Public Gaming International Magazine March/April 2021

22 PUBLIC GAMING INTERNATIONAL • MARCH/APRIL 2021 foundational component of the Digi- tal Department is the omnichannel approach. This key strategy focuses on the customer experience at all touchpoints, which includes online and at retail. Growing our total business is our ultimate goal,” said Rob. “Our retail partners sell more than $2 Billion a year for the Virginia Lottery, and we know expanding our business online will help retail sales continue to grow.” To demonstrate an ongoing com- mitment to bricks-and-mortar while also encouraging online play, Virginia launched Online Cash last November. Players can purchase an Online Cash voucher, either from a clerk or at a vending machine, or at their favorite retailer in denomina- tions of $10, $20, $50 or $100. Specifically designed to benefit both sides of the business, retailers earn a 5% commission from that sale (just as they do with traditional product sales), and players can then use the funds from the voucher to deposit and play online. To kick off the new year, the Lottery launched an Affiliate Program, which is an important aspect of the Lottery’s player acquisition efforts and basically is a method of paying outside organizations to help the lottery acquire new players. Similar to the Michigan and Pennsylvania programs, affiliate partners market and advertise to potential iLottery players and, in turn, will earn a com- mission for every new online player the Virginia Lottery acquires. The program started with online-only partners, but a bricks-and-mortar retail solution is in development. MANY BALLS IN THE AIR To paraphrase the old car advertise- ment, the Commonwealth of Virginia has gone from 0 to 60 in 3.0 sec- onds when it comes to its gaming offerings. When Kevin took over as lottery director in 2018, Virginia had appointed a special legislative com- mittee to study expanded gaming. The results of the study created legislative momentum for iLottery. At the same time, the Virginia Lot- tery was assigned the key regulatory role over mobile sports betting and casinos. iLottery was the first new gaming platform to launch on July 1, fol- lowed by live, legal sports wager- ing in late January 2021. “In the seven months since sports betting was authorized by state law, the Virginia Lottery crafted responsible regulations, accepted and reviewed applications, and awarded the first licenses to qualified operators,” said Kevin. “We have built a licens- ing and regulatory program that protects consumers and ensures the integrity of legal sports wagering in Virginia.” In addition, the Virginia Lottery Board approved the first draft of casino regulations in early February. The regulations apply to proposed land-based casinos in Bristol, Danville, Norfolk and Portsmouth, which were endorsed by voters in those localities in local referenda in the November 2020 elections. A fifth casino, in the City of Richmond, has been proposed and is pending a public referendum in November 2021. The 2020 casino legislation required adoption of an initial regu- latory framework by April 2021. CULMINATION OF YEARS OF WORK Once given the legislative green light, iLottery in Virginia was up and running quickly, enjoying a launch that greatly exceeded expectations. That’s probably because Virginia has been meeting its customers online for many years now. Beginning in 2005, the lottery modernized its “Lotto by Mail” subscriptions pro- gram and began selling subscrip- tions 100% through the website. Starting with Mega Millions, other games were added over time. With the digital channel growing, it was time to officially and fully focus on this new way of interacting with its customers. So was born the Digital Department, with Rob tran- sitioning from Director of Sales to take the helm of this new area and begin laying the foundation for fully transaction-enabled iLottery. After a few months of research and industry collaboration, the key elements were set: a relentless focus on the Cus- tomer Experience, a culture of Agility and speed, application of Data and Analytics as the business-decision driver, build-out of an Omnichannel program, and provision of Personal- ized, relevant and timely interaction with the players. With the July 2020 launch of the iLottery platform, Virginia players now have access to three draw games (and more on the horizon) plus a large library of eInstant games. In short, there’s something for everyone. Now the key is to keep players engaged. The lottery’s supporting vendors – NeoPollard Interactive and Instant Win Gaming (IWG) – are veterans of iLottery so Virginia can certainly lean on them for recommendations based on their experience. The lottery knows what Virginia players want – what kinds of games work, payout structures they are looking for. So together with its vendors, the lottery can offer products that will attract and engage the players and drive sales. “Continued innovation is critical, particularly as we see new gaming opportunities created in the Commonwealth,” said Kevin. “With sports betting live and casinos not far behind, lottery players will have choices for their gaming spend. By continuing to expand our channels and add to our portfolio, offering new and exciting games while personalizing the experience for our customers, we will ensure that the lottery continues to be a top enter- tainment choice. That’s great news for the good cause we support: Virginia’s K-12 public schools.” In December, Virginia launched a progressive jackpot game created by IWG, one of the most innovative games on the iLottery platform. “Jungle Tumble Jackpots” has a base game that resembles other eInstants, but also includes a pro- gressive “add on” with three jackpot prizes – a mini jackpot which will be awarded a few times a day, a mid- tier jackpot awarded weekly, and a top-prize jackpot which will most likely be awarded one a month. This all depends on the amount of play for the game. WHAT’S NEXT? “For 2021, our key focus will be new player acquisition and continuing to grow our Omnichan- nel programs. We started in a very modest and measured way with our advertising support for iLottery, so growth in this area along with growing the recently launched affiliate program will be keys to meeting our acquisition goals,” said Kevin. “We have a cross-departmental team working on our Omnichannel efforts, with the current focus on improving the customer experience at those touchpoints directly impacting Lot- tery sales and profits.” The lottery will also upgrade its mobile offerings. So much lottery activity has moved to mobile devices and, while the lottery does already have a functional mobile app, they released an RFP last year to see what is available. The goal is for a new app to be launched this year which will offer full iLottery functionality and other features. Obviously there will be no “rest for the weary” in Virginia, which is exactly how Kevin Hall and his staff want it. n FULL STEAM AHEAD