There are 16 land-based casinos in Finland. Despite this low number, the country’s population of 5.5 million is enthusiastic about gambling. As a country ranked as one of the happiest globally, Finland’s love for gambling continues to rise. By looking at the recent industry trends and the revenue collected by various gambling regulators in the country, you would tell the gambling industry in Finns is booming.
For example, one of the state-owned monopoly, Veikkaus, disclosed it collected corporate profits of €680.2 M in 2020, which is less by 33 per cent from the previous year. Veikkaus cited its low revenue collection due to the COVID-19 pandemic, which led to the closure of slot machines floors for five months.
The operator’s gross gaming revenue for 2020 was €1.26bn, a 25.5 per cent decrease from the previous year. 56.6 per cent of the gross gaming revenue was from land-based gaming facilities, while 43.4 per cent was from digital platforms, an increase of 11.6 per cent. The rise of the digital gambling platform could result from the closure of land-based casinos, leading to Finns looking for alternative gambling platforms.
This spells huge profits for operators offering gambling services to residents in Finns. Moreover, as a growing gambling market, gambling operators benefit from offering their services and products.
Why Finland Is Valuable to Gambling Companies
Look at this example. In 2015, the general U.S. market was unpredictable. However, the casino industry remained stable. The stocks for a casino situated in Montana, Capri Casino, doubled. So, as other markets were struggling, casinos were doing relatively well.
However, online casinos are advent compared to land-based facilities. Therefore, instead of putting your money on land-based casinos, investors can go for online casinos. Moreover, there are low chances for Finland to add another land-based casino. Thus, the other option is to invest in an online gambling platform.
There are several reasons why the Finnish gambling market is valuable to gambling companies. For starters, players find online casino games better as they feature better sound effects, graphics, RTP, minimum and maximum stake and friendly rules compared to land-based platforms. Thus, a player would prefer to play in a modernly set casino than in a traditional setting.
Another reason Finland has proven valuable to gambling companies is its land-based casino lacks enough games. For example, PAF Casino at the Arkipelag Hotel & Casino in Mariehamn, Finland, has 65 slot machines. A gambling enthusiast will find 65 slot machines few. Within a month, the player will have tried all the slot machines, leaving him/her without another option but to replay slot games.
With companies offering online gambling to players based in Finland, Veikkajat, you will get a casino with over 1000 slot machines. What’s more, these players have access to games developed by various reputable game developers. As long as an operator offers more slot games and other casino games, Finns will continue preferring online gambling platforms over land-based properties.
Finns love playing in the comfort of their homes. Instead of going to the nearest gaming property, players can log in to their online casino account and start playing. Although Finland is a small country, travelling to a casino would take over an hour. Not every city in Finland has a casino. Thus, players have to even fly from one city to another to access a brick-and-mortar casino. For example, if a player resides at Oulu and wants to play casino games, they must fly to Helsinki for 1 hour 20 minutes. If they choose to travel by other means, it will take longer. Yet, there is only one flight per day from Oulu to Helsinki. Instead of going through travelling struggles, a player would prefer to log in to their online casino account to play.
Players based in Finland must set a maximum loss amount per day. At the moment, the maximum loss for all players is set at €500 for both table games and slot machines. However, with this high €500 loss limit, gambling companies offering services to Finnish players could still make a profit before a player’s daily loss limit is met.
In 2019, the Finnish government announced it would invest between 4 million and 8 million euro on the amendment of the online gambling industry in the country. Yet, it did not ban foreign gambling platforms from offering their services to Finns. This provides good competition to locally licensed casino platforms. To win more players, foreign gambling sites offer gaming services on technological innovated sites that lure players. In addition, they offer better bonuses and a user interface that can be translated into Finnish.
Another way Finnish casino players have proved valuable is their stable market. The revenue numbers continue to rise, an indication of players continued love for gambling. As a growing gambling market, gambling companies find Finns a stable market where they can thrive.
A Finnish adult spends an average of 193 euros on games controlled by Veikkaus, 171 euros on games controlled by RAY and 12 euros on Fintoto games. So, if a player spends an average of 376 euros per year on domestic games, how much do they spend on foreign gaming? Remember, accessing land-based casinos in Finland is not a walk in the park. But, online casinos are more accessible, which could mean players spend much more on online gaming.
Finland is a small country with a love for gaming as a form of entertainment. With such dedication, gambling companies stand to benefit hugely, especially with the advent of online gambling.