Denmark sees records spike in gambling activity
Author:
Muhammad Gregory
The gambling authority of Denmark, Spillemyndigheden, has recorded an increase in almost all the different gambling segments in the country. Sports betting was the only segment that was down, while online casinos touched a record high. These statistics came three months after the Danish regulator reported a 7.4% spike in land-based casino revenue in its second quarter of 2022.
Sports betting was the only segment that didn’t take off at the same level as the other segments. ?Richard Boyle/Unsplash
In the latest monthly overview for December 2022, significant spikes were recorded in three out of four gambling segments. In the entire year of 2022, the Gross Gaming Revenue (GGR) recorded a 7.5% year-on-year increase after roping in a sum of DKK 6.70 billion ($991.4 million). In 2021, the GGR was DKK 6.23 billion. The top contributor to this significant rise was the segment of online casinos. The segment recorded a 2.1% rise with total annual revenue of DKK 2.88 billion in 2022, 3.4% higher than the GGR of 2021. The revenue was the highest that online casinos have reported since the inception of these records in 2012. The second biggest contributor was sports betting. However, the segment was the only one that was down 3.6% year-on-year, which was quite unexpected.
Sports betting recorded revenue of DKK 2.23 billion in a year during which the FIFA World Cup took place in Qatar. Additionally, Denmark’s participation at the grandest stage of world football was expected to pique the interest of several Danish players. In addition to competitions like the Danish Superliga, the World Cup was expected to attract more activity along with other sporting events as well. However, sports betting remained the only segment that recorded a drop in 2022. In December 2021, sports betting returns of DKK 209 million were reported. In December 2022, that figure dropped by a whopping 35% to DKK 136 million. In addition to that, this was the lowest the segment roped in since October 2021.
Slot machines and land-based casinos were in the green and racked up positive numbers in 2022. A contributing factor to this was the impact caused by the Covid-19 lockdown in 2021. The December 2021 revenue from slot machines was DKK 69 million. By December 2022, the revenue spiked 43.5% as slot machines reeled in DKK 99 million. Land-based casinos also faced the effects of the pandemic but recovered really well in 2022. After no revenue in the first four months of 2021, land-based casinos only made DKK 221 million in 2021. In 2022, the GGR from the same segment was up 58% after recording revenue of DKK 349 million. December 2022 alone marked a whopping 126.7% increase compared to the corresponding period in 2021, when they collected DKK 34 million in revenue from the segment.
The Danish Gambling Authority dealing with increased gambling activity
The significant spike in the GGR of almost all gambling segments in Denmark will not come as a surprise for the Spillemyndigheden, as the regulator had already reported increased gambling activity in the country back in September 2022. Apart from that, the gambling markets have been regulated in Denmark for over ten years now. The addition of online gambling has stimulated the growth of gambling in the Nordic state and around the globe. Even in 2022, it was online casinos that set a new revenue record after roping in DKK 2.88 billion in the entire year.
As gambling activity in the nation increases, player safety becomes one of the priorities for the Danish Gambling Authority. Effective measures to ensure player safety have been put in place by the Authority. Like all other regulators, the Spillemyndigheden also keeps a vigilant eye out for unlicensed and illegal gambling operators in the country. Year after year, more and more Danes prefer gambling on platforms that are licensed to operate in Denmark. In 2021, 90% of the total online gambling activity in the country took place on platforms that were legal.
Player safety also includes keeping an eye out for harmful gambling traits in players. All licensed operators are encouraged to keep an eye out for players who showcase these particular traits. Once detected, the operators are obligated to intervene. In addition to that, players who realise they possess such traits can also opt for self-exclusion and register themselves into the country’s Register of Voluntarily Excluded Players (ROFUS). In December 2022, the Danish Gambling Authority made three amendments to its guide on responsible gambling, including the launch of a revamped ROFUS website. Over 30,000 Danes had already registered themselves on ROFUS in January 2022.
