Svenska Spel, one of Sweden’s leading gambling operators, is set to embark on a groundbreaking journey of transparency by publishing “healthy” revenue data for the first time. This new initiative will kick off at the end of August with figures covering the second quarter, and will subsequently be integrated into the company’s regular interim reporting.
Svenska Spel acknowledges that while the majority of its players gamble responsibly, a portion of its revenue does come from customers who suffer from gambling-related harm. To distinguish between these two groups, the operator will employ risk models within its Playscan analysis tool, developed in collaboration with Sustainable Interaction, an independent specialist in gambling responsibility.
This move towards greater openness is not a fresh concept for Svenska Spel. It has been on the company’s agenda since May 2021, when former CEO Patrik Hofbauer called for increased transparency in reporting revenue generated from harmful gambling. Now, under the leadership of new CEO Anna Johnson, the company is taking definitive steps to follow through on this commitment. Johnson believes that providing more insight into “healthy” revenue will help bolster trust in the gambling sector as a whole.
“By reporting our share of healthy revenue and our work to counter gambling problems, we show that it is possible to run a gambling company in a sustainable way,” Johnson stated. “It is an important step in the work to increase trust in the gaming industry in general.”
Echoing this sentiment, Svenska Spel chairman Erik Strand added, “All serious gambling companies work to protect their customers and reduce the number who get into trouble. In order to increase transparency in the gambling industry, it is important to report the share of healthy revenue, which is a central part of the work with responsible gambling.”
This initiative marks a significant advancement in Svenska Spel’s ongoing efforts to be more transparent. Back in 2022, the operator, along with Kindred Group and ATG, began disclosing their responsible gambling activities. These disclosures are submitted to the Swedish regulator Spelinspektionen every six months.
The latest set of data, published in February, spans the six months leading up to December 31, 2023. This was the third update following previous reports for the second half of 2022 and the first half of last year. During the latest reporting period, Svenska Spel reached out to 1.9% of Swedish customers. Of those contacted, a notable 74.
.8% reduced their gambling, with 49.7% decreasing their average deposits. Additionally, 9.4% of contacted players opted to self-exclude for at least six months, while 3.7% chose even longer periods of self-exclusion.
Taking transparency a step further, Kindred Group has been revealing the proportion of its revenue derived from harmful gambling on a quarterly basis. For the first quarter of this year, Kindred reported that 3.2% of all revenue came from harmful gambling, up slightly from 3.1% in the previous quarter, but down from 3.3% in the first quarter of 2023. The group also noted a slight decrease in the percentage of players whose behavior improved following intervention, with 87.1% of detected players demonstrating positive changes during this period.
Kindred Group highlighted a “sustained” trajectory in the improvement effect post-intervention over an extended period. The improvement rate of 87.1% reported in the first quarter was higher than the 86.4% rate recorded in the second quarter of 2023 and the 86.7% in the third quarter.
Svenska Spel’s commitment to transparency and responsible gambling is set to pave the way for other operators in the industry. By shedding light on the share of revenue generated responsibly, the company aims to foster a more trustworthy and sustainable gaming environment. The forthcoming publication of “healthy” revenue data not only aligns with their responsible gambling strategies but also serves as a benchmark for the gambling industry to strive towards greater accountability and player protection.
