42 PUBLIC GAMING INTERNATIONAL • JANUARY/FEBRUARY 2023 sure lottery is the same way. These all take planning and lotteries should lean on their vendors to help them with their long-term strategy.” Ryan wrapped up the discussions by noting that everyone on the panel has some type of decision-making role at their organization, which means they are working on both short- and long-term goals. Keeping an eye on the long term at the executive level will allow your colleagues to focus on the day to day. “But in all honesty, we tend to focus on what is right in front of us,” he said. “We have pressure to meet sales goals, exceed the previous year’s revenues. So if you could put aside long-term sustainability goals, what is one thing you would immediately start doing and one thing you would stop doing?” “In the “start” category, we would definitely put together multiple sets of working papers for more $100 scratch tickets every year,” Gary said, with a laugh. “We would constantly run promotions and pull out all the stops to incentivize our sales reps and retailers. Of course, we’re doing pieces of these things now and the results show we’re on the right track. And on the ‘stop’ side, I would definitely stop dedicating the substantial time and resources that currently go into the procurement process which, if done right, can have a significant impact on the long-term health of our industry.” Max picked up on Gary’s remarks about the procurement process. “The RFP process and how contracts are awarded can be a challenge for smaller vendors,” he said. “Many technology or equipment companies need to be included in larger contracts to provide their products to lotteries. The way in which RFPs are structured can stifle the creative planning process. It would be great if we could all work together to figure out ways we can revamp the procurement process to make it easier for vendor partners to provide their goods and services to lotteries. The resulting innovation would benefit everyone.” Sticking with the RFP process, Jim said he would love to revamp the RFP process as well as his mandatory contribution requirement. “Like most changes, we need legislative help to get things done and that is not an easy process,” he said. “There are so many requirements baked into the procurement process and the people who work with us on this have many other things on their desks. But it is certainly something that needs out attention. I also want to lower NJ’s mandatory contribution from its current 30%. It limits our ability to offer higher price point tickets and, in the end, increase our revenue. These are hard things to do but they are places to start.” Sarah said technology is a critical place to start. “I would love to have technology changes get implemented as quickly as possible,” he said. “I understand the constraints on our partners and it is something that we can work on together. Can lotteries make it easier on vendors to implement the latest technology? Certainly, and let’s work together on our options. I also would like some of our multi-state discussions to wrap up quicker. These initiatives are not easy because we have so many different opinions involved and that can add to the execution timeline. There are some great products and initiatives in the works and we need to bring them to market quicker than now happens.” Ryan ended by saying that there are many issues facing lotteries, both now and in the future, but today’s leaders are certainly up to the challenges. “In the end, our focus needs to be on driving as much revenue as possible,” he said. “In the short term, that means providing engaging products and promotions which will attract and retain customers. In the long-term, it means making sure there is infrastructure in place which will serve the players of the future. This balancing act is critical to the continuing relevance and success of all lotteries.” n is a version of what happened in the 1920s when the Spanish Flu ended and ushered in the “Roaring 20s.” Today we’re seeing our own version of the Roaring 20s with the rise and widespread consumer adoption of technical innovation.” Returning to lotteries, Leonard said that driving home the story of where the money goes is key to attracting the next generation of customers. Most people under the age of 30 understand what a lottery is but most have no idea how they are governed or who benefits from the profits. For them, it is the same as giving money to a casino. “We don’t want lotteries to follow the same route as credit unions,” he said. “Credits unions are quite benevolent and are exactly what younger people are looking for. But they couldn’t tell their story or at least people weren’t listening, and they lost an entire generation of potential customers who might have been open to their dedication to communities and supporting important causes. “Lotteries need to make sure they don’t follow that route. They need to communicate their mission to the widest audience possible,” Leonard said. “Social media is providing avenues for communication that have never existed before. Use these avenues to reach the next generation of customers and tell them your important story.” n Positioning for the Growth and Prosperity that follows the Cyclical Reset continued from page 16 I'm always amazed and delighted at what I discover in Public Gaming Magazine
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