In an industry often focused on revenue, Christer Fahlstedt, CEO of Paf, stands firm on responsible gaming principles, even at the cost of significant revenue hits. Let's delve into Paf's approach and Fahlstedt's vision for a sustainable future.
The Importance of Responsible Gaming
Christer Fahlstedt's tenure at Paf has been marked by a strong dedication to responsible gaming practices. This devotion is not just a corporate policy but a core value deeply embedded in the company's ethos. Paf prioritizes player protection and takes proactive measures to ensure a safe and enjoyable gaming experience.
One of Paf's notable initiatives is setting loss limits for players. This strategic decision, led by Fahlstedt, began in 2018 with loss limits initially set at €30,000 per year. Over the years, these limits have been progressively reduced to €20,000 annually. Despite the revenue impact, Fahlstedt believes these measures are essential for long-term sustainability and responsible gambling practices.
"Our view is that in a tightly regulated European market, we think you're unlikely to be allowed to lose more than €8,000 per year. That's what we see as the benchmark," he goes on to say.
Fahlstedt's vision includes implementing a mandatory €8,000 loss limit for players between 20-24 years old. While this goal is ambitious, Fahlstedt acknowledges that achieving it will take time and concerted efforts. Paf's focus on sustainable players, categorized as 'green' revenue, has shown growth, indicating progress towards this target.
Balancing Financial Impact and Responsible Practices
Reducing loss limits has had a notable financial impact on Paf, leading to an annual decrease in income. However, Fahlstedt remains steadfast in his belief that these sacrifices are necessary for maintaining integrity and player well-being.
Paf's adherence to responsible gaming extends to transparency and accountability. The company's annual reports utilize a color-coded system, distinguishing revenue from players within safe limits ('green') from those exceeding thresholds ('red'). This level of transparency, unique to Paf, reflects Fahlstedt's dedication to open communication and ethical business practices.
“We’d be surprised if you’re in a European market and allowed to offer bonuses in five years’ time”
Fahlstedt's advocacy extends beyond Paf's operations to broader industry practices. He emphasizes the need for national strategies on deposit limits and bonus caps, citing examples like Belgium's €500 weekly deposit limit. A centralized database for aggregating player losses across licensed brands is also proposed, promoting a holistic approach to player protection.
Christer Fahlstedt's leadership at Paf exemplifies a proactive and ethical approach to the gaming industry. By prioritizing responsible gaming measures and advocating for industry-wide standards, Fahlstedt paves the way for a safer and more sustainable gaming environment.
Source:
''Paf believes €8,000 per year is the benchmark for loss limits in Europe'', aboutpaf.com, April 01, 2021.