 324m).
The impact on the market will be significant. A report published in Poder360 shows that regulating the sector should create around 60,000 direct and indirect jobs, boosting sectors such as advertising, media, law and information technology, based on expectations from the National Association of Games and Lottery (ANJL), which could elevate Brazil to the top 3 of the largest betting markets in the world.
Even though the federal government has 120 days to analyze the requests from betting houses, the process is not yet 100% complete. So much so that, at the moment, only 14 'Bets' have definitive authorizations to operate and another 52 have a temporary 30-day license so that final adjustments can be made.
Betting houses are the sector that has driven the most sponsorships in sports in recent years. In a survey conducted in October 2024 by Broadcast Político, 52 of the 60 football teams that play in Series A, B and C of the Brazilian Championship had betting sponsorships at that time.
Traditional Brazilian football clubs, such as Flamengo, Corinthians, Grêmio, Bahia and Ceará, will start 2025 awaiting the final adjustments I mentioned earlier, since their sponsors are still waiting for authorization.
As I have said here on other occasions, I see the regulation of the betting market as something very positive. In addition to the good practices that are no longer differentiating and have become requirements, this new era opens up space for new betting houses and, most importantly, will show who is truly willing to work seriously and professionally, focusing on entertainment and the well-being of those who bet.
We see not only football as the great beneficiary of the large sponsorship funds, but also other entertainment segments. With the new rules and requirements, the marketing departments of licensed companies will focus on being strategic and making a difference in this dispute for market share in an increasingly professional manner and, thus, work to find the “blue sea” for brand exposure work with strong conversion, also found in sports such as volleyball, cycling, among others.
It is undeniable how much this market has contributed to the growth of sports, especially football. May the same be true for other sports, Olympic and Paralympic athletes and entertainment in general. May they be increasingly professional when sponsoring and activating. And that sponsorship contracts and partnerships developed with clubs, athletes and federations are increasingly genuine and responsible.
Rene Salviano
CEO of the Heatmap agency. A specialist in sports marketing for over two decades, he has sponsorship and activation cases in major events, such as the Olympics, World Cup, Brazilian Championship, Volleyball Super League, Copa Libertadores and Copa do Brasil. He writes for Poder360 weekly on Sundays.
Source: Poder360
