Part 4: Swedish market analysis
the top dog in the newly regulated space, LeoVegas
particularly given its sports capabilities. Helped by an expensive marketing campaign,
LeoVegas has made much of its mobile-first
In order to understand the company’s
current Swedish market position, the suggestion strategy and in the space of less than five years
is that Sweden likely accounts for 40% of has managed to establish itself as a leading
Kindred’s disclosed Nordic revenues, or player not just in the Nordics but also in the UK
circa SEK1.4bn, of which we estimate circa and elsewhere. Usefully, in its 2017 quarterly
SEK500m is sports betting and around results statements the company began to break
SEK930m is casino, poker and bingo. out its revenues from Sweden (see chart below),
including its growth rate. From these we can
According to our calculations this would
give Kindred a 25% share of the unregulated see it earned €78.8m (circa SEK818m), giving it
market, according to the H2 figure of an estimated 14.5% market share. The company
SEK5.65bn. This would be a top end estimate is clearly confident about its prospects; at the
for market share. time of writing, it had announced new long-term
targets for overall revenues to hit €600m by
Betsson 2020, implying substantial market share gains. It
Kindred’s great listed rival is likewise a stalwart remains to be seen whether this can be achieved
of the Swedish grey market and it will in the new Swedish market, but the company
certainly be pushing for market leadership in certainly has a decent base from which to build.
the regulated space. Again, like Kindred this
report has made an assumption with regard to Mr Green
Betsson’s Swedish revenues that these represent Despite its troubles in the past five years (its
circa 40% of its declared Nordic revenues or Nordic revenues went backwards between 2015
SEK903m. Again, using the SEK5.65bn market and 2016 despite growth in other regions), Mr
estimate, this would suggest Betsson is worth Green has established its position within the
around 16% of the market. online gaming market in Sweden. With the
Betsson Nordic revenues (SEKm)
2013
2014
Sports betting
Casino, poker and games
Total
2015 2016 2017
383.1 462.5 548.1
1,418.6 1,551.3 1,710.0
1,617.50 1,731.80 1801.7 2013.8 2258.1
2013 2014 2015 2016 2017
% of GGR from Sweden 40.1 36.6 37.1 33.5 36.8
Total GGR (€) 43.7 49.2 55.2 67.9 216
Sweden GGR (€m) 17.5 18.0 20.5 22.7 78.8
Sweden growth rate (%) 27.5 22.7 16.7 35.3 21.4
Source: Company reports
LeoVegas Sweden revenues
2017 SEK calculation 818
Est. Swedish market share (%) 14.5
Source: Company reports, Market Monitor market share estimates
iGaming Business Market Monitor • The Nordics • May 2018
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