Entain cuts back sports sponsorship deals in Australia. Will gaming companies follow suit?

Many of the world’s biggest bookmakers, betting sites and online casinos, have links and sponsorship agreements with teams, players and leagues. But is a first move made in Australia about to blow a big hole in the links between the gambling industry and sport?

Bookmakers across the world, including those based here in Malta, have used the power of sports to enhance brand awareness and bring new customers through the front door.

From Everton’s partnership with Stake.com, Newcastle’s shirt sponsors Fun88, West Ham’s link up with bet365 to bet365’s effective ownership of Stoke City through the Coates family, gambling and football have been inextricably linked.

Snooker and darts tournaments are backed by money from the gambling industry, including the Ladbrokes World Championship. Horse Racing has also had natural long-standing links and backing from bookmakers too.

While talk of bans on English Premier League clubs displaying gambling sponsors on the front of shirts is still mooted, nothing is imminent. It means new betting sites can continue to use link ups with sports and football to increase brand awareness.

But is a move made by Entain in Australia about to change things completely? 

Entain have pulled their sports sponsorship deals for both the Ladbrokes Australia and Neds brands Down Under. It is an industry first move and one that could start a more widespread act of conscience from other betting sites and casinos. 

The Ladbrokes and Neds' sponsorships included partnerships with NRL rugby league teams the Brisbane Broncos, Canterbury-Bankstown Bulldogs and Gold Coast Titans, and AFL Australian Rules side Brisbane Lions.

They also sponsored the Australian soccer league the A-League and, via Neds, were the official wagering partner of UFC in Australia.

Ladbrokes said: "While we have had many great partners in this space over a long period of time, we understand some of the community sentiment around this and feel it is the right time to step away from this area.”

In an interesting move, however, the decision to turn their back on sports sponsorship in Australia will not be replicated in horse racing. The so-called sport of kings makes up around two-thirds of all wagering in Australia and Ladbrokes will remain heavily involved in it.

Earlier this year Entain signed a new agreement with Moonee Valley Racing Club for Ladbrokes to remain a long-term partner and racing sponsor.

Ladbrokes have committed to a new 10-year agreement as a Principal Partner of the racetrack in Melbourne, including sponsoring the Cox Plate, one of the three most famous horse races in Australia.

The link between Moonee Valley and Ladbrokes started in 2017 and will remain in place beyond 2032.

“The wonderful relationship that has developed between the MVRC and Ladbrokes over the past six years has been critically important for our Club, and securing this extension through until 2033 will allow us to continue to present the Ladbrokes Cox Plate as Australia’s Best Race,” MVRC Chairman Don Casboult said.  

“The length of this new partnership will support the Club to deliver our vision in creating ‘The Valley of Tomorrow’ with the construction of a new racecourse and facilities following the 2025 Ladbrokes Cox Plate Carnival.  As our Principal Partner, we welcome Ladbrokes’ input into shaping this exciting vision for our great Club.”

Entain Chief Executive Officer Dean Shannon added: “We are thrilled to extend our relationship as the major partner of the Moonee Valley Racing Club and of course, the naming rights sponsor of the Ladbrokes Cox Plate for a further ten years.

“Our sponsorship of the Ladbrokes Cox Plate is the jewel in the crown of our extensive sponsorship portfolio, and it seems only fitting that Australia’s Best Race should be sponsored by Australia’s leading racing-focused bookmaker.”

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