Finland's Veikkaus experiencing huge decline in market share

[The Buzz]

Veikkaus, the Finnish state-owned gambling company, is facing a significant decline in its digital market share, particularly in betting and online casino games.

This alarming drop is considered "sad by Finnish standards" according to the CEO of the Finnish Gambling Association.

Experts estimate Veikkaus' current share of the total Finnish online gambling market to be only around 30-35%, a far cry from the near 100% expected of a monopoly. H2 Gambling Capital predicts this share will remain at about a third this year, a figure Veikkaus itself acknowledges in its reports.

Despite these challenges, Veikkaus views the upcoming reform of the gambling law as a major opportunity. The plummeting results in their specialist games, like sports betting, highlight the urgency of this situation for Veikkaus.

From Finnish Media outlet Ilta-Sanomat:

We asked Veikkaus to comment on the information that several experts found worrying, but the company's response was sparse:

Veikkaus reports financial figures and market shares only in the annual report and interim report. We will not comment on this matter at this point, the company's press department said.

Veikkaus lost its majority share in the digital betting and online casino market in 2020, but now market leadership has shifted significantly to foreign gaming companies. The interests of many of them in Finland are protected by the Finnish Gambling Industry Association.

When we focus only on competitive verticals, Veikkaus' figures are sad by Finnish standards, says Mika Kuismanen, CEO of the Finnish Gambling Industry Association .

The Finnish Gambling Association is an interest group for companies offering online gambling, which promotes the introduction of a licensing system in Finland.

Read more here: https://www.is.fi/urheilu/art-2000011191025.html

[beatricenordahl]

Veikkaus losing so much ground in the online market shows how unsustainable the monopoly has become. With foreign operators dominating, a licensing model seems inevitable—and perhaps the only way for Finland to regain control and improve channelization.

[Karri]

Veikkaus losing so much ground in the online market shows how unsustainable the monopoly has become. With foreign operators dominating, a licensing model seems inevitable—and perhaps the only way for Finland to regain control and improve channelization.

Unfortunately, they're doing every mistake in the book with that. They're banning affiliates, which means that all the traffic will go to unregulated casinos instead.

[BalticR]

It is not yet clear that Finland will ban affiliates. There might be something that is not allowed, but in current law draft there is a lot which is not prohibited! Because marketing will be allowed there will be also opportunities for affiliates.