Kindred’s struggle with harmful gambling revenue
Kindred’s ambitious campaign, ‘Journey towards Zero’, aimed at eradicating revenue from high-risk gamblers, appears to have stumbled in its latest update. The first quarter of 2024 saw a marginal uptick in revenue from this demographic, with gross winnings hitting 3.2 percent, a slight increase from the 3.1 percent reported in Q4 2023.
The ‘Journey towards Zero’ initiative was launched in 2021 in response to a surge in problematic gambling behaviour, exacerbated by the COVID-19 pandemic. The campaign’s goal was to become the first operator to achieve 0 percent revenue from harmful gambling by 2023, a commitment publicly made by then-CEO of Kindred, Henrik Tjärnström (pictured above). Despite Tjärnström stepping down in May of the same year, the objective remains a priority for the company.
Throughout 2023, Kindred’s revenue from high-risk players remained relatively stable, oscillating between 3.3 percent and 3.1 percent. However, the company failed to meet its target of zero revenue from harmful gambling by the end of the year. Despite this setback, Kindred has made notable strides in other areas. The company reported that 87.1 percent of players demonstrated improved behaviour following interventions, a slight decrease from Q4 2023’s 87.4 percent.
Alexander Westrell, Director of Communications at Kindred Group, acknowledged the fluctuating revenue from high-risk players but emphasized the company’s ongoing commitment to fostering a more sustainable gambling experience. He noted the steady decline in harmful gambling data since 2020 and the positive impact of interventions on healthier gambling behaviour.
Public reactions and transparency
Westrell also highlighted the importance of open dialogue, citing the recent Sustainable Gambling Conference in London, where individuals shared their personal experiences with gambling. He expressed optimism about the role of advancing technology in detecting and intervening in harmful gambling behaviour.
Westrell called for increased engagement from regulators and industry experts to ensure a more sustainable future for the gambling industry. Despite the challenges, Kindred remains committed to its ‘Journey towards Zero’, underscoring the need for continuous effort to achieve sustainable progression.
Kindred’s transparency in reporting its progress has been appreciated by many. They have been open about their successes and setbacks, contributing to a fact-based dialogue about harmful gambling. However, some critics have labelled the initiative as a PR stunt. In response, Kindred has reiterated its commitment to the cause and highlighted the extensive work being done to ensure data reliability.
