In this Q&A, Play’n GO co-founder and CEO Johan Törnqvist sits down with NEXT.io to discuss the challenges and opportunities of expanding the company into new markets globally.
NEXT: Play’n GO recently marked its fifth US state entry with its launch in Connecticut. How do you decide which new markets to enter, and what have been the barriers to entry in the US?
Johan Törnqvist: Our approach to entering new markets is based on a very simple ethos- we want to be active in every regulated market in the world. We therefore prioritise markets where regulation is robust, ensuring compliance with local and national laws. This allows us to deliver best-in-class online casino entertainment that can be tailored to regional preferences and requirements. When deciding what markets to enter, we evaluate several factors – size and potential growth, the regulatory framework, and the strength of potential operator partnerships all play a role.
In the US, it’s a state-by-state strategy, and we eagerly await new opportunities as more states open. Each state has different rules regarding licensing, taxation, and compliance, all of which require careful analysis. This regulatory diversity has been one of the key barriers to entry in the US. Additionally, the need for significant technical infrastructure to comply with state regulations poses challenges in terms of both development and ongoing operational support.
With that said, our thorough approach has served us well, allowing us to build strong partnerships with leading operators in the US. By integrating directly with these operators, we ensure that we can maintain control of the user experience, manage data flow efficiently, and quickly adapt to market changes, further solidifying our position in the US. We’re confident that this is the key to long-term success in the US.
NEXT: Do you foresee further expansion into additional US states in the near future?
JT: We’re very excited for further opportunities for growth in the US. We’re now active in five states- West Virginia, Michigan, New Jersey, Pennsylvania, and, latterly, Connecticut- and we’re monitoring legislative developments across the entire country. As I said, our publicly stated goal is to be active in every regulated market in the world.
As the regulatory environment in the US evolves, and the benefits of a regulated, taxation-compliant industry become obvious, it is expected that more states will legalise online casino. We are well-positioned to enter these markets through our already-existing strong partnerships with US operators who may already have a sports betting presence in some of these states. Our methodical approach, combined with our well-established reputation for delivering high-quality content, makes us a strong contender for future expansion. We are prepared to act quickly as and when new states regulate iGaming.
NEXT: Are you optimistic about the future of iGaming in the US, compared to sports betting?
JT: We are optimistic about the future of iGaming in the US. US players have shown their appetite for casino gaming for many years, largely in a land-based capacity. We’re starting to see a behavioural shift across states that have regulated already, whereby players are starting to enjoy the accessible nature of online casino gaming. iGaming offers a diverse range of gaming opportunities, from previous slot games to the more modern, technologically and graphically advanced games. Many of these are more akin to AAA video games than your more retro style of games. There’s something for everyone.
As well as this, state legislators are already seeing their neighbouring states collect taxable income from online casino gaming, and we’re confident they will look to replicate that in their own locale. Long-regulated US iGaming markets, like New Jersey and West Virginia for example, are the blueprint for their domestic counterparts to follow.
NEXT: Can you predict which games are likely to be successful in different markets, or is there a lot of trial and error?
JT: Such predictions are obviously very difficult to make – if they weren’t, our jobs would be much easier! There is always an element of trial and error, but the best guide we have to the future is the past, and we have a good base of knowledge for what players like, and what they don’t in different jurisdictions.
In Europe, for example, games like Book of Dead and Reactoonz have become iconic, with well-established player bases. In other jurisdictions, we see a preference for more traditional slot or table games, such as Fire Joker. We engage heavily in customer analysis to refine our offerings. By analysing how players engage with our games — such as session length, features triggered, and payout preferences — we can adjust and introduce new titles that align with market demands. This balance of data-driven predictions and willingness to adapt is what has helped us to achieve success in multiple regions.
NEXT: Are customer tastes significantly different in the US compared to Europe?
JT: Yes, customer tastes in the US are different from those in Europe, and we’ve recognised these variations in our market strategies. In Europe, players have had access to online casino gaming for a longer time and, as a result, they are more familiar with a diverse range of games and features.
US players have historically been more exposed to land-based slot games. This influenced their initial preferences in the online space, with US players gravitating toward games with straightforward mechanics and familiar symbols. However, as online casino gaming has grown in the US, we have seen a shift in player behaviour. US players are beginning to explore more diverse game types, including those with social features like leaderboards and progressive jackpots, which are newer to the US market.
We will continue to adapt our content to meet the evolving tastes of US players, introducing more innovative games while also offering familiar experiences to help bridge the gap between land-based and online gaming.
NEXT: You recently signed a deal to sponsor the MoneyGram Haas F1 Team. How has the sponsorship helped raise awareness of the Play’n GO brand?
JT: The sponsorship with the MoneyGram Haas F1 Team has been instrumental in raising Play’n GO’s brand visibility, particularly in markets where the company is expanding, such as the US. The sport has a massive global audience, and the partnership has allowed us to reach millions of viewers through race broadcasts and other public events. Additionally, the sponsorship has provided us with unique opportunities to engage with our partners and clients. For example, we’ve used the sponsorship to offer exclusive experiences, such as VIP access on race weekends and driver meet-and-greets, all of which helps strengthen relationships with our partners. The partnership has also extended to other areas, such as our Play’n GO Music initiative, where the entire team, including the drivers and Team Principal, have collaborated to create playlists that are available to fans.
Our multi-faceted approach to the sponsorship has helped us to not only increase brand awareness, but also build deeper connections with our audience through a sport that resonates with many of their key markets. It’s been a remarkable success thus far, and we’re looking forward to the next season already.
NEXT: Are you looking at opportunities for sponsorships in other sports? Which would you find most interesting?
JT: We’re open to any sponsorship opportunity that makes sense for our brand. One of the reasons our sponsorship with MoneyGram Haas F1 Team has been such a success is how many parallels there are between our industries. We work in fast-paced, entertaining and highly regulated industries. We are committed to a sustainable world, and pride ourselves on innovation and technological advancement. Of course, not every sponsorship will match up perfectly in this way, but it certainly makes for a more fluid partnership when they do.
Moreover, our focus on entertainment and innovation aligns well with sports that emphasise fan engagement and dynamic content, making those sports a strong contender for potential sponsorship deals.
NEXT: One of the benefits of the MoneyGram Haas F1 Team as a sponsorship opportunity is its global reach. What markets globally are you most excited about for Play’n GO’s future?
JT: We’re excited about lots of markets globally. The US is the obvious one at the forefront of everyone’s mind, and we’re committed to long-term growth and success there. Canada is another important market, where we’ve established strong partnerships with operators in provinces like Ontario and Quebec.
A more emerging market that we’re increasingly focusing on is continental Africa. Earlier this year we went live in South Africa, and very recently our games launched with Betika in six individual African nations. The continent is full of untapped potential, and we want to be ready to act when it opens up further. We’re definitely excited about Africa.
There is also the prospect of Brazil becoming a regulated market in the coming months. Again, this has the potential to be a hugely important market for us, and we will explore opportunities there when it is appropriate. Really, we’re excited about the prospect of any newly regulated market, and we will continue to make the case for a regulated, tax-compliant, sustainable industry – an industry we believe we will continue to thrive in.
Read the original interview at NEXT.io here https://next.io/news/promoted/johan-tornqvist-challenges-of-global-expansion/
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