Another year in Betsson's history has come to a close. 2009 began with general unease about how deep the financial crisis was going to get. However, during the year hope grew among the public and the business world, and towards the end of 2009 most people were in agreement the crisis was over – at least for now.
What lessons can we learn from these turbulent times? At Betsson it was comforting not to be in the hands of the banks. Without debts we could concentrate on our business activities while other companies were struggling to deal with financing
issues. We also learned that Betsson and other companies in this industry manage recessions better than many other sectors. Gaming companies' services appear to be the type customers give priority to – even when belts are tightened and the future is uncertain.
Last year I discussed Betsson’s values in the Annual Report. I explained that the values describe the soul of the company. Oddly enough, during the latter part of 2009, Betsson has reviewed its values in a structured manner, and, as a result it has been updated a little. This does not mean the company has changed its direction during the year; it means our values now reflect the views of all the Betsson's employees right now. Dynamic, Fun, Fair, Passion and Innovation are the values we work with, and it has been an amazing experience to see how uniform this picture of Betsson is among the people who work here.
Betsson has developed well during the year and dynamics and innovation have played a considerable role. Dynamics can be seen in Betsson’s ability to adapt to the prevailing situation and always move business development forward in response to market demands. In 2009, Betsson has increased its range of live broadcasts within sports, and at Betsson.com there is an average of 25 events involving live betting every day. Live betting has also been complemented with streaming, which means Betsson.com players can now see certain matches in real time on their computers, irrespective of where they happen to be. Streaming together with live betting is a totally new method of using the Sportsbook product.
Betsson’s Internet Casino has developed well during the year too. CasinoEuro is one of Europe’s most popular casinos with a continuously expanding range of products on offer. Over the course of 2009, a considerable number of new games have been added and the technical platform has been updated to use our in-house, one-wallet technology, which makes it easier for players to use the products and also easier for the operator to add more games. CherryCasino has been given a face-lift and several technical improvements have been made which should improve potential for
2010.
Betsson was awarded the title of the most responsible gaming company for 2009 at a ceremony during the eGaming Awards. As CEO, I am extremely proud of this award. Betsson has worked hard with responsible gaming since 2005 and this forms a vital part of the company’s Corporate Social Responsibility (CSR) activities. When Betsson won this award, it was a positive assessment of its entire CSR operations, which also includes the company’s other social responsibility work: environmental activities, climate compensation, support to research and youth activities etc.
What would the CEO of a gaming company’s report be without a section on legal issues? These issues are often the first ones shareholders ask us about. We can see how more countries are working on new legislation concerning local gaming licences, although the aim of most legislators is to preserve the financial monopoly that has been acquired within the gaming field. The results of such an approach are, unfortunately, different regulations for the national monopolies and the new international gaming companies. Such differences cannot be maintained with laws and regulations; this has already been proved in practice on all the markets where it has been attempted.
Consequently, it is vital that legislators become familiar with a more modern approach and work towards the creation of a body of regulations that is competitive and in which players gain real freedom of choice. The modern generation of players are already used to choice, and they will not be moulded to fit into national monopoly mindsets. If this direction is not reversed, then the new gambling legislation will be merely a paper tiger. In 2009, Betsson also developed an in-house structure for “Business 2 Business”. Betsson has worked with local partnerships for a considerable time on certain markets and for certain products, and these operations have now become of sufficient volume to be organised into their own unit. As legislation becomes less vague and matures on the different local markets, the demand for turnkey gaming products will increase and then Betsson Business Solutions will be on hand as an experienced supplier.
2010 will be an interesting sports year which will probably be dominated by the football World Cup. This is the world’s most popular sporting event: it will attract an enormous audience and, while it is under way, will place football at centre stage of world events. During this period there will be considerable action on the Betsson Sportsbook as well as on other products. In addition, Betsson will continue to develop its business and its products. New partnerships will be forged and new games and functions launched. Just as in 2009, Betsson will place the customer firmly centre stage. Our conviction is that the customers’ will is strong and that by responding to our customers’ wishes we will be able to secure our future growth. We intend to continue on this journey, be very sure of that!
Stockholm in March 2010
Pontus Lindwall