A look ahead
A look ahead
Regulation in
neighbouring Sweden
and M&A are identified
by stakeholders as
factors potentially
impacting the Danish
market going forward
24
The promise for the Danish market
is that it will continue to grow with
both new entrants and, this year
at least, the World Cup, helping
to drive revenues forward. As
has been mentioned, this secular
growth won’t come necessarily
from product innovation but rather
from increased marketing spend.
This isn’t wholly unalloyed good
news. As has been discussed – and
as is certainly the case in the UK
– market growth driven by heavy
advertising spend tends to force
the issue of gambling higher up the
political agenda.
As such the Danish operators
know that they have to tread
carefully. The news that the
Swedish market is to open
in January next year is to be
welcomed. But the read-across
with regard to the bonus provisions
written into the legislation in
Stockholm is potentially troubling
for those in Copenhagen.
Whether the very fact of Sweden
and its proximity will lead to more
operators eyeing up a Danish
licence is a matter of debate. Ronde
from DOGA certainly thinks there
will be more new entrants.
“I know of a few operators that
are looking at getting into the
market and I have had requests
from some others,” he says. “When
you look at the European map,
there are not so many places where
it is feasible to get a licence and I
have spoken to a few now who say
they are looking at Sweden and
Denmark together, perhaps taking
Sweden first and then Denmark
after.”
Others are wary of there being
any simple read-across, especially
when it comes to the technical
and compliance requirements
that are very different for the two
markets. “Of course, the work
from a compliance perspective
isn’t the same,” says Funch from
EveryMatrix.
But still, the attention around
regulated Scandinavia is now more
obvious. “Purely from a geographic
perspective – the countries are
attached by a bridge,” he adds.
“Just from a practical perspective,
you can run an office from either
country – a call centre, other stuff.
There will be many benefits for
Denmark when the Swedish market
opens up.”
Jansson points to currently
Swedish-focused grey market
operators as Hero Gaming and
Casumo as potentially looking once
again at Denmark should they opt
for licences in Sweden. “A handful
more will likely open,” he says. “That
is very, very likely. I think it is on the
Denmark: Insights and data on Europe’s pioneer model for igaming regulation