Public Gaming International Gaming July/August 2021

23 PUBLIC GAMING INTERNATIONAL • JULY/AUGUST 2021 In the end, however, online and retail work together to attract players and drive revenue and we have to work equally on both offerings.” In Georgia, J.B. said that their digital program has allowed the lottery flexibility and differences from what is offered at retail. “We do have slightly higher price points and top prizes currently offered at retail as compared to online. However, the interac- tive format allows us to offer a wider variety of play styles and the flexibility to attract players with bonus levels and interactive game mechanics. We are able to mimic the instant gratification that players receive from scratch tickets sold at retail.” Derek said that from his work with IGT’s clients and observing the industry, he sees some common approaches that lotteries are applying to preserve a balance between digital and retail. “There are definitely nuances to each lottery, whether it’s a game preference, payout or just a particular player demographic that influences decisions,” he said. “Building an online portfolio that engages players is very important. This is where data plays a key role. We use it to understand the player and the games they play repeatedly so we can apply the insights and continue to build on the success of those games to engage more players, whether it’s through the theme or the mechanics. For digital, we can use the data to inform decisions and make changes quickly. For the retail product, those changes are made over a longer timeframe.” The Virginia Lottery is the new kid on the iLottery block and the oldest program (Michigan) is still less than 10 years old. But in Europe and other parts of the world, digital lottery is old hat, just another part of the channel mix and product arsenal. And there are certainly lessons to be learned from those with experience all over the world. Cue Richard, who in a previous job oversaw the digital program for the UK lottery and now works for JUMBO which works with lotteries across the world. “If you look at player expectations, lottery is not in isolation from other digital platforms, with players wanting greater interactivity,” Richard said. “We want greater engage- ment with our players and our games need to show that as well. Retail scratch ticket players want instant gratification and the chance to dream. We want to translate that to online players who might want an instant reveal or want a story to be told. So we need to balance everyone’s needs and expectations. We also must keep in mind other competing opportunities that exist in so many states, such as casinos and online sports gambling. This competition impacts both retail and online and we need to stay ahead of this discussion.” The rise in popularity of online sales does not mean lotteries are taking their feet off the retail gas pedal. If anything, it has resulted in enhanced communication between the traditional and retail sides of the house. The key word is portfolio management. “While our digital platform is managed separately, there is collaboration from the entire lottery team including those focused on the tradi- tional product and retail channels,” said J.B. of his Georgia Lottery colleagues. “And we work closely with vendor partners, especially the interactive team at IGT, to manage the portfolio of games. Our product develop- ment team’s knowledge of our traditional scratcher games in the retail space provides invaluable expertise as we evaluate and refine our digital prize structure, price points and game themes to appeal to both existing and new players. And when possible, we try to align releases for promotions and marketing purposes between the two groups. It is truly a collaborative effort.” In Pennsylvania, Stephanie’s product group has a slightly different structure. “Our same internal product team manages our entire product portfolio – scratch games, Fast Play, monitor games, draw games,” she said. “One team handles all of these games. We added one dedicated iLottery product manager to help with the increased workload. Some of the pros to having an integrated team is that they bring over a knowledge of all the traditional games and that sets up some really great cross product line opportunities. Since they’re managing all products, they can tie these games and promotions together. So with the one group managing the entire portfolio, they have a wide view of products and are better able to tee up some great marketing opportunities.” “Of course, online products present different opportunities to the group and the approach is in fact different from retail,” she said. “You don’t have a limit on the number of games you can sell online like you do at retail. You can test and learn in real time in the online environment. We might launch an online game with a theme that maybe we would be a little hesitant to do at retail.” Running one of the nation’s largest lotteries, Kevin has seen a lot in his time at the helm of the Virginia Lottery. iLottery was different: “One of my biggest surprises as a new iLottery state was the frequency with which we have to launch new products in the digital space to meet customer expecta- tions,” he said. “It’s a challenge and an opportunity.” The panel certainly agreed. In Pennsylvania, Stephanie said, “On the iLottery side, we’re launching one new Continued on page 48 “ With world class sites like Facebook, Amazon and Google leading the way, players expect the same quality from lotteries and their vendor partners. There are many non-lottery options for gaming and entertainment dollars, so it is imperative that the products and experiences we offer are relevant, fun and engaging. R O U N D TA B L E D I S C U S S I O N