Part 1: Introduction – piecing together the Nordic jigsaw
Figure 2: Estimated Sweden product splits % GGR
Bingo
5%
Sports Betting
40%
Poker
5%
“For example, currently it is not possible to
market the brand via Facebook. With a regulated
market, it’s possible so more players will be able
to join in.”
The optimism is shared at Mr Green. “We should
remember that the online market is still smaller
than the land-based and the transformation from
land-based gambling to online will continue for
years. This drives the growth for online gambling
Casino
Games
50%
companies,” says Rikard Rinaldo, communications
director at Mr Green.
Optimism is also on display among investors
in the Swedish gaming market, as is evidenced
by the listed status of the likes of Kindred,
Betsson and Mr Green, as well as companies
further down the chain such as Gaming
Innovation Group.
Source: Market Monitor estimates
One of the founding investors there is
Optimizer Invest, which is also a large investor
What we can’t see, of course, is the splits
in Catena Media. New chief executive Petter
from the likes of bet365 and Betfair, which are Moldenius is positive on the prospects for
likely to be heavily skewed towards sports. the Swedish market once it regulates and the
Conservatively, we would suggest the split for opportunities it will bring. He says the market as
sports over casino, games, bingo and poker a whole is benefiting from the “ripple effect” of
would be 40/60. Breaking down casino and more than 20 years of investment and innovation.
games from bingo and poker would be pure “The know-how, the experience has built
guesswork but it would be a fair assumption up over time,” he says. “Plus, they have strong
that casino and games was the vast majority support from the financial industry. You
of that slice. Our product splits are therefore have both sides of the coin. And that strong
illustrated in Figure 2. momentum will continue for the foreseeable
As for the curren t online market, for 2016
future. The regulated market will only aid that.”
Lotteriinspektionen suggested the regulated
online market (including Svenska Spel, the Channel crossing
horserace betting monopoly ATG and the Key to the future growth rate will be the success
Folkspel lottery) was worth SEK3.3bn. or otherwise of the channelisation efforts –
the government hopes to persuade the vast
A new dawn majority of operators to consider life inside the
As with the UK, the market will likely be regulated tent rather than continue with what
propelled by the new marketing opportunities. will after January next year very much be black
“In a non-regulated environment, marketing market operations in Sweden.
channels are limited compared with a regulated
Research undertaken for this report into the
market,” says Tsachi Maimon, chief executive of current array of Swedish- and Nordic-facing
Aspire Global, which runs its own proprietary brands – sourced from Nordic-facing affiliates –
brands such as Karamba and Mr Play, as well as would suggest that while the conversion at the
a number of white labels aimed at the Swedish top end of the market will be total, further down
gaming market. the long-ish tail there can be less certainty.
iGaming Business Market Monitor • The Nordics • May 2018
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