The Enduring Attraction of Retail

No. 44 | Spring 2016

The enduring attraction of retail

Retail is a unique opportunity for lotteries to engage with their players. Even operators with a well- established online presence rely overwhelmingly on the convenience of retail channels to drive sales and acquire new customers. But as retail evolves and players become increasingly connected, lotteries are redefining the role of their bricks-and-mortar outlets. EXPECT BETTER WWW.NOVOMATICLS.COM

4–5 Remembering Jean Jorgensen Well liked, and highly respected. The lottery world mourns the loss of WLA Executive Director Jean Jorgensen and celebrates his legacy.

6–7 Interview with the President

8–10 Association news Selected news from the WLA, its members, and the regional associations.

12–15 WLS 2016 A first sneak preview of the World Lottery Summit 2016 in Singapore.

16– 47 Retail and the lottery Despite the growing prevalence of online sales, retail has remained a key contributor EXPECT to lottery sales and growth. We queried lottery operators and vendors on today’s On Saturday, February 20, 2016 the lottery world lost a trusted friend and retail landscape and its increasingly symbiotic staunch advocate. Afer a brave three-year battle with cancer, Jean Jorgensen, relationship with online sales channels. WLA Executive Director, peacefully passed away in the presence of his family in his home city of Copenhagen. 48–52 MagnumCares Fostering a culture of “caring and Jean was a lottery veteran of 25 years, having made his entry into the lottery sharing” and a company-wide dedication world in 1991 when he began working for Dansk Tipstjeneste (now Danske BETTER to community engagement, Magnum Spil) as assistant to the CEO. He served in various capacities at Danske Spil, Corporation does its part to make working his way up to acting CEO before leaving in 2005. WWW.NOVOMATICLS.COM the world a better place for Malaysians. From 2005 until 2009 Jean worked as an independent adviser and lobbyist 54–55 Lottery scams in Brussels, Belgium, reporting on European gaming politics to the Nordic Email-based lottery scams continue to Lottery block. During this time Jean also served as seminar moderator for the plague the world lottery community. We WLA and for the European Lotteries (EL). He also aided the Danish govern- discuss how lottery scams operate and ment on the revision of their gambling legislation and was instrumental in what one can do to mitigate their effect. the establishment of the multi-jurisdictional game, EuroJackpot, which went live in 2012. 56–65 Corporate news News from members of the WLA When Jean assumed the position of WLA Executive Director in January 2009 Contributors Program and he set clear priorities for the WLA going forward. Having been educated as other WLA Associate Members. an economist, he sought to strengthen the association fnancially. Te com- fortable fnancial position the WLA enjoys today is due in large part to Jean’s 66–67 The learning curve economic policies and sound management. Jean also worked at developing News from the WLA training good relations with the fve regional associations, collaborating with them to and education program. avoid redundancies in member services and to establish a cooperative educational program. Championing the provision of comprehensive lottery data to the members, the WLA Quarterly Lottery Sales Indicator and the WLA Global Lottery Data Compendium count among his most important and val- ued legacies.

Jean was loved and respected throughout the global lottery community for his diplomacy, his humanity, and his sense of justice. We will all miss him greatly.

Remembering Jean

Jean was well liked throughout the industry for his professional knowledge, his diplomacy, and his sense of humor. He had a profoundly positive influence on the global lottery community and he left a lasting impression on all those who knew him. The countless letters that we received upon Jean’s passing is testament to that fact. With a few photos and a selection of quotes from WLA members who sent in their condolences, we wish to dedicate these two pages to the memory of Jean.

I had the opportunity to get to know Jean enjoyed the seminars I went to when he was for their rights. I truly believe that It was an and always appreciated his great competence the lead speaker. And I admired his courage honor to have met such a great person and I and commitment to the association. He will when he was faced with this terrible illness. am sure that we will all miss him. But above all it will be his kindness I will re- *** member that shone through in the way he Jean was a generous person who willingly treated everyone. shared his vast knowledge and insights from *** the gambling world. Charming, curious, Tuvimos la gran satisfacción de conocer, down to earth, serious but with a great sense compartir y trabajar con Jean y, sabemos de of humor is how we will remember him. Jean su intensa dedicación con la WLA. will be greatly missed by all of us. *** *** Dignity, humor, compassion, humility, cour- Dear Jean, what an earthquake in the lottery age, optimism, perseverance, intelligence. world! You were more than a colleague. You Tese are but a few of Jean’s attributes. truly be missed and will always be remem- were a friend with a big heart and a great bered by the world lottery community. *** Some people are professional but sacri- *** fce humanity to achieve that professional- Jean was very dedicated in his work, well ism. Jean combined both. I have lived and liked, and respected by all in the lottery worked around the world. I have met many fraternity ... We will remember him fond- people that I admire. No one – underscore ly, especially his enthusiasm for his role as – no one surpassed Jean in my admiration. Executive Director of the WLA. *** *** Jean was always a consummate professional Nous avon perdu un grand responsable qui who exhibited courage and strength and aura marqué son époque grâce à sa forte maintained a positive outlook even in the personnalité, à ses idées novatrices et à smile. I already miss you (and your whistle! most difcult of circumstances. son attachement profond aux activités de ;) but I will keep so many good memories l’Association. *** during the Sports Betting Seminars we have *** Our Gaming Industry lost Jean, a person shared together during these years. Jean was always full of ideas, was always able who was characterized by ethical values and *** to efciently solve problems and creatively Jean was frst and foremost a gentleman. I deal with challenges. He was always able to don’t think I ever remember him losing his create a positive working environment and cool or being anything but courteous in his deliver results for the beneft of the lottery dealings with everyone. He was not only in- sector. telligent but also had that much rarer quality *** – emotional intelligence. During many years Jean has been a real friend and a great mentor to the whole world *** lotteries. His activities and legacy will stay Jean was a great, great individual who al- with us forever. ways cared about those around him. Having *** worked with Jean on several occasions, we I was a newcomer to the business. Jean went principles, elements hard to fnd nowadays. all had the opportunity to get to know him as out of his way to make me feel welcome and We all lost a real friend, a caring colleague, a man, father, husband and friend. His sense included. I admired his intelligence and his a partner who was always there to struggle of humor and gracious demeanor made Jean wit – he was a very funny and good teacher. I to promote the lotteries’ values and stand a true bright light, and one that will shine on JEAN JORGENSEN JEAN JORGENSENJEAN JORGENSEN

forever in the hearts of so many. *** Jean was a valuable and highly respected member of the lottery industry but above all he was a true friend. He will be remembered for his inspiring leadership and brave character. All these years, we had shared the same vision joining our forces to drive our industry forward. Te lottery industry will be poorer from his loss. *** We fully appreciate Jean’s inspiring leadership and pursuit of excellence. As we refect upon the high standards he espoused. We are sure that the strength, standards and services he Jean maintained till the very end mark, he always mastered the art on being and continue your work in our daily opera- will inspire us and every person who has on top of any subject at all times and drive tions. You will be missed dearly by the entire crossed paths with him for years to come. projects forward. His sense of humor is un- community. *** matched. His genuine passion for lotteries *** We believe WLA’s reputation and success is and for numbers will always remain an in- Dear Jean, you have always been a big in- in large measure due to Jean’s dedication, spiration. spiration to me. I will carry your warm and hard work and professional expertise. *** sincere approach for always in my memory. Jean was in many ways, the face of the WLA. May you fnd the rest that you well deserved. *** I certainly found him to be a kind and gen- Je crois que le monde des loteries vient de *** erous man, always happy to help. perdre un grand homme dont le nom restera We had the chance to know Jean as a pas- inscrit dans l’histoire de la WLA et de la lo- *** sionate and professional lottery leader and terie danoise. I always appreciated Jean’s pragmatic, no- a personal friend for years. He was always *** nonsense approach and energy in promot- helpful, kind and interested in people and I have been working with Jean on WLA lot- ing the best interests of WLA and the lottery the world around him. tery topics during the last years and have got community. He will be sadly missed. *** to know his professional and human quali- *** Jean’s dedication and commitment to the ties. He had shown highest discipline and We will remember Jean as a dedicated and WLA and the lottery industry was appre- much appreciated ambassador of the widely ciated by all of us within the global lottery shared values of the world lotteries. community. *** *** Tere are so many wonderful memories of He was a tremendous example for all of us our collaboration with Jean over the last and we should continue with the same en- years. We will always remember his creativ- ergy and spirit Jean shown through his life. ity, sense of humor, positive attitude and ef- *** I will remember Jean as a true friend with so much energy, sympathy and so much knowledge about the international gaming market. admirable fortitude in the performance of his tasks even in times of exhausting medical *** treatment. But frst of all, I was impressed by C’était un immense Monsieur à qui je serai his incredibly positive attitude toward life, éternellement reconnaissant. which he never lost. *** *** Jean Jorgensen will be remembered for his We all miss Jean very much. He was a good visionary leadership and his essential con- friend and great colleague to us all – a tribution to the advancement of the lottery ciency and he was simply great to be around. unique person! sector. And most importantly, his kindness and *** *** friendliness will be always dearly missed. Whatever your problem was, Jean found a Dear Jean, thank you for bringing the vision Actually, it is quite rare for somebody to be solution. Whether when he was living in of this global lottery community to life and so deeply appreciated by everybody he has Brussels, or later working in Basel, travel- contributing so much of your experience to worked with and Jean was exactly the case. ing throughout the world and living in Den- its success. We will keep you in our hearts INTERVIEW WITH INTERVIEW WITH INTERVIEW WITH THE PRESIDENT PRESIDENT

Retail and interactive sectors working hand-in-hand

Following the continued growth of the online and mobile sectors over recent years, ‘interactive’ is by now a familiar term to all those working in the lottery industry. In an informal conversa- tion, WLA President Jean-Luc Moner-Banet discusses the ways in which traditional lottery retail operations are driving sales using interactive channels. He also touches on the newly established Global Lottery Monitoring System for sports betting and the upcoming World Lottery Summit in Singapore.

Tis issue of the WLA magazine includes a I remain convinced that physical distri- In what ways can Internet sales channels en- feature article on lottery retail networks. bution networks will, in the medium to hance retail sales channels? What role does the retailer play as a sales long term, remain very important for As mentioned above, Internet and re- channel for lotteries? lotteries – particularly through the in- tail channels work together to enhance Te retail environment is the stage upon troduction of new technologies and the each other. It is not one against the other. which a lottery’s brand identity can un- development of increasingly modern Amazon realized this when they opened fold and perform its magic. To the player, sales tools in outlets. their frst bricks-and-mortar store in it is for all intents and purposes the pub- Seattle, Washington, last November. Tey lic face of the lottery. It is the direct point Eforts are being made to merge retail and did this afer two decades of online oper- of contact between the player and the online channels through the use of so-called ation, and establishing themselves as the lottery. As such, the retailer is a key lot- ‘omni-channels’. What are the benefts of world’s premiere online retailer. Amazon tery stakeholder. Te retail sales channel such a sales approach? knows that people still yearn for the is probably also the most important sales Te omni-channel approach has a physical shopping experience, and their channel for many lotteries. For some lot- number of benefts. First of all, it of- many years as an online retailer has cre- teries, up to 90% of overall sales are deliv- fers the player convenience. It brings ated fertile ground for the launch of a ered through the retail network. lottery games to players wherever they physical store. In many ways, Amazon is But lottery is just as important for the re- are. Whether they are at home in front demonstrating that the brick and mortar tailer, as retail is for the lottery. Retailers of their PC, on the go with their mo- retailer of the future will be a data-driven understand that lottery digital business. sales contribute significantly to their growth. “To the player, the retailer is for all intents On another topic, the Global Te lure of winning a and purposes the public face of the lottery. Lottery Monitoring System huge jackpot drives peo- for sports betting (GLMS) be- As such, the retailer is a key lottery stake- ple into the stores as we came a reality last year when witnessed with the recent holder.” Jean-Luc Moner-Banet it went live on June 1, 2015. USD 1.5 billion Powerball How is this new association jackpot in America. developing, and what mea- bile device, or at the retailer, players al- sures has GLMS put in place thus far for pre- Without doubt, the Internet has had a pro- ways have access to their favorite lottery serving the integrity of sports? found efect on the way consumers shop, with games. Getting players to register online Te WLA reached a key milestone with the result that today, there is a lot of talk also has huge benefts for the lottery and the ofcial launch of the GLMS, which about Internet sales. Do you foresee a day retailer alike. Capturing valuable player went live on June 1, 2015. Developed in when the online sales channel will supplant data helps us better understand our play- conjunction with the European Lotteries the retail sales channel? If not, why? ers, their playing habits, and their likes (EL) and 27 lottery members, the GLMS It is a commonplace to say that the and dislikes. For the lottery it also ofers establishes a global, systematic surveil- importance of interactive channels – a means to implement player protection lance system to monitor sports betting Internet, mobile phones and tablets – controls and responsible gaming mea- with the purpose of detecting any un- will continue to grow for the lottery sures. And through the use of second usual or suspicious betting patterns. It and sports betting sectors, and that this chance games and online promotions, is a main asset for the lottery industry to growth will be driven across all gen- lotteries and retailers can work together demonstrate its commitment towards the erations, not just the young. However, to drive players into the stores. protection of clean sports competition. INTERVIEW WITH INTERVIEW WITH THE PRESIDENT INTERVIEW WITH THE PRESIDENT PRESIDENT

Te WLA and EL have worked togeth- fxing and preserve the integrity of sports. lined up, some of whom you can read er closely on this project since 2012, as Te launch of the GLMS is a testament about in this issue of the WLA magazine. mandated by delegates of the 2012 WLA to that fact. Our cooperation with the General Meeting. Today, the expanded EL in founding the GLMS – aided by the In 2006, the WLA held its fagship event in system provides 24/7 coverage of the Sportradar’s state-of-the-art technology Singapore. Once again, WLS 2016 will take various betting markets ofered by gov- – will help us unite our member lotteries place in this island city-state. How does it feel ernment-authorized lotteries as well as across fve continents in the fght against to be holding the WLA’s fagship event on the for-proft bookmakers in every corner of fraud in sports. Trough GLMS we look Asian continent again afer ten years? the globe. forward to continuing our partnership Asia is one of the most progressive re- with the IOC and FIFA, providing them gions in the world today. Economically, I understand that GLMS will be working with the information on irregular betting technologically, and socially, the conti- with the International Olympic Committee patterns in accordance with our respective nent is advancing rapidly, setting the pace to help ensure the integrity of the Olympic agreements. We wish the GLMS a contin- for the rest of the world. Singapore is the games in Rio this coming summer. Could ued success in protecting the integrity of threshold to Asia, and holding WLS 2016 you say something about this collaboration sports all over the globe. in Singapore will give participants the op- and what it means for portunity to feel the the lottery industry as vibrant energy that a whole? this enchanting conti- Forming a unit- nent has to ofer. ed front against corruption and Why does the WLA match-fixing in hold this important in- sports continues to dustry event on a dif- be a priority for the ferent continent every WLA. More than two years? Would it half of the world’s not be more practical state-licensed lot- to hold this event each teries ofer sports time in the same place? betting products to Te WLA is a glob- their customers, so al organization. As the lottery indus- such, we strive to try is clearly a key hold all our events – stakeholder in the seminars as well as fght to keep sports our biennial conven- fair and honest. tion – evenly distributed across the At the same time, globe. Although all GLMS is reinforc- our member lotteries ing its relations share the same mis- with international sion, the way the mis- sport and football sion is fulflled from governance bod- land to land varies. ies (notably the We all beneft from IOC, FIFA and the rich variation in UEFA) in order to cultures, the diverse work together to follow up on suspicious Looking forward, the World Lottery Summit approaches to gaming regulation, and patterns. In particular, during the Rio 2016 (WLS 2016) will be held from November the creative application of technological Olympic Games in the summer 2016, 6–9, 2016, in Singapore. How are prepara- innovations. Tis gives us new insights GLMS will collaborate with IOC to moni- tions for this event proceeding? and serves to keep the association grow- tor the competition. I just returned from a meeting in ing. In holding our fagship convention Singapore with Singapore Pools, our part- on a diferent continent every two years Where would you like to see the GLMS in the ners for WLS 2016. I can assure you that we hope to give all our members the op- next fve years? preparations are progressing nicely and portunity to share their experiences and One of the WLA’s objectives is to help the Singapore Pools has the situation well to learn from their international col- global lottery industry to speak with a in hand. Te WLA staf has also been leagues. Te World Lottery Summit is united voice and act in a coordinated fash- working at our end to ensure optimal or- always the highlight of the lottery indus- ion on lottery-related issues as they arise. ganization of our fagship event. Te busi- try and this year will be no exception. I Te world lottery community is gaining ness program is taking shape. We have a hope to see as many of you as possible in momentum in its eforts to combat match- number of renowned keynotes speakers Singapore for the WLS 2016. ASSOCIATION ASSOCIATION NEWSNEWS

New edition: WLA Global Lottery Data Compendium

The WLA Global Lottery Data Compendium (GLDC) is a digest of the lottery industry worldwide, as embodied in the WLA membership. Now in its second year, the GLDC provides the WLA membership and external stakeholders alike with timely, comprehensive, and accurate data on the state of the global lottery industry.

Based on data contributed by the WLA relating to sales revenue and money for good fer. Both lotteries and suppliers alike have membership, the GLDC is an almanac or causes, and vendor-oriented metrics such as recognized the importance of the GLDC compendium that disseminates aggregated, descriptions of key products and services both as a point of reference for benchmark- quantitative, and other statements about (for WLA Associate Members). In collect- ing performance against global lottery best state-authorized lotteries and suppliers to ing the data, every efort was taken to ensure practice, and as a repository of historical the lottery industry. Te WLA introduced its completeness and correctness, with many data that can be used, over time, to analyze the WLA Global Lottery Data Compendium corrections in particular being made to FY long-term global trends in the lottery indus- (GLDC) towards the end of 2014 to meet the 2013 data that was originally published in try. As a result, the entire WLA member- regulated global lottery community’s ongo- the inaugural edition of the GLDC. ship is enthusiastic about the next edition of ing need for factual, detailed, and up-to-the- the GLDC. minute data on the state of the global lottery Te headline fgures announced in Table 1 industry. Following on from the success of below summarize the main fndings of the Future developments the inaugural edition of the compendium, 2015 edition of the GLDC. Further infor- Currently, the WLA is planning the third the WLA presented the second edition of mation on both individual WLA Lottery edition of the compendium. For 2016, the the GLDC to the global lottery community Members and WLA Associate Members or annual data collection exercise should be- in December 2015. the state of the global industry as a whole gin in March for WLA Associate Members, may be found on consulting the GLDC di- and in April for WLA Lottery Members. Te Expanded second edition rectly. Electronic copies of the GLDC may GLDC for 2016 should appear towards the Considerably revised and expanded, the sec- be downloaded from the WLA website at end of this year. ond edition of the GLDC showcases the ac- www.world-lotteries.org; to order hard cop- tivities of approximately 90% of the WLA’s ies, please contact the WLA Basel business Looking forward, a key goal remains to regular membership of state-authorized lot- ofce at [email protected]. increase the participation rates of both teries and approximately 88% of the WLA’s WLA Lottery Members and WLA Associate associate membership of providers of goods Warm reception Members in the GLDC, until such time as and services to the lottery industry. With As with the frst edition, the second edition the WLA is in a position where it collects its near-blanket coverage of the entire WLA of the compendium has been applauded by and publishes data from 100% of the WLA membership, the GLDC comprises the most the WLA membership for the high quality membership on a regular basis. For future authoritative and accurate account of the state of its data, for its timeliness, and for its com- editions of the GLDC, the WLA is also look- of the global lottery industry available today. prehensive coverage. WLA Lottery Members ing to broaden the scope of the KPIs col- have appreciated the GLDC for highlighting lected to include metrics such as Internet For the second edition of the GLDC, con- the role played by lotteries globally as insti- and online sales, and to deepen the analysis tributing WLA members once again pro- tutions raising money in support of good of the collated data, for example through the vided key descriptive statistics for the causes, while WLA Associate members have use of time series analysis. years 2014 and 2013. Te Key Performance welcomed the opportunity to market them- Indicators (KPIs) collected remained un- selves to WLA member lottery organizations changed from the frst edition, focusing (for through advertising, via vendor-oriented Make your data count! WLA Lottery Members) on baseline metrics KPIs, of the services and products they of- If your lottery or company would like to participate in the GLDC, and your or- The lottery industry at a glance ganization is a WLA Lottery Member or Total sales 2014 (WLA Lottery Members) USD 273.4 billion WLA Associate Member, please forward Total sales 2014 (Global) USD 292.7 billion an e-mail to the WLA at its Basel busi- Total money for good causes 2014 (WLA Lottery Members) USD 77.8 billion ness office ([email protected]) Total direct employment 2014 (WLA Lottery Members/WLA Associate Members) 108,197 employees registering your interest. Table 1. Key ﬁndings of the WLA Global Lottery Data Compendium 2015. ASSOCIATION ASSOCIATION NEWS ASSOCIATION NEWSNEWS

Internet .lotto domain to be regulated

The discussion on the operation of the Internet generic Top-Level Domain (gTLD) .lotto has been concluded, allaying any fear of misuse by illegal gaming operators. Last year, the WLA, in accord with EL and NASPL, reached an agreement on .lotto with Afilias Ltd., ensuring its proper and regulated operation.

As previously reported in the WLA’s year- Te WLA, EL, and NASPL have reached an Tis proactive, cooperative efort by the lottery end retrospective, “Te year 2015 in review”, agreement with the registrar to help Aflias associations has helped to avert unrestricted new Internet gTLDs, similar to .com and ensure that the .lotto gTLD is operated in use of .lotto domain names, which could have .org but denoting brand names or generic a regulated manner. At the initiative of the had a negative impact on state-authorized lot- categories (like .sport), came into efect lottery associations, an ofcial request was tery organizations and their benefciaries, and in 2013. submitted to ICANN asking that .lotto be caused signifcant harm to the playing public. recognized under its Category 1 Safeguard In mid-2013, the Internet Corporation for Advice, which provides special safeguards Te issue is now closed and the outcome Assigned Names and Numbers (ICANN), for regulated markets to ensure that new for state-authorized lotteries can be consid- which oversees the Internet domain name gTLDs are operated in compliance with ered satisfactory. Te initial response to .lotto system, approved a bid by the Irish Internet applicable laws. In the case of the lottery has been positive and interest from lotteries registrar Aflias, Ltd., the second largest industry, these safeguards protect the .lot- around the world has been growing. More than Internet registry operator worldwide, to op- to gTLD from misuse by illegal gaming 140 registrants, many of them WLA members, erate a new gTLD called .lotto. operators. have been recorded for a .lotto domain name.

May Scheve Reardon named NASPL President

strategic plan to take the association into the She has been with the Missouri Lottery since next few years in a manner that best helps 2009, and annual sales during her tenure have lotteries navigate the technological and retail grown from USD 968 million to more than May Scheve challenges they face. USD 1.1 billion. Last year, the Lottery raised Reardon, USD 270 million for public education in the Executive “Once we decide on what the top priorities state. She oversees a staf of more than 150. Director of the for our industry are, we can work togeth- Missouri Lottery, er as a group to accomplish those goals,” Reardon brought an extensive background was named she said. Challenges to tackle include at- in the fnancial, nonproft and government NASPL President tracting big box retailers, providing more sectors to the Lottery, including a twelve- last October. cashless payment options, developing new year term as a state representative, serving national games and protecting states’ rights on several committees including budget, when it comes to developing new sales appropriations, and a joint committee on May Scheve Reardon didn’t waste any time channels. gaming and wagering. getting started afer she was named President of the North American Association of State In addition to her role as NASPL President, She has a bachelor’s degree in communi- and Provincial Lotteries last October. Te Reardon also serves on the NASPL Vendor cations from Saint Louis University and a Executive Director of the Missouri Lottery Relations, Government Relations and Busi- master’s degree in communications from is heading an industry efort to develop a ness / Product Development committees. Webster University. ASSOCIATION ASSOCIATION NEWSNEWS

Scientiﬁc Games takes top honors at ICE 2016

For the second year in a row, Diversifed gaming and lottery solutions to help lottery operators continue their Scientific Games has been provider Scientifc Games Corporation growth. We are proud to be a trusted sup- won top honors in the 2016 Gaming plier to such an entertaining, generous, named the world’s leading Intelligence Awards, which took place at and vibrant industry.” lottery supplier at an annual the ICE Totally Gaming conference and awards ceremony hosted by tradeshow in February. Tis is the second year in a row that Scientifc Games has been named ‘Lottery Supplier of Gaming Intelligence. Te company took home the 2016 ‘Lottery the Year’ in the annual Gaming Intelligence Supplier of the Year’ award at the world’s Awards. A prestigious panel of judges from largest business-to-business gaming show, the global gaming and lottery industry eval- which brings together leading innovators uates the nominations. from the global gaming industry. Jim Kennedy, chief executive of the group’s Commenting on the award, Gavin Isaacs, lottery division, accepted the award during president and CEO of Las Vegas-based a presentation at the company’s ICE booth Scientifc Games, said: “It is an honor to at ExCeL London. be recognized as the ‘Lottery Supplier of the Year’ by Gaming Intelligence and its “Our entire company is honored to win well-respected panel of judges. We be- ‘Lottery Supplier of the Year’ two years lieve this recognition is the result of our back-to-back in a very competitive cat- investment in market-leading innovation, egory,” Kennedy said. “We will continue to world-class customer service, and pow- work hard to earn the trust and business of erful consumer research and analytics lottery operators across the globe by creating and delivering the world’s best lottery experiences.”

Te Gaming Intelligence awards recognize online and land-based gaming and lottery suppliers and operators spanning 18 categories. Te awards recognize the best performers in each category purely on merit.

With operations on six continents, Scientifc Games provides lottery games, services, systems, and retail technology to more than 150 lotteries globally, including nearly every North American lottery.

Among its many products and solutions on display at ICE this year, Scientifc Games highlighted PlayCentral HD, which makes lottery games easy and convenient for both retailers and players.

Te award-winning lottery retail technolo-

Photo: Gaming Intelligence Magazine gy features an interactive self-service kiosk Jim Kennedy, center, Scientiﬁc Games Group Chief Executive of Lottery, accepts the with a 42-inch LCD touchscreen display, company’s 2016 ‘Lottery Supplier of the Year’ award at the ICE 2016 Totally Gaming immersive 3D graphical user interface, conference in London on Tuesday, February 3, 2016. The award was presented to ticket checking and validation, age verifca- Scientiﬁc Games by Gaming Intelligence Magazine editor-in-chief, Bobby Mamudi, left, tion, an integrated advertising display, and and editor, Steve Hoare, right, in both 2015 and 2016. a ‘shopping cart’ experience. ASSOCIATION ASSOCIATION NEWSNEWS ASSOCIATION ASSOCIATION BUSINESSBUSINESS

The World Lottery Summit 2016 is approaching

From November 6-9, 2016, lottery professionals from around the globe will converge in Singapore for the World Lottery Summit 2016 (WLS 2016). Organized in cooperation with Singapore Pools, the WLS 2016 promises to be the lottery event of the year. As excitement builds for the convention, we provide you with a brief preview of what awaits the industry in Singapore.

Singapore is the gateway to the burgeoning agenda will include a host of illustrious Asian continent. Tis vibrant global region, keynote speakers supplemented by nine with its rich and diverse culture, has em- parallel sessions that will provide insights braced innovation and a new spirit in the into industry-relevant topics such as social 21st century and is showing the world its de- responsibility, the latest in digital and mo- termination to succeed. WLS 2016’s theme bile technology, sports integrity, and omni- of ‘Winning in the New World’ is therefore channel marketing. Below we present a particularly apt. selection of some of the keynote speakers who will address WLS 2016 delegates, as One of the highlights of the WLA’s bien- well as an outline of the themes to be cov- nial convention is its comprehensive busi- ered in the parallel sessions of the business ness program. Te WLS 2016 conference program. ASSOCIATION ASSOCIATION BUSINESSBUSINESS

Keynote speakers recovery, with exports in 2014 exceeding During her PhD, Dr. Meyer developed a per- CHF 21 billion. formance model allowing organizations to identify the multidimensionality of perfor- Jean-Claude is President of the Watches mance and how it is infuenced by regulatory Division for the LVMH Group. LVMH Moët intensity. Dr. Meyer facilitates organizations Hennessy Louis Vuitton SE – better known in developing a more sophisticated and pro- Kerry Jane Brown as LVMH – is a European multinational lux- active approach to performance allowing a Vice President, ury goods conglomerate, headquartered in more meaningful and collaborative interac- Southeast Asia, Paris, France. He is also CEO of Tag Heuer, a tion between regulators and industry actors. at comScore, Inc. Swiss manufacturing company that designs, produces and markets watches and fash- Dr. Meyer lectures at the University of Kerry has over 15 years’ experience in me- ion accessories, as well as Chairman of the Lucerne in Switzerland and is currently proj- dia research and analytics from both the UK Board for Swiss luxury watchmaker, Hublot. ect manager conducting evaluations for the and Asia. In her current position at com- Swiss parliamentary overview committee. Score she is responsible for the commer- In terms of marketing, Jean-Claude’s con- cial business throughout Southeast Asia for stancy and consistency are just as remark- Audience and Advertising Analytics. able as his need to keep turning received Yu-Kai Chou ideas on their head, as illustrated by his strat- Pioneer, Author She started out as a graduate planner with- egy: ‘Go where potential customers can be and International in a global media agency, and went on to found’. Tis approach resulted in him becom- Keynote Speaker work within one of the UK’s largest Media ing the frst to integrate a luxury brand into on Gamiﬁcation Owners, specializing in research to sup- the world of football. In 2008, Hublot became port the commercialization of its portfolio the ‘Ofcial Timekeeper’ of the UEFA EURO Yu-kai Chou is an author and international of broadcast, online, and mobile oferings. Championship. In 2010, the brand also became keynote speaker on Gamifcation – a term the historic frst ‘Ofcial Watch’ and ‘Ofcial that refers to the application of typical ele- Determined to be at the heart of research Timekeeper’ for FIFA and the World Cup. ments of game playing to other areas of ac- and analytics, she then moved to the vendor tivity, particularly marketing, to encourage side, taking on roles at both Kantar Media Jean-Claude is also known for his exclusive engagement with a product or service. and Nielsen. As a Director at Kantar Media cheese, which he parcels out to family and she provided a broad spectrum of media friends as well as select restaurants. He is the original creator of the Gamifcation clients with custom research to help them framework, Octalysis, and the author of contextualize the digital space and prove the ‘Actionable Gamifcation: Beyond Points, efectiveness of their ofering. In her time at Lea Meyer, PhD Badges, and Leaderboards’. Yu-kai is the the research agency she was responsible for Evaluator / Project Founder of Te Octalysis Group and has been developing an MRS award-winning media Man ag er at the Par lia- a regular speaker/lecturer on Gamifcation planning tool. mentary Control of the worldwide, including at organizations like Administration (PCA) Stanford University, Accenture, TEDx, SxSW, Wanting to focus on Digital and to broad- Gamifed India, Huawei, the Innovation en her horizons, Kerry then took on the A specialist in multi-dimensional perfor- Center in Denmark, Kingdom of Bahrain, challenge of leading Nielsen Online in de- mance management, Dr. Meyer focuses on and many more. veloping its business for syndicated on- the infuence of regulation on an organiza- line audience measurement solutions in tion’s strategic and performance orienta- As one of the earliest pioneers in Gamif- Southeast Asia. Tis role expanded to help- tion. Her key area of professional interest is cation, Yu-Kai started his work in the industry ing Nielsen work towards delivering its cross facilitating organizations’ understanding of in 2003. In 2015 he was rated frst among the media measurement planning tool. how to better defne their own performance ‘Gamifcation Gurus Power 100’ by UK-Based dimensions and add value to their relation- Rise. Global, and was awarded ‘Number One ships with key stakeholders. Gamifcation Guru of 2014’ by the World Jean-Claude Biver Gamifcation Congress based in Spain. He President of the Dr. Meyer obtained her PhD in Public has worked with a range of companies, from Watches Division, Management from the University of Lausanne seed-stage startups to Fortune 500 companies LVMH Group; CEO, (IDHEAP) in 2013. At IDHEAP, she was a key such as eBay, Huawei, Fidelity, AIG, Verizon, TAG Heuer; Chairman researcher in a lottery-funded project focus- HP, Cisco, and Wells Fargo. His work has been of the Board, Hublot ing on the regulation of gambling. In 2013, featured in Forbes, Te Wall Street Journal, Dr. Meyer was a visiting scholar at Columbia Te World Journal, Business Insider, and PBS. A motivator and mover, Jean-Claude Biver University’s School of International and has been credited with revitalizing the Swiss Public Afairs. She holds a Master’s Degree Yu-kai is a Board Director for Morf Media, watch industry following the ‘Quartz Crisis’ in International Relations from the Graduate a gamifed training and learning platform. in the 1970s and 1980s. Since then, the Swiss Institute of International and Development He is also a Board Advisor for many or- watch industry has staged a remarkable Studies in Geneva. ganizations and companies throughout ASSOCIATION ASSOCIATION BUSINESSBUSINESS

North America, Europe, and Asia, including decade will be explored. As well, the session pliers are sometimes accused of not being BALANCE Edutainment (creators of Pacha’s will examine what the next fve years could innovative in fnding new lottery products Pajamas), Loki Studios (creators of Geomon bring – RG activities expanding to integrate and services that appeal to the younger and sold to a Yahoo), Te Catch (Gamifed global CSR. generations. What attracts the millennial Dating Site), Plug.DJ, and Lucky Diem. generation – Internet and mobile services? Social safeguards for gambling Personalization? Social media? Cool, inno- and implications for lotteries and vative, or intellectually challenging games? sports betting Instant gratifcation? And how should lot- Parallel sessions In order to curtail social problems such teries and suppliers adapt their innovation as gambling addiction, underage play, and process? For social media, what content is Below we ofer a brief synopsis on each of money laundering, social safeguards such relevant? Will people want to see the con- the nine parallel sessions at WLS 2016. as player registration, stake limits, and caps tent again, and will they want to share it on money spent are needed. With today’s with their friends? Have lotteries found Corporate Social Responsibility technology, customer relationship manage- social media more efective for communi- and Responsible Gaming now and ment systems enable the implementation of cating stories of winning, or stories of giv- in ﬁve years such safeguards, while benefting the lottery ing? Which types of social media are more State-licensed lotteries are mandated by law operator by providing valuable data on their useful? to contribute all (or most) of their prof- players. However, there are limits to the ef- its to society. Teir continued success de- fectiveness of such systems. Playing at the Are lotteries and sports betting ready pends on retaining the confdence of their retailer, for instance, is for the most part still for Big Data? stakeholders. Terefore, Corporate Social done anonymously. Tis session will explore Player cards, loyalty programs, and online Responsibility (CSR) is vital to the existence the pros and cons, and the implications of registration allow lotteries to collect and of our member lotteries. In this regard, CSR such social safeguards. store real-time data about their players’ be- and the measures taken by lotteries to en- havior. How can this data best be employed, courage responsible gaming are insepara- Targeting the millennial-generation in a responsible manner, to service and ben- bly linked. In 2006, the WLA adopted its customers, and using social media to eft customers and the lottery? How much Responsible Gaming Principles and devel- engage customers and the community of the retail customer base remains anony- oped a Responsible Gaming Framework Te revenues and customer base of some mous and how does this afect the signif- (WLA RGF) aimed at protecting lottery traditional lottery products and services cance of the data collected? How ready are players around the world. In this session, have been stagnating or even, in some cas- lotteries and sports betting operations for responsible gaming highlights of the past es, gradually declining. Lotteries and sup- Big Data? ASSOCIATION ASSOCIATION BUSINESS ASSOCIATION BUSINESSBUSINESS

The scenic and modern Singapore skyline, dominated by the majestic Marina Bay Sands Hotel, venue for the World Lottery Summit 2016.

Proactive and constructive regulatory age of the various betting markets ofered by standard is relevant and up-to-date, the WLA relationship management in a changing government-authorized lotteries around the Security and Risk Management Committee regulatory environment for lotteries globe. Te GLMS held its inaugural general (SRMC) has strengthened the standard in the and sports betting assembly on January 21, 2015 and went live area of Internet gaming, for the secure opera- Te Internet has driven the need for new gam- on June 1, 2015. Tis session will present the tion of sports betting, and for the secure op- bling regulations to ensure that new technolo- achievements of the GLMS since its inaugura- eration of VLTs. SRMC Chair, Tierry Pujol, gies are used ethically, that our players are tion and discuss its aspirations going forward. will present the new WLA-SCS:2016 in this protected, and that the laws are enforced. As a session. Selected security professionals from result, gambling regulations are rapidly evolv- Managing a retail network WLA SCS-certifed member lotteries will ing around the globe, particularly in Europe. of ‘Bricks and Clicks’ also discuss their best practices and in par- Te fght against illegal operators, maintaining Many lotteries around the world remain highly ticular, how the WLA-SCS has been useful the integrity of sports betting, and prevent- dependent on their retail networks. Although in addressing potential cyber-security risks. ing gambling addiction are among regulators online gambling has yet to be legalized in many main priorities. In this changing environment, jurisdictions, it is starting to take hold and is Lottery organization – global good how can lotteries manage relationships with becoming an important sales channel for lot- practices regulators proactively and constructively? teries. Tis has been viewed critically by retail- Traditionally, lotteries were organized by ers, who see the Internet as a potential threat to product groups with a strong business-to- The Global Lottery Monitoring System their businesses. How can lotteries leverage the business approach. Today, focus has shifed (GLMS) – appraisal, achievements power of the Internet and mobile gaming to from selling lotteries not only at retail but in- and aspirations in the global ﬁght for move their retail sales channels from tradition- creasingly directly to the player through the sports integrity al ‘bricks and mortar’ into a ‘bricks and clicks’ Internet and through mobile platforms. How Te launch of the GLMS is a major milestone business? Tis session will discuss the potential does this change impact the organizational for the WLA and EL, who have collaborated of the omni-channel and how it can be used to structure of lotteries and suppliers, their cul- on the project since 2012. It is a shining exam- augment lottery sales at the retail level. ture, and their human resource policies? ple of what the worldwide lottery community Introducing the new WLA Security can achieve when its members work together The above-listed parallel sessions are Control Standard (WLA-SCS) toward a common goal. Te GLMS is based subject to change before the start of the and addressing cyber-security risks on the European Lottery Monitoring System convention. For the most up-to-date infor- (ELMS) for sports betting, set up in 2009 by Te WLA Security Control Standard (WLA- mation on WLS 2016, please refer to the the European Lottery Association (EL). Today SCS) is the lottery sector’s only international- official convention website at wls2016.org. the expanded system provides 24/7 cover- ly recognized security standard. To ensure the INSIGHTINSIGHT Retail and the customer experience

The difference between success and failure in the gaming business is often the way that a game is distributed. Retail has traditionally made a key contribution to lottery sales and growth, but the advent of online sales has raised new questions about the future role of the bricks-and-mortar lottery outlet. We asked both operators and vendors for an update on the retail landscape and its changing relationship with customers who are more connected and better informed than ever before. Many thanks to all the Lottery Members who took part in our survey and to the WLA Platinum Contributors for providing their insights for this feature. Photo: MARK RALSTON/AFP/Getty Images People line up to buy California Powerball lottery tickets at the famous Bluebird Liquor store, considered to be a lucky retailer of tickets, in Hawthorne, California on January 13, 2016. Record sales drove up the largest jackpot in US history to a whopping USD 1.5 billion as people dreaming of riches ﬂocked across state lines and international borders to buy tickets. INSIGHTINSIGHT

From big-box outlets to street vendors, from concept stores to self-service termi- “Omni-channel is our long-term goal, so it is critical nals at the gas pump – the range of lottery that we continue to maintain our primary support for points of sale is enormous. Lotteries select their retailers carefully, based on commer- and significant investment in the retail network.” cial, fnancial and strategic factors. Tey Tatts Lotteries, Australia run background checks on candidates and permanently monitor sales patterns once they qualify as ofcial lottery retailers. Te are making their purchases online. Does more about creating the optimal consumer types of businesses vary by jurisdiction, that mean retailers are the next victims of experience than it is about selling products of course, but local convenience stores the digital revolution? Te latest research online. and neighborhood businesses account for suggests quite the opposite. In most ju- the lion’s share of overall retail licenses risdictions, experts predict that retailers In terms of customer experience, experts worldwide. will remain key stakeholders in the lot- believe that the ideal distribution model to- tery distribution model for many years to day and in the foreseeable future is "omni- Lottery is just as important to the retail- come. Tis is because they have a hugely channel". Omni-channel is more than a new er as retail is to the lottery, and retail- important social and human role to play buzzword. It’s a comprehensive marketing ers understand that lottery sales contribute as touchpoints in the interaction between and sales strategy that makes sure lottery signifcantly to their revenues and growth players and the lottery. Tey are part of the games are accessible to players wherever potential. But retail itself is undergoing fun- social fabric. As such they are in a unique they are, at home or on the go. damental changes, both in terms of the position to drive player engagement with range of products ofered and the way cus- the lottery’s values and emphasize the Tis integrated approach not only ofers tomers and retailers interact. For commerce connection between licensed gaming and players a seamless experience across diferent in general, and for lottery in particular, the support for worthy causes and the greater devices (computers, tablets, smartphones, business environment is far more complex good. etc.). More importantly, as it is designed and fuid than it was just a few years ago. to optimize convenience for customers, it The customer experience means that bricks-and-mortar retailers are Brand values Te concept of interactive gaming has been an integral part of the distribution equation Retail is the face of the lottery. Te retail around for years and has become something and will play a critical role in driving future environment is where a lottery’s brand of a cliché. Today the retail community and lottery growth in the hyper-connected world identity can unfold and perform its magic. lotteries alike recognize that interactive is of tomorrow. Even in the digital age, bricks-and-mortar points of sale remain the single largest point of contact between the player and the Player registration: the holy grail? product, and the top customer acquisition channel. Retailers still account for an esti- Until now, lotteries have tended to develop products based on broad player pro- mated 90% of overall lottery sales world- files and without much specific knowledge about who their players are. Today the wide. Few experts believe that local lottery industry is moving toward greater product customization, evolving products on a retailers are already on the list of endan- player-specific basis. gered species – but all agree that their role will change as lotteries embrace their digital Nowadays customers have almost limitless choice, so it is more important than ever transfor mation. to know who they are, what they like, what they do, and which groups and communities they belong to. For lottery products, productivity and proftability are traditionally measured by "Knowing the customer" takes on a whole new dimension in the age of Big Data. square centimeter of counterspace. Today Privacy considerations notwithstanding, many lotteries are looking at ways to get this metric is sorely inadequate. As new more players to register. There are huge potential benefits for lotteries and retailers consumer habits and demands emerge, lot- alike. Capturing valuable player data helps lotteries understand players, their playing teries are rethinking their delivery models habits, and their likes and dislikes. It also gives them added leverage to implement to optimize the customer experience. Tey player protection controls and enforce responsible gaming measures. are seeking – and fnding – new ways to lure the player into the retail outlet and to make So is registration the holy grail? During the "Bricks & Clicks" panel session at that experience more compelling and more PGRI Lottery Expo 2015 in Florida, Michael Lightman, Senior Vice President Lottery fulflling. Interactive, Scientific Games, reminded us that only about 35% of a lottery’s player base will register. And only 5%-20% of those registered are active monthly players. Follow the money Conventional wisdom has it that lottery In other words, unregistered players represent a huge goldmine of untapped should be sold where people have their potential! wallets out – and more and more people INSIGHTINSIGHT

The age of retail innovation games and online promotions, lotteries and Lotteries are already adapting to a rap- Product innovation has always been a key retailers can work together to attract players idly shifing retail landscape. As new success factor in the lottery industry. New into the stores. play styles emerge, they are also working retail and interactive technology has become hand-in-hand with their retail partners a constant. Today we are entering the era of New generations of consumers engage more to step up to a new set of lottery-specifc retailer innovation, not just with new POS easily with an interactive marketplace and challenges. Importantly, there is growing technology, but with innovative processes multiple channels, and they dispute the as- awareness that online and omni-chan- and delivery models, and a whole new breed sumptions of conventional marketing. In this nel are not retail killers. With the right of cross-channel play styles. new context, opportunities for retail innova- strategies in place and careful execu- tion abound. By the same token, training is tion, these new models have the potential More broadly, lotteries are fnding new ways becoming increasingly critical because retail to complement the customer experience to enhance the customer value proposition employees and feld staf need to be at least as and breathe new life into the lottery retail at the retail outlet. With second-chance well informed as the digital natives they serve. value chain.

Staying in touch

Lottery retailers don’t just sell a commodity. They are the ambassadors of the organization’s values and commitment to good causes, and they play a front-line role in keeping gaming fun and safe. For lotteries, taking care of retailers – and helping them take care of their customers – is a key differ- entiator in today’s marketplace. We asked them how they communicate and negotiate with their retail network in practical terms.

Veikkaus Oy, Finland We negotiate at the management and chain management levels. Cooperation and negotiations at the management level provides an operational framework. Our Executive Business Vice President, Sales Director, Partner Manager and Key Account Managers have clearly defned and important roles in the annual planning of negotiations with partners.

Communication is an important and comprehensive part of our work. Commu nication takes place at diferent levels, from managerial to operative. Our retailer sales department always has control over communication. Also, many experts from diferent departments support us in content production. At the management level, content such as results, analyses, and follow-ups plays a central role. At the operative level, the focus is more on informative and educational content.

We communicate with our retailers in many diferent ways, for example, through our external information platform (www.myynet.f), emails, a monthly retailer magazine, events, a Facebook group, and in more traditional Veikkaus Oy, Finland: Even lotteries with a well-established online presence rely on retail ways such as mailshots. channels to acquire new customers. INSIGHTINSIGHT

Lotto NZ, New Zealand Camelot, The National Lottery, General operational communication with Lotto NZ’s dedicated sales support team are United Kingdom our retailers uses diferent media: direct the main point of contact for retailers with- We communicate with retailers on a day-to- salesforce contact, the FDJ magazine, and a in their area and are responsible for main- day basis through regular email/postal con- variety of other online and ofine materials. taining relationships and providing relevant tact, as well as via text messages, phone calls information and support to retailers on a and face-to-face meetings. Ohio Lottery, United States daily basis. Each retailer is assigned a lottery sales rep- Te smaller, independent retailers are resentative who visits the store on a regu- As part of their weekly activities, each mem- looked afer by a team of over 80 feld sales lar basis. A business designated as a chain ber of our sales support team sends a news- executives who are based throughout the account (typically a business with fve or letter to their retailers each week with key UK. Tey are responsible for maintaining more sites under the same owners), have information they need to know, along with relationships with these retailers. We also a chain account representative assigned any news specifc to their region. Lotto NZ have a National Account team which works as well. Tese two positions provide the also publishes a monthly retail network closely with the larger chain stores, such as front line of communication with retailers. magazine, Newsfash, which is sent to all supermarkets and high-street outlets, and Retailers are organized into regions, with retailers on the last Friday of each month. explores new business opportunities. regional sales ofce providing additional Retailers are also sent regular instant mes- support. Customer service representatives sages direct to their sales terminal. La Française des Jeux, France contact retailers every two weeks to place Prospecting and dealing with small in- instant ticket inventory orders. In addition, In addition, Lotto NZ holds national retail- dependent retailers is handled by our a retailer publication, called Ticket Seller, is er roadshows for major game changes and feld organization. Negotiation with nation- sent out monthly, with other retailer publi- events, which enable us to share detailed in- al retail chains is organized at head ofce cations sent out seasonally. Other commu- formation around key events with all stores level through a new Key Accounts depart- nication is sent out or provided via terminal in our retail network in a more engaging way. ment. message and website.

There are things you want to be told about immediately.

Winning the lottery is one of them.

The world’s ﬁrst lottery app for the Apple watch.

www.jumbointeractive.com [email protected] INSIGHTINSIGHT

Georgia Lottery Corporation, Lotería Nacional para la Corner section of our website. Te most ef- United States Asistencia Pública, Mexico fective way of communicating, however, is Sales representatives are assigned retailers Te lottery communicates with retailers through the face-to-face meetings that take within a territory and visit them on regular through its area sales managers and staf place during regular visits made to the re- basis. At these visits they communicate ini- from the specifc departments in charge of tailers by members of our sales team. tiatives, game changes, sell-in new games, coordinating sales, fxed retail outlets, out- place POS, and negotiate optimum product door kiosks and street vendors. North Carolina Education placement at the point of purchase or within Lottery, United States the store. Maryland Lottery, United States Te retailers are visited every three weeks We communicate with our retailers in a vari- by lottery sales representatives and are con- Florida Lottery, United States ety of ways, including email and the Retailer tacted weekly by retail sales specialists for Sales representatives call on retailers weekly instant ticket orders. Tey receive quarterly or bi-weekly depending on need. A typi- updates detailing sales, marketing, and op- cal sales call includes a condensed business erational information; and communications review, showing retailers the status of their are sent via terminal messages as needed. business along with suggestions on how they can increase sales. Retailers receive a promo- Tatts Lotteries, Australia tional sales presentation showing upcoming Tatts Lotteries takes a proactive approach game launches/retailer incentives. Te sales when communicating with our retailers. To rep also uses the visit to negotiate additional do this we engage with them using a vari- space and location to improve awareness, ety of electronic and face-to-face channels including point-of-sale pieces, additional that include a retailer intranet site, email, product facings if sales warrant, and im- terminal messages, a dedicated contact cen- proved location based on trafc fow. Te ter phone number, newsletters, and presen- visits are also an opportunity to handle any tations. problems the store might have, including removing old, slow-moving inventory and One of the key communication touch points making sure the store has enough supplies. is the retail territory manager. Each retail territory manager focuses on providing sales Corporate account representatives commu- support and business coaching to meet the nicate with their contacts at headquarters unique needs of each of our retailers in the on a regular basis in addition to conducting network. In designing this approach, our face-to-face visits, also to share information Area sales representatives from the Georgia goal was to leverage the scale of our lottery and work to improve overall in-store brand Lottery Corporation visit retailers on a reg- operations whilst recognizing local market awareness and sales. ular basis. conditions and regulatory requirements.

Loto-Québec changes its lottery ticket distribution model

For more than 45 years, Loto-Québec’s ticket ministrative tasks in order to focus on prod- will then be prepared by warehouse staff. An distribution model was based on weekly uct marketing and network development. external transporter will deliver tickets (along visits by its wholesalers to all lottery retailers. with supplies and POS materials) to retailers The wholesalers used these visits not only to The heart of the new model is ticket at lower cost, and, because they are acti- deliver and take returns of instant tickets but activation at the point of sale. “Beyond vated directly at the point of sale, less strin- also to explain the products to the retailers the projected annual savings of almost gent security measures will be needed during and answer questions. To do this, the retail- CAD 10 million, the changes to the transportation. The new field sales force ers of the province of Québec were divided model will considerably facilitate retail- made up of sales and marketing advisors will into 112 districts served by as many whole- ers’ tasks,” explained François Tremblay, maintain Loto-Québec’s privileged business salers. The task was quite impressive as Loto- Vice President of Sales and Marketing. relationship with its 8,600 retailers: From Québec launched some 80 products a year. Inventory costs and ticket shortages will now on, they will focus on marketing prod- be significantly lower, while payment and ucts and developing the network’s potential However, in an endeavor to increase ef- collection processes will be more to their while ensuring responsible commercialization. ficiency and improve its business process, advantage. Finally, retailers will benefit and after a yearlong review, Loto-Québec is from the services of an expert to provide Starting next April, Loto-Québec is con- launching a revamped distribution system advice on how to increase sales. fident that, with the cooperation of all in April. The new distribution process will stakeholders, its new distribution model better serve retailers and consumers alike In the new organization, our telephone sales will meet with success and thus contrib- by relieving Loto-Québec’s sales force of ad- personnel will take retailers’ orders, which ute to reaching its business objectives. INSIGHTINSIGHT

ment of training documents and videos and “Florida’s emphasis at retail includes training the other self-help tools. Te website provides a sales team to provide professional sales calls, share platform from which the Lottery can communicate about promotions, game information, best practice and listen to retailers to understand game expiration notifcations, etc. Te reports their needs.” Florida Lottery, United States and tools are customizable to meet the unique needs of independent retail stores and national chain retailers. For urgent communications, New Jersey Lottery, to match their profle. Once in alignment, retailers are updated and contacted through United States the sales team and retailer work together to terminal messaging. Tis medium can be used Northstar New Jersey Lottery sales person- achieve top and bottom line growth solutions. to relay a network-wide message or to provide nel have daily interactions with retailers information to individual retailers. to discuss business building opportunities. In addition to face-to-face communications, Te New Jersey sales staf is trained on the the lottery prints a monthly retailer exclusive Pennsylvania Lottery, ISpeak proprietary selling platform. Tis has newsletter that highlights new games, spe- United States enabled consistency at every level of the or- cial promotions, and consistent reinforce- We communicate in several ways: through ganization to help communicate and negoti- ment of responsible play messaging, among terminal messages sent daily, through our ate with our retailers. other communications messages. vendor’s call center, and through direct communication via our area ofces, district lot- Te basis of our negotiations is to understand Retailers also have a customized website that tery representatives, and corporate account the unique needs of the retailer and to cus- allows them to access invoices, instant ticket managers. We do not have a formal negotia- tomize the product inventory refresh cycle inventory, and sales reports. Tere is a comple- tion process for retailers.

What’s in it for the retailers?

Some retail outlets earn limited revenue from lottery sales alone, but they generally agree that lottery products drive strong traffic into their stores. It turns out that commissions, at least for tradi tion al products, are relatively uniform all over the world – but some jurisdictions also run incentive programs that encourage retailers to meet their milestones, exceed their targets, and earn extra cash.

Maryland Lottery, United States Retailer Incentive Prize Table Commissions are set by law and are the same Game Eligible Prize Tier Retailer Incentive Award Comments for all product categories. Retailers receive Tier 1 (Jackpot) USD 50,000 Shared pari-mutuel between 5.5% commission on all lottery sales, and 5 of 5 + Powerball NCEL winning tickets 3% commission on the value of all prizes Tier 2 USD 10,000 they cash. 5 of 5 + Power play Tier 2 USD 1,000 5 of 5 Incentives Tier 1 (Jackpot) USD 50,000 Shared pari-mutuel between Retailers may earn bonuses for selling 5 of 5 + Mega ball NCEL winning tickets top prizes on select instant tickets, draw Tier 2 USD 10,000 games and jackpot games. Te amounts 5 of 5 + Megaplier of the bonuses vary by game and by prize Tier 2 USD 1,000 5 of 5 value. Occasionally, the Lottery conducts Tier 1 USD 5,000 Max. liability per draw: USD bonus periods for activations of specifc 12 of 12 or 0 of 12 30,000 (after which instant games or to promote specifc draw shared pari-mutually) game sales. Tier 1 (Jackpot) USD 1,000 per jackpot roll Shared pari-mutuel 5 of 5 Maximum of USD 10,000 between winning tickets

North Carolina Education USD 1,000,000 USD 10,000 Only includes instant games Lottery, United States + Top Prizes launched after 1/1/12

North Carolina law sets retailer commis- Source: answers from NCEL sions at 7% of sales, regardless of product Lottery retailers in North Carolina are eligible for cash incentives when they sell winning category. tickets. INSIGHTINSIGHT

Incentives Retailers earn extra income when they “Retailers can earn an additional 0.2% of extra com- sell a ticket that wins a major prize. Tese mis sion linked to seven ‘responsible-gaming’ criteria, incentive awards range from USD 1,000 to 10,000 on NCEL products, but sell- which are checked yearly.” La Française des Jeux, France ing a ticket that wins the jackpot in the Powerball or Mega Millions multi-jurisdictional games is worth USD 50,000 to Promotions are also ofered in-store to drive provide bespoke posters and point of sale the retailer. demand creation with players. We focus on materials to advertise special draws, new both player and retailer promotions to help scratchcard ranges and messaging about New Jersey Lottery, with awareness of the New Jersey Lottery by UK good causes that have benefted from United States targeting segments that allow for expand- National Lottery funding. New Jersey sets retailer commissions at able growth. 5% plus 1.25% for payout of prizes up to We also ofer a number of retailer-specifc USD 600. Baseline commissions are not dif- To attract new players, coupons, digital tar- promotions and incentives over the course ferentiated by product but there is a system geting, displays, co-op promotions, and oth- of a year. For example, to celebrate recent of bonus commissions by product type. er targeting tactics are utilized to attract changes to our Lotto game, we held a retail- players to games, increase trial and aware- er-exclusive "Win Big Together" campaign, Incentives ness, and engage light and lapsed players. which saw more than GBP 125,000 in prizes Te New Jersey Lottery uses retailer in- paid out to retailers. centives to achieve diferent fundamental Camelot, The National Lottery, goals – reinforcing business best practices, United Kingdom La Française des Jeux, France encouraging retailer/customer behavior, UK National Lottery retailers earn 5% com- FDJ sets retailer commission at 5% on sales and promoting various product mixes. mission for each draw-based game sold and of all products. Retailers can earn an addi- 6% on each scratchcard sold. Tey also earn tional 0.2% of extra commission linked to As an example, retailers were ofered incen- 1% on certain prizes paid out in-store. On seven “responsible-gaming” criteria, which tives to sell a bundled set of draw-based average, established independent retailers are checked yearly. games to their customers during a specifc earned over GBP 6,500 in commission in incentive period. Rewards were based on 2014/15. To date, National Lottery retailers Te main incentive is a yearly contest ofer- the individual retailer’s selling history and have earned over GBP 5.5 billion in total ing a week-long vacation package for two the achievements made during that promo- sales commission. people. Tese incentives are designed to tional period. boost the launch or relaunch of a product Te retailer commission amounts for the UK and generally last for a month. Two-thirds of Te “Keep it Full” promotion was used to National Lottery are agreed with our regula- our retailers generally take part and a total of achieve a behavior modifcation goal. In or- tor, the Gambling Commission, as part of 360 packages are ofered yearly. der to encourage store managers to keep their our license to operate Te National Lottery. ITVM machines full, spot store checks were Georgia Lottery Corporation, done by sales representatives. Stores were re- In addition to all of the equipment we pro- United States warded if their machines were kept full as per vide to retailers – such as the lottery termi- Retailer commission is set by law at 6% of the program parameters. Additional promo- nal, scratchcard dispenser, and digital media sales, regardless of product type. We are re- tions include, “Ask for the Sale” and “Activate screen that promotes the most up-to-date stricted by law to not incentivize retailers and Display” for new instant games. products and jackpots – we also regularly more than their 6% sales commission.

Ohio Lottery, United States Te Ohio Lottery sets retailer commissions, with diferent levels for diferent game types. For traditional games, the Lottery pays 5.5% commission on sales, a cashing commission of 1%, and an opportunity to earn a 0.05% cashing bonus for a cash to sales ratio of 49.5% or more.

Te Ohio Lottery is also responsible for licensing and monitoring the state’s seven racinos, a role it has played since 2012. Racinos operating video lotteries receive 66.5% of net win (minus 0.05% for problem gambling New Jersey runs retailer incentives to reinforce business best practices and promote various services), while the Ohio Lottery receives product mixes. 33.5% of net win.

INSIGHTINSIGHT

For EZPLAY® Tap games, retailers in Ohio Incentives mum of USD 100,000. If the jackpot-winning receive 40% of net revenue afer prizes and Engaging and motivating retailers are the ticket includes a bonus number, the retailer vendor payments. Tap games are the exclu- key concepts in successful POS practices. will earn an additional bonus. In the event of sive domain of veteran and fraternal organi- Encouraging cooperation, meetings at dif- multiple winners, retailers share the bonus in- zations and clubs. ferent levels from managerial to sales staf, centive. and regular POS visits provide the basis for Lotto NZ, New Zealand genuine and true partnerships between the Smaller bonuses are also paid to retailers who Lotto NZ sets retailer commission at 7% of Lottery and the retail network. sell winning tickets with lower prizes. For ex- sales, regardless of product category. Lotto ample, retailers receive USD 1,000 for sell- NZ also charges a service charge, which is Active sales campaigns implemented at ing a USD 1 million winning POWERBALL calculated at 1% of weekly sales, capped at chain and sales staf levels have been good ticket (5-of-5 winning numbers) and NZD 95 per week. motivators. Chains and staf are rewarded USD 5,000 for selling a USD 2-million-win- with whatever suits them best (according to ning POWERBALL with Power Play® ticket Incentives our budget). In our experience, money and (5-of-5 winning numbers). In addition to commissions, Lotto NZ also diferent events have been the most popular runs an established retailer program called motivators among our business partners. Retailers who sell winning Scratch-Of tick- WinWin, which recognizes and rewards Free training (adapted to customer needs) ets of USD 1 million or more will receive high-performing retailers with additional and events also work as incentives, and a a bonus commission of USD 2,000 per support, rewards, and team experiences. bonus points program for sales staf is cur- USD 1 million in prize money claimed. rently under development and it is due to Tatts Lotteries, Australia launch in May 2016. Various other retailer incentives run in or- Tatts Lotteries operates in seven states and der to promote timely activation and sales territories throughout Australia under a va- Florida Lottery, United States of new games riety of Government license models, each Te Florida Lottery pays retailers 5% com- with unique regulatory and legislative frame- mission on all Florida Lottery ticket sales Pennsylvania Lottery, works. Retailer commissions are, in the (terminal and scratch-ofs). In addition, re- United States majority of instances, the same across the tailers receive 1% commission for cashing Te Pennsylvania Lottery sets retailer com- product range, with some markets having Florida Lottery winning tickets at their retail mission at 5% of game sales for all products. minor diferences across the product range. locations. Tese amounts are set by state ad- Also, retailers may earn a total of 10% com- ministrative rules on retailer compensation. mission on the sale of all holiday-themed in- Incentives stant games (generally between late October Our business has been restructured around a Incentives and late December). multi-jurisdictional operating model, which Lottery retailers have an opportunity to earn leverages the combined scale of our lottery extra cash with a number of retailer incentives. Incentives operations whilst recognizing local market In particular, they receive bonus commissions Te Lottery ofers periodic promotions de- conditions and regulatory requirements. To for selling jackpot- or top-prize-winning tick- signed to encourage retailers to activate and generate sales and leverage our model we ets. Tese start at USD 10,000 and increase by settle games in a timely manner as well as to periodically ofer retailer incentives to drive USD 5,000 with each rollover up to a maxi- fll all vending units and points of display. sales of particular products at key times during the calendar year. Tese are most com- monly aligned with key gifing opportunities such as Christmas, Mother’s Day, Father’s Day, and Chinese New Year.

Lotería Nacional para la Asistencia Pública, Mexico Retailer commissions are the same for all categories of lottery products. Te level of the commission is set by law.

Incentives Incentives are ofered for productivity and for prompt, timely payment of lottery receipts.

Veikkaus Oy, Finland Retailer commission is diferentiated by products and is generally in the 6-8% range. Retailers receive 6% commission on scratch cards and 8% on lotto games. Roughly two-thirds of the Pennsylvania Lottery's 9,000 outlets are independent retailers. INSIGHTINSIGHT

The critical role of retailers in responsible gaming

The responsible gaming measures in place at the retail level are central to a lottery’s ability to protect the public from the pitfalls of pathological gambling or underage play. But what does this mean in practice – and how is it possible to enforce responsible gaming policies across thousands of independent retail outlets?

Hong Kong Jockey Club Te Hong Kong Jockey Club endeavors to promote a responsible gaming policy and has established its own responsible gaming guidelines at the retail level. Promotional materials including responsible gaming information are found at prominent locations at shop fronts, in-shop and at betting terminals. On top of printed materials, guard services are deployed to control underage access so that persons under 18 years of age are strictly prohibited from entering.

Technology-wise, a shortcut to a self-assessment test is installed in all tablets to avoid addictive gambling. Moreover, customers can voluntarily suspend or close their betting accounts and reject any new applications to avoid gambling problems. Retailers in the UK may have their terminals removed if they sell to underage players. Pennsylvania Lottery, Camelot checks compliance using mystery shoppers who are over 16 but look younger. United States We start at the very beginning to make responsible gaming message that includes the Retailers who adhere to seven specifc responsible play an area of emphasis during 1-800-GAMBLER toll-free helpline. sponsible gaming criteria earn an extra sales initial retailer training. Te Lottery also commission of 0.2%. All or part of that produces responsible play brochures, post- A comprehensive retailer education pro- amount can be retained at the lottery’s dis- ers and resource cards for retailers to give gram on responsible gaming is a key ele- cretion if any problems are identifed. to customers or display with game infor- ment of Level 3 certifcation to the WLA mation. We include lots of responsible play Responsible Gaming Framework, which we Georgia Lottery Corporation, information in our quarterly retailer news- expect to achieve in 2018. United States letter and also promote the availability of We provide play responsibly messaging on our problem gambling help line, in other La Française des Jeux, France all our POS, vending equipment, tickets and retailer communications, and on tickets and We have a full program including initial printed communication to retailers. We pro- terminal messages. training on responsible gaming, regular vide a gambling anonymous hotline phone communication on diferent media targeted number on printed materials posted at re- Maryland Lottery, United States at retailers, and inspections of retailers by tail. We also provide a segment on responsi- Having achieved Level 2 certifcation from “FDJ inspectors” who are independent of ble gaming when training new retailers and the World Lottery Association in December our sales force. coaching current retail staf. 2015, we are now in the process of further developing responsible gaming programs across a variety of constituencies, including “A comprehensive retailer education program on retailers. Active eforts include responsible respon si ble gaming is a key element of Level 3 cer ti fi- gaming brochures in “Take One” boxes on the counter; digital messages on in-store cation to the WLA Responsible Gaming Frame work.” monitors; and the updating of point-of-sale Maryland Lottery, United States materials, play slips, and tickets with a re- INSIGHTINSIGHT

on three separate occasions to mystery shop- Game transactions are monitored to prohib- pers may have their terminal removed. it money laundering. Retailers need to identify each customer if their total purchases Ohio Lottery, United States are EUR 3,000 or more. Likewise, retailers Te Ohio Lottery has a small staf dedi- need to identify the customer for all payouts cated to responsible gambling advocacy. of over EUR 1,000. Tese actions are subject All Ohio Lottery retailers are provided with to an automated and mandatory control by information on the State of Ohio’s problem our game system. gambling helpline and are encouraged to display this information. VLT retailers are Although customer identifcation in Finland required by law to provide 0.05% of their is optional, we encourage our customers to commission to a problem gambling services register and we follow how many of our cus- fund. Te Ohio Lottery has also organized tomers choose to do so. Te average rate of training sessions on problem gambling for registered customers at the points of sale is VLT retailers. currently 34.5%.

Florida Lottery, United States We ensure the implementation of the re- Te Florida Lottery includes “Play Respon- sponsible gaming policy by training. All sibly” messaging on its tickets. Its website new retailers have to participate in basic also warns visitors that gambling of any learning lessons (e-learning or class teach- kind can be a problem for certain people, ing). Responsibility plays an important role Information about responsible gaming and provides a toll-free referral service for in both digital and traditional POS market- is always available and accessible at the players with gambling problems and anyone ing materials. point of purchase. else with a concern related to somebody’s gaming habits. New Jersey Lottery, Camelot, The National Lottery, United States United Kingdom Veikkaus Oy, Finland Retailers are trained to recognize the signs We make a wide range of responsible play Supervision of age limit (18+), banning of compulsive gambling and are provided information available to all of our players on credit as a payment method, and money with tools to inform their customers that the National Lottery website, by email and laundering supervision are among the mea- assistance is available. Each retail outlet in retail outlets. So, no matter which adver- sures our partners take every day. Tey also has responsible gaming and "no lottery for tising/marketing communication a player collect data and measure the age limit super- minors" brochures that are placed with the has seen, this information is always available vision digitally. Cash registers make it im- play slips for easy player and retailer access. and accessible at the point of purchase, be it possible to sell our products on credit. Our All retail POS materials include the respon- online or in-store. partners also do mystery shopping to con- sible gaming tagline and the toll-free sup- trol the reliability of these actions and sales port line phone number. In addition, each Working closely with GamCare (the UK’s staf awareness about the age limit control terminal has a button that when pressed national center for information, advice and and other actions. prints out the support line phone number practical help regarding the social impact of gambling) we have put in place a wide range of carefully developed practical tools to protect National Lottery players and guard against excessive or underage play, while ensuring that our customers can enjoy playing our full range of games responsibly, both online and in-store. Tese include account limits, play limits, play and expenditure re- cords, self-exclusion opportunities, ways for players to moderate play and limit session lengths. Game design itself plays an important role. In addition, measures are in place to prevent underage play. Retailer training is provided, and payers have access to free, independent advice from GamCare.

In addition, our innovative Operation Child retail program involves mystery shopping visits carried out by young people who are All Ohio Lottery retailers are provided with information on the State of Ohio’s problem over 16 but look younger. Retailers who sell gambling helpline. INSIGHTINSIGHT

and responsible play message that can be Responsible gaming issues are included in cessively. Regular reminders of responsible discreetly handed to a customer. retailer training programs. In-store remind- practice are provided to retailers through ers are posted to remind sales staf to check our regular communication channels. Problem gambling support services include for proof of age, and statewide sales meet- a 24/7 toll-free hotline, player awareness ings also cover responsible gaming. We also have a "staf purchase" button on all campaigns and a problem gambling self- Lotto terminals for all purchases by Lotto evaluation test that is available to players. Lotto NZ, New Zealand operators whether in their own store or an- Information on problem gambling is avail- For our players, our retailers are the face of other store. Tis enables us to monitor re- able on the New Jersey Lottery website. Te Lotto NZ and they provide a crucial channel tailer spending on our products to support Lottery is also engaged in cooperative eforts for preventing underage play and passing on proactive responsible gaming initiatives. with the Council on Compulsive Gambling information about responsible gaming and of New Jersey. problem gambling services to our customers. We evaluate retailer compliance with our responsible gaming policies through regular To prevent underage play, “Must be 18 or All retailers are required to attend training mystery shopping operations. older to buy a lottery ticket” notices are that provides an overview of our games and included on all tickets, play slips, and mar- businesses, including the prevention of un- North Carolina Education keting and advertising materials. Age re- derage play and identifying and providing Lottery, United States striction notices feature on all self-service support for problem gambling. Lotto NZ’s Te NCEL runs a responsible gaming aware- vending machines, and store personnel can Retailer Operations Manual forms part of ness program for both retailers and staf. shut down the vending machines remotely our agreement with each of our retailers and NCEL retailers are trained on responsible gam- when warranted. Wherever possible, vend- it outlines the rights and obligations of each ing initiatives during new retailer training and/ ing machines are installed in the direct line retailer, including the importance of encour- or during the three-year renewal process. Tis of sight of the retailer or check-out clerk. aging responsible play and not playing ex- training includes a responsible gaming video,

YOURYOUR INSTANTINSTANT TICKETTICKET PORTFOLIO!PORTFOLIO!

PAC-MAN™&©BANDAI NAMCO Entertainment Inc. This promotion is not administered or sponsored by BANDAI NAMCO Entertainment Inc. www.pollardbanknote.com INSIGHTINSIGHT

which is tracked with a database to ensure Code of Conduct. To ensure compliance Lotería Nacional para la compliance. NCEL sales representatives are with this program, retailers are formally Asistencia Pública, Mexico also trained on problem gaming awareness. checked annually and informally checked Lotería Nacional para la Asistencia Pública each time the retail territory manager visits promotes gambling as a social activity. Lottery terminals now also include a “Re- the store. In a number of our jurisdictions Games should be considered a form of spon si ble Gaming” button to provide players an external provider is used to audit sites entertainment and played in moderation. with information on the gambling hotline. and report accordingly. Tatts Lotteries is Promoting responsible gaming is an integral committed to ensuring that its lotteries con- part of the Lottery’s duty to meet its mandate Tatts Lotteries, Australia tinue to be delivered, marketed, and sold in from the government to raise funds that help At the core of the Tatts Lotteries responsible a socially responsible manner now and into to ensure equality for Mexicans unable to play program is the Responsible Gambling the future. meet their most urgent needs.

Keeping track of winning tickets and transactions

It can happen, from time to time, that dishonest retailers or members of their staff will get around security measures and find ways to avoid paying out winnings when a prize is claimed. To make that as difficult as possible and minimize risk, lotteries have a whole arsenal of measures at their disposal to prevent retailer fraud and investigate suspicious patterns and transactions.

La Française des Jeux, France Ohio Lottery, United States prizes, investigates complaints about prize By April 2016, all retailers will be equipped Instant tickets are barcoded so that the cashing, and spot checks retailers for prop- with a terminal to validate all games. Tere tracking of the instant product is secure er behavior through the agency’s Retailer is a rule in place whereby every non-win- and monitored at each of the following Compliance Inspection program. ning ticket must be given back to the cus- stages: Shipped, Issued, Active, De-Active, tomer. In addition, larger points of sale Returned, Partial Returned, and Sold. VLT retailers are monitored and audited by are equipped with self-service machines dedicated Ohio Lottery staf. so that players can check their receipts Te Ohio Lottery has a watchdog program themselves to see whether they have won that monitors spikes in sales and cashing. Georgia Lottery Corporation, a prize. Te Lottery monitors for retailers who claim United States Our investigations department provides weekly reports to the districts and fraud team on high sales spikes and validation in- quiries by retailers. Te district follows up with retailers to understand if the sales or inquiry spikes are legitimate. Investigators conduct regular compliance checks at retailers from player complaints, district/sales representative requests, suspicious sales/validation activity, possible contract violations, and as directed by the Fraud Committee. Te Fraud Committee meets weekly and reviews fraudulent activity at retailer locations and recommends next steps to mitigate risks, as well as suspend and/or terminate locations.

Camelot, The National Lottery, United Kingdom Florida Lottery retailers who sell winning tickets of USD 1 million receive a bonus commis- We expect each and every one of our retail- sion of USD 2,000. ers to act as an advocate for, and uphold the INSIGHTINSIGHT

processed for payment and an attempt has sales and prize-paying process as an addi- been made to steal a player’s winnings, store tional way to ensure that sales made afer personnel have been arrested and the retail- the cut-of time are not eligible to take part ers’ contracts have been suspended and/or in the draw. terminated. North Carolina Education Te Division of Security also investigates Lottery, United States every complaint received from players in an Te Security department conducts random efort to ensure the integrity and fairness of inspections of retailer sites and investigates the operation of the lottery and with play- all reports of potential retailer fraud. ers’ interactions with lottery retailers. Any information regarding criminal activity that In addition, a database is utilized to track The North Carolina Education Lottery has is discovered or received by the Division any owners that present winning tickets of more than 6,800 points of sale for a popu- of Security is either acted upon the by the USD 600 or more, which are investigated lation of 10 million. Division or forwarded to the appropriate law on an individual basis. High-tier wins are enforcement agency. investigated at the retailer level and include values of, the UK National Lottery. Where procurement of available video to confrm we receive information that suggests that the Maryland Lottery, United States player identity. National Lottery’s integrity could be under- Te Maryland Lottery’s Security division mined in any way, including allegations of has a multi-faceted plan in place that pro- Best practice accounting principles are fol- illegal activity, our security team will inves- tects both players and retailers. Examples lowed and retailers are visited for training tigate. In addition, our security team pro- include compliance checks, complaint in- when multiple occurrences of selling tickets actively monitors in-store transactions and vestigations, sales call quality checks and from confrmed packs are identifed. fags any suspicious activity. It’s worth point- more. ing out that allegations of illegal activity are Sales reps conduct regular instant inventory very rare, given the number of retailers we Lotería Nacional para la audits, and regional managers follow up on work with and the millions of ticket transac- Asistencia Pública, Mexico any player complaints against retailers. tions that take place every day. Lotería Nacional para la Asistencia Pública ensures high levels of confdentiality, integ- New Jersey Lottery, Veikkaus Oy, Finland rity, and availability, based on efective risk United States Deposit money is collected from all retailers management, and an IT security manage- Te New Jersey Lottery is stafed with a to prevent fraud. Clear security measures ment system that complies with interna- security team and investigators that work are in place to secure prize payouts and the tional standards. Te Lottery’s certifcations with the Northstar organization (the com- scratch ticket selling process, and to prevent to ISO 27001:2013 and WLA-SCS:2012 are pany established by IGT and Scientifc money laundering. Security methods like valid until 2016. Games that runs New Jersey’s sales and game management and game transaction marketing operations) to help identify and monitoring raise the alarm if unusual game In addition, a number of security elements prevent any type of retailer fraud. Both purchasing behavior is detected at a point of are included on lottery products to mini- teams are aligned and keep each other in- sale. In case of suspicious activity or if any mize the potential for producing counterfeit formed of any type of activity that is suspi- discrepancies are discovered in the automat- tickets. Tese include high-resolution micro- cious. ed weekly commission fows we contact the texts, watermarks, images that are specifcally point of sale. In very rare and extreme cases generated for each draw and are invisible Pennsylvania Lottery, the game terminals can be closed down. to the naked eye. Magnetic codes are also United States included, with specifc information (draw, Te Pennsylvania Lottery monitors for un- Florida Lottery, United States type, ticket number, series number, etc.), and usual claim activity involving retailers. We Te Florida Lottery, Division of Security, a control digit that customizes every set of will undertake an immediate investigation if in cooperation with the Lottery’s Ofce of 20 tickets. an allegation of wrongdoing is made, includ- Inspector General, has developed a retailer ing reports of game sales to persons under integrity program that involves lottery staf A two-dimensional Datamatrix code in- the age of 18. For any violation of the Lottery visiting and testing lottery retailers using cluded on each set of tickets is used by both statute or policy, a retailer’s license may be winning lottery tickets to ensure the retailers the Lottery and the retailer during the retail suspended or revoked. are properly paying prizes to players on winning lottery tickets and are compliant with lottery retailer rules and procedures. “We gather data on a number of fraud indicators for each store to identify retailers that pose a higher risk In these "sting" operations, retailers are selected for visits both at random and also of committing fraud, then put in place specific controls based upon complaints from players. In rare to help minimize the risk.” Lotto NZ, New Zealand occasions when tickets were not correctly INSIGHTINSIGHT

Tatts Lotteries, Australia To ensure the lawful and ethical conduct of our retailers, and more importantly to ensure our integrity as the lottery operator, we have implemented a range of initiatives aimed at mitigating the risk of retailer fraud. An awareness and education program ensures customers understand the correct process for the claiming of prizes and how to secure their entries. A customer hotline is available for the reporting of any suspicious retailer behavior.

Winning tickets are branded as such when validated through the gaming terminal. Retailers are required to return all tickets, winning and non-winning, to customers. Te gaming terminal produces an audible tone on With over 1,350 outlets serving a population of 4.5 million, the retail network in New Zealand validating a winning entry, and self-checking remains an integral part of Lotto NZ's business. devices are also available in-store for customers to independently validate entries. Lotto NZ, New Zealand ting fraud, and then puts in place controls to Lotto NZ has a range of security measures help minimize the risk. A formal process is in Registered entries are promoted, and wins on in place to prevent retailer fraud. An "at risk place for investigating all retailer prize claims. such entries can only be claimed on the vali- retailer" program gathers data on a number Terminal locks are activated for all prizes over dation of the customer’s player card through of fraud indicators for each store to identify NZD 5,000, and players have access to self- the gaming terminal. All wins above the re- retailers that pose a higher risk of commit- service ticket checkers in all retail outlets. tailer prize payment limit must be claimed

Any future for the concept store?

Apple does it. Nespresso does it. Amazon locations for which a licensed retailer was support this Tatts Lotteries has adopted successfully opened its first bricks-and- unavailable such as in an airport location a franchise model. However, we do have mortar bookstore in 2015 and rumor has and a racetrack, but the model proved to two organization retailers – one in the it that they will open more in the future. be unprofitable so it was discontinued. head office in Queensland and the other So how about a concept store for lotter- in New South Wales, but the primary ies? Some members already have a few of La Française des Jeux, France function of these retail counters is to pay their own retailers, often doubling as prize La Française des Jeux had a few dedicated larger prizes to our winners. payment centers. Others have tried them stores that were closed some time ago and found them to be unprofitable. We because of profitability concerns. Georgia Lottery Corporation, asked lotteries around the world whether United States concept stores could have a place in the Lotto NZ, New Zealand We currently sell as retailers at the air- branding strategies of the future. Lotto NZ operates one retail store – our port, district offices and corporate head- “concept store” – that serves as a retail quarters. These locations are also set Hong Kong Jockey Club test environment. As the largest retail net- up as payment claim centers regionally The Hong Kong Jockey Club operates its work in New Zealand, it’s important that throughout the state. The locations pro- own retail network of 102 Off-Course Lotto NZ has a controlled environment vide a convenience to players around the Betting Branches in Hong Kong. In addi- where new retail ideas can be tested be- state for payment of prizes higher than tion to retail, we also provide Telebet and fore they are rolled out across all 1,350 USD 600 which retailers are restricted Internet betting services. We value retail Lotto stores nation wide. What we learn to pay. locations as key customer touch points from trialing new ideas in our concept and they also serve as the top customer store is used to benefit all Lotto retailers Florida Lottery, United States acquisition channel. in the long term. Florida’s nine district offices serve pri- maril y as a prize redemption center, New Jersey Lottery, United States Tatts Lotteries, Australia but they also sell a full product line We do not have our own retailers. We The retail network is a key channel for like any other retailer and are staffed had tried to provide that service at various the distribution of lottery products and to by lottery em ployees. DECEMBER 7-8, 2016 PALEXPO, GENEVA 18 SPORTS CONFERENCES 1 COMBINED EXHIBITION MANY NETWORKING OPPORTUNITIES ALL AT ONE VENUE ALL AT THE SAME TIME THE WORLD’S LARGEST SPORTS CONVENTION IN 2016

SPORTS SPONSORSHIP EXHIBITION/ CONFERENCE/ NETWORKING EXHIBITION/ CONFERENCE/ NETWORKING EXHIBITION/ CONFERENCE/ NETWORKING

SPORTS TOURISM EXHIBITION/ CONFERENCE/ NETWORKING EXHIBITION/ CONFERENCE/ NETWORKING EXHIBITION/ CONFERENCE/ NETWORKING

BASKETBALL EXHIBITION/ CONFERENCE/ NETWORKING EXHIBITION/ CONFERENCE/ NETWORKING EXHIBITION/ CONFERENCE/ NETWORKING

SPORTS INTEGRITY EXHIBITION/ CONFERENCE/ NETWORKING EXHIBITION/ CONFERENCE/ NETWORKING EXHIBITION/ CONFERENCE/ NETWORKING

SPORTS LICENSING AND MERCHANDISING EXHIBITION/ CONFERENCE/ NETWORKING EXHIBITION/ CONFERENCE/ NETWORKING

EVENT PARTNER

WWW.ISCGENEVA.COM INSIGHTINSIGHT

directly from the lottery operator, and retailers are not able to submit claims on behalf of customers.

Retailer behavior is monitored via the gaming system and investigated as necessary. System alerts are produced for high value purchases and cancellations, instant ticket validations, and frst division winning ticket validations. Retailers and their staf must register their entries, and should they win a prize identify themselves as a retailer or staf member on the prize claim form. Retailer and staf claims are subject to additional prize claim processing checks. Prize payment teams monitor for, and investigate, multiple claims lodged by individual retail- Tatts Lotteries is the only licensed lottery operator in both Queensland (pictured here) and ers and their staf. New South Wales.

Many thanks to the following lotteries for their participation in the survey for this study: Camelot, The National Lottery, United Kingdom; Florida Lottery, United States; Georgia Lottery Corporation, United States; Hong Kong Jockey Club; La Française des Jeux, France; Lotería Nacional para la Asistencia Pública, Mexico; Lotto NZ, New Zealand; Maryland Lottery, United States; New Jersey Lottery, United States; North Carolina Education Lottery, United States; Ohio Lottery, United States; Pennsylvania Lottery, United States; Tatts Lotteries, Australia; and Veikkaus Oy, Finland. INSIGHTINSIGHT

Omni-channel: the best of both worlds

The advent of online sales raised concerns about channel conflict and potential cannibalization of retail business. Those initial fears may have been overstated, but the truth remains that online and offline need to co-exist – and the relationship between the two is complex. Today, experts agree that the key to a harmonious future lies in a more holistic approach to the customer experience across all delivery channels.

Tatts Lotteries, Australia Tatts Lotteries has, like many other businesses, added an online purchasing option to meet changing consumer shopping patterns and to ofer players another convenient way of playing their favorite games.

In the lotteries market, despite the Internet ofer being well established (around 15 years), around 90% of Tatts Lotteries overall sales are still delivered through the retail network. Our clear objective is to grow both channels in order to maximize overall lottery sales Maryland Lottery customers can already see how the digital revolution is transforming the and return profts to our stakeholders with retail environment. our long-term goal to be omni-channel. To achieve this goal, it is critical that we continue La Française des Jeux, France at the same time promote cost-efcient to maintain our primary support for and sig- So far, channel confict has been limited by solutions to our business in view of the nifcant investment in the retail network, as the continued growth of our ofine business market trend. well as partnering with our retailers to pres- and the limited size of our online activities. ent and promote our products in a way that Lotto NZ, New Zealand will maximize player interest and visitation. However, our strategy is to develop digi- Lotto NZ operates an online sales platform, talization of our overall activity, including MyLotto.co.nz, which gives players the Tatts Lotteries also has a number of autho- in-store, for example by enabling players to abil i ty to purchase tickets for our lottery rized re-sellers who sell our products online. choose their Lotto numbers on their smart- games, excluding instant-win scratch games. phones and then scan their tickets in-store MyLotto is the only authorized online seller Camelot, The National Lottery, to complete the purchase. of Lotto NZ tickets. United Kingdom Accounting for around 80% of sales, re- Georgia Lottery Corporation, Veikkaus Oy, Finland tail is the largest UK National Lottery sales United States We do not consider multiple channels as a channel. So, while we have a very successful Internet wagering is available to registered source of confict. Rather, we see them as website – national-lottery.co.uk – which is players in Georgia, but there is no evidence complementing each other: our customers seeing accelerating sales growth, retail is still of channel confict with bricks-and-mortar use multiple channels to play. continuing to grow too. retail locations.

We’re always open to new ideas and oppor- Hong Kong Jockey Club Contributor insights tunities for digital partnerships, with both Te Hong Kong Jockey Club is promoting In the following pages, the WLA commercial and charitable partners. Any an Integrated Channels strategy. We pro- Platinum Contributors offer their in- organization which would potentially like actively migrate ofine customers to online sights into the future of retail as a to be a partner should get in touch with our channels. Te strategy aims for a seamless stra tegic link in the lottery value chain. Digital Partnerships Team. betting experience for our customers and They share their experiences in different regions and jurisdictions, and outline some of the new opportunities that lie “Our Internet offer has been well established for 15 years, ahead for developing the lottery point but around 90% of Tatts Lotteries overall sales are still of sale both in its own right and as part of an integrated, omni-channel delivered through the retail network.” Tatts Lotteries, Australia approach to product delivery. ➔ INSIGHT INSIGHTINSIGHT

Retail still the primary driver of lottery engagement

IGT is the world’s pre-eminent provider of lottery retail solutions, both retailer- and player- operated. Our innovative solutions – some of them already deployed and many more in our pipeline – build from our experience both as a lottery supplier and as an operator, from which we gain a unique understanding of the challenges and opportunities lotteries face. This enables us to bring lotteries the broadest offering of technology and services, backed by proven performance across more deployments than any other supplier.

IGT provides a wealth of solutions and servic- • In times of high jackpots, speed counts. es to assist retailers in serving consumers and Te AccuTerm™ Ultra printer is the fast- driving sales. We provide high-performance, est lottery printer available and it’s load- easy-to-use terminals, data-driven optimiza- ed with features that retailers appreciate. tion, and professional services to build fexible With its quiet printing, sharp and dark retail solutions including a full line of termi- images, easy-load features, advanced ther- nals, printers, and in-lane sales across diverse mal technology, optimized receipt stacker, retail and chain store operated tradestyles. and space-saving form, the AccuTerm Ultra is the perfect complement to our Our product portfolio encompasses a family of retailer terminals. Other key fea- world-class suite of lottery retail solu- tures include True Type font, translucent tions, including a family of clerk-activated paper roll cover for easy viewing of paper terminals to accommodate high and low level, and paper jam detector for continu- volume lottery retailers: ous operation.

• Te high-performance full-size Altura™ • Mobile Handheld Terminal (MHT) is a GT1200, and its smaller-footprint coun- In-lane lottery display in Poland builds small, lightweight, wireless point-of-sale terpart, the Altura GT1200 Compact, awareness and excitement. solution equipped with a barcode reader meet the ever-evolving requirements of and a thermal printer targeted for mobile lotteries quickly and efciently. Both ter- with IGT’s exclusive ImageCam™ sofware lottery sales. Street vendors and retailers minals ofer an easy-to-use graphical user to scan playslips and process validations. can sell instant tickets and draw games, interface (GUI), a fast and reliable playslip With its solid-state scanning functional- like Lotto, with ease on the streets and reader, 2D barcode reading technology, a ity and the absence of moving parts, the in stores, thereby increasing lottery rev- modular design for ease of service, and Imagine GT1100 requires minimal main- enues. Te MHT ofers secure gaming multiple interface ports for peripherals in tenance, which leads to increased retailer transaction processing and standard ter- support of future growth. Altura terminals productivity and maximum uptime. minal reporting. are based on years of research; consulta- tions with retailers; and the experience of building, deploying, and maintaining “IGT remains deeply committed to research and more than three-quarters of a million development in the critical retail area. Our current points of access worldwide. retail innovation investment to drive retail expansion • Te Imagine™ GT1100 camera-based termi- and optimization is unprecedented.” nal is a robust, full-function lottery terminal Mike Chambrello, CEO, North America Lottery that combines digital-camera technology

34 WLA magazine | No. 44 | Spring 2016 INSIGHT INSIGHTINSIGHT

Inside creates an in-lane solution to expand “Given the speed of change in retail technologies, it is lottery sales specifcally for multi-lane envi- imperative that we continue to innovate in the area of ronments that is easy and convenient for all. flexible retail solutions to assist our global customers In-store player attraction enhance their players’ experience and increase sales.” Aurora™ MultiMedia is an in-store, fat-pan- Declan Harkin, SVP & COO, International Lottery el advertising solution that enables lotteries to manage, distribute, and display vibrant multimedia content (games, lottery adver- Self-service solutions tising, promotions, jackpot updates, and Gemini™ is IGT's dynamic, fun-to-play self- other messages) through a single point of service machine. With its sleek, contempo- control. Messages formerly communicated rary look and easy-to-use player interface, exclusively through posters, table toppers, Gemini lottery vending machines (LVMs) and cardboard displays can now reach play- ofer a new sophistication to self-service ers and prospects through bright, animated vending and a buying experience that is digital signage. Each show can be composed intuitive and inviting. Players simply put of a combination of still images, fash anima- money in, push a button, and retrieve a tions, video, and dynamic text. ticket. Gemini Ultra is IGT’s full-sized LVM and is equipped with an integrated Aurora™ Ticket accounting make easy MultiMedia display. It can accommodate IGT's Aurora Open Retail, a ﬂexible, open Te SmartCount solution assists retailers up to six quick-pick online game buttons terminal application, allows for expansion with reconciling their instant ticket inven- and up to 24 instant ticket bins. Gemini to retailers of any size or trade style. tory simply and efectively. Tis specialized solutions capitalize on impulse play and at- application installed on Aurora utilizes an tract new players in a secure, player-friendly main user interface that is intuitive and en- extended-reach or cordless barcode reader. package. gaging. Te Gemini Touch user interface Retailers simply scan the frst ticket barcode boasts unlimited fexibility. Screens are fully when loading a dispenser and then scan the Gemini™ Touch, IGT’s evolutionary touch customizable, allowing lotteries to showcase next ticket available for sale at shif change screen experience, takes the player expe- their brand identity and creatively display or at end of day to create an automatic re- rience to a whole new level. Its design content that is unique and inviting. Up to 24 cord of all tickets sold. embodies a contemporary aesthetic while instant ticket games are supported, and the providing the high level of security and reli- number of draw games is confgurable based ability that is synonymous with the Gemini on customer needs. Gemini Touch leverages name. A 42-inch LCD touch screen draws the best of the Gemini Ultra while introduc- the player through dynamic screens and a ing new features that will not only delight players but increase revenues and returns to good causes.

Retail expansion solutions Aurora Open Retail – Te solution is entirely based on Application Programming Interfaces (APIs) to ensure that the application is separate from the back-end services. Tis separation not only facilitates faster changes, but also allows opening up terminal In-lane display in Belgium of Euro Millions application usage in unconventional devices, provides added convenience for players and including Bring-Your-Own-Device (BYOD). retailers.

Lottery Inside – Leveraging the existing End-to-end solutions infrastructure of a retailer or chain store, From latest-generation terminals and periph- Lottery Inside is a highly-scalable, cost- erals to data-driven optimization, transac- efective solution for multi-lane retail en- tional sofware and world-class professional vironments, allowing retailers to sell and services, IGT ofers a comprehensive portfo- distribute quick-pick lottery games without lio of retail solutions. As both a supplier and Gemini Touch, IGT's touch-screen self- a dedicated lottery terminal. Players get an operator, our breadth of expertise allows service vending machine. Currently one-stop access to lottery products. Retailers us to build fexible, scalable solutions for lot- being test marketed in Rhode Island and can provide consumers the lottery products tery franchises around the world and to work scheduled for deployment in Washington, they want without adding to the checkout with all categories of retailers to support Virginia and North Carolina. time or the workload of the clerks. Lottery their digital transformation.

WLA magazine | No. 44 | Spring 2016 35 INSIGHT INSIGHTINSIGHT

Empowering lotteries to connect to consumers with multiple playing options

For more than 40 years, Scientific Games has created innovative products, services, and technology that meet the needs and wants of lottery retailers around the world. Our solutions make lottery products convenient and accessible to players, easy for retailers to sell, and effective in growing revenue for both our lottery and retail partners.

Te player journey begins at retail. Our At Scientifc Games, we are thought leaders and from a focused efort to gather, investi- Retail Development team is a group of high- on the lottery business and the retail busi- gate and study worthy information about the ly experienced retail professionals who stand ness so we can help lotteries grow successful world of retail and the retail shopper. on the front lines of our business. Backed retail networks and increase revenues and by years of research, sales analytics and in- contributions to their benefciaries. With global convergence of lottery and gam- sights, they understand consumer behavior, ing in retail, mobile and other channels, a consumer touch points and the priorities of To be successful, the retail network respon- consumer’s world is now almost seamlessly retailers: lines, labor and losses. sible for selling a lottery’s products must integrated. And consumers are leading the fully understand the impact that a strong convergence. In 2014, we conducted the frst “Tere is a tremendous opportunity to en- retail presence can have on the entire eco- cross-jurisdictional, motivation-based player hance the consumer value proposition by system’s bottom line. We think of retailers as segmentation study for lottery and gaming to taking a broader view of the overall lottery our partners, so we want to empower them better understand today’s consumer and their player journey," says Jim Kennedy, Group in the lottery ecosystem. purchasing decisions. Te fndings from this Chief Executive of Lottery, Scientifc Games. study are further informing our product inno- "Lottery’s global network of approximately Retail insights vation, from games to retail tech nology. one million retailers is an invaluable asset, Scientifc Games’ extensive retail insights and building on that retail connection to the come from our face-to-face interaction with Our knowledge library is also sourced from player will always be paramount.” retailers and associations around the world, the following:

Jeff Sincacori, Vice President, Retail Sales Development for Scientiﬁc Games, puts the ﬁnishing touches on game dispenser installation at Sam’s Mart in Athens, Georgia (U.S.) during a store make-over, part of the company’s SalesMaker program for the Georgia Lottery. INSIGHT INSIGHTINSIGHT

is a member of Scientifc Games Retail Development team, was selected to head the Lottery Working Group for Conexxus.

• Leading lottery’s recognition as its own product category in Convenience Store Petroleum (CSP) Magazine. Since 2003, CSP Magazine has ranked No. 1 in read- ership and market share over all other convenience store-related magazines – with more than 100,000 subscribers. CSP reaches the key convenience retailing decision-makers.

A Scientific Games employee fills new instant game dispensers at Sam’s Mart in Athens, • Working directly with NACS and CSP Georgia (U.S.) during a store make-over, part of the company’s SalesMaker program for research departments to provide lottery the Georgia Lottery. industry data for inclusion in c-store research and reports. • Impact 21 Group – A leading global con- Active engagement sulting company in the petroleum/con- in the retail industry • Attending NACS State of the Industry an- venience, c-store, and retail industries, Scientifc Games continually follows retail nually. Impact 21 consultants bring aggressive real industry trends, asking the right questions, world leadership and executive level retail listening to the answers coming from the • Providing annual attendance at NACS relationship contacts to our business and retail segment, and enhancing relationships Shows – and the only lottery supplier to technology initiatives. Scientifc Games has with big box stores and corporate retailers. have a booth since 2013. retained Impact 21 Group to aid in direct Since 2004, we have been an active mem- retailer contact interaction and assist in ber of multiple retail organizations, includ- • Presenting at CSP ‘Driving Impulse Sales’ ongoing research projects on the lottery ing National Association of Convenience Conference – reaching a retail audience of retail environment and consumer. Stores (NACS) and Petroleum Convenience more than 250. Alliance for Technology Standards (PCATS), • Research – In addition to the work do- now rebranded as Conexxus. We also partic- • Hosting the industry’s frst vendor Retailer ne by our internal research department, ipate in the annual conferences and trade Roundtable symposium at Scientifc We have an active membership in both shows for the Food Marketing Institute Games’ global lottery business center in the American Marketing Association and (FMI), supporting supermarkets and gro- Georgia, now an annual event. To date this Market Research Associ ation which give us ceries, and the National Retail Federation symposium has included attendees rep- access to broad retail marketing informa- (NRF), supporting the mass merchandisers resenting 13 chain accounts and almost tion, basket data, case studies, conference and discount store segments. We are also 15,000 locations. presentations, shopper insights, and more. members of multiple state retail, grocer and petroleum marketing associations. • Attending NACS Insight EU annually to • Profit Per Square Foot – Another pow- better understand key chain account busi- erful marketing tool from our library In addition to our activities in these associa- ness and best practices on a global level. is the proft per square foot analysis. tions, Scientifc Games’ recent retail initia- Scientifc Games contracts with a leading tives touch almost every retailer in the U.S. • Creating internal and external Retail retail industry sales and marketing source in some way. Examples include: Connect Teams to connect the dots be- to acquire up-to-date costs, margin, and tween retailer needs and Scientifc Games sales data to prove the importance of lot- • Collaborating with individuals within technology, marketing, services, and in- tery versus other store products. Conexxus to develop retail technology so- teractive oferings. lutions and standards. Janine Whiteman, • CSPedia – Trough our annual mem- Senior Director of Product Management • Attending an annual Suppliers Summit for bership to CSPedia, “the most in-depth for Lottery Systems at Scientifc Games, a leading big box retailer. source of information on c-store chains,” We have access to retailer profles, chain overview and history, “Selling To” sug- “There is a tremendous opportunity to enhance the gestions, chain-specifc category insights, consumer value proposition by taking a broader view recent company news, CSPTV store tours

and interviews, and updates on all North of the overall lottery player journey.” American c-store chains with 20 loca- Jim Kennedy, Group Chief Executive of Lottery, Scientiﬁc Games tions or more. INSIGHT INSIGHTINSIGHT

Retail chain expansion and growth solutions SalesMaker training delivers results One of the fastest growing and most dis- ruptive trends at retail is an exponential in- Scientific Games developed SalesMaker, the first and most successful multi-jurisdic- crease in competition. Over the next decade, tional retail development program in the lottery industry. The SalesMaker suite con- the lottery industry will continue to see a sists of a number of different options, but all have one thing in common: they are convergence of retail oferings as mass mer- anchored in training and professional development. chandise, box, convenience, grocery, drug and even quick service restaurants all try to Scientific Games has learned through decades of experience that a well-educated capture revenue from a fnite customer base. sales force and retail base are an indispensable component of any successful lottery. Te result is expanded oferings at each of Merchandising alone will not provide a consistent lift in revenue; all parties involved these store types and an increased need for in the chain of lottery sales must appreciate that their dedication to growth is a key the ease and speed of service that consum- element in building a successful program. ers expect. This foundation of mutual understanding and working toward a common goal is a Te recent increase in mergers and acquisi- large part of the reason that our SalesMaker training and merchandising programs tions means fewer, larger chains with lower have helped many lotteries not only grow their business but also bridge gaps that pricing models. Single site operators, in or- often exist between lotteries, their retailer community, and consumers. der to compete with the lower prices that can be ofered through these economies of Through the SalesMaker program, Scientific Games has so far completed retail training scale, will have to continue to diferentiate in 29 lottery jurisdictions and merchandising programs in 12 jurisdictions in five coun- themselves through unique, specialized of- tries around the world. The most recent program is with the Georgia Lottery. As of ferings that generate loyalty. December 2015, 85 weeks into the Georgia Lottery program, the results of the initial 200 locations yielded a net full-line sales increase of 16% (13% instant, 20% draw) "Creating an exciting in-store lottery experi- over the statewide average when compared to the same weeks of the previous year. ence for the consumer not only drives lot- This equates to an additional USD 35 million in incremental revenue for the Georgia tery sales, it drives store trafc and shopper Lottery and a program ROI of over 300% (based on a profit margin of 18.5%). engagement in ways that increase overall store proftability,” says Jim Kennedy. Importantly, full-line gross gaming revenue since the inception of SalesMaker vs. the same stores for the same weeks the previous year has increased 18%. This powerful What this means for the lottery industry is number indicates that SalesMaker can increase sales through price point, and can sig- that in the future – more than ever – a one- nificantly increase returns to lottery beneficiaries. size-fts-all model will not work. Solutions must be customized to ft the needs of large Scientific Games will roll out the training and merchandising program to an additional multi-jurisdictional chain accounts while 150 lottery retail locations in Georgia in 2016. still serving the needs of smaller retailers. Tese solutions must include: variation in terminal and hardware oferings, customized scale retailers and enables our Retail Devel- met the needs of both the Lottery and reporting and accounting, aid in inventory op ment team to begin the dialog with WaWa. ordering and tracking, service and mainte- non-lottery retailers with multi-jurisdic- nance models, and capitalizing on lottery tional accounts about the benefts of selling In addition to creating retailer specifc re- branding through retailers’ loyalty programs, lottery products and enhance the focus on ports, and accounting and security fea- promotions and couponing initiatives. lottery at current retailers. tures, Scientifc Games worked with the Pennsylvania Lottery to develop on-site Scientifc Games provides a customized so- Big box and national corporate training, training documents, and special- lution for individual retail accounts based retailer support ized call center procedures. Te Lottery de- on our lottery customer’s strategy. An example of this type of partnership veloped signage and merchandising as well happened between Scientifc Games, the as an ambassador program. What started Retailer relationships Pennsylvania Lottery, and the c-store as a 21-store pilot in 2010 has now expand- Retailers, like any business, want to maximize chain, WaWa. In addition to the standard ed to 224 WaWa locations that sell lottery profts and minimize expenses so that their suite of lottery sales reports, WaWa re- products, averaging USD 12,476 in weekly return on investment is the highest it can pos- quired additional information and func- sales in 2016. sibly be. We have worked hard to develop the tionality to help integrate lottery into idea that selling lottery products isn’t just a their store accounting procedures before Other examples of our direct involvement competitive necessity, it is a proftable and pos- they would agree to sell lottery products. with developing solutions for national cor- itive contribution to the retailer’s bottom line. Scientifc Games and the Pennsylvania porate retailers include: Lottery created a support team and worked Our global footprint supporting 240,000 closely with WaWa to create and integrate • Big Box Retailer – Scientifc Games retail outlets garners credibility with large- a hardware and technology solution that works closely with a leading big box re- INSIGHT INSIGHTINSIGHT

tailer to begin selling our systems in the states of Oklahoma and Pennsylvania in “In our industry, the consumer values a diversity the near future. We were the frst to imple- of options, great games, and easy access to game ment lottery sales in these stores in 2012 through PlayCentral self-service termi- entertainment. The innovation that is shaping our nals. Locations are currently averaging industry will empower lotteries to connect to this USD 5,019 in weekly sales. consumer marketplace of multiple options.” • Rite Aid – A pilot of nine stores in 2010 Gavin Isaacs, Chief Executive Ofﬁcer, Scientiﬁc Games has grown to sales in 406 locations with sales averaging USD 2,495 per week. pending application deployed via iPads and information they want to access, and ofers • Racetrac – Worked with their national smartphones that enables Scientifc Games cash, coin, credit and debit card, near feld category manager to create menu boards, retail specialists to photograph, manipulate communications and account-based mobile dispensers, and play tables that ft into and post real-time images of retail locations wallet payment options. PlayCentral HD their new stores and redesigns. Tese mer- before and afer merchandising recommen- also features ticket checking and validation, chandising elements are being paid for by dations. Capabilities also include geo-demo- age verifcation, integrated advertising dis- Racetrac to increase their lottery sales. graphic statistics, multiple search and sort play and – for the frst time in lottery retail functions, custom-designed reporting fea- self-service – a “shopping cart” experience • The Pantry (Kangaroo Express) – In tures, and the ability to tag and annotate by similar to Internet retailers. con junction with the North Carolina retailer or image. Tis tool serves as an in- Education Lottery, a 2014 implementation dispensable means to gather real feld data Scientifc Games’ retail technology inno- of an eight-store co-branded lottery mer- on store types, regions, owners, store lay- vations include solutions for in-lane sell- chandising program was customized for outs, existing merchandise, etc. in order to ing, Play at the Pump and ATM, tablet Kangaroo Express. In year one of the pro- provide a retail landscape assessment and ordering, proximity marketing, and more. gram, the made-over stores have seen a make strategic recommendations on which Over the last year, we launched six lottery net full-line sales increase of 31% over the locations to focus resources. mobile apps with retail components, and state average when compared to the same further developed beacon marketing and weeks of the previous year. Tat equates to We are also innovating player self-service shared-wallet technology to help make lot- an additional USD 840,000 in incremental technology with PlayCentral HD, an in- tery games more convenient and accessible revenue from just eight stores. teractive self-service kiosk for lottery infor consumers. In 2015, we also developed stant and draw games, and high-frequency patented technology to support credit card Retail technology innovation draw games like Keno where allowed by processing on a closed-loop lottery system. Scientifc Games’ innovation teams are fo- law. Te award-winning PlayCentral HD Our iLab, a team dedicated to research- cused on making lottery games easy for re- takes the retail self-service experience to ing the applicability of new technologies tailers to sell, highlighted most recently by a whole new level with a 42” LCD touch- through rapid prototype meth od olo gy, and SalesDesign, our frst-to-market retail devel- screen display featuring an immersive 3D other futurist teams tracking megatrends, opment tool that aids in lottery store design, graphical user interface that engages play- are tasked with developing new technology as well as POS advertising, and lottery peers. Tis powerful self-service kiosk puts concepts for lotteries, mobile, web, retailers, ripherals placement. SalesDesign is a patent- the player in command of the games and regulators, and players.

“Our technology is all here, ready to be deployed," says Gavin Isaacs, Chief Executive Ofcer, Scientifc Games, "but it is now much less about the technology itself than it is about applying the technology in the real world so that we create real value for the consumer. In our industry, the consumer values a diversity of options, great games, and easy access to game entertainment. Te innovation that is shaping our industry will empower lotteries to connect to this consumer marketplace of multiple options. Innovation will position lotteries for long- term sustainable success."

All copyrights, trademarks and service marks are Jeff Sincacori of Scientiﬁc Games uses the company’s SalesDesign technology to show how a owned by their respective owners in the United States store’s exterior will look once door graphics are installed for a store make-over at Sam’s Mart, and elsewhere. © 2016 Scientific Games. a Georgia Lottery retailer in Athens, Georgia (U.S). All Rights Reserved. INSIGHT INSIGHTINSIGHT

INTRALOT’s customer journey shapes the future of retail

As both a lottery supplier and a lottery operator, INTRALOT brings to the table a unique combination of know-how and expertise. Our experience in jurisdictions around the world has provided us with important practical insights about the changing retail landscape and how lotteries can be part of the transformation.

INTRALOT ofers a full spectrum of gaming into its vision of the retail experience. Our the TapnBet concept incorporated through solutions and services that addresses lotteries’, players are engaged in a continuous manner, the Dreamtouch terminal, the Cinematic retailers’ and players’ needs driving lottery from the moment they approach the store, Betting experience that diferentiates op- sales growth and increasing players’ retention utilizing the personal devices to deliver tar- erators with premium and attractive content rate. INTRALOT has successfully revamped geted messages and promotions at the time display, and the “Betting Entertainment” the traditional retail shop into an engaging when they are most receptive to the oppor- product family, which targets to add new ex- environment, where technological innova- tunity. Inside the store, we have introduced citing gaming concepts for complementing tion, hardware solutions and advanced sof- new ways of interaction and a full paperless sports betting ofering. ware oferings, are all seamlessly combined experience via personal devices aiming to enhancing the omni-channel experience. increase players’ overall experience. Players’ Retailer: The business ally for journey is now enriched with the opportu- a successful lottery operation Transforming the nity to interact with the products they in- Either as a lottery supplier or as a lot- retail experience tend to buy through self-service terminals tery operator, INTRALOT adopts a retailer Te rapid rising of e-gaming poses an addi- and become more engaged and involved. and sales development program focusing tional challenge for retail gaming operators We strive to create a new gaming experience on sales growth and operational efciency. to attract and retain players in their shops. rather than one more selling store. At INTRALOT our retailer selection policy Customers get accustomed to the easiness is based on the principles of maximizing and speed e-gaming ofers; accompanied INTRALOT’s retail shop the sales potential of our product portfolio with the targeted communication and tac- of the future through the most efcient utilization of the tical campaigns run throughout the year, INTRALOT introduced “Retail Plus”, its operator's investment. Te commercial at- e-gaming has managed to create an ideal concept for the retail shop of the future, tractiveness of the store and the reliability, environment for the players to get informed, at ICE 2016 in London. Retail Plus com- credibility and the entrepreneurial spirit of educated and ultimately play and interact prises products and solutions designed to the retailer are the most important priorities with peers. specifcally serve a vast variety of needs during the selection phase. and requirements of both players and busi- Convenience, proximity, and personaliza- ness partners. Among other innovations, Members of our experienced feld sales tion are all aspects of the online gaming INTRALOT presented its new product fam- force identify the most commercially at- world that INTRALOT has incorporated ily, the Self-Service Terminal line (SST), tractive stores, under the rules and regula-

“INTRALOT’s product strategy creates a new retail gaming experience for the player and secures long-term sales growth and operational efficiency for the lottery operator, while promoting industry’s best practices for responsible gaming.” Antonios Kerastaris, INTRALOT Group CEO INSIGHT INSIGHTINSIGHT

tions set by local authorities. Each market bilities in terms of sales efectiveness and where we have an online presence. Te pro- in which we operate has a diferent sales customer service, and assess their reliability, grams are oriented toward maximizing cus- channel mix taking into account the local credibility and entrepreneurship to ensure tomer acquisition and retention. In addition market peculiarities, product mix and con- they will fulfl their contractual and fnan- to retailer commissions, INTRALOT ofers a sumer behavior based on market research cial obligations, comply with our responsible portfolio of retailer incentive programs that fndings. INTRALOT operates in exclusive gaming policies, and apply our brand guide- may be a fat fee, a gif, a trip, etc. Loyalty stores, convenience stores, cofee shops, ki- lines. INTRALOT concludes a commercial programs are also ofered in some markets osks, shopping malls, grocery/supermarkets, agreement with a retailer as soon as the as incentives to the retailers and their em- Internet cafes, bars/restaurants, post ofces, pre-defned terms and conditions are being ployees. Incentives are tied in with sales tar- gas stations, liquor stores, bookstores, phar- accepted. Agreement with a retailer is the gets and/or competitions, and both retailers macies, with street vendors, etc. In some starting point of retailers training and de- and employees are eligible depending on the markets INTRALOT operates its own stores, velopment to ensure alignment of skills and incentive principles. while in some cases INTRALOT operates qualifcations with the necessary infrastruc- fagship stores. Flagship stores make sense ture to execute sales and customer service at Responsible gaming in high-end locations due to the potentially the desired levels. As a vendor to lottery operators, INTRALOT high operating expenses associated with supports the principles and practices of re- such stores. Tese fagship stores also act as In order to reward retailers for promoting sponsible gaming. As a technology sup- winnings payment centers or consumables and selling INTRALOT’s products to the plier we have been certifed under the and scratch card distribution centers. fnal customer and maximize our custom- WLA's Responsible Gaming Framework er acquisition and retention efectiveness, for Associate Members. In the jurisdictions INTRALOT works with promising retailers INTRALOT provides fnancial motivation where we hold a license as an operator, the to assess the store potential based on demo- through smart commission schemes to our local subsidiary runs awareness campaigns, graphics, local population and retail density retailers to drive sales. We also ofer afliate training programs, and outreach activities on data. INTRALOT assesses retailers’ capa- marketing programs in most of the markets responsible gaming in its retailer network.

For the ﬁrst time INTRALOT presented at ICE 2016 its best-in-class innovative gaming solutions for the retail store of the future, the “Retail Plus”. INSIGHT INSIGHTINSIGHT

INTRALOT adopts a retailer and sales development program focusing on sales growth and operational efﬁciency. The commercial attrac- tiveness of the store, as well as the reliability, the credibility and the entrepreneurial spirit of the retailer are important priorities.

Te retailers and the retailers’ employees are means or as a way to recover past fnancial Retail store: the baseline of contractually obliged to ensure the full com- losses. Tey should not imply the certainty a successful lottery operation pliance of the retailer with INTRALOT’s re- of fnancial reward or alleviation of personal Ofering an attractive and functional playing sponsible gaming policy. Non-compliance and fnancial difculties through gambling, environment is clearly of vital importance. with that guidance may result in immediate nor that the chance of winning increases the Merchandising principles that optimize the contract termination. longer one play. Under no circumstances retail space – such as TV screens to ofer live should they suggest that skill can infuence gaming and other information, monitor games When INTRALOT is the operator, strict the outcome, promote gambling as an alter- to ofer variety and excitement, ticket checkers guidelines on responsible gaming practices native to work or everyday responsibilities, to ofer convenience, and functional coupon are provided to all retailers. Players who are promote the consumption of alcohol while holders to enhance accessibility – are just a few less than 18 years old are not allowed to par- playing games or ofer unreasonable loyalty of the elements of a successful retail shop. ticipate in any game provided by our retail incentives linking further winnings to fur- networks, and a strict age identifcation pro- ther gambling. Retailers are also prohibited Above all, the personal touch provided by re- cess is in place and constantly updated. from cooperating with or supporting links tailers, particularly in neighborhood stores, to credit facilities that ofer immediate credit is a key component of the omni-channel ap- Retailers are obliged to display in-store re- for the purpose of gambling. proach advocated by INTRALOT. While we sponsible gaming promotion materials in all seek to deliver a seamless customer experi- high trafc areas of the store and must follow Field sales staf ensures compliance with ence across all channels, we continue to view a number of other specifc rules. Tey should the INTRALOT responsible gaming policy the retail store as the baseline of any success- not encourage people to play beyond their through tactical visits or mystery shopping. ful lottery sales operation.

“At INTRALOT, we continue to view retail as the cornerstone of any successful lottery operation. We have concentrated our efforts in revamping the traditional retail shop into an engaging retail environment for players enhancing a mutually beneficial and rewarding cooperation with our essential business partners, the retailers.” George Vassilaras, INTRALOT Retail Group Director

INSIGHT INSIGHTINSIGHT

The ﬂexibility to deliver customized solutions across continents

Novomatic Lottery Solutions (NLS) provides engaging customer-centric retail environments on several continents. We work closely with lottery partners to ensure that the retail environment we create delivers real value to the customer experience and helps retailers to provide outstanding service to players.

One of the keys points in our retail development program is ofering hardware- agnostic solutions. As a result of our thin-client approach, all of our existing partners can have diferent hardware set- ups. Why do we think this is important? While there are several common trends in the ever-changing retail industry, NLS believes that there is no solution that fts all. Te way our retail technology is built gives us the fexibility to deliver customized solutions according to the needs of each of our lottery partners and their distinctive retail environment.

In Spain, NLS is launching a full lottery system for Loteria de Catalunya including retail, Internet and mobile. Te solution, due to go live this year, is managed end-to-end by NLS and the project includes migration from an aging central system. Our thin-client terminal application will be running on 2,500 lottery terminals. Te terminal manufacturer and type were selected in cooperation with the lottery to achieve the best ft to their POS confguration. Retailers will also be equipped with digital screens to show the lottery’s quick Keno game and display additional digital content to draw players’

Omni-channel is an essential element of NLS’s retail development program. They believe that the key success factor for any lottery is that their games should be available on all channels relevant to today’s players. INSIGHT INSIGHTINSIGHT

attention. Sales representatives will beneft of the Android lottery terminals as well as from a market-leading lottery sales force other retailer-specifc hardware solutions. “The retail world has be automation tool. Taking advantage of NLS’s Bring Your Own Device approach, retailers will be able to forced to change by the BYOD in Africa use their own tablets, smartphones, and onslaught of Internet- Our other lottery partner, Superior Games, portable printers connected securely to our based sales offers. Retail went live last summer in Nigeria. Te retail system. Tis will enable Superior Games to terminal there is an Android device specially increase growth even faster in a cost-ef- has adapted, becoming designed to tackle the challenges of a retail cient way. more agile and working environment with poor infrastructure and with the Internet in an unstable connections. It ofers 23 hours of Afer a competitive procurement process, battery life and is equipped with a built in Promosport, the National Sports Lottery ‘omnichannelesque’ way, barcode scanner, receipt printer, and dual in Tunisia, selected Novomatic Lottery by giving buyers the SIM cards. Solutions to provide a pari-mutuel sports option to order online betting system that includes up to 3,000 NLS deployed the entire lottery solution in lottery terminals – and in this case again, but collect at the store. less than six months. Te number of termi- the lottery was free to select the terminal That’s what we do. Give nals will soon reach 1,000, and the lottery’s manufacturer of its choice. Tunisia’s pro- the buyer options!” intention is to further grow their retail net- gram will also involve a full migration from work to 10,000 points of sale. To support a legacy central system. Te NLS thin-cli- Miriam Lindhorst, CEO NLS this growth, NLS will continue the rollout ent approach makes it possible for NLS to

ofer the best technology that fts the specifc needs of diferent lotteries, address the challenges facing the retail industry, and create customer-centric retail environments.

Omni-channel opportunities Omni-channel is another essential element of the NLS retail development program, allowing players to enjoy continuity between channels. Te seamless customer journey can start anywhere, depending on where the player fnds the lottery – browsing on their smartphone or walking into a store. Te key success factor today is that the lottery should be available on any of the channels that are relevant to today’s customers. For example, players can buy lottery tickets at a retailer equipped with lottery terminal or in-lane by identifying themselves with a player card. Tey can even log in to the lottery’s website, claim the retail winnings into their wallet, and continue playing with that amount online.

It also works the other way around: players walking into a store can ask for the online winnings to be paid out in cash. Tis is a powerful card in the lottery’s hand as it is possible to drive players across channels. In addition, with efective sales techniques, it is a huge advantage for the retailer – if the player can claim online winnings in the store, they may buy new lottery games instead of cashing out the small winnings. INSIGHT INSIGHTINSIGHT

Retail has always been a very competitive day it is more complex than ever before. Better informed consumers environment, forcing market players to in- As modern technologies became available Te popularity of online shopping and the novate continuously in order to retain their and afordable for most customers, the tra- range of diferent product groups bought customers. But in recent years the evolution ditional way of buying at retail completely online is continuously growing, while the of retail technology has accelerated and to- changed. number of retail visits is decreasing. Even if a INSIGHT INSIGHTINSIGHT

customer decides to purchase in a shop, the buying decision is infuenced in many difer- “Recruiting retailers, installing and maintaining ent new ways other than advertising – social media, product comparison sites, or other terminals is an expensive exercise. It’s becoming harder mobile apps. So players are more informed and harder because retailers don’t want a great big lump of plastic sitting on their high-tech counter tops. If we reduce the number of points of presence in retail we place emphasis on fewer retailers to sell more, which means fewer players buy more, – is that responsible? If we can reduce the size/cost/footprint of a terminal, or indeed reduce it to an app sitting in an existing device, we keep everyone happy, the cost is much lower, so we can install many more terminals, we can increase our points of presence to reach a wider audience and also be present in places we never thought possible.

Think Bigger, Think Wider, Expect Better!” Frank Cecchini, CEO and Managing Director NLS

than ever; they do their research before en- Retail opportunities… and risks tering a store and they are more specifc with Regardless of online purchasing trends, their decisions. With NLS’s retail develop- retail will always have something irre- ment program and unique solutions, we can placeable to ofer: personal one-on-one prepare our partners for these developments. connection. As retail clerks are the frst point of contact with the customers, they We believe that mobile technologies will are an important part of the customer ex- have a signifcant impact on the future cus- perience. In the eye of a player, a retail clerk tomer experience by connecting traditional represents the lottery. Tat can be both an retailers with today’s customers. With the opportunity and a risk, as the lottery can- NLS Retail Companion mobile app we have not directly control how a retailer commu- created an environment for today’s players nicates with the player. that is more familiar than existing smartphone or online interfaces. With this app’s Nowadays, players can easily access infor- innovative features, we believe that lotter- mation anywhere, even while queueing ies can drive players back to the retailers. inside a shop to get product information According to a recent study by Juniper by scanning a QR-code or using an app. Research, more than three billion loyalty Tey expect retail clerks to be at least as cards will operate as mobile-only or be in- well informed, if not better! NLS believes tegrated into mobile apps by 2020 – and in technology that can deliver real value to this is where NLS’s Retail Companion app the customer experience, and one way we is positioned. Why would customers want do this is by providing the lottery with the to carry several diferent loyalty cards in technology and tools they need to help re- their wallet when they can have them all in tailers become even more credible and ac- one smartphone? curate while dealing with players.

NLS's hardware-agnostic solutions can be customized to meet the needs of their lottery partners and are adaptable to individual retail environments. GOOD CAUSES GETTINGGOOD THE MESSAGE CAUSES ACROSS

Caring and Sharing in Malaysia

In addition to returning a portion of its lottery taxes to the Government, Magnum Corporation strives to foster a culture of “caring and sharing” and a company-wide dedication to community engagement, social responsibility, and a more inclusive society.

Since its inception in 1969, Magnum has giving, healthcare, welfare and culture. All pursued a proactive policy of corporate so- Magnum’s CSR initiatives are implement- cial responsibility. Today, a dedicated CSR ed under the MagnumCares umbrella to arm called MagnumCares is in place to lead continuously spread a spirit of caring and and support the Group’s community engage- sharing that aims to be both impactful and ment activities. sustainable.

Magnum adopts a holistic approach to CSR, Tere are four key values, formalized in organizing initiatives that address the mul- the MagnumCares Charter, that guide the tiple segments of the community’s needs organization in meeting its CSR commit- in the key areas of education, charitable ments:

Early detection of vision problems can be key to academic success. To date, more than 33,000 children have taken part in Magnum’s I Can See Clearly Now program. GOOD CAUSES GETTING THE MESSAGE ACROSS GETTINGGOOD THE MESSAGE CAUSES ACROSS

• CARING: Before they can start to be caring corporate citizens, Magnum believes Magnum Corporation that companies need to genuinely understand that there are vulnerable members Magnum became the first legalized lottery operator in Malaysia in 1968 and is a pioneer of the community who need assistance, and market leader in 4D numbers games. With just over 300 full-time employees and and they need to recognize the potential nearly 500 points of sale, the lottery generated USD 881 million in sales in 2014 and – and the limitations – of the role they returned more than USD 200 million to the state as taxes and duties and to fund good can play in providing that assistance. causes. Magnum has reached Level 2 of the WLA Responsible Gaming Framework and is certified to the WLA Security Control Standard. CEO Dato’ Lawrence Lim Swee Lin • SHARING: Another key value is show- is the APLA representative on the WLA Executive Committee and Beh Swan Swan, Head ing compassion and concern toward of CSR and Chief Information Officer, is the APLA Secretariat Administrator. vulnerable members of the community, and also ensuring the well-being of its own workforce. For Magnum, sharing goes beyond providing fnancial support and includes supporting activities that help to retain the cultural heritage of all Malaysians.

• SUSTAINABLE: Te assistance provided by Magnum has to be sustainable. When- ev er possible, it has to go further than fnancial assistance and provide opportunities for vulnerable members of the community to become more independent and self-sufcient over the long term.

• IMPACTFUL: Prioritizing community engagement eforts is also a key value. MagnumCares endeavors to make a diference by providing assistance when it is needed most and ofering help that can have far-reaching impact to benefciaries.

Nobody can do Everything With seed money provided by Magnum, the company’s employees raise funds across but Everybody can do Something Malaysia to organize eye checks for schoolchildren and provide prescription eyeglasses to Magnum focuses its CSR eforts on four students in need. broad groups – the community at large, young people across Malaysia, Magnum Group em ploy ees, and like-minded partners – and con centrates on medical, welfare, education, and cultural activities. Following the mantra that “nobody can do everything but everybody can do something”, Magnum or- ganizes numerous programs involving employees, sales partners, sales staf, and young people in Malaysia, empowering them to take charge and make a diference in their lives by ofering voluntary services to help the community.

Education Since 1995, Magnum has organized its Academic Motivation Awards program to motivate students to achieve their best aca- demically. Other awards, including Most Improved Student and Most Caring Teacher, Students receive a personalized eye care booklet including eye care tips and an individual are also gaining recognition across Malaysia. eye screening report for future reference. GOOD CAUSES GETTINGGOOD THE MESSAGE CAUSES ACROSS

17% were found to need eye glasses to cor- Multi-ethnic, multi-cultural Malaysia rect their vision.

With a population of 30 million, Malaysia enjoys a strategic location in the Asia Pacific Long-term impact region, sharing land or sea borders with six other countries (Brunei, Indonesia, the One key takeaway from the program is that Philippines, Singapore, Thailand, and Vietnam). The head of state is the king, who is most of the young children tested were not elected by the hereditary rulers of the nine Malay states and now plays a largely cer- even aware of their poor vision until they emonial role. Legislative power is shared by democratically elected federal and state took part. “If a child cannot see clearly in governments. Resolutely multi-ethnic and multi-cultural, Malaysia has a newly industri- the classroom, they will lose interest in alized market economy, ranked third largest in Southeast Asia. GDP has been growing their studies and perform badly academi- at an average of 6.5% per annum for almost 50 years. cally. It is likely that they will be labelled as slow learners and become discouraged,” explained Beh Swan Swan, Head of CSR at the In addition, Magnum sponsored educational Members of the workforce initiate fund- Magnum Group. seminars for teachers with experts presenting raising activities, identify primary schools, various topics ranging from new classroom arrange for eye screenings and pay for cor- I Can See Clearly Now campaign is helping technology to more traditional subjects such rective eyewear for children who need fnan- to raise awareness and assist young children as the appreciation of Chinese literary arts, cial assistance. to detect early vision problems and to seek couplets, and calligraphy. Te company al- corrective actions. It also aims to enlighten so supports the national secondary school Te lottery provides seed money for the pro- parents and teachers and encourage them to Mandarin Debate Competition that culti- gram, and Magnum employees themselves monitor their children and young students vates oratory skills, analytical thinking and then carry out fundraising activities every and encourage proper eye care habits. team spirit among young people in Malaysia. year and invite family members and friends to help promote the campaign. To date, 122 “We believe this campaign is both impactful I Can See Clearly Now Campaign eye-screening sessions have been conducted and sustainable,” said Magnum CEO Dato’ Since 2013, Magnum employees have been at 113 primary schools and 9 welfare homes Lawrence Lim Swee Lin. “I am proud to see the major force in promoting and imple- throughout Malaysia. the MagnumCares spirit shining brightly menting the I Can See Clearly Now cam- amongst our employees. Magnum will con- paign to raise awareness on eye care and More than 33,000 children ranging from tinue to stand by our people to support them the need for early detection and correc- 7 to 12 years old have had their eyes tested – in carrying out good and worthy causes.” tive vision solutions for young children. and the results were alarming as more than Welfare and community engagement Magnum’s approach to community welfare is distinctly practical and hands-on. Over the Chinese New Year period, for example, Magnum staf visit senior citizens and children in welfare homes to bring them festive cheers and traditional gifs. Te company also helps make improvements on the living conditions in the homes.

Magnum initiates community engagement projects to encourage and bring together like-minded partners, individuals and NGOs to volunteer their time for good causes.

Trough the Cepat Cepat Tolong (“quick help”) program, for example, Magnum and its workforce provide emergency assistance to those in urgent need. In 2015, for example, the company stepped in to help one cancer suferer meet her medical costs, while the Portuguese community center in Malacca received funds to repair a leaking roof so that free-tuition classes could resume. The carnival held to coincide with the UN International Day of Charity in 2015 raised funds for eight welfare homes and attracted support from like-minded volunteers including the On the community support program, the scouts, the local Lions Club organization and the Canadian Association of Malaysia. company teams with sales partners and sales GOOD CAUSES GETTING THE MESSAGE ACROSS GETTINGGOOD THE MESSAGE CAUSES ACROSS

staf in diferent parts of the country to pro- thing,” says Beh Swan Swan, “but this com- vide direct, practical support in their local munity-driven project really shows that neighborhoods by helping to raise funds for everybody can do something!” those in need. More than 200 individuals and families beneft each year. Youth Te fagship Magnum campaign in favor International Charity Day Carnival of young people is called Youth In Charge. In 2015, in conjunction with the United It started with a creative talent contest that perts then judges the fnalists’ entries. Winners Nations International Day of Charity on encourages young people across Malaysia to receive cash prizes and Magnum makes fnan- September 5 – which is also the anniver- use their skills to design new communication cial donations directly to the charity homes as sary date of the passing of Mother Teresa – tools for charity homes. Young Malaysians well as covering production and hosting costs Magnum organized an International Charity aged 18-35 are invited to design a video, a for the promotional materials. Day Carnival to raise funds for eight welfare website, a brochure, or a T-shirt to help raise homes. public awareness and draw more public sup- Over the years, this CSR initiative has at- port and assistance for the benefciaries. tracted a great deal of interest from charity Te fun-flled carnival in the Taman Jaya dis- homes as well as art and design students. trict of Petaling Jaya ofered varieties of food Shortlisted entries in each category are put up “Course lecturers now encourage their stu- from diferent communities in Malaysia and for public voting and a panel of industry ex- dents to participate, so we know we have further afeld, as well as handicraf items, fashion accessories, merchandise, aromather- apy products and much more. Professional hair-stylists were on hand to provide their services, and other volunteers set up stalls offering face painting, henna painting and free consultation on traditional Chinese medicine.

Winners of the Magnum talent contest per- formed for guests, and local singer Hugo Wong made a special appearance as well. With games booths, clown acts, instant pho- to booths and a karaoke contest to round out the festivities, the carnival was a major attraction for members of the public and raised over USD 22,000 for the charity homes.

For the community by the community Perhaps the biggest success of the charity The ﬂagship program Youth in Charge encourages young people to use their creative talent event was the huge amount of support it at- to help fundraising efforts by charity homes. tracted from volunteers eager to do something concrete to help organize the event. As soon as the carnival was ofcially announced in April 2015, contributions of items for the carnival sale started pouring in from sup- porters and like-minded Malaysians.

Magnum employees prepared food and made handicraf items to sell, as well as as- sisting as stall operators on the big day. All in all, some 300 people were involved in putting the event together and an estimated 3,000 people visited.

Welfare homes fnd it very challenging to make ends meet on a day-to-day basis, especially as food costs increase. Magnum is proud to have had this opportunity to help Dato’ Lawrence Lim Swee Lin, Chief Executive Ofﬁcer, Magnum Group (center) with some them take care of the physically challenged, of the 2014 Youth in Charge winners and judges as well as charity representatives and se- mentally challenged, fnancially challenged, nior Magnum staff members. Beh Swan Swan, Head of CSR and Chief Information Ofﬁcer, and the homeless. “Nobody can do every- Magnum Group, is on the far left. GOOD CAUSES GETTINGGOOD THE MESSAGE CAUSES ACROSS

managed to convince them that this is indeed a good project!” said Beh Swan Swan. “To date the campaign has donated the equivalent of more than USD 60,000 to 35 charity homes as well as helping them to generate sustainable sources of income by providing frst-rate promotional materials.”

Magnum Youth In Action Tis program aims to encourage young people to participate in CSR-related activities. Magnum regularly partners with other like-minded organizations to have an added impact, and in this program the lottery has teamed with the Truly Loving Company (TLC) for the last several years.

Te Truly Loving Company is a social enterprise that uses a corporate proft model to build a brand and in turn generate long-term, sustainable income for charities. Te TLC brand produces mainly household cleaning products, and the company’s relationship with Magnum is a further indica- tion of the lottery’s focus on the practical side of giving and raising funds for charity.

For the latest joint project, Magnum supported TLC by organizing a Zumba Fitness Party for Charity at the Mega Star Arena in Kuala Lumpur. Te event was designed to help charity organizations cover their monthly grocery requirements and attracted a full house of more than 600 enthusiastic participants.

4D – the national game of Malaysia!

Hugely popular in Malaysia, the 4-Digits numbers game (4D) is a fixed-odds game similar to “Pick 4” in the United States and Canada. Magnum was the first operator licensed by the Malaysian government to operate the 4D game, although other lottery operators soon followed suit. Today Malaysia has three main number forecast operators – Sports Toto Malaysia, Magnum and Da Ma Cai run by Pan Malaysian Pools – all of which are independent private companies (and WLA Lottery Members). Magnum offers the classic 4D game as well as other variations including 4D Jackpot, 4D Jackpot GOLD and recently the 4D Powerball games, Headlining the Zumba Fitness party were popular Zumba Jammers Deno Au from Malaysia which include a pari-mutuel element and Gerald Tay from Singapore, with seven leading ZIN instructors also performing their and pay multi-million ringgit prizes. dance routines at the charity event. GETTING THE MESSAGE ACROSS INSIGHT INSIGHTINSIGHT

Lottery scams: a never ending plague

On a weekly basis the WLA office receives numerous queries from people who have been contacted by criminals posing as lottery officials informing them that they have won a substantial prize. Unfortunately, many innocent people still fall victim to this fraudulent ploy. In order to protect our player base and secure the integrity of our lotteries, it is essential that we inform the public about lottery-based scams and how they operate.

A scam is a fraudulent scheme that sored by a well-known lottery or uses deception to induce persons to a fctitious lottery with a familiar make disposal of their property, as- sounding pseudonym. Scam artists sets, or personal information for the have even been known to use the sole advantage of the scammer. A actual name of a lottery’s CEO or lottery-based scam is one that mis- the president of one of the regional uses a bona-fde lottery’s reputation associations in order to help their or its lottery products as a means to fraudulent e-mail appear legitimate. deceive. It is not uncommon that scam art- Lottery scams belong to a category ists put up fake versions of a lot- of fraud known as the 419 advanced- tery website with very similar URLs fee scam. Te scam typically involves such as thepowerball.com instead promising the victim a large sum of powerball.com. In such cases of money, for which the fraudster the victims are directed to these requires a small up-front payment websites where they are asked to from the victim in order for them fll out an online claim form. To to receive the larger payout. Te counter this action, it is advisable 419 scam originated in Nigeria in for lotteries to own multiple, simi- the 1990s, when the country’s oil- lar-sounding URLs that redirect to based economy went into recession. their ofcial websites. Tis has be- Unemployed university students come particularly important today frst used the 419 scam as a way of as new Internet generic top-level manipulating business visitors inter- domains (gTLDs), similar to .com ested in shady deals in the Nigerian and .org but denoting brand names oil sector. Te number “419” refers or generic categories (like .lotto or to the section of the Nigerian crimi- .sport), came into efect in 2013, ex- nal code dealing with fraud. In 2015 fraudulent WLA RGF certiﬁcates were circulating panding the possibilities for the cre- claiming the recipients had won USD 1.5 million. ation of fraudulent lottery websites. Te earliest 419 scams were sent by letter, fax, or telex. Te advent of e-mail signif- 2004 to USD 198.4 million in 2007. Almost a Once a potential victim has been convinced icantly facilitated the distribution of scam let- decade later, the incidence of Internet fraud that the scam e-mail is from a legitimate or- ters via the Internet. Mass e-mailings sent to a continues to grow unabated. Actual fgures ganization, they are informed that in order hundred thousand e-mail accounts can propa- may be much higher, as many victims are ei- to collect their winnings they will need to gate worldwide in a few short seconds and at a ther too embarrassed or too afraid to report advance a processing fee. As soon as the pro- very low cost to the scammer. Given the thou- their case to law enforcement authorities. cessing fee has been forwarded to the bank sands of responses that scammers will likely of the criminal organization, the criminals receive, even the smallest percentages of suc- In the lottery-based scam, the victim typi- break of all contact with the victims and cess yield tremendous gains for the criminals. cally receives a fake e-mail notice announc- make of with their money. ing that they have won a large jackpot. To According to a 2007 article in the San avoid suspicion, the victim is usually told 1 Francisco Chronicle , losses to Internet fraud that they had been entered into the lot- 1 Rosenberg, Eric (March 31, 2007). “U.S. Internet more than tripled from USD 68 million in tery draw as part of a free promotion spon- fraud at all-time high”. San Francisco Chronicle. INSIGHT INSIGHTINSIGHT

Scams artists have even been known to use the name of an existing lottery, the name of a lottery’s CEO, or the name of the president of one of the regional lottery associations, in order to help their fraudulent e-mail appear legitimate.

Each week, lotteries around the globe re- with whom they have a prior established Tey should also be given the following ceive thousands of e-mails from people hop- relationship. A guide to combating lottery- practical advice: ing to confrm the legitimacy of an e-mail based scams is available for downloading stating that they have won big in a lottery. from the WLA website at www.world-lot- • Tey should not respond to fraudulent Even worse are the queries from anxious teries.org. e-mails. people on the status of a prize afer they have paid the required “processing fee”. To help our players avoid falling victim to • Tey should not pay any money in advance. lottery scams, it is important that they are Although lotteries are not liable for scams aware of the following points: • Tey should protect their bank account or the harm done to the victims of scams, numbers and other fnancial data. it is our duty to help people avoid being • You cannot win a legitimate lottery if you harmed by such fraudulent schemes as ser- have not entered it. Scams will never go away entirely; they can vants of the public good. WLA member lot- only be minimized. It is difcult, if not im- teries should deploy a cooperation network • In almost all cases you must purchase a possible, to address lottery scams by legal with other member lotteries at the regional, ticket to enter a legal lottery. means. Te perpetrators of Internet-based national, and international levels, and en- scams can dissolve their operations as quick- gage in common actions such as public • You never have to pay a processing fee to ly as they can set them up, ofen without or Internet-based information campaigns. collect winnings from a legitimate lottery. leaving a trace. Te only way to efectively Member lotteries should also engage in co- contain lottery-based scams is through in- operation with local authorities, including • In countries where lottery winnings are creased awareness and by ofering assistance consumer organizations and law enforce- taxable, you either pay taxes afer you to people seeking guidance. Information ment agencies, developing a network of receive the winnings or the taxes will and education are the proactive tools that contacts for public referral. Equally, when be deducted from your winnings by the lotteries can use to reduce the impact of member lotteries are advised from another bone-fde state lottery and forwarded to scammers on the public. In mitigating the jurisdiction about an on-going scam against the tax authorities. Taxes are never paid harm done to victims, we also avoid col- their residents, this information could be in advance of receiving a lottery jackpot lateral damage done to the reputations our transferred to local law enforcement ofcials payout. lotteries. CORPORATE NEWS CORPORATECORPORATE NEWS NEWS

Mobile isn’t just player-centric

Since the inception of lottery games, the lottery industry has chiefly relied on the retail environment as its primary sales channel. Traditional lottery retailers include corner shops, convenience stores, gas stations, tobacconists and newsagents, just to name a few. Aware of this, Novomatic Lottery Solutions (NLS) provides a full spectrum of lottery solutions to help lotteries seek out and retain their retail players wherever they play.

Traditional lottery retail solutions consist of Many POS, if not most, will be tablet or Te beneft of “retail network optimization” a dedicated lottery terminal with a built-in mobile devices. Te retail industry is rap- is clear: a traditional retail setup approach is optical scanner, external high-speed ther- idly moving away from large, boxy “cash expensive and many lower volume retailers mal printer and other peripherals. But re- registers” and towards compact, practical, simply do not generate enough revenue to tail is changing fast, so if your lottery wants mobile POS systems. Te solutions we pro- justify the expense. its games to be part of the product mix vide for our retail networks must follow. and maximize its audience, then the way Tere is a genuine opportunity to change Te downside is equally clear: a reduced re- you conduct your lottery business must too the business of running a retail network. In tail footprint limits the public’s exposure to evolve. recent years our industry has been focused games and reduces the number of players on “retail network optimization” which has from which revenue is being gathered. Tis Te days of arguing the merits of mobile as a nice ring to it but it efectively means the has serious implications with regard to re- a player-facing sales channel appear to be number of retailers and players that can be sponsible gaming and further weakens the over. Mobile is where it’s at. Lottery afer reached is diminishing. lottery’s ability to react to sudden changes lottery has discovered that adding a player- facing mobile sales channel increases overall sales. Furthermore, making mobile a full partner in the channel mix reduces player confusion; players won’t understand why some games are available in some channels and not in others.

Tis lack of understanding isn’t without merit. Outdated lottery solutions prevent a player from playing on one channel (typically mobile or tablets) while letting them play on others (e.g. home Internet). Tis inconsistency is detrimental to the lottery industry. No one would dream of telling players that they could only contact the lottery’s customer service desk from their land- lines and not from their mobiles. So why use a solution that only allows some games on some channels?

It is now time to look at opportunities for mobile devices beyond the obvious player- facing solution that many lotteries already have and others are looking to add, bar- ring legal restrictions. Be they tablet or smartphone, mobile devices are compact yet powerful. Tey are built for Internet connectivity and human interaction. Go to any mall in Europe, walk through the NLS’s tablet-based solution enables lotteries to expand their retail networks by making stores, and notice the POS solutions in use. low-volume retailers affordable. CORPORATE NEWS CORPORATECORPORATE NEWS NEWS

in trade styles or consumer behavior in re- ing retailers of any size afordable. To do devices, Internet technologies and a difer- tail. To put it another way, purebred dogs this mobile device and mobile solutions are ent way of thinking is key to accessing that have a small gene pool and sufer from more key. Imagine a retailer with a tablet-based untapped revenue. health issues than mutts who ofen seem POS system, or even just a tablet or smart- impervious to anything short of the slow phone in the store, who downloads an app NLS provides solutions that enable lotteries march of time. capable of selling lottery tickets. Tickets to expand their retail networks by making can be delivered to players either wirelessly low-volume retailers afordable. Tis is not But there is another, more benefcial way or through shared or dedicated printers. an area where “one size fts all” but rather an of dealing with retailers who do not sell Communication for this retailer can be done area where NLS agile solutions work togeth- enough to justify the current setup: reduce over the retailers own Internet connection, er to solve business needs in a more efective the cost of managing a retailer. wired or wireless. Te cost of setting up this way. As an example, combining the NLS mo- retailer is close to zero. bile lottery retail application with a printer Tere is no doubt that large-volume retailers and scanner from CUSTOM (http://www. merit special treatment. Tey require large Tis retailer may not become the biggest custom.biz/) provides a more cost efective terminals with fast printers and thick paper retailer in the network but add enough of way of scanning, buying and printing lot- rolls. Depending on the volume, a dedicated these small retailers to the network and the tery tickets. Another example adds the NLS line and ofen a backup line from a difer- proverbial retail gene pool will deepen, mak- In-lane lottery solution to the retailers ex- ent provider can be justifed to ensure that ing the lottery less susceptible to changes in isting POS system. Lottery tickets can then all steps have been taken so the retailer can trade styles. Tese retailers can also seri- be sold through the same POS system that continue selling regardless of the conse- ously grow revenue: 2000 retailers generat- the retailer uses during the normal course quences. Te opportunity today is in making ing EUR 100 (USD 107.77) per week in sales of their business. Both solutions reduce, or low volume retailers proftable. adds up to EUR 200,000 (USD 215,460) per eliminate, the footprint of dedicated lottery week, or EUR 10,400,000 (USD 11,204,308) hardware in the retail store while at the same Te growth opportunity is not “optimizing” per year. A lot of good could be done with time serving the same need at a lower cost to but expanding the retail network by mak- that kind of money and the use of mobile the lottery. CORPORATE NEWS CORPORATECORPORATE NEWS NEWS

Inteltek’s iddaa®: A sure bet in Turkey

Just over a decade since it was introduced as Turkey’s first fixed-odds betting platform, iddaa® has reached a 99% brand awareness rate countrywide. The brand shows no sign of slowing in 2016, as new research indicates that the iddaa® customer base continues to grow.

Turkey is a country of strategic importance jurisdictions in fve continents, and Turkcell, Turkish gaming authority operating under in the global gaming market. Tanks to its the frst and largest GSM communications the Turkish Ministry of Youth and Sports, demographics and to the passion of the company of Turkey, operating in nine coun- which holds the largest share of the country’s Turkish people for sports, the market is ro- tries with a total of 71.5 million subscrip- gaming market. bust and presents great potential for sizeable tions, were granted the exclusive operation growth. of fxed-odds betting and pari-mutuel bet- Inteltek’s leading role in the ting games on sports events in Turkey (in- sports betting business in Turkey In 2004, Inteltek, a joint venture of cluding sales and marketing operations, Operating as of 2001, Inteltek has become INTRALOT, one of the leading players in technological infrastructure and risk man- prominent as one of the largest players in the the global gaming market, operating in 57 agement), by Spor Toto Directorate – the sports betting sector in Turkey and the wid-

Where there’s iddaa® there’s excitement: The Inteltek brand is Launched in April 2004, iddaa® has grown to become one of the a unique success story in Turkey. most successful sports betting brands in the world. CORPORATE NEWS CORPORATECORPORATE NEWS NEWS

er region. By establishing a brand that stands trywide, becoming a very strong and popu- for quality and global standards, Inteltek is a lar brand. Te brand’s adventure continues unique success story in the Turkish econo- to unravel as 2015 research fndings indicate my during the last decade. Inteltek has been that iddaa® players, currently estimated at recognized as one of the 10 largest economic 8.6 million, are increasing gradually. projects in Turkey, ofering employment to tens of thousands of people through a net- In order to meet the diversifed needs of such work of 5,700 retailers and six e-networks a large and growing player base, Inteltek has that ofer its branded sports betting game, set as new priority the use of digital plat- iddaa®. forms, so that all relevant and time-centric data that players may require is readily avail- Launched by INTRALOT’s subsidiary in able through the web, tablet, and mobile April 2004, iddaa® is one of the most suc- channels via the world’s leading content pro- cessful sports betting brands in the world. viders. Tus, players can easily access all pre- With iddaa®, Inteltek has made Spor Toto and post-match statistical data as well as Directorate the leading player of the Turkish match and coupon results, on Inteltek digital gaming market, as the game’s market share platforms. In addition, Inteltek is also devel- has increased from 1% to 56% in 11 years. oping new specialized digital technologies Today Spor Toto’s turnover reaches nearly that enable players to obtain live informa- USD 3.5 billion, from USD 17 million in tion at the points of sales, such as iddaa® TV. 2003. Maçı izlerken formayı yanındakiyle değiştirme totemine forma dönergeci denir. Supporting good causes Capitalizing on INTRALOT’s experience Senin totemin hangisi? Iddaa®’s success is refected not only on an and worldwide betting operations know- www.iddaa.com impressive turnover growth but also on in- how, Inteltek provides full turnkey products valuable resources for various good causes. and services solutions, including the deploy- Iddaa® has reached a 99% brand awareness Substantial funds, nearly USD 11 billion, have ment and operation of the central betting rate countrywide. been allocated to the Turkish state in taxes system, connected online to the terminals and other public fees and earmarked for the located in each point of sales. Inteltek also Later, iddaa® was gradually re-positioned as advancement of Turkish sports, education and manages game content and logistic opera- a brand that changes the way ordinary peo- research, and other social goals, for the beneft tions, provides help desk and maintenance ple – those who watch football matches but of society. With these funds, over 2,000 sports and support services to sales agents, and are not passionately engaged with football facilities have been built and multiple sports delivers 24/7 call center service to players. – view the sport. Te main strategy was to events, as well as national and international What’s more, INTRALOT’s subsidiary has create the perception among this audience tournaments, have been made possible. successfully integrated the iddaa® brand in of social viewers of football that iddaa® is a the scope of all corporate activity, includ- brand that not only intensifes the excite- A member of the INTRALOT Group, ing marketing, sponsorships, and corporate ment of the game, but also the very excite- Inteltek shares in the values of its parent identity itself. ment of life. company and believes in the importance of the giving back to the community by sup- Since 2004, Inteltek has earned the loyalty By adding more sports to iddaa®’s game port- porting social responsibility projects that re- of players by leveraging new global gam- folio besides football in 2009, the brand’s fect the expectations of social stakeholders. ing trends in continual improvements in the target audience expanded even more, as Te company supports the Disabled Sports full range of gaming products, by integrat- motorsports fans or basketball lovers gained Support and Education Foundation, which ing risk management at all stages of game access to what was by then a branded world, is engaged in the social inclusion of persons development and by diversifying product the world of iddaa®. with special needs by facilitating their access oferings to meet personalized player pref- to education and participation in sports. erences. Today the INTRALOT family is proud to Furthermore, iddaa® is the main sponsor of see Inteltek’s iddaa® brand has come of age. Rakipbul League, an amateur league that al- Iddaa®: Turkey’s one and only As such, the team’s communication strategy lows its community of 150,000 members to sports betting brand has again evolved and is now based on the experience professional football on artifcial In the launch of iddaa®, Inteltek’s market- concept that iddaa® is a brand that ofers ex- pitches, with almost 20,000 events per year. ing team implemented a communications citing gaming entertainment to sports fans campaign aiming at creating brand aware- with a plethora of interactive gaming fea- Te leading provider of sports betting enter- ness among football fans aged between 18 tures enabling players to live and share their tainment in Turkey, Inteltek has partnered as and 45 who could embrace the brand and personalized virtual gaming experiences. of 2008 with the Turkish Football Federation be enlisted as an iddaa® brand ambassador. and the Spor Toto Directorate for the protec- Tese brand ambassadors were critical to the Now more a decade since it was frst in- tion of Turkish football, signing an agree- initial stage of market penetration and also troduced to players in Turkey, iddaa® has ment for the preservation of the integrity of boosted the popularity of the game itself. reached a 99% brand awareness rate coun- sports and ethical values in football. CORPORATE NEWS CORPORATECORPORATE NEWS NEWS

Aurora Navigator Empowering lotteries with a back-ofﬁce solution that lets you “see it your way”

Businesses the world over are constantly looking for innovative ways to operate more efficiently, expand services, and make their employees’ work both easier and more productive – and lotteries are no exception. Aurora Navigator, part of IGT’s Aurora suite of smart, open solutions, was built specifically to respond to lotteries’ needs for enhanced efficiency, more agility, increased responsiveness, and greater interoperability in their back-office platform. Functionally rich, user friendly, and adaptable, Aurora Navigator speeds interdepartmental processes, improves decision-making capabilities, and empowers users.

Aurora Navigator features a responsive de- model avoids the need for duplicate coding sign, an all-new user interface (UI), and and testing, enabling faster changes to be widgets with data graphics specifc to a user’s made to the solution when necessary. From job function. (A widget is a small application a lottery perspective, the use of APIs will within a web browser that displays informa- allow IGT to be more responsive than ever tion and allows the user to interface with the to each lottery’s unique requirements. Tis system. Widgets common for smartphones, new simplifed framework provides a level for example, include clocks, calendars, and of fexibility in customization that has never weather updates.) before been seen in the industry.

To ensure the UI is separate from the back- See it your way – whenever, end services, Aurora Navigator is based wherever, and however you entirely on Application Programming Inter- choose fac es (APIs). Te services themselves are From an end-user perspective, one of Aurora also separated from each other. Tis new Navigator’s primary advantages is that its UI

As our industry has matured, lotteries require more agility, more interoperability, and a more truly omnichannel experience than existing systems can provide. Aurora was built to respond to lotteries’ needs and rapidly changing market conditions. Aurora Navigator lets users put those items that are most important to them front and center, thereby increasing their efﬁciency. CORPORATE NEWS CORPORATECORPORATE NEWS NEWS

back-ofce application solution in the indus try. Changes to the UI can be made independent of the back end.

• Easier to Conﬁgure: IGT’s pioneering service confguration uses a true client/ server model that, by separating the client (UI) code from the back-end service, allows making changes (for example, a change to the retailer application process) without reprogramming. Tis service confguration is enabled by APIs.

• Role-Based Navigation: Users can customize their display based on their specifc daily job functions and preferences, increasing productivity.

• Enhanced User Experience: Breadcrumbs reduce the number of steps needed to get back to higher level pages, while wizards walk users through step-by- Aurora Navigator’s responsive design adapts to any screen size and operating system, pro- step operations. viding lottery staff access to the information they need anytime, anywhere, on any device. • Extended Range of Use: As a testament is role based. Starting with the data users experience. “Breadcrumbs,” a type of sec- to IGT’s ongoing commitment to open see on the initial portal, and continuing to ondary navigation scheme that reveals the standards, Aurora’s technology enables the specifc tasks they see to do their job, the user’s location in a website, provide short- extending back-end services across mul- home screen, or dashboard, would be unique cuts to get back to a higher-level page or tiple applications. For example, a lottery’s to each type of user: an accountant’s screen, original landing point. “Wizards” lead us- sales force automation, retailer website, for example, will present completely difer- ers through multistep processes, ensuring and retailer management applications ent information from what would display that each step is followed, and allow them may all now share the same service – no for a marketing director or a security ofcer. to see their progress – even if that process is need for separate coding! Plus, Aurora Navigator easily allows for even shared by multiple users. In the case of miss- greater personalization, by enabling users to ing information, Aurora Navigator makes • Greater Responsiveness: Navigator’s “drag and drop” widgets onto their own dash- the user aware, but enables forward progress responsive design allows it to scale in board, and position them so they are readily to continue; an authorized user can simply a user-friendly manner from small- to available. A retailer management user can go go back to complete that information when large-screen formats and across diferent right to what he or she needs to perform daily it becomes available. Tis is especially ben- browsers. tasks, while executives may choose to see high efcial for application processing, change of level information about all aspects of the busi- ownerships, promotions, and other tasks Aurora represents IGT’s advance into higher ness on their dashboard, then drill down for that include several variables and/or require performing and more reliable lottery technol- more detail where desired. Anyone who uses multiple felds to be completed. ogy solutions to meet the industry’s evolving Aurora Navigator can customize the look, needs. Aurora Navigator, the portal to this layout, and feel of the interface to meet their To develop this solution, IGT dedicated a exciting new suite, fully embodies the smart, exact needs, help them better manage their great deal of time and efort researching open, agile solutions IGT has developed to business, and enhance their productivity. what lottery users wanted in a back ofce ap- drive lottery proftability and growth. plication and user interface, as well as what Another of Aurora Navigator’s most useful best practices are in this space across other features is that it is both browser and device industries. Tose two inputs were the driv- Functionally rich, user independent. Tis empowers users to work ing forces behind this advancement. friendly, and agile, on any device – desktop, laptop, tablet, smartphone – from anywhere, with any browser Te primary benefts Aurora Navigator Aurora Navigator was – ftting in exactly with the needs of today’s brings to lotteries include: designed to support the multitasking, fast-paced lottery environment. lottery industry’s needs • More Flexibility: Navigator is based en- Improved user navigation tirely on HTML 5, the latest version of for current and future Aurora Navigator includes many features HTML. Te combination of HTML5 and growth. and functionalities that improve the user APIs makes Navigator the most fexible CORPORATE NEWS CORPORATECORPORATE NEWS NEWS

Insights into Systems Technology: Consumers leading the way to convergence

Consumers are driving a world of innovation, integration and convergence in lottery and gaming, creating a need for world-class technology systems that has never been stronger. While previous megatrends like social media have represented a fast track to meeting changing consumer needs, innovation is largely driven by systems that offer open architecture to accommodate flexibility and a continued responsiveness to growing and changing player, lottery and industry needs.

Connecting players with deeper content At the player level, market research shows that players increasingly want to move seamlessly across verticals for gaming entertainment. Te surprisingly large crossover plays out in interesting ways*:

• 50% of instant game players also play casino slot machines

• 75% of slot machine players also play lottery draw games

• 74% of slot machine players also play lottery instant games

How can industry leaders in gaming entertainment create unique oferings for customers and players in all of these verticals – slots, draw and instant games? Tat’s a pivotal question for Scientifc Games afer the company’s 2013 acquisition of WMS Industries and 2014 acquisition of Bally Technologies. Building on combined strengths and syner- gies in 2015, Scientifc Games is now looking closely at leveraging new capabilities to deepen and enhance the player’s experience.

“We’ve already gone down the path of evaluating areas where we can leverage products, technologies and concepts that were used on the gaming side in lottery and vice versa,” said Walt Eisele, Chief Technology Ofcer, Lottery for Scientifc Games. Eisele cites bonus oferings as one example that allows CORPORATE NEWS CORPORATECORPORATE NEWS NEWS

casinos and other gaming operators to offer their customers as “a fun way to give out “The market is more complex, competition in gaming bonus points, cash, foor-wide events and links to social media. Clearly, we’re the lead- entertainment is much more intense, and lotteries are ers in the lottery sector in terms of creating evolving quickly. The need to understand data across and launching loyalty and second-chance your business has become much more important.” programs for a number of our customers. So leveraging some of our bonusing concepts Patrick McHugh, Senior Vice President, Lottery Systems for Scientiﬁc Games and technology from gaming in our lottery business is something we are exploring.” tions that include mobile apps and an array our U.S. contracts, our systems are bring- Besides the ability to ofer customers more of freemium, second-chance, FunPlay and ing together all the products and services targeted and creative promotions, Eisele Skill-with-Reveal games to loyalty rewards Scientifc Games has to ofer, including in- points to the company’s deepened technical with points and purchases, and iLottery stant games, digital, mobile, Internet, pro- resources – and the seamless merger behind products like e-instant games. motions, and content. Tis can also include their resulting capabilities. “Our Bally acqui- video lottery and central monitoring sys- sition came with a great deal of talent on the Lightman cites MONOPOLY Jackpot as the tems in addition to instant game systems systems development side, and now we are le- lottery industry’s frst linked progressive jack- and business intelligence systems. Tis may veraging this for lottery where it makes sense. pot game, where players across fve U.S. states seem like a lot of technology, but in reality, Both company cultures are very well aligned.” use mobile and web applications to unlock it’s one large, integrated system.” the chance to win more prizes, including On the interactive side, direct engagement a weekly and monthly progressive jackpot. McHugh said the Bally merger has led to with players ofers new player insights that in “Tis popular casino concept had never be- an increase in core competencies and that turn lead to innovative ways to deliver great fore been used with lottery instant games,” cross-pollination has allowed Scientifc promotional, loyalty and eInstant content. he said. Games to accelerate its integration of many “For example, we’re not just going to simulate groups, bringing more innovation and ex- an instant game on a mobile phone when we He also points to the success of the pertise to market and resulting in technol- deliver an eInstant game,” said Eisele. “We’re Pennsylvania Lottery’s Holiday Cheer, ogy that serves more than a million lottery going to make it an interactive play experi- launched in 2014 as Scientifc Games’ frst retailers worldwide. ence, using some of the technologies and, Skill-with-Reveal game. Te fast-paced, more importantly, some of the design capa- match-three puzzle game included power- “We tell our story from the perspective of bilities from our gaming business in order ups to more quickly increase the player’s consumer insights, access to retail, know- to drive a better interactive content ofering.” total score; afer each game, players could ing what’s happening in the marketplace compare scores with fellow players and from our more than 2,000 studies – all of Scientifc Games’ interactive lottery custom- friends by viewing a leaderboard. this feeds into our technology systems,” ers are leading the way when it comes to us- said McHugh. “Te market is more coming mobile and web in innovative ways – and Te Pennsylvania Lottery had similar success plex, competition in gaming entertainment a key learning from the social media world is with Te Wizard Of Oz, an instant game with is much more intense, and lotteries are that winning isn’t just about cash. According second-chance and interactive Skill-with- evolving quickly. Te need to understand to Michael Lightman, Senior Vice President, Reveal options. data across your business has become much Lottery Interactive Products, for Scientifc more important.” Games, it’s more about the opportunities Lessons from abroad to win and prizes that have meaning for the In Europe, where Scientifc Games custom- While the vast European experience may consumer. ers have been selling lottery products on seem a bit overwhelming to lotteries in the the Internet for more than a decade, lessons U.S. market, keep in mind that ultimately, it “We can make playing lottery games more learned in systems technology have fnally all may come down to one thing: the ability to fun by creating more chances to win, be- made their way to North America. develop the clearest possible picture of play- cause value motivates the consumer be- ers and their needs. One view of the player yond cash, toward a more meaningful social “Te complexity of systems integrating across verticals is critical in terms of consum- game-winning experience,” he said. “Te third-party systems, game content and dis- er insight, product selection and promotion. ability to win points and purchase exciting tribution channels has been developing in “We have the capability to ofer lotteries – or products from an online store expands the Europe for years,” said Patrick McHugh, any customer that has a desire to operate in value of the game and deepens the player’s Senior Vice President, Lottery Systems for multiple jurisdiction verticals – one view of connection to the brand.” Scientifc Games. “Tat expertise is now the player,” said Eisele. “We can understand coming to the U.S., as systems are becom- player behavior across casinos, lottery, inter- Building on insights along the consum- ing more complex.” McHugh said the great- active and mobile, and provide data in ways er’s path to purchase informs continuous est impact could be happening in loyalty that will help them run their businesses more content improvement and a steady stream programs as well as with mobile, interactive efciently – and more importantly, help them of new products, from interactive promo- and social gaming technology platforms. “In give their players more of what they want.” CORPORATE NEWS CORPORATECORPORATE NEWS NEWS

According to Eisele, Scientifc Games’ Focusing more on technical innovation over trend toward cashless, electronic commerce Canadian customers ofer a good example a two- to fve-year period, the iLab develops across diferent channels. “Tere’s an element of what can be accomplished through the technology that can be used across any or of loyalty built into those wallets, because it convergence of technology. “Te provinces all verticals. “Once we meet with diferent also stores what we call player account man- in Canada all run basically every verti- business units to pull in a new technology, agement systems (PAMs),” said Beason. cal ofering to their players – everything if one of the groups wants to adopt it, we’ll from sports to lottery to online gaming look at whether or not we want to pull it Beason said that the natural progression and casinos. Being in a position to ofer across to other groups as well,” said Beason. from PAMs is to form convergence op- these customers solutions to help them “When something can be used across many portunities in terms of what each vertical manage their businesses more efciently verticals, then our Shared Services Platform wants from its systems. “At a core level, they across verticals is another key diferentia- group takes over, and that is really the each want commerce and knowledge about tor for us.” team that is tasked with convergence at their players, their activities, loyalties and Scientifc Games.” achievements.” Sharing information, products and services “Our Shared Services Platform group looks Many of Scientifc Games’ customers run Convergence is not only driven by con- at what technology can be leveraged across more than one of the company’s products sumers and business intelligence, but al- the verticals and all three of our business across several verticals. Beason said his so by the megatrends Scientifc Games’ units – for instance, a shared wallet that en- teams create and develop the technology Shared Services Platform group and iLab ables players to move across verticals with needed to deliver business intelligence and track across lottery, gaming, and interac- one form of payment that stores loyalty and new capabilities with open architecture that tive. Led by Steve Beason, Enterprise Chief fnancial transactions,” said Beason. “Te can accommodate change over time. Technology Ofcer for Scientifc Games, shared wallet represents convergence at a these futurist teams are tasked with de- transaction level.” For instance, the South Dakota Lottery veloping concepts based on a holistic in- launched an innovation 26 years ago with dustry view that encompasses casinos, When convergence happens at a transaction video lottery terminals (VLTs). Today, 14 lotteries, mobile, web, retailers, regulators level, as it does with the shared wallet, it in- U.S. states have a similar version of VLTs in and players. tersects directly with the consumer mega- retail establishments such as bars, grocery

Steve Beason, Enterprise CTO for Scientiﬁc Games (second from right, back row), and the Scientiﬁc Games iLab team at the 2015 Global Gaming Expo (G2E) in Las Vegas. CORPORATE NEWS CORPORATECORPORATE NEWS NEWS

stores, and casinos – and several casinos, cross-promoting products are serviced by Scientifc Games’ and services based on their prox- CONNEXUS system, a distributed imity.” game network that includes a complete suite of security features that Millennials will become more deliver the vital information all engaged as gaming entertain- stakeholders need to drive profts, ment deepens community-based, engage players and increase opera- lounge-environment, and skill- tional efciencies. based play as well. “Millennials are used to convenience, but they also “Originally, lottery systems just appreciate head-to-head competi- monitored and reported the fnan- tion,” said Beason. “Tis World of cial meters of the VLTs,” said Steve Warcraf generation needs games Angelo, Vice President, Video that challenge them and take them Gaming Systems for Scientifc to new levels of achievement.” Games. “Today, lottery operators Tat includes tie-ins like TV game and players demand technology shows, where winners in one ver- and innovation that provide capa- tical can become contestants and bilities from business intelligence win experiential prizes in another. to wide-area progressives (WAPs) and integrated player rewards * Source: 2014 Scientiﬁc Games cross jurisdictional, motivation- “Virtual reality will be on hy- to responsible gaming features.” based player segmentation study for lottery and gaming. per-drive in 2016,” said Beason. Lotteries continue to upgrade their “Imagine playing an Internet slot infrastructure to provide innovative prod- Convergence at the retailer and lottery game like Iron Man or MONOPOLY, and ucts to the ever-changing player base. level, has centered on WAPs in the gam- the bonus round happens and you’re actually ing space, which have the same mechanics walking along the MONOPOLY board game “We continue to see growth in our VLT net- as a multistate game. “In the lottery world, as you try to win your bonus round.” work,” said Norm Lingle, Director of the Powerball is a game in which smaller states South Dakota Lottery. “Innovation is very could generate substantial and meaningful Beason predicts that the industry is going to important to us as we look to drive future jackpots,” said Beason. Te same phenom- see that lottery, gaming and interactive verti- growth and improve our network integrity, enon is now happening at casinos that are cals will want to present their content through as well as provide new and innovative prod- banding together to ofer larger jackpots via these new technologies, and his iLab is key uct oferings for our players. We see con- WAPs. “So, we’re looking at doing multi- to development of these kinds of capabilities vergence as an important part of the South state WAPs across casino properties, using across Scientifc Games’ global business. Dakota Lottery’s vision.” the same types of technologies and features that we use in lottery and applying them to “It’s a very exciting time,” he said. “We de- Beason’s teams also look at convergence at gaming.” moed the virtual reality capabilities at the the player level, which spans social gaming, North American Association of State and second-chance oferings and freemium to Into the future Provincial Lotteries 2015 conference and premium conversion. “We must also devel- Convergence across all levels of the gaming people were really amazed by it.” op games across all platforms and channels,” experience begs the question of what new he said. “For instance, if you play a lottery technologies are on the horizon, and Beason One thing he believes is certain: Convergence instant game at home that’s based on a free- is quick to say that in the short term, we’ll is a never-ending story, as megatrends and mium social model, you’re very likely to go be seeing more in the realms of personal- insights continue to evolve and bring new back into the retail outlet and play that game ized, location-based advertising. “Tis is to technologies to life – all based on the chang- for real money. From a technology stand- engage more players as they move through ing needs of well-connected, tech-savvy point, we need to be able to support that.” the channels or venues like restaurants or consumer.

The MONOPOLY name and logo, the distinctive design of the game board, the four corner squares, the MR. MONOPOLY name and character, as well as each of the distinctive elements of the board and playing pieces are trademarks of Hasbro for its property trading game and game equipment. © 1935, 2015 Hasbro. All Rights Reserved. Licensed by Hasbro.

Scientific Games and CONNEXUS are marks owned in the U.S. and elsewhere by Scientific Games Corporation or one of its directly or indirectly wholly owned companies. © 2016 Scientific Games. All Rights Reserved.

This article republished with the permission of Public Gaming International. LEARNING LEARNING LEARNING CURVECURVE

WLA Academy

February 3 – 5, 2016 dent game developers. Gordon Medenica, and larger matrix by introducing the very Marketing Seminar – Director of the Maryland Lottery and positive slogan of “Bigger Better Lotto”. ‘Great Expectations’ Gaming Control Agency, shared experiences Seminar in cooperation with the Euro- of performance measurement and best prac- Andy Duncan, CEO of Camelot UK pean Lottery Association London, UK tices in the US. He gave insights into some Lotteries Ltd., shared some interesting and of the dangers and pitfalls of “privatization” revealing insights into Camelot’s operation Te keynote speakers at the 2016 EL/WLA – or “outsourcing” as he termed it – of lot- and ambitions and, interestingly, also shared Marketing Seminar were provocative and tery operations. Craig Mawdsley, Chief information on some work he was chairing challenging, and were greatly appreciated by Strategy Ofcer of BBDO UK, acknowl- for EL/WLA on discussions to open up the the record 160 participants in attendance. edged that it was difcult to develop suitable availability of lottery apps in the Apple and Consumer and shopper behaviorist, Ken metrics for evaluating the efectiveness of Android app stores. Hughes told us we are now dealing with the advertising, but that the process itself could “always on” consumer. No point in placing be rewarding. Scott Bowen, Commissioner of the Michigan POS material near queues where the cus- Lottery, Rebecca Hargrove, President and tomer is engrossed in their phone; players Lottery speakers included Sally Cowdry, CEO of the Tennessee Education Lottery, and must “own” our games and become brand Marketing and Consumer Director at Debbie Alford, CEO of the Georgia Lottery ambassadors. It is not a question of online Camelot, who explained their approach of Corporation, all provided updates and in- or ofine… there is no longer a “line”. Media having to develop a campaign to “prepare teresting insights into US operations, while futurist, Robert Tercek also challenged the the way” for their campaign to support their simultaneously sharing full support for the participants to respond to the “whatever, Lotto change, based on the concept of “More recent USD 1.6 Billion Powerball Jackpot. wherever, whenever” customer and pro- Millionaires” and Dermot Grifﬁn, CEO of Te Partner/Suppliers each presented short vide more interesting and engaging games the Irish National Lottery, successfully man- sessions on “the player journey”, reassuring by changing the economics for indepen- aged a Lotto change involving a higher price the participants that they were fully on top LEARNING LEARNING CURVE LEARNING CURVECURVE

of customer and technology developments through research and were responding with WLA Seminar Schedule 2016 appropriate facilities and services.

Two lottery ladies rounded of the pro- Date Topic Organizer Venue / Host gram with Ellen Van den Berghe, Business April Development and Innovation Manager of 6 WLA i-Lottery Seminar WLA Park Lane Hotel, Loterie Nationale, Belgium, providing a ‘Everything you need to know New York City, USA before selling on the Internet’ youthful and exhilarating insight into the 18–21 ‘Operational Excellence – Getting APLA / WLA Sule Shangri-La Hotel Belgian Lottery’s mobile platform develop- Things Done from Good to Great’ Yangon, Myanmar ment, and Eva Pavo Lopez, Communications May and Marketing Director of SELAE, Spain, 9–13 ‘Presenting with Impact WLA / PinT York, UK who gave the participants full permission in the Lottery World’ to cry, if they were moved by SELAE’s high- June ly emotional advertisement for the Spanish 21–23 Sports Betting Seminar EL / WLA Boscolo Plaza Hotel Christmas Lottery top prize, El Gordo. Nice, France November Ray Bates, Seminar Moderator 6–9 World Lottery Summit 2016 WLA Marina Bay Sands, Singapore

Advertisement OUR CONTRIBUTORS OUR CONTRIBUTORSOUR CONTRIBUTORS

Many thanks to our PLATINUM Contributors

Many thanks to our GOLD Contributors

WLA MAGAZINE is published by: The World Lottery Association Lange Gasse 20 P. O . B o x CH-4002 Basel, Switzerland www.world-lotteries.org

Editor: Paul Peinado, WLA Communications Coordinator Contributing Editors: Patricia McQueen, John Smellie, and James Walker. Print: Werner Druck & Medien AG, Basel, Switzerland Layout: 3satz GmbH, Thalwil, Switzerland See It YOUR Way

Whether you’re a marketing executive sharing sales results with your team or a CFO reacting to a notiﬁcation of a big winner in your jurisdiction, Aurora Navigator – IGT’s new back-ofce suite – gives you the control you need to manage your business and maximize productivity.

The tools you need to grow your business today… and tomorrow. That’s the brilliance of Aurora.

© 2016 IGT Global Solutions Corporation. The trademarks used herein are owned by IGT or its afliates, may not be used without permission, and where indicated with a ®, are registered in the U.S. IGT is committed to socially responsible gaming. Our business solutions empower customers to choose parameters and practices that become the foundation of their Responsible Gaming programs. Innovating at retail is Robbie’s passion.

Scientifc Games’ Robbie Asendorf is committed to developing new products that make lottery products easier for retailers to sell and players to purchase. He works to create products that give players more access to games when and where it’s most convenient. Robbie says, “Lottery retailers love our PlayCentral™ HD, WAVE™ and LotteryInMotion™ technologies.”

Let us show your lottery more retail innovations and solutions that ofer a great point-of-sale experience. THE WORLD’S BEST LOTTERY EXPERIENCES Visit scientificgames.com/lottery