Yggdrasil extends Veikkaus partnership to retail segment

Swedish supplier of iGaming solutions Yggdrasil has inked a game IP licensing agreement with Finnish government-owned betting agency Veikkaus for the retail sector.

The collaboration will consist of the Cherry AB subsidiary repurposing and providing slot content for the Veikkaus retail estate in Finland over the Helsinki-based gambling company’s proprietary VLTs (video lottery terminals).

VLT distribution:

Commenting on the significance of the partnership agreement, Vice President Casino Games for Veikkaus, Jan Hagelberg said…

“While known for being an operator that delivers top-notch player protection ecosystem and a full portfolio of casino, betting and lottery games in all channels, Veikkaus is also a technology company with fully integrated proprietary gaming platform and product suite with integrated omnichannel solution.

“So far, the retail VLT distribution has been dedicated to our in-house content only, but we are now ready to host a technical pipeline that enables trusted online partners and 3rd party studios to supply their games to our retail customers.

“We’ve chosen Yggdrasil to be our first partner to pilot this because of their innovative content, proven technical capability and capacity to deliver swift time-to-market with Veikkaus team. We are excited to expand our strong partnership from online to cover also retail.”

Having already achieved proof of concept, Yggdrasil’s first batch of retail games are expected to be available in the Northern European nation across Veikkaus’ retail network mid-2021 and 100 percent compliant with Finnish reglatory requirements, according to the press release.

Yggdrasil has an established supply deal for slot content in the online channel with Veikkaus, which has a monoploy in the country, recording gross gaming revenue (GGR) of EUR 1,691 million in 2019.

Omnichannel strategy:

Also commenting on the partnership, Chief of Global Market Operations for Yggdrasil, Bjorn Krantz, said in a company press release…

“We are delighted to extend provision of gaming content to Veikkaus in their retail environment. Expansion of partnership into Retail fits perfectly into our own and Veikkaus omnichannel strategy, were we effectively can scale business operations, drive improved total player value, and content familiarization.

“It has been a thorough selection process by Veikkaus, and I am very proud of the Teams involved driving the successful process. We really look forward to a long and mutually beneficial retail relationship with Veikkaus.”

Planned slot reduction:

Earlier this year, Veikkaus announced that as part of an ongoing responsible gambling campaign it would, by the end of 2020, have reduced its slot estate by approximately 40 percent from what it started the year with.