An Excerpt from Free Gambling Industry Research Provider – SCCG Research’s Primer on NIL’s Impact on Sports, Media, and Gaming. Full Primer Releasing Thursday Night Click Here to Subscribe and receive it for Free!
Although NCAA regulations strictly prohibit college athletes from directly endorsing real-money sports betting, their widespread popularity and active engagement with fan communities position them as potent influencers within adjacent markets. Athletes’ robust social media presence and affiliations with lifestyle brands subtly contribute to shaping consumer behavior in betting environments. While these athletes cannot legally endorse sports betting, their visibility and personal engagement with followers create an indirect channel that enhances awareness and engagement in iGaming ecosystems, ultimately providing reputational value to betting brands.
Case Study: Caitlin Clark and the Surge in Women’s Basketball Betting
The rise of NIL opportunities has significantly bolstered athlete exposure, with Caitlin Clark serving as a prime example. Her popularity has not only transformed the perception of women’s college basketball but has also driven tangible increases in betting interest. The 2023 NCAA women’s basketball tournament, with Clark’s standout performances, saw a substantial uptick in betting engagement. According to BetMGM, the handle on the women’s tournament increased by 30% from the previous year.
Although NIL regulations prevent direct betting endorsements, the amplified visibility of star athletes like Clark indirectly influences betting markets. Her partnerships with major brands such as Nike, Gatorade, State Farm, have enhanced her reach across both sports and mainstream media, indirectly fostering greater engagement with women’s basketball. The increased media attention has elevated viewership and fan investment, benefiting sportsbooks that capitalize on heightened interest during high-stakes games and tournaments.
This trend exemplifies how NIL-driven exposure in college athletics can synergize with betting industry growth, particularly in traditionally underserved segments like women’s sports. While the NCAA still prohibits direct NIL deals with sportsbooks, the spillover effect from brand partnerships continues to shape the sports betting landscape, particularly in the realm of college basketball.
Athlete Endorsements in Non-Gambling Gaming Markets
While direct partnerships with sportsbooks are off-limits for college athletes, NIL has opened doors for their engagement in non-gambling gaming sectors, such as esports, where they can leverage their popularity without risking NCAA eligibility. For example, the return of EA Sports’ “College Football” video game series includes NIL compensation, where athletes receive payment for allowing their likenesses to appear in the game. Over 10,000 athletes opted to participate in this opportunity, using it to expand their visibility and establish a stronger fan connection through virtual representation. These partnerships provide a structured, non-betting environment that allows athletes to monetize their image responsibly while fostering fan engagement through gaming.
Examples of Gamified Fan-Engagement Partnerships
In addition to EA Sports, innovative fan engagement platforms like Five-Star Fans offer college athletes a unique way to monetize their NIL without gambling involvement. Five-Star Fans has developed a gamified experience in which college sports enthusiasts can support athletes by purchasing “likes” within the app, which fans then allocate to the athlete’s as they make plays in real time. The platform gives fans the play by play and live digital content so the fan can send support to players in real time. This competitive and supportive system financially benefits athletes without any gambling component, making it a safe and compliant way to leverage fan enthusiasm. It allows every athlete to monetize NIL without large endorsement deals you see in the mainstream media.
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This Research Excerpt was released with our partner Gambling Insider