Online Casino Sponsorships and the Growth of Rugby

It seems that almost every new sponsorship deal in British Rugby involves an online casino or sportsbook. In 2022, Betfred inked an agreement to sponsor the England men’s, women’s and wheelchair rugby teams up to 2024.

Not so long ago (2019), the Rugby Union signed a similar deal with LeoVegas, one of the most popular casino sites online. Globally, rugby organizations have been welcoming gambling sponsorships left, right and centre.

Why do casino sites spend so much money on rugby sponsorships? Are these deals helping rugby grow? Let’s find out.

Rugby Creates Tremendous Visibility to Sponsors

Let’s get one thing clear. Rugby is a massive sport with hundreds of millions of fans globally.  This is why it’s a major target for online casinos looking to grow popular locally or internationally.

The Rugby Union, Premiership Rugby, National League 1 and all have partnerships with corporate brands. Each company pays a different amount of money depending on how it wants to structure its sponsorship.

The most expensive deals involve sponsoring an entire league. The deal is estimated to be worth £200M and will expire next year. The reason this deal is so expensive is that Premiership Rugby is expected to provide maximum visibility for BetUK and LeoVegas.

Visibility in front of millions of fans will expose the gambling brand behind this deal to many potential customers. Some people will actually switch casino sites to support a casino being endorsed by their favourite rugby league.

Sales, Expansion and Loyalty

Another reason gambling companies are spending millions on rugby is that these deals are providing excellent ROI. Having your brand on rugby jerseys, stadiums and social media platforms does more than provide visibility.

It also increases a casino’s sales. Look at any gambling brand that has been sponsoring sports in the past decade. Bet365 is a case in point. It was a relatively small brand when it began sponsoring football and rugby teams.

Fast forward to 2023 and Bet365 is a multi-billion brand. LeoVegas, Betway and Skate.com have all had similar success stories. They’re companies that expanded quickly and accumulated millions of loyal fans by associating with successful sports.

In all fairness, casinos such as those listed here on MrCasinova.com use different strategies to increase their sales. Some of them collaborate with influencers to push their brands. Others give out bonuses to new customers. And they provide more bonuses to keep their customers loyal.

Bonuses aside, casinos also pay for advertising on TV and social media. Unfortunately, the UK government is planning to tighten its gambling advertisement rules. The English Premiership League has already agreed to self-regulate by ending betting sponsorships by 2026.

If rugby leagues follow the EPL’s lead, gambling companies won’t acquire as much visibility from sports brands. They will still be allowed to sponsor teams and leagues. They just won’t place their logos on the front of rugby jerseys.

Financial Benefits to Rugby

This is a no-brainer. Most rugby leagues and teams accept gambling sponsorships because they involve a lot of money. Some betting firms pay up to £10M to have their logos branded on a team’s jersey for a year.

As we mentioned earlier, gambling companies spend up to £200M per year to sponsor entire rugby leagues like the Premiership. This money is a game-changer for rugby as a sport. Here’s why.

Helps Pay Salaries and Other Operating Costs

When a rugby team receives £5M or £10M from a casino, it can use this money to pay its players, background staff and management. The money helps pay for security, training and nutrition.

In other words, money from betting companies makes it possible for rugby to grow as a sport. Teams don’t have to rely on ticket sales alone to remain afloat. They can use corporate funds and use the rest of their revenues for major infrastructural projects or marketing.

Funds Infrastructures and Training Equipment

Some rugby teams have sponsors who help them acquire training equipment and gear. Usually, sportswear companies like Adidas and Nike structure their deals to ensure they have exclusive rights in providing jerseys and equipment.

Teams not lucky enough to have similar deals rely on funds from sportsbooks to buy their equipment. If the money is a lot, they can also use some of it to repair or create new training grounds.

Truth be told, money generated from betting sponsors isn’t enough to help run a rugby team. However, it helps a lot. It might only make up 20% of a team’s annual revenue. But it goes a long way in running the organization.

Helps Improve the Quality of Rugby

When you think about it, money is the reason many sports grow. If brands are spending money to fund a league, there’s a strong chance it will grow. The explanation is that sponsorship funds help teams hire the best managers and players in the world.

Additionally, teams can afford modern medical care for players. And they can invest in research to improve the attraction of rugby as a result. Naturally, people love to watch the best teams in the world. And this explains why the most moneyed leagues and teams have the highest number of fans.

Beyond fans, rugby teams and leagues with sponsors tend to perform well in competitions. After all, they can afford the most talented players, coaches and sports doctors in the world.

Helps Rugby Expand to New Markets

Rugby has been growing popular globally for the past two decades. One of the explanations is that rugby bodies have been investing heavily in marketing. Interestingly, rugby organizations have been making money while also promoting the sport in new regions.

We’re talking about TV marketing deals. Sports networks pay rugby leagues in the UK and elsewhere in the world millions of dollars to broadcast live matches. The result is that the sport gets viewership in hundreds of countries.

Sometimes World Rugby spends money to fund small rugby leagues in developing countries. In most cases, it uses money provided by brands like casinos, automotive companies and manufacturing brands.