Marketing trumps responsible gambling measures in USA
The US gambling industry is spending almost nine times more on marketing and celebrity endorsements than responsible gambling communications, according to a new industry audit that warns operators are exposing themselves to growing regulatory, ESG and reputational risks.
The 5W Responsible Gambling Communications Audit 2026, released by the 5W Research Division, analysed the responsible gambling messaging of 30 gambling sites across sports betting, online casino and land-based casino sectors over a 24-month period.
The report found the industry spent an estimated US$3.9 billion on marketing and advertising during 2025, compared to just US$60 million on responsible gambling programs and communications. Around US$520 million was allocated to celebrity and athlete endorsement partnerships, resulting in an 8.7-to-1 ratio between marketing and responsible gambling spending.
According to the audit, that ratio is higher than other regulated industries with public health considerations, including alcohol, tobacco and pharmaceuticals.
“The gambling industry has built the most visible advertising ecosystem in American consumer marketing in five years. It has not built the credibility infrastructure to match it,” Founder and Chairman of 5W Ronn Torossian said.
“The 8.7-to-1 ratio is no longer a marketing department metric. It is a capital markets metric. It is in Sustainalytics. It is in MSCI. It is in legislative testimony in California, Texas, and Florida. And it is in the answer ChatGPT gives a parent who asks which sportsbook is safe for their kid in college.”
The research drew on more than 47,000 media articles, 180 ESG disclosures and SEC filings, 240 state regulator filings and 2,400 AI-generated responses across platforms including ChatGPT, Claude, Gemini, Perplexity and Google AI.
Among its key findings, the report said US gambling sites continue to underinvest in earned media, with only US$90 million spent in 2025, representing just 2.3% of total marketing expenditure. It also found that only four of the 12 publicly traded operators surveyed disclose responsible gambling investment as a percentage of marketing spend in ESG reporting.
The audit highlighted significant differences in how US gambling operators are recognised for responsible gambling initiatives by AI search platforms. BetMGM was cited in 78% of AI responses when asked about the industry’s strongest responsible gambling programs, followed by DraftKings at 64%, while six other major operators appeared in fewer than 20% of responses.
Researchers also found operators that published responsible gambling content in local media before legalisation in states such as Michigan, Ohio and North Carolina generally achieved faster regulatory approval than competitors.
The inaugural 5W Responsible Gambling Communications Index ranked operators on a 100-point scale, with MGM Resorts International topping the list on 81 points, ahead of BetMGM Sportsbook (78), BetMGM Casino (74), DraftKings (71) and FanDuel (66). At the other end of the rankings were Las Vegas Sands (41), ESPN Bet (38), Fanatics Sportsbook (34), bet365 (29) and Stake.us (22).
The audit recommends operators disclose responsible gambling investment as a percentage of marketing spend, produce more responsible gambling content for owned media channels, improve executive engagement on safer gambling issues, strengthen regulator engagement in pre-legalisation markets and redirect between 3% and 5% of marketing budgets towards earned media — equivalent to between US$117 million and US$195 million across the industry.
Celebrities that have endorsed sports betting brands in recent years include Jake Paul (BetR), Samuel L Jackson (bet365) and Drake (Stake.com).,
