Lotteries have a long history of raising money for public purposes. From bridges and libraries to fortifications and colleges, lotteries have been a way for governments to raise funds for many different kinds of projects. However, the practice has been controversial in some instances. People have often thought that lotteries were a form of hidden tax. Other people believed that lotteries were a way of collecting money for the poor.
While a number of states still offer their lottery in a retail setting, a growing number of state lotteries are considering expanding their digital presence. This is because digital expansion provides a means to increase connectivity for players, while offering greater convenience for consumers. Digital expansion is also helping to spur the rise of sports betting and iGaming.
Modern lotteries are putting players at the center of their decision making, and they are embracing digital technology to help them do it. As part of their digital strategy, a number of lotteries are leveraging data to better understand their customers and what they want from the product.
Lotteries can use this information to develop a better understanding of their customers’ preferences and behaviors, which can be used to create a more engaging experience for the player. In addition, it can help lotteries identify the attributes of various customer segments and determine which products they prefer.
A number of future-focused lotteries are working to incorporate a more omnichannel view into their business, which includes ticket scanning of physical tickets, email/push notifications, and immersive digital play experiences across all channels. These experiences can be provided through digital wallets, which collect real-time data across channels and feed personalised engagement strategies. The Illinois Lottery, for example, is the first US lottery to offer draw-based Fast Play games online.
A digital strategy is essential for a lotterie to revitalize excitement among its core players. Brands need to compete to meet their consumer’s expectations. For instance, a new customer can receive two welcome offers: 10 free games and 50% bonus credits. By leveraging a digital wallet, a lotterie can reduce the friction associated with purchasing a ticket. Also, the digital wallet can provide a secure way to access a player’s account and data.
A growing number of lotteries are expanding their online presence, and some are even offering instant win scratch cards. Several states, such as Massachusetts, Pennsylvania, and New Jersey, offer digital versions of their traditional lotteries. Some of these games are played through mobile apps. Players can enter drawings at the state level or major multi-state drawings. There is one version of Keno with a top prize of $100,000, and other Instant Games include Street Fighter II Instant Win and IWG/NeoPollard’s Jungle Tumble Jackpots.
Digital expansion is also a critical tool for lotteries that want to attract new customers. Many consumers are looking for convenient shopping options, and a digital experience is a great way to engage them.
Retail lotteries need to grow in parallel with the new digital experiences. This means that retail lotteries need to create products that their customers want. They need to consider where their customers want to shop and how they want to play.