Svenska Spel voices support for publication of harmful gambling revenue mix
CEO Patrik Hofbauer eager to follow example set by Kindred Group once common reporting model has been agreed as “comparability is critical for credibility”
It should be mandatory for Swedish-licensed operators to report the percentage of their revenue generated from at-risk or harmful gambling, according to Kindred Group and Svenska Spel.
In a webinar discussing harmful gambling in Sweden, Kindred CEO Henrik Tjärnström and Svenska Spel CEO Patrik Hofbauer voiced their support for the creation of a common model of reporting problem gambling revenue mix in the Swedish market.
Highlighting Kindred’s recent decision to publish its revenue percentage from at-risk gambling, Tjärnström said: “We are not saying that our model is the best as Kindred has invited researchers to look at it and see how it can be adjusted.
“But we think it would be great if we got a common definition. While waiting for that and to start the discussion, we chose to start reporting our figures,” he added.
In its Q1 2021 financial figures, Kindred reported a 0.4% quarterly decline in revenue generated from problem gambling, accounting for 3.9% of total Q1 revenue (£352.6m).
Kindred has committed to earning 0% of revenue from harmful gambling by 2023.
Svenska Spel CEO Hofbauer hailed the Kindred initiative as a “great” step, suggesting that the former monopoly operator had also toyed with introducing a similar reporting requirement.
However, Hofbauer suggested the firm would hold off until an industry-wide reporting model was introduced.
“Comparability is critical for credibility,” Hofbauer explained.
“Today we see how different companies report completely different figures, there is a difference in how you measure. But I think we have great conditions to create a common model here in Sweden that could also be used by other countries.
“Swedish gaming companies have driven the digital development of the gaming industry. Now maybe we can go to the front here too,” Hofbauer added.
These sentiments were echoed by Svenska Spel chairman Erik Strand, who suggested that the introduction of such a model would aid the industry’s reputation in Sweden.
“The dialogue about unhealthy income is very important. It is a step towards creating legitimacy for the gaming industry and legislation,” Strand said.
“The industry needs to gain the public’s trust; operators need to show that they are taking steps together to self-regulate and strengthen the protection of vulnerable customers.
“But then uniform parameters are also needed that enable comparisons. Only then do we get transparency,” Strand added.