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22

// PUBLIC GAMING INTERNATIONAL // November/December 2016

is expected by our current audience and

future generations.

So the prediction that the live-streamed draw

could replace the televised draw was misguid-

ed. But it all works out quite well in the end.

M. DeCheser:

Isn’t that the way it is

with innovation and change? You take

calculated risks and the outcome may

not be as you thought it would be. But

in many cases, perhaps most cases, the

outcome brings you to a new place that

turns out to be better than you might

have predicted.

Do you have data that compares the sales of

draws that are broadcast on digital only ver-

sus broadcast on TV and online?

M. DeCheser:

We do. Our mid-day

draws, which are for Pick3 and Pick4,

have been live-streamed online since

2011. But these mid-day draws had not

been broadcast on TV prior to July of

2015. Conversely, our evening draws

have been broadcast on TV and live-

streamed since 2012. Then in July of

2015, we started broadcasting the mid-

day draw on television, as well as stream-

ing it live online. Over the course of the

following year, July 2015 thru July 2016,

both the evening and mid-day draws

were broadcast on TV and live-streamed

online. The only difference is that the

mid-day draws added the TV broadcast

in July of 2015, while the evening draws

had been both broadcast on TV and live-

streamed since 2012. Comparing the

performance of the games with these two

draws scenarios enabled us to measure

the impact of adding the televised com-

ponent to the mid-day draw. The result

is that the sales of the Pick3 and Pick4

games with the mid-day draw increased

much more than the sales of the same

with the evening draws. Same games, the

only difference is that the mid-day draws

added the televised component in July of

2015. We infer from this result that the

televised draw had a measurably positive

impact on mid-day sales. We think that

is because the consumer has more confi-

dence in the security and integrity of the

televised draw. TV costs more than the

live draw but the ROI is definitely there

and the multi-media approach is draw-

ing in more players and introducing our

off-line players to our digital channels.

I should emphasize that we are fully

committed to the live-streaming online

draw. We see that as a fabulous tool to con-

nect with a vital audience that will grow

over the coming years. Building on our

social media initiatives and live-streaming

the draws is a key component to our mar-

keting and media mix, and will be increas-

ingly important in the coming years. We

just don’t want to ignore our core players

whose schedules included tuning in to the

televised draw. So we will do both TV and

live-streaming online for the time being.

We do not see this as an either/or. It is

a both/and. We have a robust social net-

working outreach that promotes our on-

line presence and are highly focused on

driving traffic to our live-streamed draw.

Our strategy is to modernize for the next

generation of players while continuing

to deliver the play experience that the

traditional core player expects. And we

project that the lifestyle habits of the

core player that include tuning in to the

TV draw will continue for another ten

years. So we will just follow both paths

to appeal to the millennials as well as the

core players.

The live draw, whether it is online or televised

or both, would seem to be a powerful event-

marketing tool to promote Lottery and engage

the consumer. It frankly seems to me to be an

under-utilized asset.

M. DeCheser:

I agree 100%. It is a

critical component to the whole draw-

game player experience. The consumer

could just buy an Instant scratch-off to

optimize the immediacy of the gaming

experience. The draw-game involves wait-

ing to see the result, so there needs to be

an event that the player buys into. They’re

buying into the suspense and the suspense

should lead to a climax. How better to do

that than to create the live-draw event that

celebrates the whole experience?

Couldn’t the live-stream draw be used as a

platform to broadcast other kinds of content

and promotions?

M. DeCheser:

We use both the televised

draw and the online live-stream to engage

players on Facebook, Instagram, our chat

rooms, and really all aspects of what the Lot-

tery does. The televised draw event attracts

a built-in viewer base for online streaming.

We now stream press conferences when

there’s a big winner. We stream our Million

Dollar Replay event and enable people to

interact with it. The Million Dollar Replay

event is something we do for Instant ticket

holders, giving them the opportunity to put

in the codes of their non-winning tickets

for a chance to win the million dollars. It is

an offsite event that is not cost effective to

broadcast on TV. So we stream it live online

and include a chat function as well. It was

incredible the last time we did this because

people were chatting back and forth, saying

like, “Oh, my god, that was my name. They

called my name. I won $25,000.” And oth-

er people would chat back and forth, “Con-

gratulations. Good for you. That’s fantastic.

Oh, my gosh.” Other ones are saying, “I

wish I was there. I couldn’t make it today.

I’m so happy I could watch it online. Hold

me back. Oh, they just called my name.”

Those that could not be there at the live

event were completely engaged online. It’s

not about selling products online. It’s about

reaching out to build a social community of

Lottery fans.

This 360 degree connectivity with the mod-

ern consumer is what we are all trying to cre-

ate. The potential to build on this platform is

really kind of unlimited. Do you see that as

being a pretty big canvass to work with and

grow and expand on?

M. DeCheser:

We haven’t even

scratched the surface. Of course it is ex-

citing that the short-term impacts have

been so positive. But it is the positioning

for long-term growth and evolving with

the modern consumer that is most excit-

ing. We very much feel like we are still

hurrying to catch up with the market-

place of new ideas and ways to connect

with our audience.