Svenska Spel ends 20-year Hockey League sponsorship
Disagreement over valuation ends two decade-old agreement but operator says it remains committed to marketing spend in Sweden
Swedish state operator Svenska Spel has ended a major sponsorship deal with the Swedish Hockey League (SHL) after failing to reach an agreement over costs.
Svenska Spel’s sponsorship of the SHL had lasted more than 20 years but the operator’s CEO Lennart Käll said the two parties were “too far apart in the valuation” for an extension to the previous deal which expired at the end of June.
“We have had a close and good cooperation with the SHL for just over two decades, a collaboration that has been valuable and stimulating for both parties,” Käll said.
A spokesperson for Svenska Spel told eGaming Review that the money saved from the agreement would be redirected into other marketing and sponsorship activities and Svenska Spel continues to be the primary sponsor of the Swedish Ice Hockey Association.
Svenska Spel spent around £46m on marketing in 2014 as it battled for market share with a number of offshore firms, with the country’s unusual marketing laws meaning around 75% of total gambling marketing spend comes from firms based outside of Sweden.
Despite the prevalence of online gambling advertising in Sweden it is thought to be unlikely an organisation the size of the SHL would consider operators such as Unibet as Betsson as replacements for the Svenska Spel sponsorship.
Sweden’s re-regulation process could ultimately change that although it continues to suffer delays and for the time being Svenska Spel’s monopoly remains in place.
Meanwhile Svenska Spel has also announced that responsible gambling software suppliers Playscan have merged into the firm.
“Playscan is a core component of our responsbile gambling strategy, and will remain so,” Käll said. “I’m very proud to see how the product has evolved – and the hard work done by the dedicated team behind it. It will be exciting to follows its future development.”