In her new role, Kilström will have responsibility for Tur’s number games and lotteries, including brands such as Triss, Lotto, Eurojackpot and Keno.
Kilström joins Svenska Spel having most recently served as marketing and communications director for the Stockholmsmässan exhibition facility in Stockholm.
Prior to this, Kilström also previously had spells in senior roles with companies including Coca-Cola and Ebay.
“I really look forward to working with our talented employees to develop the gaming experience of the future in a sustainable way, not least now at a stage where the outside world and customer movement place demands on both our sales and marketing,” Kilström said.
Svenska Spel Tur business area manager Anna Romboli added: “Christina’s experience in customer experience, digital development, sales and brands from Coca-Cola, Ebay, Vattenfall and most recently the Stockholmsmässan will be a great asset.
“It is an exciting time where strong brands and the ability to adapt to a rapidly changing world and new customer habits are more important than ever.”
The appointment comes after Svenska Spel last week released its results for 2020, revealing that growth in digital revenues failed to offset losses suffered due to the closure of its land-based business as a result of Covid-19.
Net gaming revenue for the 12 months ended 31 December 2020 amounted to SEK7.67bn (£666.1m/€763.65/$926.3m), down 9% from the previous year.
The reopening was permitted to take place as the novel coronavirus (Covid-19) situation in the region moved from the acceleration phase to the basic level, allowing for the opening of slot machines in kiosks, shops and traffic stations, in addition to the gaming hall.
The Covid-19 situation is monitored by district within Veikkaus, and decisions regarding the closure or opening of venues take place on a region-by-region basis.
Any district showing a basic level of infection may reopen its gaming facilities, whereas any region in the acceleration or spreading phase must remain closed.
Players using Veikkaus’ decentralised slot machines must now, since the introduction of new player protection measures in January, identify themselves with either a Veikkaus card or a debit card attached to their player loyalty account.
The operator said at the time of introduction that the measure would have “significant financial consequences,” anticipating a decline in player losses of around €300m from this and other player protection measures.
The operator also said that the change would help players to stay in control of their gambling.
The unprecedented spike in interest has come in the wake of last week’s announcement confirming the postponement of the summer editions of the co-located ICE London and iGB Affiliate London shows, which will now take place in February 2022.
Barton (pictured below left) explained that iGB Live! and iGB Affiliate Amsterdam had always been popular in the industry. The last edition, held over 16 to 19 July 2019, achieved a satisfaction rating of +38, which she said put the shows “in the Premier Leagues of B2B events”.
“The level of interest measured by traffic to igblive.com, and more significantly by the number of enquiries that are being made directly to the sales team, underlines the strategic importance of iGB Live!,” Barton said.
Naomi Barton
“Our event will be the first established in-person show of 2021 for our industry and has all of the credentials to kick-start the beginning of the return to normal or to redefine what normal is and its implications for consumers and the industry.”
The enquires have come from a mix of stakeholders, she revealed, including those that would normally associate more closely with ICE London.
This, Barton said, highlights a desire across the industry to engage with the market in 2021, and a growing desire from the land-based sector to explore opportunities to diversify their offerings by moving online.
As a result, Clarion Gaming is looking to add new experiences, new content and new features to connect with the needs of the market.
Furthermore, iGB Live! 2021 will be run with the highest possible safety and security standards in place.
“The safety and security of the iGB Live! and iGB Affiliate community is at the top of our agenda and the owners of the RAI have put in place the very best in-venue Covid protocols and cleaning standards to ensure visitor safety, as has the mayor and the city of Amsterdam,” said Barton.
“I would be delighted to hear from any of our stakeholders who would like to contribute to this and help shape the look, feel and content of what will be the most important event of 2021,” she added. “I can be contacted on my personal email address: naomi.barton@clarionevents.com.”
Clarion Gaming will also run a series of digital engagement initiatives over 2021, providing its audiences with the latest insights and analysis of the market across multiple channels.
One of the tentpoles of this digital strategy will be ICE Connect, an invitation-only executive summit programme. This will see algorithms employed to scientifically match qualified, senior level decision-makers who have both buying power and immediate requirements with industry leading solution providers.
ICE Connect will run from 21 to 25 June, focused on Europe, then with a North American focus between 28 June and 2 July. A repeat of this schedule will then follow in the autumn.
Helen Coonan, who moves from chairman to executive chairman, will take over leadership of Crown while its board looks for Barton’s replacement.
“I would like to thank Ken for his dedication and commitment to Crown,” Coonan said. “Ken joined Crown more than a decade ago and has played an invaluable role with the business, initially as CFO and in the past year as CEO. Ken has always put the interests of Crown first.”
Barton resigned following an inquiry that found evidence of money laundering and insufficient diligence into junkets with alleged criminal ties. It said that Crown’s “unjustified belief in itself” and “corporate arrogance” led to a lack of thorough investigation of serious claims against its business and an assumption that the claims must have been deceitful.
This report was triggered when Asian gaming giant Melco agreed to purchase a 19.99% stake in CPH Crown Holdings in May 2019 for approximately AUD$1.76bn (£981.9m/€1.06bn/US$1.19bn). Following allegations in the press, the inquiry set out to determine whether Crown was a suitavble licensee.
Although Melco ultimately pulled out of the acquisition, the inquiry continued with its results released last week.
Coonan said that allowing her to lead the business while it replaces Barton would offer some much-needed stability.
“Assuming the role of executive chairman is a decision I have not taken lightly but the board feels it provides leadership stability and certainty at this important time for the business,” she said.
While the report found that Crown was not suitable in its current form to operate the casino, it determined that it may still do so if it underwent certain changes. These included avoiding dealing with junkets unless they are licensed by the Authority, a full audit of accounts, as well as a compliance audit, and a restructuring of Crown’s board.
Coonan added that the operator was taking efforts to ensure it is compliant with all recommendations from the inquiry and its own internal reform programme.
The board is determined to maintain the momentum as Crown takes significant steps to improve our governance, compliance and culture,” she said. “Working closely with the NSW Independent Liquor and Gaming Authority and regulators in Victoria and Western Australia, I will continue to lead on implementation of Crown’s ambitious reform program.”
Barton said he was sure the operator was now on a solid path as it implemented these changes.
“I would like to thank the Crown Directors for the opportunity to work with them on implementing Crown’s strategy,” Barton said. “Over the past 10 years, Crown has established itself as a great Australian company with world-class assets and I am absolutely certain the business is now on the right path as it works to restore confidence in its operations.
“I am committed to assisting with the transition to new leadership.”
Barton – who took over as chief executive after John Alexander resigned in January 2020 and served as CFO since 2010 – will continue to receive the entitlements agreed in his employment contract. This includes a fixed renumeration of AUD$3m per year.
The data business will use its Opta database, alongside video performance analysis and a series of advanced models to assess performances for integrity purposes.
The service sees Stats use statistics such as expected goals as well as player tracking data to help with investigations. These, as well as video analysis, are used alongside its existing integrity tools based on suspicious bet reports to create a more complete picture.
“In one case two football matches were referred to Stats Perform for analysis which had been highlighted as high risk due to suspicions around a predetermined sporting fix between the two sides,” the data provider said.
“The analysis revealed a demonstrably low lack of attacking intent from one team in the first match, including an historically low Expected Goals total and among the lowest pressing statistics in the entire Opta database.
“Other investigations have shown changes in formation by teams in specific periods of matches, as well as individual errors aligned with suspicious moves in betting markets.”
Stats Perform said that performance analysis had previously only played a peripheral role in the sporting integrity conversation, owing to the fact that the data required had “lack[ed] the necessary robustness for disciplinary proceedings”.
However, it said that its use of the Opta database, as the largest performance analysis database in sport, combined with a transparent methodology, allow it to introduce these tools to integrity investigations for the first time.
Multiple football governing bodies have already employed the service for use in match-fixing cases.
“As with every element of sport integrity, success is built on a unified combination of measures across prevention, detection and investigation,” Jake Marsh, global head of integrity at Stats Perform, said. “Sport governing bodies have been calling for professional performance analysis to support the fight against match-fixing and we have answered that call.
“This is an additional tool and deterrent in the fight against sporting corruption, and a new front in maintaining the integrity of sport.”
Alex Rice, chief rights officer for Stats Perform, said Opta had long proved to be a valuable tool in assessing player performance and it made sense to put it to use for integrity reasons as well.
“Opta data is the most trusted, accurate and largest performance database in the industry,” Rice said. “We’ve been using it in the media and elite team performance space for years but by switching the perspective, we’re able to help answer questions about the integrity of a match using a professional approach and methodology.”
These standards were set out by the IBIA in October 2020 and include a requirement that all data collection be carried out by people aged 18 and above, whose identities have been verified. Data providers must also carry out a detailed risk assessment for all sporting events or competitions on which they collect data and must make clear how the data was collected.
As we look to the year ahead, industry experts give their views on the opportunities and challenges facing the industry.
In part one we hear from igaming operators and suppliers. In parts two to eight we will cover land-based operators and suppliers, finance, marketing, people, technology and innovation, regulation and social responsibility.
Interviewees
Anthony Evans, VP of product strategy, Playtech Ciara Nic Liam, commercial director – gaming, Betsson Stéphane Pallez, chairwoman and CEO, FDJ Group Joe Saumarez Smith, chairman, Eyas Gaming
Looking back at 2020, what – other than the Covid-19 pandemic – did you feel was transformational for the industry? And how much of a lasting effect do you think the Covid-19 pandemic will have going forward?
Anthony Evans (AE): I feel as though the pandemic has expedited the progress that was already being made in key areas, for example, the expansion and growth of retail to online. Many businesses that solely operated through retail outlets have looked to build and leverage an online presence during the pandemic, and those that were already online have expanded their product offerings. This trend is certainly here to stay and is a key part of Playtech’s strategy.
Anthony Evans
I see continued growth in the live casino vertical due to improvements in mobile networks, changing consumer habits and the birth of a new style of entertainment-based games. I see this trend continuing with more and more innovative concepts that blend the product portfolio and give greater focus to entertainment and community-based gaming.
In terms of what has been transformational, I would suggest the stringent regulatory landscape has changed things forever, for both B2C and B2B businesses. Our investment here is considerable and I believe this will help us create a more sustainable business, for both Playtech and our partners.
Ciara Nic Liam (CNL): Remote working has undoubtedly been transformational for the industry and has now become the new normal, at least for the time being. For a global industry, this has undoubtedly presented challenges, especially for organisations that have offices in multiple locations around the world.
But the industry has risen to these challenges and demonstrated that it can continue to thrive while also ensuring that players can be properly protected even in the most uncertain of times. I do believe that on some level, remote working is here to stay and that it will allow the hugely talented people that work in this industry to strike a better work/life balance and ultimately perform better as a result.
Stéphane Pallez (SP): The pandemic crisis has considerably sped up consumer adoption of new technology in all sectors of the economy, a shift we’ve also seen among our customers. Digital, as well as the increasing use of electronic payment methods, is now firmly established in consumer behaviour.
Our customers are increasingly connected, and digital stakes have grown in step with this trend on our website, particularly for lottery games, and also in our physical network with digital play slips, which users can set up on their mobile and validate at a point of sale. The decision made five years ago to steadily invest in digital, both in our online and offline distribution channels, has proven highly relevant. This trend was true before the crisis but has been considerably accelerated.
Joe Saumarez Smith (JSS): If you can set aside a global pandemic, I think the main thing 2020 will be remembered for is the huge valuations achieved by US gambling companies and the rise of the SPAC vehicle. There are some truly exceptional valuations being put on companies and the cash they have behind them allows some huge deals to be done.
In terms of Covid-19, I think the main factor will turn out to have been the speed it increased channel shift from land-based retail to online. A lot of people who would only use retail were forced to try online (in all aspects of their lives) and are not going to return to going to betting shops, casinos or lottery retail outlets with the same frequency.
What do you feel is going to be a game-changer for the industry in the coming year?
AE: I am not sure there is going to be one specific game-changer. The US will be a big opportunity for many and the rate of regulatory change will be key for everyone to adapt to. The live casino and streaming formats will lend themselves to truly innovative product offerings, encouraging more online community-based gaming, which has been overlooked historically. I also feel that truly real-time and predictive marketing and safer gambling techniques will improve the industry as a whole. Of course, there are product verticals like esports to consider, and as this matures, I am sure it will be a very interesting vertical, and I can see some very exciting gaming opportunities.
Ciara Nic Liam
CNL: Regulation and compliance will be the biggest game-changer for the industry this year, both in terms of new and emerging markets and established markets that are putting their regulations under review. Regulation should always be welcomed, especially when it comes to protecting players, but it does pose difficulties for operators. Take Germany, for example – the transition to temporary regulations has forced operators to quickly adapt to the rules or risk non-compliance. While the move to licensing is a positive, it must be done seamlessly and with a clear understanding of what it means for all stakeholders.
SP: Digitalisation everywhere, as illustrated by our omnichannel strategy, maximising players’ points of contact and use cases and building a real and new customer relationship based on customers’ knowledge. Diversification in adjacent activities will also undoubtedly be an asset to sustain growth and profitability. We have for our part already launched innovative new services in our points of sale. And generally speaking, consolidation and internationalisation will become a major theme for the sector.
JSS: If only I knew! Hopefully it will be the regulation of Germany and the Netherlands in a way that actually achieves significant channelisation and doesn’t leave a huge black market. I hope we see some interesting innovation through the integration of payment methods and social media channels – I know it is something that Facebook and WhatsApp are looking at – which could be very interesting for gambling operators.
On the other hand, what do you feel could disrupt the sector or slow progress?
AE: While I consider solid regulation 100% necessary, of course overregulation can slow everything down. Playtech is active in over 20 regulated markets and we can leverage our technology when entering new ones, but if the speed of change is high and continual, then the rate of innovation in other areas could potentially be impacted.
CNL: While regulation and licensing are a positive force, they can also slow the industry down if not rolled out correctly. In addition, if rules and requirements are too stringent, there is a risk that players will move away from the safety of playing with a licensed operator in favour of an unlicensed operator because they are able to offer a more comprehensive player experience.
This is obviously counterintuitive and that is why it is so important that regulations are balanced. Take gamification models as an example – for bigger operators live in multiple markets they present a huge challenge as the rules in each regulated market differ. The risk of running these loyalty and VIP schemes is increasing and means that some operators will simply remove them from their casinos. For the player, this means a more restricted offering which in turn could mean they switch to an unlicensed site.
SP: The evolution of the health situation and how we adapt to it will obviously be critical issues for this year. Operators in the gambling sector need customers to come back to points of sale, casinos, racecourses, etc. Traffic restrictions, such as a lockdown, curfews or a new halt to sports competitions would be real handicaps to growth in 2021.
Joe Saumarez smith
JSS: I hate to be a pessimist but there are some pretty ill regulatory winds blowing at the moment and I don’t feel that the markets have priced in quite how much the regulatory environments in markets like the UK, Spain and Germany are going to affect profitability.
In the US I think there will also be a crackdown on some of the more egregious behaviours in the market – some of the bonusing and marketing offers are eye-opening to those who have worked in regulated European markets for some time and I am surprised by some of the ways that those partnering with operators are allowed to boost the turnover levels of those operators by having huge bets with them.
Is the industry beginning 2021 in a stronger or weaker position than 2020?
AE: While the wider gambling industry has been impacted in terms of profitability in 2020, I do believe the learnings from the past 12 months will expedite online growth and gambling companies will have a renewed focus on building sustainable growth for the future. Most companies have dealt with the challenges of a global pandemic incredibly well and there will be many technological and operational advances as a consequence. With the further digitisation of betting and gaming companies, improved compliance and sustainability focus, and transitions into more mass market entertainment products, I think the industry is in a very strong position as we go into 2021.
CNL: I think the industry is in a stronger position. Last year showed that this industry is resilient and determined and that it is pandemic-proof as well as recession-proof. I think we have proved that we can put player safety first, and that even when the odds are very much stacked against us ensure that gambling remains safe and fun, while the most vulnerable are protected and supported. What’s more, we have adapted to the pandemic and can now move forwards this year with confidence.
Stephane Pallez Credit: Joel Saget, AFP
SP: Our industry has undoubtedly been hit by the health crisis and most operators have suffered from various negative effects. But it has also demonstrated at various degrees its potential resilience, i.e. its adaptability and capacity to bounce back. For our part, we saw a clear upturn in activity at the end of the first lockdown in France.
Starting from mid-June, stakes were back to levels comparable to 2019. While the crisis will weigh on our 2020 results, we’ve proven that our business model is solid and confirmed our strategic directions based on four essentials: resilience of the lottery, technological excellence, rigorous balance sheet management and growth in digital. This gives us a certain optimism for 2021 and its challenges.
JSS: If you just look at share prices then it would appear to be stronger. Land-based gambling businesses are clearly weaker and even when they reopen will frequently be doing so in the middle of a recession. Online businesses seem to be stronger but only if they have scale and geographic diversification. I think it’s hard to look at the industry as a whole and say whether it is weaker or stronger – some people are doing well and some are really struggling.
Check back tomorrow for part two, when a panel of land-based operators and suppliers discuss their expectations for the year ahead.
