Public Gaming International November/December 2021

26 PUBLIC GAMING INTERNATIONAL • NOVEMBER/DECEMBER 2021 Extreme personalization of the consumer journey: Advanced natural language processing devices and interactive digital assistants, combined with Big Data and AI, will extract meaning from unstructured datasets to analyze customers’ preferences, modes of communication, and relationships across diverse user groups to enable a high level of personalization. Basically, machinery and software that track our behaviour and shopping activities will learn our tendencies andl be ready to provide us with products before we even know we need them. Internet of Home: As homes become a central hub with the ability to seamlessly switch between other connected environ- ments, including offices and fitness centers, companies must develop multifunctional solutions that control multiple products and devices. Digital mental health care: As consumerization is permeating every corner of our lives, healthcare delivery is moving towards patient-centric models. Patients want to stay connected and engaged with their healthcare providers. It is essential to use personal health data to understand a patient’s daily behavior, challenges, and motivating factors and modify engagements accordingly. This level of personalization requires the application of digital technologies such as AI and predictive analytics. WHAT IT MEANS FOR LOTTERY One thing that has happened over the past 20-plus months is incredible innovation. This shouldn’t surprise anyone. During the bubonic plague in the 17th century, London was locked down and the University of Cambridge sent its students home. One of those students, Isaac Newton, passed the time in his garden and, the story goes, watched an apple fall. Thus was born the concept of gravity. Fast forward to the semi- lockdown of 2020 and early 2021. Some things never change. Dramatic disruption continues to be the catalyst for inspiration and creativity: there were twice as many patents granted in the United States in 2020 as in 2019. And I’m sure all of us know examples of the incredible ingenuity and resourcefulness of lottery operators adapting, innovating, creating new games, and inventing new business processes over the last 20 months. Would a pre-pandemic futurist have predicted that lottery would turn out to be the primary form of recreational gaming available for a period of time; that casinos would be shuttered, and professional sports take a complete hiatus? Most likely not. But now, with 20/20 hindsight, we can understand how the forces unfolded to produce an outcome that surprised us at the time. The study of Megatrends illuminates those underlying dynamics that are shaping our future so that we might be even better equipped to respond and adapt to the unfolding of an uncertain future. The Megatrend of Home becoming the “center of work, entertainment and wellness” relates directly to trends that may affect the behavior of lottery players. With many workers not having returned to their offices, and some being told it will never happen, or that working from home is an option that is up to the worker to decide – home has taken on even greater importance. These consumers who no longer have commutes that put them in convenience stores and close proximity to other lottery retailers need more options for connecting with their favorite lottery games. That is where digital lottery fills a need. The post- pandemic consumer focus on the home as the center of more and more activities has ratcheted up the urgency for lotteries to make the products available online. While it continues to be the case that the majority of lottery sales happen in the retail channel, it is also true that the post-pandemic lifestyles of consumers includes a massive shift of attention towards the internet as the source of entertainment, commerce, and social bonding. The states with iLottery have seen incredible growth over the past two years. And those who are not authorized to offer products via the internet have seen growth in their player’s embrace of digital activities like second chance draws, players clubs, apps that keep players abreast of jackpots and new games and such, etc.. It is more important than ever for legislators in all states to empower their own state lotteries with the regulatory approval and tools to make all lottery products available online. The bottom line is that Megatrends as diverse as climate change, AI, consumer life-styles, and health care impact the lottery industry the same way they impact airlines and accounting firms. Endeavoring to understand the big picture trends will help us to prepare for the future, to anticipate societal and economic changes that affect consumer behavior and the market-place, and to take full advantage of the incredible opportunities that lie ahead. n