Public Gaming International Magazine March/April 2021

12 PUBLIC GAMING INTERNATIONAL • MARCH/APRIL 2021 In addition to the work of the committees, the Women in Lottery Leadership (WILL) program also continues to develop. I was very proud when I saw the North American Association of State and Provincial Lotteries (NASPL) had all female o cers for the rst time in its history. Coinciden- tally, that moment came on the same day as the 100th anniversary of the passage of the 19th Amendment to the U.S. Constitution, which guarantees a woman’s constitutional right to vote, so that may have magni ed my feelings. But that moment, in the midst of everything we’re dealing with and working through with the COVID 19 pandemic, was a leap in the right direction. I’ve said it before – ensuring diversity and inclusion brings valuable depth to an organization. I am truly excited for what the future holds for our industry because of this e ort. The Tennessee Education Lottery (TEL) is one of a few state lotteries in America that acts as state regulator for sports betting. What are some of the challenges you’ve encountered so far? R. Hargrove: e biggest challenge was the lack of a template to follow as we developed our rules and regulations. Tennessee allows interactive sports wagering only – meaning the placement of a wager only via the internet, a mobile device or other telecommunications platform. We don’t have brick-and-mortar sportsbooks or casinos, and no other state had “online only” sports wagering. Other states with online wagering also had brick- and-mortar locations, so our processes had to be developed from scratch and completed. What’s one thing you’d like everyone to know about the sports betting industry in the U.S.? R. Hargrove: To me, it’s the variety of models of sports betting in jurisdictions across the U.S. In some states, lotteries have no role. In some, lotteries are both the operator and the regulator. In others, like Tennessee, you’re the regulator but not an operator. In still others, the casinos have a role. e point is, there are very few apples- to-apples comparisons out there, so it’s not easy to compare and contrast regulatory or market landscapes. at being said, we’ve worked diligently on our unique, online- only structure, when no other jurisdiction is set up the way Tennessee is. You mentioned COVID and the global pandemic. From your perspective, what are the lessons learned for lotteries during these difficult times? R. Hargrove: Well, you kind of have to work backward from the particular lesson or lessons learned at each lottery because each lottery will have its own challenges based upon its jurisdiction. But what has shone through in 2020 at an industry-wide level is our enthusiasm to adapt and press on. e challenge will always be to stay creative and innovative, and bring new ideas to players. Industry organizations and others will need to remain engaged with members, bringing energy to sharing those ideas and best practices. From the Tennessee Lottery perspective, our in-state games performed well. An- ecdotally, we saw the number and mix of entertainment options in our border states shrink, and we think that we gained some new players or additional play from current players because of the limited options during lockdown. As far as lessons learned, I wouldn’t say it’s a lesson learned but a lesson reinforced by the pandemic – how critical, how important it is to pay winners quickly. When we switched to mail-in claims only at the end of March 2020, we made sure to note that drawings would continue as scheduled and instant ticket games will continue to be delivered to retailer locations. I can’t say enough about our sta that stepped up and stepped in to help us keep paying claims. We were able to pay claims within 2-3 days of receiving them, which I think was a signi cant contributor to FY 2020 4Q being our best quarter ever. at exibility also extended to other facets of our business. We equipped our employees to work remotely. We took the necessary health and safety precautions. We modi ed retailer contacts by our sales representatives from in-person visits to phone calls. We shifted our advertising focus to recognize the unique times and celebrate our bene ciaries. We held virtual meetings, staggered our hours and ensured that we had product in the eld. But with all that, if tickets were going to be in the eld and drawings held, winners needed to be paid in a timely fashion. Our industry thrives on the fun of playing, and the fun of playing comes from potentially winning. So, if the fun of the game you play might be postponed or delayed for whatever reason, that strikes at the heart of why players play. To that end, we made a conscious e ort to make sure we kept paying winners as quickly as possible. Retail business took significant hits because of lockdowns while online sales performed well. Do you think consumers will return to normal in-store shopping habits? R. Hargrove: Yes, players want to return to normal, but how we shop and how we get together are two behaviors that I think will be forever a ected. Online market- share has gone up as consumers spend less time in public spaces like grocery stores, bars and restaurants. Some people who never ordered anything online before the pandemic began making more online purchases. People who already shopped online probably increased what they bought online. I do believe people want to “return to normal,” but some behaviors adopted during this time period will become “normal.” We still do not have much visibility into the long-term impacts of the pandemic. Are you able to discern, even perhaps as speculation, other ways in which the post- pandemic world will be different because of the massive disruption caused by the COVID19? R. Hargrove: After 2020, I think everyone should be wary of o ering predictions. But what I look forward to most is con- tinuing to watch this industry adapt and innovate on behalf of its benefactors. For us in Tennessee, as it did with everyone, the mission remained the same during COVID. e good causes we support continue regardless of the pandemic or economy. Every lottery has its own challenges based upon its jurisdiction, but what helped us keep going through 2020 was our openness to trying new ways of doing things and moving forward. e challenge, like I said, will be to stay innova- tive and develop new ideas. I’m con dent this amazing industry will continue to rise to the occasion for the good causes it supports. n PGRI INTERVIEWS