The first panel session at WLS 2024, entitled Disruption means evolution of the lottery industry, considered the constant transformation of the regulated lottery and sports betting world. It explored some of the challenges the industry faces, for instance, digitalization, customer behaviour, liberalization of markets, and new approaches to gaming and gambling.
Moderated by Andreas Kötter, CEO, Westdeutsche Lotterie GmbH & Co. OHG, Germany, with panellists Ollie Sarekoski, President and CEO, Veikkaus Oy, Finland; Stéphane Pallez, Chairwoman and CEO, FDJ Group, France; Robert Chvátal, CEO, Allwyn Corporation, Czech Republic, and, Sue Van der Merwe, Managing Director & CEO, The Lottery Corporation, Australia, the discussion aimed to suggest ways to address the challenges and help prepare lotteries and sports betting operators for the future.
Kötter opened the session by asking the panellists how they saw the evolution of the lottery market in the next five to 10 years.
All observed continued digitalization, consolidation, and growing privatization within the global industry, before providing unique views from their markets. Below are some highlights.
Veikkaus, Finland
Ollie Sarekoski noted the impact that digital gaming is bringing to the market, with technology that provides increased customer data, requires a greater need for data analytics, responsible gaming (RG) standards, regulatory change, mobile gaming and payment innovations.
Key learnings included: the need for a company culture that supports agility and growth; importance of leveraging expertise through strategic partnerships; investment in the right people in the right roles; ensure technology for scaling, and innovation for products and processes.
Sarkoski added that operators must be a sufficient size and seek growth from an extensive portfolio, partnerships, and international cooperation, as well as be functionally efficient with scalable structure, technology and operating models.
Groupe FDJ, France
Stéphane Pallez underscored that the common point of lotteries worldwide was the reason they were created, to contribute to society. She noted that while this was part of its history, it need to be acted on daily.
As FDJ has evolved to a privatized more digital, larger and international organization, she further stressed the need to be stronger on values, and more connected to customers and society as a whole.
Allwyn, UK
Robert Chvátal talked about anticipating the next and different generation (Gen Z) that would be the defining force in the customer base in the coming 10 years. Highlighting some of their expectations, for more social interaction and an interactive skill base in lottery products, he added that their insights and speed were very important in order to prepare for this generation.
He described the mindset at Allywn, as one of a fast-moving consumer goods company, focusing on customer first, then brand experience and products.
The Lottery Corporation, Australia
Sue Van der Merwe discussed the positive positioning of TLC which has wide acceptance with a large national customer base with low spending.
Despite a growing sentiment around gambling harm in Australia that has resulted in government enquiries and gambling reform into play, TLC has maintained a game portfolio in the low harm gaming spectrum, with a strong focus on responsible gaming setting it apart from other forms of gambling. Van der Merwe underscored the value of maintaining Level 4 WLA RG certification, for which TLC was proud to win the award for the Best Overall RG Program, at WLS 2022 in Vancouver, Canada.
She also emphasized the importance of delivering seamless customer experience which ever way they want to play, and to think ahead regarding changing customer demographics.
