Mise en page 1 - European Lotteries

No 27 avril 2008
LOT T O
G AM ES
EUROPEAN STATE LOTTERES AND TOTO ASSOCIATION
The Executive Committee of
the European State Lotteries
and Toto Association
PRESIDENT
Dr. Winfried WORTMANN, Managing Director
WESTDEUTSCHE LOTTERIE GmbH & Co. OHG, Germany
1ST VICE-PRESIDENT
Mr. Christophe BLANCHARD-DIGNAC,
President – General Director
LA FRANÇAISE DES JEUX, France
2ND VICE-PRESIDENT
Mr Jussi ISOTALO, Deputy Managing Director
VEIKKAUS OY, Finland
MEMBERS
Prof Vesna BAKRAN, General Manager
HRVATSKA LUTRIJA d.o.o., Croatia
Mr. Gonzalo FERNÁNDEZ RODRÍGUEZ, General Director
LOTERÍAS Y APUESTAS DEL ESTADO, Spain
JUDr. Ales HUSAK, Chairman of the Board of Directors
and General Director
SAZKA a.s., Czech Republic
Mr Léon LOSCH, Director
LOTERIE NATIONALE, Luxembourg
Ms Liliana MINCA (GHERVASUC), President,
General Manager
COMPANIA NATIONALA “LOTERIA ROMANA” SA, Romania
Dipl. Ing. Friedrich STICKLER, Deputy General Director
Österreichische Lotterien, Austria
Ms Dianne THOMPSON, Chief Executive
The National Lottery CAMELOT, United Kingdom
Mr Tjeerd VEENSTRA, Director
De Lotto, Netherlands
Contents
1.
Message from the President
3.
Editorial
4.
Lotto Games
2008
AUGUST / SEPTEMBER
MAY
• European Legal Affairs Seminar
Dates: 28 – 30 May 2008
Location: Porto, Portugal
Host: Santa Casa da Misericordia de
Lisboa, Games Department
JUNE
• Sports Betting Seminar
during the EURO 2008
Dates: 9 – 12 June 2008
Location: Lausanne,
Switzerland
Hosts: Swisslos and
Société de la Loterie de la Suisse
Romande
Hosted by:
Société de la Loterie de la Suisse Romande
SWISSLOS Interkantonale Landesloterie
Sports Betting
Seminar
During the EURO 2008
Integrity
& Competition
Challenges
in Sports Betting
• ELU «European Lottery University»
Dates: 31 August - 5 September 2008
Location: Dubrovnik, Croatia
Host: Hrvatska Lutrija. d.o.o.
NOVEMBER
• CRS and Responsible Gaming - the
business case for CSR
Dates: 12 – 14 November 2008
Location: Brussels / Belgium
Host: Loterie Nationale
June 9 - 12, 2008 Lausanne/Switzerland
• Industry Days 2008
Dates: 18 – 20 June 2008
Location: Limassol,
Cyprus
Host: Cyprus
Government Lottery
TO BE ANNOUNCED AT A LATER
DATE:
• Seminar on New Media and New
Distribution Channels
20. Cybercriminality
Nicolas Woirhaye, Cert-Lexsi
Philippe Vlaemminck, EL legal adviser
• EL General Assembly
Dates: 20 June 2008 afternoon
Location: Limassol, Cyprus
23. Premium Partners
27. Members News
28. Workshops
32. ENGSO, Ms Kervinen
33. EL Monitoring System
Registration for all our seminars can be done online at
http://www.european-lotteries.org
All events are available on our website (under events)
Announcements are made a few months in advance
NEW PROVISIONAL MEMBER
General Secretariat
Bernadette Lobjois
Secretary General
Av. de Béthusy 36
CH-1005 LAUSANNE
Tel. +41 21 311 30 25
Fax +41 21 312 30 11
internet: http://www.european-lotteries.org
E-mail. [email protected]
REGULAR MEMBER:
SISAL S.p.A.
Via A. di Tocqueville 13
IT – 20154 MILAN
THE MATERIAL, VIEWS, OPINIONS AND COMMENTS EXPRESSED BY THE AUTHORS, THE SPEAKERS AND THE PANELISTS ARE THEIR OWN
AND DO NOT NECESSARILY REPRESENT THE POSITION OF PANORAMA OR EL ASSOCIATION. PANORAMA ACCEPTS NO LIABILITY FOR THE
ACCURACY OF STATEMENTS MADE BY ADVERTISERS. ALL RIGHTS RESERVED. NO PART OF THIS MAGAZINE MAY BE REPRODUCED WITHOUT WRITTEN PERMISSION FROM EL GENERAL SECRETARIAT.
Message from the President
Ladies and Gentlemen,
Dear friends,
In this issue of Panorama, we have chosen to focus on lotteries once again to
demonstrate how much enthralling
dynamic this simple, more than 200
year-old game of chance displays even
nowadays. Up-to-date security technology and proceedings and new forms
of communication, too, have made a
decisive contribution to this. People
with a gaming affinity, however, will
only be interested in the game if it is
managed safely and trustworthily.
Automatically, this leads to the question of security standards and the selfconception of the operator. This is
exactly the point which the commercial gaming industry likes to suppress:
the importance of the state-run, operational responsibility and strategic control of our games.
The reports about cyber crime in this
issue show impressively how modern
technologies can easily push responsible gaming into the background.
Already in 2007, the Executive
Committee has decided to pay
increased attention to these questions.
In this respect, we have a growing duty
to inform the public and the media.
Kervinen. We will also have the pleasure to welcome Mrs. Kervinen to our
Industry Days in Cyprus in June, 1820.
„Where does the future lead us“ –
this question is put forward during the
Industry Days 2008; the third invitation of our Premium and SemiPremium partners after 2004 and
2006. Aspects of our clients’ behaviour,
the changing technological environment, the economic frameworks and
especially the perspectives of a sustainable and responsible growth of the
lottery market will be in the centre of
our attention. We are looking forward
to three interesting days which will
supply evidence that consumer protection, the prevention of gambling addiction and the fight against gambling
crime can easily be combined with a
programme of growth of lotteries and
sports betting – and even have to be
combined.
I am looking forward to interesting
presentations and stimulating discussions.
Cordially yours,
In the present issue, we would like to
introduce a partner of EL which is
especially dedicated to the integrity of
sports: ENGSO, the European NonGovernmental Sports Organisation
with its President, Mrs. Birgitta
-------------------
PAN
--------
1
RAMA
Winfried Wortmann
President
pub Wincor
Editorial
Let’s count on games...
You have in your hands the brand new
Panorama. This issue mainly treats of
the topic of Lotto games, with examples of Lotteries which brought modifications over the last years and the lessons learned from these changes. As
you will notice, the lotto did not grow
old, on the contrary, with its new alternate formulas, it keeps on making our
players dream.
The topic of the next Panorama issue
in September is already known:
Instant lotteries. Progressively, tickets propose more interesting prizes
but of course according to an adapted
stake. An appropriate questionnaire
will be addressed to you in July in
order to prepare the content of the
magazine. We thank you in advance for
the attention you will bring into the
completion of this questionnaire.
The seminars calendar for 2008 has
been finalized and you will find the
related dates and topics in this
Panorama but also on our website. The
website is updated on a regular basis
and the program of each event is published in due time. I take this opportunity to thank the Lotteries offering the
possibility to organize a meeting in
their country or replying positively following a request. This convenience is
offered to all Member Lotteries, without exception. In case you wish more
information on the organization of our
events, do not hesitate to contact me, I
-------------------
PAN
--------
3
RAMA
would be pleased to answer your questions.
To give you a glimpse on the Industry
Days which will be celebrated between
June 18 and 20 in Cyprus, our
Premium and Semi-Premium Partners
have prepared a stimulating program
to encourage true exchanges on the
future of the Lotteries in Europe.
Topics such as consumer behaviour,
technological and economic environments as well as the durable and
responsible growth of gaming markets
will be discussed. You are all welcome
to take part in these discussions!
We kindly remind you that this event
will be immediately followed by our
annual General Assembly on June 20,
2008 from 2:15 pm to around 4:00
pm. We take care of your booking for
your entire stay in Limassol and we
thank you in advance for sending us
the registration form duly completed
or for registering online. The working
documents as well as the agenda will
be sent by mail on next May 19, 2008.
I look forward to seeing you all again
on different occasions.
Sincerely,
Bernadette Lobjois
Secretary General
Lotto Games
LOTTO:
KEEPING EXCITEMENT AND
RESPONSIBILITY ON HIGHEST LEVELS
An historical overview is always a good
start when one is trying to explain the
evolution of the Lotto throughout
Europe. Gambling is ancient and games
of chance have experienced both times
of expansion and times of prohibition.
The early games were lotteries created
to fund public works, pretty much the
same way as modern-day lotteries do.
According to historians, the very first
recorded public lottery in Europe went
on in 1434 in Holland, and then around
1441 in Bruges, the first prize lotteries
started to appear. The Dutch came up
with the word “Loterij”, whose root
inspired the French “Lot” and the
German “Los”, both words meaning:
“chance” same as “Lotto” in Italian.
Public Lotteries appeared in England
around 1569 and a “Loterie Royale” was
created in France by King Louis XV in
1757. American colonies experimented
with lottery games in the 1700s to fund
buildings and other public projects.
come of the election, it is quite possible
that this is how Senator Gentile got the
idea of a Lotto game. In Germany, Lotto
was first introduced in 1735 but the
game faced many difficulties and failed.
The State decided to take over the management of all games of chance in 1772,
marking a turning point for the German
gaming world.
After the Napoleonic wars and throughout the 19th Century, gaming declined in
most of Europe where the new moral
attitude discarded games of chance as a
danger to society. Britain ceased to use
lottery as a source of public revenue in
the 1800s and France abolished its
national lottery in 1836. Plagued by
frauds and scandals, lottery was prohibited from 1892 to 1963 in the United
States.
Having suffered through two world wars,
Europeans finally rediscovered their
freedom and the meaning of leisure.
Over the years, a more stable world
economy and greater material independence created more opportunities to
engage in fun activities such as gaming.
The expansion of this sector is continuing very strong to this day as can attest
the following information on successful
Lotto games.
When we talk about Lotto however, it is a
common belief that this game found its
origin in Genoa, Italy, in 1519, due to the
fact that Senator Benedetto Gentile is
thought to be its creator. Since the
Genoese senators at that time were
selected by drawings - the Senate picking five new members every 6 months and usually bets were placed on the out-
We have asked a few Lotteries to tell us about the latest modifications applied to
their Lotto and explain the reasons behind such a decision. Looking at the impact
of these changes, each Lottery evaluates the results as well as their objectives. We
would like to thank the following organizations for this article, which is meant to
help us position the Lotto within the game mix and assess its future: Austrian
Lotteries, Belgium National Loterie, Compania Nationala “Loteria Romana”,
Romania, Eesti Loto in Estonia, Lottomatica in Italy, Société de la Loterie de la
Suisse Romande and SwissLos in Switzerland, Norsk Tipping as in Norway,
Loterija Slovenije in Slovenia, Tipos National Lottery Company AS in Slovakia,
Svenska Spel in Sweden, Veikkaus Oy in Finland and Westdeutsche Lotterie (for
the Toto Lotto Block) in Germany.
-------------------
PAN
--------
4
RAMA
Lotto Games
Finland
«The more important a game is for the lottery, the more cost-efficient the changes
made to it must be», says Markku
Köresaar, Product Manager for Draw
Games at Veikkaus. Veikkaus made a
slight change to the prize distribution of
Lotto in week 6, in February 2008. The
price per board was raised by €0.10, from
€0.70 to €0.80. The jackpot tier now represents 13.6 percent of the game weekly
turnover instead of the former ten percent, hence the weekly jackpot is about
one million euros. The relative shares paid
out to the rest of the prize tiers (6+1, 6, 5
and 4 matches) were made slightly smaller, but in terms of euros, the sums will
remain as they were before the change.
The last time we changed the Lotto prize
distribution was in 1986 (wk 2/January 11,
1986), when the game 7/37 format was
changed to the 7/39 format. The first
change was made in week 2, when the
prize distribution and the bonus numbers
were removed from the prize distribution
and the draw. However, they were reintroduced in week 16, and prize tier 6+1 was
added. In addition to large jackpots, a
lotto game needs a reasonable number of
mid-tier prizes and numerous small prizes.
But of course people will be interested in
winning a million euros by staking just
eighty cents.
Veikkaus has offered the chance of
Internet gaming since 1996. At the
moment, 13% of our Lotto sales come via
the Internet. We also offer SMS gaming
since June 2005 but until now it has not
been a huge success. In the next few
months, we will offer an easier access to
mobile gaming through the launch of new
mobile lottery applications. We are able to
offer customized services on the Internet,
e.g. jackpot alerts, saldo alerts, etc. In
2006, Veikkaus launched its own loyalty
card, which among other things enables
prize payout directly to your own account.
Veikkaus’ Lotto is designed for the entire
adult population of Finland. Lotto is a
game that offers consumers a chance to
dream, for a small amount of money, about
“what would I do if I win…” Everybody
likes to dream, young, old and middleaged people alike. Dreams are what make
people want to carry on. Most of our regular Lotto players are middle-aged. In the
future one of our biggest challenges is to
strengthen the Lotto brand image and
preference among the younger people.
Our present Lotto with a “one million
euros jackpot” is targeted at the major
customer segments. We want to make the
Making the game format more difficult
affects the possibility of hitting the jackpot directly. After the change, the jackpots accumulated for 1-5 weeks/draws
and, of course, grew bigger after the early
weeks. In 1984 and 1985, the jackpots
only accumulated for 1-2 weeks. As they
grew bigger, they became more attractive
even to the occasional players. In a sense,
the jackpot thus received a natural cap as
the rollover draws continued and the previous jackpot shares started to be allocated to the second prize tier, which meant
bigger prizes for those who had won a
prize in that tier. After the bonus numbers were returned and the new prize tier
was added in 1986, the consumers accepted Lotto again. The change introduced in
February 2008 seems to have been
received by the players in the spirit “we’ll
go on playing like before”. Statistically,
significant comparisons cannot, however,
be made until later, when the effect of the
ongoing campaign titled “play now for the
old price up to nine weeks” will be over.
game more attractive to our regular players and at the same time speak to the big
audience of occasional players, who react
when an attractive enough jackpot catches their attention.
The players of Lotto have been happy to
adopt the perpetual subscription option
on the Internet. You enter your rows just
once, and the gaming system takes care of
the rest, continuously draw after draw.
And if you win, the gaming system credits
the prize money automatically to your
account. The surveys on Veikkaus’ public
image show that Veikkaus is considered
reliable, responsible, and socially important. The spontaneous recognition of
Lotto among the Finnish population is
very high, close to 80 % of the Finnish
adult population play Lotto at least sometimes. Lotto is the best known game of
Veikkaus, with a share of 30.2 % of our
entire turnover in 2007. A recent survey
shows that Lotto is ranked number 3
among brands associated with dreaming.
The first Lotto game was launched in 1971
2008
-------------------
PAN
--------
5
RAMA
Lotto Games
Sweden
have 7/35 on Lotto and a win on Joker on
the same betting slip the same day. This
was financed by taking 5% of the
turnover each week to a fund, and then
using this fund whenever someone won
the extra 50mSEK.
Then in 2005, we modified “the 50 million kronor prize” to “the Dream
Prize”. The criteria to win “the Dream
Prize” remain the same, but through an
additional funding system “the Dream
Prize” just starts at 50mSEK, then it
grows with the Lotto jackpot and an
additional 1,5mSEK/week.
These changes were made to boost the
top prize of Lotto and the sales on both
Lotto and Joker.
The traditional Jackpot effects on Lotto
are lower than before (we don’t even
communicate the normal jackpots anymore; we focus completely on “the
Dream Prize”). But the positive effects
on the normal sales level are much higher. Furthermore, by using the fund connected to “the Dream Prize” we can
boost it considerably 4-5 times a year,
thus creating “artificial jackpots” with
very good pay back.
First Lotto Game launched in 1980
In 2002, we introduced “the 50 million
kronor prize”, enabling the players to
win an extraordinary prize of 50 m SEK
(approx EUR 5,25 million) on top of the
normal prize ranks. The criterion was to
The public has reacted well to the
changes. We sometimes hear “that the
top prize is too high” or “it would be better if more people won a little bit less”,
but since these changes both the number
of Lotto players and the loyalty of those
already playing have increased. And
sales figures have gone up (see figure).
Today, you can buy Lotto in shops, on the
Internet (www.svenskaspel.se) and
through your mobile phone. In 2007,
Svenska Spel started a subscription service and our intention is to also offer
Lotto there within the near future.
By strengthening the high prize image of
Lotto through “the Dream Prize”, we
wanted both to reinforce loyalty and
attract new players.
The results of the Lotto changes have
been far above expectations. After five
years of decline the first change haltered
the negative trend, and since the launch
of “the Dream Prize” Lotto has grown
6,5 % per year. As a big bonus, the percentage of Lotto players playing Joker
has increased from approx. 65% in 2005
to 90% today.
Last Lotto Game: (Viking Lotto), 1993
Estonia
price was increased from 10 EEK to 15
EEK. The purpose of this change was to
increase the prize pool and jackpot, and
now, our minimum jackpot size is 1
Million EEK. The Bingo TV show was
also modified to include larger studio
prizes.
Both the jackpot amounts and frequency
got modified:
In 2006, the total of 5 jackpots average
being 1.34 Million EEK (biggest 1.7)
In 2007, the total of 8 jackpots average
being 3.3 Million EEK (biggest 6)
Our first Lotto Game was launched in
1994 (Viktor 48), and the latest Lotto
game was launched on 18.06. 2006
(Swing).
On December 29, 2006, the Bingo Loto
-------------------
PAN
--------
6
RAMA
With bigger jackpots, our Lotto sales
improved tremendously: An increase of
102% recorded in 2006-2007 Bingo Loto
sales. Bingo Loto is now available
through mobile channels, and so far, the
public has shown a positive feedback on
this new distribution channel. Since the
enhancements implemented to our
Bingo TV show and its availability both
over the net and via mobile devices, we
have been attracting a younger audience
- a change that is obvious when we compare today’s studio audience with the
one we used to get two years ago.
Lotto Games
Slovakia
LOTO 5/35 launched in 1967. The
draw is organized once a week
(Sunday, 5 winning numbers are
drawn).
• The gross wager is a multiple of
accepted bets and a price for a bet
• A price of a wager for one bet is SKK
10 (0,31 EUR)
• The prize pool is 50% of the gross
wager of the corresponding betting
period
• Since 1 October 2002 the lottery
changed its name into LOTO 5/35
• Since November 2004 bets are accepted in the Internet
TIPOS operates the following Lotto
games:
LOTTO, first launched in April 15,
1957 (former SPORTKA), which is a
6/49 game with two draws weekly
(Wednesday and Sunday). The price
for two grids is SKK 20, and the payout rate is 50 %.
• In 2000, the jackpot was guaranteed of
a minimum SKK 3,000,000 (Approx.
94 000,-EUR)
• In October 1, 2002 the name was
changed from Sportka to Loto
• A price of a wager for one bet is SKK
20 (0,63 EUR)
• In 2003 was introduced the possibility
of a Premium game related to winning
numbers JOKER
• In November 2004, the bets were
accepted on the Internet.
• In 2007 (from July 26th to September
23rd), we launched a Premium Game
added to the game Loto, in the amount
of 50 000 000 SKK. During this period,
nobody won this amount, so it was
moved to the JACKPOT category, a
step that caused an extremely huge
prize and “LOTOmania” among the
players. We tripled our sales during
this premium period. Because of this
remarkable top prizes, we have also
acquired new players from the traditionally non playing public. One player
reached the highest prize ever paid in
Slovak history - more than 102 million
SKK (Approx. 3 190 000,-EUR).
EUROMILIÓNY launched in 2004
with a different layout (visual). The
formula is a 7 /35 game plus one
number out of 5.
• Drawing is once per week on Friday
• The gross wager is a multiple of
accepted bets and a price of wager for
a bet
• The price of a wager for a bet is SKK 40
(1,25 EUR)
• The prize pool is 50% of the gross
wager of the corresponding betting
period
• Since November 2004 bets are accepted on Internet
All LOTO games are distributed through
a new channel since November 2004: Via
Internet (except JOKER since February
2006). The ratio of bets per Internet
varies in range from 2% to 5%. During
“premium period,” we increased our
Internet sales more than 100 %. We
added more terminals and point of sales
up to 2 157 to this date. The higher penetration allows us to reach higher sales
and is also more convenient for our
players.
LOTO and LOTO 5/35 are games which
have been very popular among our
players for a couple of decades. The
game EUROMILIÓNY was launched in
2004 with the aim to attract new players,
especially younger ones. The biggest
advantage for the player is to set bets
from his home.
The 2007 results for our LOTO games
overcame our plans and objectives. We
have exceeded our plan for every mentioned game and each of the games has
reached the best result in history.
JOKER launched in 1992, a six digits
number. The price for the Joker is
SKK 10.00 (0,31 EUR) and the payout is 50 %.
• Since 1 October 2002 the lottery name
was changed into JOKER
• Since February 2006 the bets are
accepted on the Internet
Game
Fulfillment of plan in 2007 in %
LOTO
157,6
JOKER
180,3
LOTO 5 z 35
120,5
EUROMILIONY
160,5
-------------------
PAN
--------
7
RAMA
Lotto Games
Belgium
Description
Matrix 6/42
Draws on Saturday and Wednesday
Price/bet: 0.5 €
Average turnover on Wednesday:
2.955.000 €
Penetration on Wednesday: 10.1%
Average turnover on
Saturday: 6.802.000 €
Penetration on Saturday: 24%
Total turnover in 2007: 538.016.000 €,
-5.5% compared to 2006
Lotto generates 46% of the total
turnover of Loterie Nationale.
The first Lotto game was launched on
February 14, 1978.
No major changes since Loterie
Nationale doubled the prize of a bet in
1998 but an important upgrade of the
game is expected for next year.
Four percent of the sales goes to a jackpot fund. This fund is used to create artificial jackpots on special occasions and
for the Super Lotto draws.
The Super Lotto draws started in 2004.
They occur about 3 times a year, in addition to the normal draws and they have a
special prize scheme. Special betslips
are printed and often inserted in newspapers. Price per bet is the same as for
the regular Lotto draws.
Super Lotto draws have a jackpot that is
5 to 10 times higher than a normal
Saturday jackpot but still smaller than
the starting Euro Millions jackpot.
1978
The public’s reaction has been very positive in general, but depends largely on
events such as Friday 13 or December
holidays which are the best and the level
of the Euro Millions jackpot.
LN is working on new distribution channels like internet.
The objective of the new channels is a
mix of convenience for the existing players and of attraction of new players. The
objective of the Super lotto is to reinforce loyalty.
The 3 Super Lotto draws generate
together an extra annual turnover equal
to 3 weeks of normal sales. It matches
the expectations.
-------------------
PAN
--------
8
RAMA
Lotto Games
Slovenia
Loterija Slovenije, d.d. has made several
changes in the last 7 years on 7/39 Lotto
game:
• we changed the jackpot prize structure
from 10% of total prize pool to 25% in
2000;
• we added a new game “Lotko” in 2001;
• we raised the price per row from 0,15 €
to 0,17 € in 2003, then from 0,17 € to
0,21 €in 2004;
• we introduced a drawing twice a week
and raised the price per row from 0,21 €
to 0,23 €in 2006;
• we introduced a guaranteed Jackpot of
100.000 €in 2006;
• we added a new prize category 3+1,
increased the prize pool from 50% to
53%, raised the price per row from
0,23 € to 0,25 €and introduced an extra
draw of Lotto game named Super Lotto
with a guaranteed jackpot of 1.000.000 €
in 2007;
• we added a new game, the Loto plus and
introduced five new prize categories for
the Lotko game in 2008.
works). We expanded our sales network to
gas stations in 2006 and post offices in
2007. With the gas stations for example, we
managed to attract new, younger players.
In 2007 we started to develop a new sales
platform for all games via Internet. We’ll
launch the platform in September 2008
starting with a lotto game. We believe we’ll
increase the number of our regular players
and also attract new ones (younger population).
Most of the changes were made to reinforce the loyalty of regular players. We
have also attracted new players with the
expansion of the sales network and with
the introduction of Super Loto. Market
research shows that among all the players
of Super Loto about 30% are new to the
game.
We can say that results of all the changes
were on target according to our expectations.
Description of Lotto games
Lotto 7/39
Prize pool: 53%
Price per row: 0,25 €
Prize categories: 7, 6+1, 6, 5, 4, 3+1
Guaranteed Jackpot: 100.000,00 €
All the changes have been made to better
meet our customers’ demands by essentially increasing the number of prize categories and raising the jackpot, which in
turn attracted more new players.
Super Lotto 7/39
Prize pool: 53%
Price per row: 0,50 €
Prize categories: 7, 6+1, 6, 5, 4, 3+1
Guaranteed Jackpot: 1.000.000,00 €
Extra prize: Super Nr: 1.000,00 (every slip
gets Super Nr. and we share 6-10 extra
prizes per round)
The jackpot behavior has changed with the
introduction of a biweekly drawing and we
have managed to reach a higher jackpot
amount in a short time period.
The public has accepted all the changes
positively. In the last 7 years, the revenue
from Lotto game has increased by 75 %. We
are aware that some percentages come
from longer rollovers, but we tried to eliminate this effect. We compared 14
rollovers in 2006 and 2008. In comparison
with 2006, lotto sales in 7 weeks period
with 14 rollovers in 2008 increased by 68%.
The main reasons for such a big jump
besides the popularity with the media (the
last bigger rollover was a year and a half
ago) have been the expansion of the sales
network in 2006 and 2007 and the changes
made in Lotto game at the beginning of
2007 (higher prize pool, new prize 3+1).
Lotko (we draw 6 numbers from 0 to 9)
Prize pool: 50%
Price per row: 1,00 €
Prize categories: Lotko 1 (correct last number), Lotko 2 (correct last two numbers),
Lotko 3 (correct last three numbers),
Lotko 4 (correct last four numbers), Lotko
5 (correct last five numbers), Lotko 6 (correct all six numbers)
Super Lotko (we draw 6 digit numbers)
Prize pool: 50%
Price per row: 1,50 €
Prize categories: Super Lotko 1 (correct
last number), Super Lotko 2 (correct last
two numbers), Super Lotko 3 (correct last
three numbers), Super Lotko 4 (correct
The Lotto game is currently distributed
through about 850 POS (400 post offices,
300 gas stations and 150 primary sales net-
-------------------
PAN
--------
9
RAMA
last four numbers), Super Lotko 5 (correct
last five numbers), Super Lotko 6 (correct
all six numbers)
Lotto Plus 7/39
Lotto Plus can only be played when playing
Lotto 7/39. When choosing Lotto Plus you
participate with the same numbers as the
numbers of Lotto 7/39 in Lotto Plus Draw
with fixed prizes.
Prize pool: 60%
Price per row: 0,15 €
Prize categories:
7: 20.000,00 €
6+1: 2.000,00 €
6: 200,00 €
5: 20,00 €
4: 2,00 €
3+1: 1,00 €
Super Lotto Plus 7/39
Super Lotto Plus can only be played when
playing Super Lotto 7/39. When choosing
Super Lotto Plus you participate with the
same numbers as the numbers of Super
Lotto 7/39 in Super Lotto Plus Draw with
fixed prizes.
Prize pool: 60%
Price per row: 0,30 €
Prize categories:
7: 40.000,00 €
6+1: 4.000,00 €
6: 400,00 €
5: 40,00 €
4: 4,00 €
3+1: 2,00 €
Gtech
Lotto Games
Italy
Lottomatica has been managing the Lotto
game in Italy since 1993 by virtue of a concession granted by AAMS (Amministrazione Autonoma dei Monopoli di Stato),
thus follows their guidelines and discusses
with them on possible changes to be made
to the game. In each case, every modifications of the game must be provided for by
law and are delegated to AAMS in terms of
implementation.
same rules, but with a personalized
instant draw
• Finalization of the automation drawing
process for 4 of the 11 drawing machines
(Rome, Naples, Milan and National)
between May 2005 and June 2007.
The Italian Lotto has no jackpot, but fixed
winning multipliers relative to the different
number combinations. With regard to the
changes made to the game, some have
proved to be quite successful, such as the
automation of the game, the increase in the
number of retailers, the increase of the
multipliers and the automation of the
drawing machines. Other changes though,
and especially the 3rd weekly draw, were
accepted by players with a lower level of
enthusiasm. In fact, market researches
show that it has decreased their involvement towards the game and has generated
loss of attraction and of suspense.
By law, the Lotto game can be distributed only through the tobacconists’
retail network but according to a
recent law, distribution through internet and other interactive channel is
also allowed even though not yet
implemented. AAMS, supported by
Lottomatica, is currently evaluating
the Internet channel for new dedicated game options, more appealing to
young people.
Several modifications have been made to
the game throughout the years, in order to
improve players’ perception of the game,
especially in terms of transparency, efficiency and appeal:
• Automation of the Lotto game in 1994,
which has simplified and sped up the
game process
• Introduction of the second weekly draw
in 1997: Wednesday and Saturday draws
• Expansion of the retail network (tobacconists): from 4.500 retailers in 1994 to
nearly 35.000 as of today
• Introduction of a new combination in
2005, “Estratto Determinato” (single
number in the exact drawing order) and
of an additional Prize Wheel, the so
called “National Wheel”. An additional
combination of 5 numbers with a different draw.
• Introduction of the third weekly draw in
June 2005, leading to a change in drawing days to Tuesday, Thursday and
Saturday
• Increase of fixed winning multipliers for
the 3 – 4 – 5 numbers combinations at
the beginning of 2005
• Introduction of “Lotto Istantaneo” in July
2006, a game option to be played together with the Lotto bet based on the
Objectives and results:
The stated modifications to the game aim
at:
• Improving the perception of transparency and security of draws
• Increasing the frequency of bets of low
spending segments and strengthen the
relationship with players at risk of churn,
thus maintain the customer base and
reinforce loyalty on regular players
• Preserving the volume of bets.
-------------------
PAN
--------
11
RAMA
The major factor which has significantly
influenced Lotto wagers and which has, in
certain years, determined sensational
results, was the contribution of wagers
deriving from Late Numbers (numbers
which are not drawn in more than 100
draws). Late numbers have though, in
some cases, led to a speculative and economically onerous game for players. In
order to refrain such speculative game on
late numbers, in June 2005, AAMS introduced the 3rd weekly draw, although concerned that it would have led to a decrease
in Lotto wagers. Nonetheless, today the
Italian Lotto still remains the number one
lottery in the world.
Game description
The game is based on the drawing of 5 winning numbers from 10 drums (drawing
machines) containing 90 numbers, associated with (and located in) 10 large Italian
cities, and 90 numbers associated with the
National Wheel (located in Rome).
• The minimum bet that can be placed is
1 €and the maximum is 200 €.
• The maximum prize that can be won is 6
million Euro
• Lotto draws take place three times a
week, on Tuesday, Thursday and
Saturday.
• The bets placed on the terminals are
stored in real-time in the central data
base.
Lotto Games
NORSK TIPPING AS
Norway
Our Games:
Lotto share of total Norsk Tipping games:
Approx 40% of total turnover. In addition
Viking Lotto stands for approx 15%
We introduced the most recent changes
to our Lotto game on 2 April 2006. The
selling price was increased from 3,-NOK
per row to 4,- NOK per row, simultaneously a new prize group was launched.
The main reason for the change was for
Lotto to remain competitive and attractive in the Norwegian gaming market. We
saw that the average 1st prize of approx.
2,4 mill NOK (EUR 312.000) was not
perceived as attractive as before.
Corresponding with the price increase
the average 1st prize was increased to
approx. 4,8 mill. NOK (EUR 612. 000).
Retailers of Lotto games:
Norsk Tipping AS has 4000 traditional
retailers distributed throughout the
country.
Maximum amount of grand prize/ or
jackpot paid for a Lotto game
Lotto: 25 000 000,- NOK (EUR 3,2 Mill )
Viking Lotto: 17 633 498,- NOK
(EUR 2,3 mill)
During the launch we added a new prize
group called “The Million Chance” where
one player is drawn out to participate in
an additional TV-draw and makes choices that either increase or decrease his
prize.
Since the implementation of our
changes, we have approximately the
same Jackpot/rollover.
All Lotto games are distributed through
our retailers, via Internet or mobile
phone. We are continuously working to
improve the different elements of our
Lotto game. This includes everything
from the TV-draw, the marketing mix,
add on games etc. Lotto is a mature
brand and needs continuous attention
and improvements to remain attractive
to our players
First Lotto Game launched in 1986
Last Lotto game launched in 1992
-------------------
PAN
--------
12
RAMA
Lotto Games
Switzerland
The modifications and goals:
On 15th of April 2004 the price of Swiss
Lotto was increased from CHF 1 to CHF
1.50 for one tip. It was the second price
increase since the launch of Swiss Lotto.
The first price increase was already 3 years
after the launch of Swiss Lotto. At that
time the price per tip was increased from
CHF 0.50 to CHF 1.
The price increase in 2004 had the goal to
gain a higher turnover which was decreasing over time.
On 28th of June 2006 the winning allocation of Swiss Lotto was slightly modified. A
bigger part of the winning amount is distributed on the first prize level. The savings
were made on the level of the second prize
tier. This change was made to fasten the
growth of the jackpot and to offer a starting
jackpot of CHF 1 million per draw.
Since the launch of Euro Millions in 2004,
the national lotto – Swiss Lotto – lost 22%
turnover until the end of 2006. As the
national lotto offers lower jackpots and
lower overall odds than Euro Millions, the
Loterie Romande and Swisslos decided to
strengthen one of these two product characteristics. In March 2007, a Reintegro game
with the name Replay was launched. The
participation at Replay is free and every
eleventh player wins Quick-Tips amounting
to his stake.
radic players is reinforced. Additionally,
Replay has a positive impact on the attitude and sympathy towards Swiss Lotto,
although the players would prefer to win
cash prizes instead of Quick-Tips.
Despite these several changes, the generated turnover in relation to the jackpot
amount is still constantly decreasing.
The objectives and the results:
Both the price increase and the new winning allocation should make bigger jackpots to attract new players and so increase
the net drop of Swiss Lotto. After the price
increase the net drop was 25% higher. This
result was expected and absolutely on target. With the higher turnover also the jackpots got bigger.
The main goal of the new winning allocation was to offer always a starting jackpot
of CHF 1 million and also to stabilize the
net drop at the level of 2006. On
Wednesday the jackpot starts at about CHF
800’000 to 900’000. So this result is slightly
below the expectations, but at least the net
drop of Swiss Lotto remained steady.
Game formula
Odds for the jackpot
Price per tip
Minimum stake
Replay
Number of draws per week
Joker
Extra-Joker
Number of different betslips
Number of tips per betslip
System participations
Duration of participations
Quick-Tips
Internet
Reactions to changes:
At the beginning of the price increase there
were some negative reactions and even an
investigation was carried out by the “pricesupervisor” to determine if the price
increase was justified. But at the end the
price increase was accepted fast because it
was the first one after 31 years and the
players profited from higher jackpots.
Also the new winning allocation had a positive influence on the jackpot size. The psychological important jackpot amount of
CHF 10 million is reached now in the
seventh draw instead of the tenth. There
were no reactions on part of the players.
99.9% of the players did not even notice
this minor change of winning allocation.
The reactions to the launch of Replay were
throughout positive since the participation
is free and the overall odds are higher. With
Replay the players have more and more
often a winning experience. Thus by
Replay, the loyalty of the regular and spo-
-------------------
--------
PAN
RAMA
The Loterie Romande and Swisslos
have started a project to rework the
national lotto and if things work out
the two Lotteries will be able to present some smart innovations in the
year 2009.
Swiss Lotto
Swisslos
6 out of 45
1:8’145’060
CHF 1.50
CHF 3.00 (2 tips)
yes (1 out of 11)
2 (Wednesday & Saturday)
yes (6 digits) CHF 2.00
yes (6 digits) CHF 2.00
3
14
yes
1 / 2 / 5 / 10 / 20
yes
yes
The first Swiss Lotto game was launched on
the 10th of January 1970
13
Unfortunately the Loterie Romande and
Swisslos missed the goal to attract new
players with these implemented changes.
At least with the launch of Euro Millions
around 3% of the population started to play
a lottery game and these new players are
younger than the average players so far.
With the launch of Replay the turnover
could be increased by 7%, the net drop
decreased by 1.3% because of the higher
payout since the launch of Replay. But
Replay was designed to reinforce loyalty of
the existing customers. First market
research results are showing that players
who made a Replay win have a better attitude towards Swiss Lotto and by offering
now higher overall odds sporadic players
will play more often in the future.
Loterie Romande
6 out of 45
1:8’145’060
CHF 1.50
CHF 3.00 (2 tips)
yes (1 out of 11)
2 (Wednesday & Saturday)
yes (6 digits) CHF 2.00
yes (6 digits) CHF 2.00
2
10
yes
1 / 2 / 4 / 6 / 8 / 10 / 20
yes
yes
Lotto Games
Austria
Over more than 20 years, our focus has
been to keep the game attractive and with
these new changes, our objective has been
reached. Lotto is still the market leader of
all classical games and could keep its position, even with the competition of a very
strong new brand, EuroMillions, which
was launched in 2004.
Our Lotto Games:
Lotto 6/45
Zahlenlotto 5/90
Euromillions 5/50 + 2/9
Lotto Sales Percentage: 25% of our total
game mix
Online retail outlets as of Dec. 2007: 3894
Largest jackpots:
- Lotto 6/45: Euros 7,164,511,40
Triplejackpot 19.2.2003
To keep the «game factor» in games of
chance, the Austrian Lotteries feel obliged
to make it possible for players to adhere to
the principle of moderation by self-restriction.
Responsible gaming and the retail
partners
Within the framework of education and
training for the new online-terminals all
the retail partners also receive information on Responsible Gaming.
Additionally, all retail partners were supplied with the folder Responsible Gaming.
Information on the risk of gambling and on
the prevention of addictive gambling. This
folder is available free of charge for every
customer.
• Motivation programs to make games
more attractive
• Again, newest, breakthrough advertising
approach
For years, the Austrian Lotteries have
adhered to the principles of Responsible
Advertising, which means advertising in
an informative way while by no means
obscuring the facts. This is what persuasive advertising does. The fundamental
need to play is not stimulated excessively,
and kept within limits that are acceptable
from a regulatory point of view. For example, it can indicate that one is not buying a
sure win at low cost but the opportunity to
------------------14 PAN RAMA
--------
Since the launch of our Lotto in 1986,
there have not been many changes in the
game. We introduced the second draw and
we had various price changes. Together
with the price changes, we changed the
allocation for the prize divisions always in
favor of the first prize division, the jackpot.
As expected, the total amount of Lotto
rows played per draw decreased and as a
result the size of the jackpots decreased.
We saw as well an increase in the number
of rollovers and in 2005, we had the first
jackpot with 4 rollovers in our Lotto history. During major jackpot draws, people
tend to spend more money when playing
the Lotto. This tendency has increased
since 2004.
Since 2001, we offer our Lotto games via
our Internet site: www.win2day.at which
gives our players the possibility to play
even on weekends when most of our sales
outlets are closed. The Internet helps to
attract new players, a technologicallyinclined target group. The fact that
Internet access is easy and widely available has always been a serious concern. As
a responsible provider of games of chance,
the Austrian Lotteries have from the very
beginning sought to counteract potential
problems. Youth protection and effective
control of online-game access are a major
challenge. The Austrian Lotteries and
Casinos Austria have paid heightened
attention to these issues from the very
beginning. Appropriate measures have
been in place since the gaming platform
win2day.at and the video lottery terminals
with WINWIN were launched.
A Responsible Gaming policy has long
been in place for the company, a standard
that applies to its relations with players,
its advertising campaigns and its retail
partners. The Deputy CEO of the Austrian
Lotteries, Friedrich Stickler, was awarded
the title «Responsible Manager of the Year
2006» in the category «Public Interest» on
27 March 2007. The award was presented
to him by Barbara Prammer, President of
the National Council, for his achievement
of establishing an extensive responsible
management far beyond pure business
aspects in the Austrian Lotteries, which
reaches far beyond the original business
and core purpose of the company.
purchase a dream.
This is the advertising pitch which the
Austrian Lotteries have used for Lotto, its
biggest-selling product, for many years,
and it can definitely be considered a case
in point for successful advertising. As for
the second top seller, scratch-off tickets,
again it is not the money that is in the
focus of the campaign but the kick one
gets out of scratching the ticket and the
little boost of joy for life that follows.
Bearing in mind their obligation to restrict
themselves in a responsible way, the
Austrian Lotteries have always advocated
developing and implementing their advertising strategies voluntarily based on high
ethical standards.
Fundamental principles of
advertising messages
• Legal, decent, honest and true
• Winning is exclusively a matter of luck
• Playing the lottery is not an alternative
to working
• Playing the lottery is not a way out of
financial dire straits
• Children and adolescents are no target
groups for advertising
First Lotto launched in 1986 (6/45)
2008
Lotto Games
Romania
C.N. Loteria Romana S.A. has not introduced
any modifications lately on its Lotto games and
has not launched any new Lotto games either.
Our Loto 6/49 game has generated the highest
jackpots since its launch and therefore, it
became a very popular play with our players.
Consequently, sales have increased consistently.
As with our Joker game (the second C.N.L.R.’s
best selling Lotto game), the latest jackpot was
the highest prize amount ever recorded since
the launch of the game.
C.N. Loteria Romana S.A. only distributes the
Lotto games through its point of sales network
and retailers, because state regulations do not
allow other distribution channels for Lotto
games in Romania.
The fist Lotto Game was launched in 1966 in
Romania. The organization is planning in the
future to launch a totally new promotional
campaign for their special drawing events and
raffles (tombola) for the Loto 6/49, 5/40 and
the Joker game. New games and new distribution channels will also be part of future works.
Our games:
Loto 6/49 (6 numbers drawn from 49) winning
categories:
1st = 6 numbers out of 6
2nd = 5 of 6
3rd = 4 of 6
Lotot 5/40 (5 numbers out of 40):
1st category = 5 out of 6
2nd = 5 of 6
3rd = 4 of 6
Joker (5 numbers from 45 and 1 number from 20):
1st category = 5+1
2nd = 5
3rd = 4+1
4th = 4
5th = 3+1
6th = 3
7th = 2+1
8th = 1+1
Lotto sales versus total game mix: 40%
Number of Lotto retailers: 1643
Maximum jackpot paid for a Lotto game: 12.5
Million Euros
Lotto Games
Germany
Description of Lotto Game
in Germany
Chronological modifications on our
Lotto game
The Lotto game is played twice a week,
one drawing takes place on Wednesday
and the second drawing takes place on
Saturday. In each drawing six numbers
and one additional number (from numbers of 1-49) are determined and in a
further drawing one super number (from
the numbers of 0-9) is determined.
• October 9, 1955 - Introduction of
Zahlenlotto “6 of 49”, stake per row
0.50 DM
• July 4, 1981 - Doubling of stakes and
winning amounts, limitation of odds
was increased from 1.5 Million DM to
3.0 Million DM
The additional number is important, with
a three, four or five correct selection.
• April 28, 1982 - Introduction of
“mittwochslotto 7 of 38” (Wednesday
lotto), stake per row 0.50 DM
For six correct selections, the super
number is important. This number can
be described as the end digit of the
Lottery ticket number on the pay slip.
• June 1, 1985 - Limitation of odds was
cancelled and a jackpot rule for the
first prize category was introduced
The “six correct numbers plus the correct super number” selection means a
million prize in the first prize category.
• June 4, 1986 - Game formula of
Wednesday lotto was changed to “2x6
of 49” with drawing A and B (separate
odds), stake per row 1,00 DM
The stake per row amounts to 0.75 EUR.
• December 7, 1991 - Increasing of the
stake in Saturday lotto to 1,25 DM,
introduction of the super number (6
right numbers + super number)
• December 6, 1995 - Increasing of the
stake in Wednesday lotto to 1,25 DM,
introduction of the super number
• May 22, 1999 - Increasing of the stake
in Saturday lotto to 1,50 DM
1955
-------------------
PAN
--------
16
RAMA
• December 6, 2000 - Introduction of a
rollover jackpot by joining the
Wednesday lotto and the Saturday
lotto to one Lotto with two drawing
days on Wednesday and Saturday;
jackpot rule: pay out of jackpot amount
after 14 drawings (7 weeks) at the latest in the 15th drawing.
After having introduced the rollover
jackpot (most significant change on our
lotto game) the size of the jackpot grew
faster than before, moreover higher winning amounts can be reached in the first
prize category.
For example, during the last jackpot
period in the Fall of 2007, a jackpot
amount of 45 Million EUR built up in the
course of 12 drawings (6 weeks) was
paid out in the 13th drawing (3 winners).
The jackpot modification is accepted by
the public. If it comes to higher jackpot
levels, occasional lotto players additionally get into the play. During a higher
jackpot phase, an increasing turnover
can be realized on a weekly basis, but
during the course of the year, the
turnover has a tendency to decrease.
Since 1955, all games are offered by sales
outlets.
As “no new lotto games” have been
designed up to now, there are “no new
distribution channels” in use.
Intralot
Lotto Games
Turkey
Description of Lotto games and photos
We have introduced some changes to our
lotto games:
Distribution of prize pool among the winning groups was modified so as to
increase jackpot and the smallest prize
was determined as higher than the unit
price of 1 column. This made the games
more attractive for the players. This
modification applied to all of our games.
(i.e. Sayısal Loto 6/49 and Süper Loto
6/54)
Sayısal Loto 6/49 (first launch on
November 11, 1996) is a game in which
the player picks 6 numbers out of 49.
Winning groups are 6, 5, 4 and 3. Jackpot
is rolled over only for 4 weeks and in case
of no winner at the end f 4th week, it is
distributed to the next winning group.
Each ticket has at least 1 and at most 8
columns. Drawing is realized weekly on
Saturday night and broadcasted live on
TRT1 which is a state-owned TV channel. Sayısal Loto 6/49 is the first game in
our lotto game portfolio and it still has
the highest proceeds yielding of all lotto
games.
Closing hours for the games were adjusted according to the daylight saving
times. This was aimed at increasing the
participation time period of the players.
This modification applied to all of our
games.
Without modifying the format of our traditional “Sayısal Loto 6/49” a new game
was introduced to our portfolio, the
“Süper Loto 6/54”. Unlike Sayısal Loto
6/49, Süper Loto 6/54 has unlimited number of rollovers and has more expensive
unit column price: 0,50 YTL for Sayısal
Loto 6/49, 1 YTL for Süper Loto 6/54.
With these changes, we have recorded
increases in the jackpot and the number
of columns played. With the advent of
“Süper Loto 6/54” to our portfolio, weekly sales have been on the increase as
well. The public’s reaction to these
changes has been positive which reflected onto our weekly sales amount. These
changes were applied only through our
current retailer terminal platform. No
new distribution channel was introduced. Our decision to implement
changes to the games was aimed at
attracting new players as well as promoting regular players. Our current playing
system is on-line, however, Internet gaming interfaces are not used. We can easily say that we have realized our objectives.
-------------------
PAN
--------
18
RAMA
Süper Loto 6/54 (first launch on
October 19, 2007) is a game in which
the player picks 6 numbers out of 54.
Winning groups are 6, 5, 4 and 3. Jackpot
is rolled over infinitely (limitless revolution) to the next week increasing the
prize payment until the jackpot is finally
won by 6 winners. Each ticket has at
least 1 and at most 6 columns. Drawing is
realized weekly on Thursday night and
broadcast live on TRT1 which is a stateowned TV channel.
These games can be played by marking
“Multi-drawing” option which enables
players to play the same numbers for the
2nd, 3rd and 4th weeks drawings following the 1st week drawing.
“Quick-pick” option is also available.
Lotto Games
LOTTO:
Conclusions
After looking at the different comments
provided by Lotteries and some of their
statistics on Lotto games, we can draw a
few conclusions. One of them is that
Lotto is not going to disappear, and on
the contrary the game has been expanding and taking new formats to adapt to
the latest technologies and please a new
class of players. Another point is that
high jackpots do not always bring good
things, but for some Lotteries, increasing
jackpot amounts seems to have worked
to their benefit.
Even with slight differences between
countries, there is a common denominator: All Lotteries must ensure their players’ respect by way of full compliance
with ethical policies and best efforts to
satisfy new demands. With the advent of
games on Internet and mobile devices,
players are constantly solicited by a
variety of operators. Lotteries have seen
the need, long ago, for a player retention
program to keep players interested in
the game mix and to reinforce their trust
in the state Lottery.
tivating and with the added games, will
increase their players base. In Estonia,
EESTI Loto is implementing a new
approach to better answer their players’
demands and keep them coming back.
Player protection is high on the list of
this Lottery and players are regularly
informed via Internet. Eesti Loto is also
setting up a variety of new advertising
campaigns to reinforce their commitment to good information.
ates Lotto from its other game mix
“There are millionaires and then, there
are Lotto millionaires.” The Lottery
maintains a constant communication
with its players base, to make sure that
they are well informed and able to control their playing habits. The Lottery distributes newsletters through their CRM
programs and uses SMS to keep in touch
with players about games, special offers,
jackpots, campaigns and more.
A similar approach is being applied in
Romania by CN Loteria Romana S.A. The
corporate web site is presenting newsletters to inform on a regular basis all the
players and a program of special prizes
has been set up to reward loyal players.
In the future, the Lottery intends to
become closer to their players by knowing more about their playing habits and
preferences: It will propose players’
accounts and cards. The Lottery has also
realized the need for a call center or
green line where players can get information and all sort of help.
The questionnaire has pinpointed some
factors that have made Lotto such a popular and successful game.
In Austria, motivation programs are part
of their long-standing responsible gaming policy. Such a policy involves the
relations between Lottery and players
but also between Lottery and its retail
partners. Players are encouraged to
practice moderation by self-restriction,
and retailers are educated and trained
about the risks and prevention steps of
addictive gambling. Motivation programs
and advertising campaigns are designed
within this same responsible framework:
Advertising must be informative without
obscuring the facts. Lotto advertising
highlights the fact that winning is just a
matter of luck. In every advertising, the
Austrian Lotteries make sure that their
message comes out loud and clear:
Playing is not an alternative to working
and “purchasing a dream” is no way out
of any financial crisis. A safe, legal, honest and responsible advertising approach
is what makes for a good relationship
with players and an excellent way to
retain players’ loyalty.
Almost all Lotteries have some types of
plan to either implement a player retention program or increase their existing
one. As an example, you will find a few
ideas implemented by some of the
Lotteries that have answered our questionnaire.
At TIPOS, along with plans to increase
their 3 Million SKK Lotto jackpot to a
guaranteed 10 Million SKK, there will be
a separate promotion campaign done for
Lotto games to place a special highlight
on these games and differentiate them
from the rest of the games. Although
Tipos has no particular player retention
program at the moment, the company
has established what it calls “motivation
programs.” A new Premium game, tied to
Lotto, with much more attractive prizes,
will be launched for the period of MaySeptember of 2008. This offer comes
with a twist: Players who like to play
“Lotto” will have to play as well the
“Joker” in order to participate in this
Premium game. The Lottery is making
Lotto games more challenging, more cap-
In Norway, Norsk Tipping likes to use a
communication concept that differenti-------------------
PAN
--------
19
RAMA
Unfortunately, Panorama does not have
enough space to include every details of
every EL Members who have so gracefully accepted to give us an overview on
the Lotto in their country. Panorama
would like to thank everyone who has
spent time to prepare the above-mentioned information, which should be
excellent references for any Lottery
interested in applying new concepts to
their Lottos.
Cybercriminality
Stakes of Cybercrime
for the online gaming industry
By Nicolas Woirhaye, Founder of Cert-Lexsi, France
with societal regulations which impair
their creativity but ensure an unassailable
brand image.
In this wide open field, where the States,
the European Commission or the WTO
compete for the roles of arbitrators, there
is, on the sidelines, a more secret, more
furtive, and above all more dreaded
strength. It is a fact that criminal organizations scoff at this attitude of procrastination and implement, on an almost
industrial scale, abusive and fraudulent
techniques which prove to be worrying
efficient in exploiting online gaming and
its players.
Nicolas Woirhaye
Transnational in essence, cybercrime
organizations have, in the general sense,
followed and accompanied the online
gaming market evolution since the end of
the nineties. Nevertheless, besides a few
very specific groups exclusively dedicated to this sector, most of them are invested in this sector in the fringe of other
activities.
Lottery companies, often State monopolies, seem to be commercially attacked
from all sides, particularly on the
Internet. Gaming, in all its components,
adapts especially well to the dematerialization world: Major costs (distribution,
promotion) become fixed costs, letting
the margin ratio, if not managed, soar
thanks to the economy of scale effects.
As for operators of online casinos or
poker sites, these third activities fall
generally in the category of computer
theft of credit cards information, Internet
channels of fraudulent operations, or all
forms of monetization of the massive contamination of personal computers. It is
always tricky to try to assess the number
of sites directly operated by crime organizations. Our teams identified a thousand
sites at least, directly operated by impostors, representing some 5% of the active
gaming sites. It would however be utopian
to try and differentiate precisely the good
operators from the fraudulent ones, especially when the legal frontiers are rather
relative….
Yet, the access to this Eldorado tends
to become more complex, and all the
actors are aware that the key to success in the medium and long term
rests on the brand’s awareness, and
on the customer’s confidence. And
both mainstays are all the more important
as the dematerialization emphasizes the
inherent fragility of a brand and the poor
consistency of visual elements on a
screen (advertising, design of the site…).
In order to give more depth to their
image, alternative online communication
strategies are being developed, namely
through bloggers, who bring credibility
and « humanity » to the gaming sites that
they recommend to their visitors.
In this context, the use of abusive practices such as spam, traffic diversion, or
contamination of personal computers can
be reprehensible, depending on where is
located the victim, the beneficiary company, the intermediary, the telecom
provider or the Internet site host. This
vagueness of the law, the phenomenal
growth of the sector, and the weak technical access barriers are the mainsprings
The gaming companies, born with
Internet, seem aggressive and dynamic, in
a world where trust in a brand is hard to
acquire. So, even with the American market off limit, these new companies have
managed to survive. Conversely, national
Lotteries look like clumsy albatrosses,
paradoxically ragged and strengthened
-------------------
PAN
--------
20
RAMA
of this explosion of sites and online gaming offers.
Dozens of thousands of intermediaries
feed the promotion chain of the new sites,
and are structured as affiliate networks.
These gigantic and very lucrative affiliate
networks have inevitably attracted a
number of impostors who reroute the
Internet users by taking control of their
machines, contaminating thousands of
lawful sites, sending astronomical quantities of spams, using stolen bank cards to
simulate new clients … The gaming company that buys the traffic and the new
client lists tends at times to overlook any
suspicions in order to maintain the
growth rate. In my opinion, it is a good
illustration of the difficulty in establishing
objective or subjective complicities
between fraud and its beneficiary.
And these abusive practices have unfortunately expanded due to their incomparable efficiency and return on investments. The observed techniques make
one’s head spin: In 2007, the online gaming sites gave rise to 600 billion spams,
the contamination of thousands of online
gaming sites, the monetization, on gaming
sites, of hundreds of thousands of stolen
bank cards.
First collateral victim of this virtual quarry: The general trust in the gaming industry, which is largely undermined.
Today, some of the main actors in the
Internet sector have tempered their practices, being aware that the power and the
image of their brand is their major growth
factor. For all that, the reputation of a
casino or sports betting site remains globally nefarious, the suspicion being combined with the risk of money laundering.
All the actors applying to respect the
rules in this sector , historical operators,
and new state or specialized regulators,
remote access suppliers or banking system, are directly interested in fighting
together against these cybercriminals,
who not only harm the players but also
the gaming practice in its whole.
Legal
Cyber crime legislation: an overview
The need to put the use of internet gambling for
criminal purposes on the EU security agenda.
By Philippe Vlaemminck, EL Legal Advisor1
Due to the intrinsic nature of cybercriminality, which by definition comprises
illegal activities committed through the
medium of computers and the internet,
the fight against such activities necessarily requires an international and coordinated approach between countries.
Cyber crime activities which have effects
in one country will most usually originate
in another country, thus requiring the
close cooperation of the respective
authorities of these countries, the
exchange of best practices and, when
necessary, the harmonisation of legislations.
The link between cyber criminality and
online gambling activities has been highlighted through reports of Europol2, the
EU European Police Office in charge of
enforcing European law through
cooperation with national authorities,
and reports of the Financial Action Task
Force ( FATF) on Money Laundering of
the OECD3.
by almost all the members of the Council
of Europe (except eight out of 43 member states), and has also been signed by
non-European non-members of the
Council, such as the United States, South
Africa, Canada and Japan.
Euro counterfeiting), drugs trafficking, trafficking in human beings, particularly exploitation of women, sexual exploitation of children, high tech
crime and environmental crime”5 as
those areas deserving priority attention.
As such, this document is important not
only through the scope of its signatories,
but also through the scope of its provisions. Indeed, it is the first legally binding international document intended to
regulate crimes committed via the
Internet through the establishment of a
common criminal policy to fight cyber
crime, and in particular infringements of
copyright, computer-related fraud, child
pornography and violations of network
security. The Convention is legally binding in that it requires from its parties to
transpose certain provisions into their
national criminal legislations in order to
effectively combat cyber criminality.
Following this call for action, the
Commission issued a number of
Communications and legislative proposals, which led, in certain cases, to the
adoption of Council decisions.
It should be mentioned, however, that
this obligation to adopt the relevant provisions seems to be rather flexible, as no
deadline has been set for the implementation of these provisions into national
law.
These reports underline the fact
that cyber criminality may profit
from certain characteristics of internet gambling, such as anonymity,
speed, and wide-spread access and
provision, in order to launder
money. As such, organised crime networks, and in certain cases terrorist networks, now have at their disposal a new
method of money-laundering which is
difficult to monitor, and not always properly regulated.
Unfortunately there are no specific provisions relating to gambling.
Cyber crime legislation at EU level
At the level of the European Union, the
issues of cyber criminality, money laundering and terrorism, are all dealt with
under the Third Pillar “Police and
Judicial Cooperation in Criminal
Matters”. This means that cooperation
between Member States in this matter
is done at intergovernmental level, with
the European Commission and
European Parliament having little influence in the matter.
Efforts have been made at EU level, as
well as at the level of the Council of
Europe in order to regulate the area of
cyber criminality.
Cyber crime legislation at European
level
The first and most important document
that was adopted at the international
level was the Convention on Cyber
Criminality of the Council of Europe4.
This Convention, which was adopted by
the member states of the Council of
Europe in 2001, entered into force in
July 2004. It has, until today, been signed
Nevertheless, the Commission has taken
seriously the mandate it was given during the Tampere Council of 1999. In
determining the areas for common definitions and sanctions, the European
Council identified “financial crime
(money laundering, corruption,
-------------------
PAN
--------
21
RAMA
The first Communication of the
European Commission, dated of 2001
and entitled “Creating a safer information society by improving the security of
information infrastructures and combating computer-related crime”6, was meant
to outline the Commission’s policies and
its action plan in the area. In parallel, the
Commission issued, the same year, a
Communication destined to strengthening the security of information systems.7
Following these communications, the
Commission put forward a number of
legislative proposals designed to achieve
regulation in a number of areas of cyber
criminality. These legislative proposals
dealt with child pornography offences,
racism and xenophobia and, more importantly (in this context), attacks against
information systems. A fourth legislative
proposal on the application of the principle of mutual recognition to pre-trial
orders associated with cyber crime
investigations involving more than one
Member State is also planned, but has
not been initiated yet.
Thus, the 2002 Commission Proposal led
to the adoption of a Council Framework
Decision on attacks against information
systems in 20058. A little earlier, in 2001,
the Council of the EU adopted a framework decision in an area directly related
to that of cyber criminality and money
laundering, namely that of combating
fraud and counterfeiting of non-cash
means of payment9.
A recent 2007 Commission communication “Towards a general policy on the
fight against cyber crime”10 outlines the
Legal
existing documents in the field, and calls
for better coordination of national
authorities, as well as for a better coordination at supranational level. Several
steps have already been taken in this
direction, by establishing or consolidating institutional mechanisms of crime
prevention and detection at supranational level.
organisation and other interested parties
with the aim of enhancing mutual understanding and co-operation at EU level”11.
The EU Forum seeks, inter alia, to
raise public awareness of the risks
posed by criminals on the Internet, to
promote best practice for security, to
identify effective counter-crime tools
and procedures to combat computerrelated crime and to encourage further development of early warning
and crisis management mechanisms.
For example, as a result of the abovementioned 2001 Communication, the EU
Forum on Cyber crime has been set
up. Its objective is to bring “together law
enforcement agencies, service providers,
network operators, consumer groups,
data protection authorities, civil liberties
In addition to this EU Forum, the EU
established the European Network
Security Agency on the basis of
Regulation 460/2004, with the objec-
tive of “contributing to a high level
of network and information security”12. Finally, one last development
in the area should be noted: namely
that of the amendment of the
Europol Convention. Indeed, the
Convention
establishing
the
European Police Office was amended by a Council decision of 2001, in
order to extend its mandate to cover
not only crimes of terrorism and
unlawful trafficking, but all forms of
serious crimes, including computer
crimes and money-laundering, as
designated in the Annex to the
Europol Convention.13
The need to put the use of internet gambling for criminal purposes on the EU security agenda and to extent the
scope of the EU money Laundering legislation.
It is clear that a lot of work has been done at EU level in the
area of cyber crime.. However almost no particular attention
was paid to the specificities of gambling in this context.
Although there is sufficient evidence of the involvement of
the organized crime in gambling, little has been done to fight
it at EU level. This is largely due to the fact that cyber crime
related gambling is not on the security agenda of the Member
States.
lation on money-laundering activities to Internet gambling
services. At the moment this legislation is only applicable to
land based casinos, while the risk of large scale money laundering is substantially higher in the cyber gambling environment.
As long as no effective solution is implemented to fight cyber
criminality in the gambling sector, there is no room for discussion of any other aspect of gambling at EU level.
An initial and essential step to counter cyber criminality in
the gambling environment is to extend the current EU legis-
This article was written with the contribution of Natalie Van der Meulen, who is doing an internship at the joint offices of Vlaemminck & Partners bvba and Foley & Lardner
LLP in Brussels. Prior to this engagement Natalie was working as a stagiaire at the EU Commission DG Development.
Europol Organised Crime Threat Assessment 2007, available at
http://www.europol.europa.eu/publications/European_Organised_Crime_Threat_Assessment_(OCTA)/OCTA2007.pdf
3
Financial Action Task Force on Money Laundering, 2000-2001 Annual report, available at http://www.fatf-gafi.org/dataoecd/13/2/34328033.pdf
4
Convention on Cybercrime of the Council of Europe, signed on 23 November 2001, available at http://conventions.coe.int/Treaty/EN/Treaties/Html/185.htm
5
Point48 of the Tampere European Council Presidency conclusions, 15 and 16 October 1999, conclusions available at http://www.europarl.europa.eu/summits/tam_en.htm
6
Communication from the Commission to the Council, the European Parliament, the Economic and Social Committee and the Committee of the Regions – Creating a Safer
Information Society by Improving the Security of Information Infrastructures and Combating Computer-related Crime, 26/01/2001. 52000DC0890, available at
http://eur-lex.europa.eu/smartapi/cgi/sga_doc?smartapi!celexplus!prod!CELEXnumdoc&numdoc=52000DC0890&lg=EN
7
Communication from the Commission to the Council, the European Parliament, the Economic and Social Committee and the Committee of the Regions - Network and
Information Security: Proposal for A European Policy Approach, COM(2001)298 final, available at
http://eur-lex.europa.eu/LexUriServ/site/en/com/2001/com2001_0298en01.pdf
8
Council framework decision of 24 February 2005 on attacks against information systems, 2005/222/JHA, available at
http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=OJ:L:2005:069:0067:0071:EN:PDF
9
Council Framework Decision of 28 May 2001 combating fraud and counterfeiting of non-cash means of payment, 2001/413/JHA: OJ L 149 , 02/06/2001 p.1, available at
http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=CELEX:32001F0413:EN:HTML
10
Communication from the Commission to the European Parliament, the Council and the Committee of the Regions - Towards a general policy on the fight against cyber crime,
22/05/2007, 52007DC0267 COM(2007) 267 final, available at
http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=CELEX:52007DC0267:EN:NOT
11
In abovementioned 2001 Communication, see footnote 5
12
Regulation 460/2004 of the European Parliament and of the Council of 10 March 2004 establishing the European Network and Information Security Agency, OJ L077/2004
p.1, available at http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=CELEX:32004R0460:EN:HTML
13
Council Decision of 6 December 2001 (OJ 2001 C 362/1), available at http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=OJ:C:2001:362:0001:0001:EN:PDF
1
2
-------------------
PAN
--------
22
RAMA
Premium
Diversified portfolio management holds the key
to Lottomatica’s success with instants in Italy
Lottomatica and GTECH Join
Forces To Achieve Astonishing
Success With Instant Ticket Sale
“We recognized after assessing global
best practices, that the key to being successful with scratch and win was to
diversify our portfolio of products and to
closely examine the key elements: payouts, price points, expanding the distribution network, and advertising, POS
and promotional strategies to align with
player demands, which we researched
very heavily,” said Marco Sala, Managing
Director, Italian Operations for Lottomatica.
An aggressively diversified portfolio
management program of Lottomatica’s
overall lottery and instant ticket offering
has been the key driver in a sales growth
story that defies convention. And just as
significantly, Lottomatica’s tremendous
instant ticket success has not come at
the expense of the Italian lottery operator’s expanding gaming portfolio; in fact,
all portfolio assets are performing at or
better than industry expectations.
Operating under an entirely re-launched
Gratta e Vinci brand platform for
instant ticket sales, Lottomatica re-engineered the entire portfolio. They introduced new price points where there had
only been one – a € 1 game that was
quickly expanded to include €2, €3, €5
and hugely successful € 10 games like
Colpo Vincente and Mega Miliardario
that have proven to be consistently big
sellers since their introduction in
January of 2007. Prize payouts were
changed from 45 percent to 68 percent
to increase player interest and loyalty.
The games themselves were re-designed
to reflect cultural relevance and align
with player research. The distribution
network was expanded from 19,000 locations in 2004 to more than 45,000 locations today, strategically associated with
popular tobacconist and tobacconist-bar
locations throughout the country.
As recently as 2002 the major lottery game
offered in Italy was Lotto. Now, less than
six years later, Lottomatica has expanded
the lottery portfolio to include sports betting, gaming machines, Internet, and the
fastest-growing asset in the mushrooming
portfolio: instant tickets.
How fast-growing have “scratch and win”
(as instants are known in Italy) tickets
been under Lottomatica’s leadership?
When Lottomatica began operating the
exclusive concession in 2004, instants
sales in Italy were €220 million. By the
close of 2007, Italian scratch and win lottery sales had grown to €7.9 billion – an
astonishing growth rate of nearly 4,000
percent in just three years.
“Our greatest success has been the
extraordinary growth in scratch and win
sales, but equally important to us has
been the fact that our growth there has
not come at the expense of our traditional Lotto player base,” Sala commented.
“And at the same time we have been able
to better manage our overall portfolio by
expanding into sports betting, gaming
machines and Internet gaming.”
Marco Sala attributes Lottomatica’s success to several factors: a research-based
evaluation; a finely-tuned strategy; careful execution; and the global experience
and insight of partner GTECH. The
power of the world’s largest lottery
operator and the world’s largest lottery
platform provider working in concert
yields impressive results.
“It is the reason we acquired GTECH. It
offers a truly global platform that, when
united with our competencies as an
operator, can yield extremely powerful
results for lotteries around the world,”
Sala said.
-------------------
PAN
--------
23
RAMA
Premium
Lotto: Keeping the Dream Alive
Many types of lottery games have been introduced over the years – games like Keno, instant tickets, Football Pools, Oddset and
Pick 3. No game, however, has ever reached the popularity of Lotto, which is still the world’s No. 1 game of chance in terms
of gross sales and the number of nations selling it.
Multi-jurisdictional Lotto for Larger
Jackpots
Over the years, Lotto matrices have been
changed, price points raised and several
draws per week introduced – all to meet
player demand and to adapt to evolving
player purchasing habits. Lotto’s unique
selling proposition is its jackpot.
Consequently countries have pooled
together to form multi-jurisdictional games
like Powerball in Australia and the U.S.,
Viking Lotto and EuroMillions in Europe. In
all these games, prizes are pooled across
jurisdictions in order to produce jackpots
larger than lotteries with smaller population bases are able to produce on their
own.
today. Innovations could, for instance,
include:
• Matching numbers in all lines on a multipanel ticket
• Multiplying wins 2 - 10 times. The
Multiplier is “drawn” just before the
Lotto draw.
• Adding Instant wins, for instance a Black
Jack game when buying a Lotto game.
Adding Innovations to Lotto
There are powerful market dynamics challenging lotteries and their ability to maintain, much less grow, Lotto market share.
First, Lotto is now a mature product in
many markets and so its novelty has long
worn off with these consumers. Secondly,
there are new and exciting gaming options
available to today’s consumers that were
not available a decade ago. New media distribution channels such as mobile phone,
Internet and interactive digital television
do indeed offer lotteries the possibility of
repackaging Lotto and targeting the game
at the 18- to 25-year-old consumer who
prefers the speed and convenience of new
technology over a visit to a traditional
retailer. Despite its promise, mobile
devices, so far, have yet to prove their revenue-enhancing capability. There is still
promise for this channel, but traditional
retailers and giant jackpots remain the key
drivers of Lotto sales.
Very simply, Lotto attracts more players
when additional games – that is, add-on
components – are attached to the regular
game. A sizeable percentage of players will
spend another Euro for the opportunity to
win more. Experience from jurisdictions
where add-on games have been introduced
supports these assertions.
Helping Retailers Grow Sales
The Lotto game has untapped potential for
add-on components and play variation.
Joker, Spiel 77 and Super 6 are the most
commonly used add-on games in Europe
In addition to offering add-on components
to Lotto and other game products,
Scientific Games recently introduced a
-------------------
PAN
--------
24
RAMA
powerful new tool called SalesMaker™, a
comprehensive package of proven solutions for helping lottery retailers grow sales
of Lotto and other games. The program’s
fundamental premise is to make it convenient and simple for consumers to play the
lottery. Elements include:
• Sales training for retailers. Already
after a two-hour training seminar, retailers show a significant increase in lottery
sales.
• Educating the retailer on the lottery’s
profitability to his/her business.
• Making sure lottery signage is highly
visible to the consumer; keeping jackpot
amounts, winner awareness information,
and new games up-to-date; placing front
and center new games – either online on
instant – so that consumers can’t miss
them.
• Promotions at retailer sites. These
include, but are not limited to, lottery
second-chance drawings or lottery second-chance drawings that incorporate
as additional prizes other local businesses’ products and/or service offerings.
• Localized promotion of winners at the
retailer site.
• Recognition of employees who demonstrate extraordinary SalesMaker™
efforts.
Selling Lotto in Grocery Stores
Adding a new sales channel is another
way to increase Lotto sales. Scientific
Games is currently working with Norsk
Tipping, Norway, on a new sales channel
initiative to offer games at point-of-sale
check-out lanes in grocery and convenience stores. Game transactions are handled via the cash register and no lottery
terminal is needed. Scheduled for rollout
later this year, the Norsk-Tipping initiative
includes, for example, quick-pick Lotto.
Among the goals are the expansion of
retailer distribution and higher Lotto and
instant ticket sales.
Premium
Solutions for enabling Responsible Gaming
porting high-definition multimedia content, in multiple monitors, in dispersed
locations and with optimized utilization
of network resources. With this platform
the Lottery can schedule and deliver customized rich multimedia content and
eye-catching messages to the whole
retail network, to individual retailers or
clusters of retailers selected according to
multiple criteria, like geographic region,
sales levels, etc.
Over the last years, Lotteries, which aim
to benefit all citizens by channeling the
desire of gaming in a responsible manner, are forced to diversify from their
competition by introducing new and
exciting games and by expanding in
alternative sales channels in order to
increase sales and contributions to local
communities.
However, increased sales and easier
access to games, emphasize the need for
greater commitment to social responsibility by the gaming industry, which, now
more than ever, must provide adequate
solutions to protect the players by reducing the likelihood of any problems associated with excessive gaming. This is an
equally important challenge for both
Lotteries and Technology providers.
Such measures have an effect on all players across the retail network, while for
players who have chosen the benefits of
registering and using membership play
cards, individualised responsible gaming
measures can be applied as well using
LOTOS™ Club, our system for integrated player management over multiple
access channels. Various spending and
time limits can be set to any registered
player, either by the players themselves
or by the Lottery. Gaming data can be
processed by our LOTOS™ Data Analyst
business intelligence applications, for
analyzing factors such as amounts spent,
playing frequency, preference to specific
games, and providing the Lottery with all
necessary reports for their responsible
gaming strategy. Moreover, players are
grouped in low, medium and high-risk
categories according to their predisposition to excessive gambling; thus enabling
the Lottery to diversify their responsible
gaming activity according to each player
profile.
Finally,
using
LOTOS™
Messenger, personalized messages, customized according to each player’s gaming profile, can be broadcasted to each
player individually.
INTRALOT offers exactly that, solutions
for enabling responsible gaming.
Solutions for the retail environment
In the effort to enable responsible gaming practices to be applied in the POS
environment, INTRALOT has developed
sophisticated technologies that Lotteries
can adopt as part of their overall responsible gaming strategies.
From LOTOS™ O/S, our central gaming
platform, to our complete range of POS
terminals, age verification methods,
gaming control features and a wealth of
other responsible gaming capabilities are
available and can be parametrically activated in order to provide ongoing or adhoc measures for informing and “protecting” the players.
Solutions for New Media
In the critical area of player awareness
and “play responsibly” education,
INTRALOT makes available a variety of
methods, from text messages displayed
at the marketing displays of the POS or
printed on the receipts, to streaming
promotional videos, focusing on responsible gaming. All these features are provided through LOTOS™ Horizon, the
unique content delivery, display and
management system of INTRALOT, sup-
For Lotteries that want to enter the
increasingly attractive market of
e-gaming (internet, mobile phones, i-TV,
PDAs, etc.), INTRALOT has developed
the B-On platform that incorporates a
variety of features that effectively support responsible gaming. To enter the
games, all players need first to register
and go through an age and location verification and authorization process. In
-------------------
PAN
--------
25
RAMA
addition, B-On allows players to easily
define self-regulation rules and operators to apply rule-based exclusion policies. For example, a player can specify
the maximum amount of money allowed
to bet or spent each day, set a minimum
wait period between consecutive bets or
even temporarily be excluded from participating in certain games. B-On also
enables the use of interactive information related to responsible gaming
through banners, pop-ups, SMS messages, among others, while personalized
messages can also be delivered.
Future perspective
INTRALOT’s commitment in “Responsible Gaming” is evident considering its
rich portfolio of responsible gaming solutions, and through its continuous R&D
efforts, evaluating emerging technologies
and adopting those that can be of real
benefit to the Lotteries, the Players and
the Society at large.
Being both a lottery operator and a technology provider INTRALOT can also support Lotteries in finding the optimum
responsible gaming strategy, tailored to
their individual needs, which will achieve
the right balance in “protecting” the
player while maintaining profitability,
increasing contributions to good causes
and respecting players’ rights.
pub congrès
Members’ News
Turkish National Lottery welcomes new chairman
of the board and director general
Mr. Recep Biçer was appointed Chairman
of the Board and Director General to the
Turkish National Lottery Administration
on the 22nd of December 2007. Mr. Biçer
received a B.S. degree in International
Relations from Ankara University, in
1989 and a M.S. degree in Economics
from Northeastern University (Boston,
MA, USA), in 1998.
Recep Biçer
Before joining the Turkish National
Lottery, he was Director of Administration and Finance, for the
Organisation of the Islamic Conference
between 2006 and 2007. He acted as
Head of Department, at the General
Directorate of Public Accounts of the
Ministry of Finance from 2004 to 2006
where he was in charge of Public
Accounts and Statistics, IT projects and
EU relations issues. Among others, his
remarkable experiences may be listed as
follows: Twinning Project Leader for the
EU funded project “Capacity Building for
the Compilation of Accounting Data in all
Institutions and Agencies within General
Government Sector in the Context of
e-government” between 2005 and 2006;
A participant in the meetings of the
“Public Finance Statistics Working
Group” and “Task Force on Quarterly
Financial
Accounts
for
General
Government” of EUROSTAT (Luxembourg) in 2004-2006; Project Coordinator for the project “Upgrading the
Statistical System of Turkey” in 2005;
Member of the Project Committee for the
“Public Finance Management Project”
between 1994 and 1996.
Tasks / Challenges
In Mr. Biçer’s own words: “As you know,
I took the office following the sorrowful
decease of previous Director General Mr.
Ihya BALAK and I tried to accelerate the
convalescence period of the Turkish
National Lottery as a family. The first
challenge I will face at this post will be
the completion of the on-going privatization process. I intend to accomplish the
privatization process in a successful and
satisfactory manner for all the stakeholders in the sector. Another parallel
issue is the re-structuration of our organization as a “regulating body” in the
sector. While achieving these objectives,
with no doubt, we will pursue our compliance with the standards and norms of
the World Lotteries Association (WLA)
and the European Lotteries Association
(EL) we are a part of. The fundamental
principles regarding the responsible
gaming standards, and social responsibility (such as protection of vulnerable
groups with respect to age, social status
and gaming habits, provision of accurate
information for the public about gaming
and the risks associated with it, development of better understanding of social
impact of gaming and promotion of only
legal games) will be respected during
these processes”.
“Another challenge for me is the EL 2009 Congress which will be hosted by the
Turkish National Lottery in June 2009 in Istanbul. We are making our best
efforts to organize a fabulous occasion for all participants and we would be
very happy to welcome you all in the well known magnificent atmosphere of
Istanbul which has been selected as the European capital of Culture-2010.
Istanbul, the only city in the world which spans two continents and where
Europe and Asia meet at the Bosphorus and the capital of two old world
empires, awaits you!”
-------------------
PAN
--------
27
RAMA
Workshops
EL/WLA Marketing seminar
The POS - are we at a crossroads?
“The POS – Are we at a Crossroads?”
thus was the title and the theme of the first
joint EL/WLA seminar of 2008.
Is a POS a Point of Sale or a Point of
Sales? Or is it even more interestingly a
Point of Service?
Dr. Winfried Wortmann,
EL President
Furthermore, what an organization considers as a POS is, from the point of view of
the buyer, a POP, a Point of Purchase. The
organization needs therefore to reconcile
two different perspectives, the selling point
of view (POS) and the purchasing point of
view (POP). Whereas, the organization
needs to maintain, market, advertise and
promote on a 24/7 basis a POS, the player
uses the Point of Purchase only but for a
few minutes. It is therefore during those
brief minutes that the organization needs
to ensure that its goods and services, its
uniqueness and its competitive advantage
are fully displayed and highlighted.
During the seminar, which was held
January 23 - 25 in London and attended by
more than 140 participants from over 45
gaming-related organizations and lotteries,
another perspective was added by a
keynote speaker, the POC, or Point of
Contact.
It becomes critical that, reaching this
strategic crossroads, the question be
answered: Are we witnessing an evolution
of the traditional POS or are we in the
process of revolutionizing the POS towards
the POP or the POC?
But, the fundamental
tenet of the organisation’s
success
remains (although it
may develop and
offer the best available product): will
the consumer buy?
Although regional,
local and organizational differences naturally transpired, universally recognized global trends emerged
28
-------------------
PAN
--------
Arch Gleason,
WLA President
These considerations are not an exercise in
semantics but rather fundamental differences in marketing, advertising and
promotion geared towards the buyer.
RAMA
and these questions, and many more, were
answered by renowned speakers and panelists during the seminar.
The program was articulated along five different but complementary streams:
• an International overview,
• the Partners perspective,
• Innovations and Promotions at POS,
• Challenges and opportunities,
• Checks and balances.
On Thursday 24,
after the welcoming
address by Arch
Gleason, WLA President, the first keynote speaker, Jojo
Mulder, Partner Kurt
Salmon Associates,
kicked off the seminar with her presentation on “Think
Retail…Act Retail”, followed by Michelle
Carinci President and CEO ALC Lottery
“Recent Challenges – a Canadian
Perspective”, Svenska Spel Mattias
Mildenborn and Per Granqvist on “Retail
Strategies in the Swedish Market”, J.C.
Buvat La Française des Jeux on “Network
and axes of Development in France”,
Lottomatica’s Andrea Faelli on “Innovation
with cross-distribution”. The morning presentations were concluded by a panel
where the above speakers answered to
questions and discussions topics put forward by the participants and the moderator.
On Thursday afternoon, the Premium
Partners, Scientific Games’ Carin
Langemark, Gtech’s Matt Mansfield,
Intralot’s Vasilis Kasiotakis and Wincor
Nixdorf’s (Semi-Premium) Thomas Zink,
presented recent development and their
input on innovations at the POS as well as
the opportunities and challenges facing the
Retailers.
The last stream on Thursday was dedicated
to Responsible Retailers challenges and
issues with presentations by Vincent
Hotyat Loterie Nationale Belge on
“Responsible Gaming through the whole
product process” and Hans Savonije WLA
Executive Director on WLA Standards and
Framework for Retailers.
Workshops
Friday 25 started with a multimedia presentation by Sisal Francesco Parola on
“Innovative Marketing Operations”, followed by two presentations on consumers
cards: the first by Martin Hayward on the
Clubcard developed by Tesco and the second by Norsk Tipping’s Jan Peder
Strømslid on the Loyalty Card implemented in Norway. These presentations were
also followed by a panel discussion.
A special debt of thanks to the speakers, panelists, EL and WLA, Arch Gleason
and Winfried Wortmann, the host Lottery and above all the participants, for their
contribution in making the seminar both beneficial and informative.
The topic of POS innovations was further
explored by Anu Kytö, Veikkaus, on
“Developing the Customer experience in
Finland” followed by Eva Kocsis, on “ATM
Betting in Hungary” .
The last stream of the seminar “Creative
Promotions and Incentives at the POS”,
included presentations by Norsk Tipping
Thobjørn Unneberg, on “Digital Communications at POS”, La Française des
Jeux Marc Chabrand on “How to motivate
your retailer” and Golden Casket’s CEO Bill
Thorburn on “Retailers motivation and
improved interactions at the POS”.
Each stream was anchored by panel discussions.
Dr. Winfried Wortmann, EL President,
concluded the seminar by summarizing the
challenges and opportunities facing the
Lotteries and by thanking all the participants for their support and continued
interest in the Association’s activities.
In addition, the participants had ample
opportunity to network and sample
Camelot’s hospitality and the excellent
organization provided by EL’s Office
of the Secretary General Bernadette
Lobjois.
Gilbert Rehayem
Moderator
-------------------
PAN
--------
29
RAMA
Workshops
Joint EL/WLA Security Seminar March 18 –20, 2008
Marseille / France
Tried, Trusted and Tested
Mr. Christophe
Blanchard-Dignac,
1st EL Vice-President
CEO of La Française
des Jeux
Whereas it has been recognized that
Marketing, sales, advertising and promotion are important ingredients of a successful business, audit, controls, corporate social responsibility and security are
fast becoming, due to the changing
social, financial and regulatory environment, highlights in any strategic plan of
an organisation, especially one that is
based on public trust and integrity, such
as a Lottery organization.
Security is a key ingredient of a sound
strategic plan regardless of the size of an
organisation. Physical, logical, technical,
network, architecture, business continuity, data integrity, money laundering,
human errors, these are all but a few
challenges facing the Lotteries. Security,
in its broadest sense, ought to be handled as a project by itself. But, whereas
any project has a beginning, deliverable
and an end, security is an endless project. It is an evolutionary process that
grows in complexity and scope parallel to
the demands and constraints of the business environment. Nothing is to be taken
for granted. Complacency is suicidal for
the organisation.
Mr. Jean-Pierre Alezra, Director
Racing and Games, Ministry of
the Interior
Mr. Thierry Pujol,
Director of Security at
la Française des Jeux
and Chairman of the
WLA Security and
Risk Management
Committee
Technology and innovative accesses to
data are evolving with leaps and bounds
creating exponential increase in risks
and potential breaches. And, to paraphrase an expert, the new Vandals,
Visigoths, Huns, are today the computer
Geeks and Nerds.
Thus, education, networking and cooperation are fundamental among the world
lottery organisations for the common
good.
Security is conceptually defined as “the
condition of being protected against
danger or loss”. But, this condition is
not inherently existent but needs to
“have been made” by those, in this particular case, assigned to Security within a
Lottery.
This was demonstrated by the latest
Security Seminar, offered jointly by EL
and WLA, March 18 –20 in Marseille /
France.
-------------------
PAN
--------
30
RAMA
More than 85 participants, a record,
involved in Security within some 35 different organisations, attended this event
which included topics revolving around
public order and regulatory issues, risk
management and risk mitigation, the
new world of cybercriminality, the
parameters of a sound business continuity strategy, the development and
implementation of standards such as
WLA’s and ISO’s, the importance of
audits, controls and procedures. In addition, real cases were presented and discussed such as the EuroMillions case in
France and other around the world particularly in Canada and the USA.
Examples of state-of-the-art technology
such as on-line synchronous data replication, where data is simultaneously
recorded in two different locations to
ensure redundancy, secure wireless communications architecture, the new ticket
checkers at La Française des Jeux
designed to enhance winning tickets
identification at the POS, and technical
enhancements in the production and distribution of secured instant tickets, were
also covered by expert speakers from the
Lottery sector and regulatory bodies.
In particular, one needs to recognize government support and cooperation to
address the issue in the game portfolio
development and offering. In Marseille,
this was demonstrated by the opening
keynote address by Mr. Jean-Pierre
Alezra, Director Racing and Games,
Ministry of the Interior.
All of these topics were also subject to
panel discussions with questions asked
by the participants to the speakers.
Workshops
Anchored by the opening address by Mr.
Christophe Blanchard-Dignac, 1st EL
Vice-President, Member of the WLA
Executive Committee and President and
CEO of La Francaise des Jeux, the hosting Lottery, and by the closing remarks
by Mr. Thierry Pujol, Director of Security
at la Française des Jeux and Chairman of
the WLA Security and Risk Management
Committee, the seminar was all along,
not only an top-notch learning event, but
also an excellent opportunity to network
and exchange information and experience to and by all participants.
The seminar was organized by the WLA
Security
and
Risk
Management
Committee and by EL Secretary General, Bernadette Lobjois, with contribution by Hans Savonije, WLA Executive
Director and with la Française des Jeux
full support.
A special debt of thanks to the abovementioned, as well as to the expert
speakers, and to all participants, who
contributed collectively to the success of
the event.
Gilbert Rehayem
Moderator
-------------------
PAN
--------
31
RAMA
The European Non-Governmental
Sports Organisation (ENGSO) represents 41 national umbrella sports organisations from across Europe and is the
only European sports organisation that
has been granted consultative status by
the Council of Europe. What is your
view on the current EU sports policy?
We are pleased that the EU acknowledges the highly significant societal role
of sport, especially with regard to health,
education and social integration, and the
importance of voluntary work in nonprofessional sport. The new EU Treaty,
once adopted, will give the EU the power
to take supportive action in the area of
sport, something that we welcome.
However, one must not forget that sport
policy is primarily a national matter; the
principle of subsidiarity has to be
respected. We are also pleased with
many ideas and initiatives the European
Commission proposed last year in its
strategic communication “White Paper”
on sport in the EU. However, it would be
important that the meaning and content
of autonomy and specificity of sport will
be clarified in the near future.
Birgitta Kervinen, President
In addition, the White Paper does not
always clearly dinstinguish between professional, commercialised sport on the
hand and amateur and grassroots sport
on the other, not least with respect to the
financing of sport. While, say, professional football clubs draw on a number of
income sources such as media rights or
merchandising, public funding is indispensable for non-professional sport and
the many volunteers contributing to its
functioning.
And here EL and its members come in,
as in many EU member states these public funds are generated to a large extent
by state Lotteries. For instance, in
Finland 98% of the state budget for sport
is provided by the national Lottery. Sport
in Germany receives around 500 million
Euro of public funding every year, which
would not be possible without the contributions of the state Lotteries.
-------------------
PAN
--------
32
RAMA
The European Commission is pushing
EU member states, through infringement proceedings, to open their statecontrolled sports betting markets to
commercial internet gambling operators. In fact those are already offering
the full range of internet games including lotteries and casino games in these
markets without paying taxes and levies
to the respective national governments.
For ENGSO, number one priority is to
safeguard the financing of the non-profit
voluntary sports movement in 700,000
sports clubs in the EU Member States. It
is of utmost importance to promote the
health of all Europeans through more
physical activity. This is why ENGSO is
extremely concerned about this development.
Leaving the legal debate aside, we are
talking about a highly political issue here:
opening up the betting market will jeopardize the biggest civic movement in
Europe, the European sports movement,
and its foundation, amateur and grassroots sport. We need a political debate on
how we can secure the funding of this
popular movement if the market is
opened.
The European Sports Model, in which
amateur and grassroots sport provide the
foundations and professional sport only
represents the tip of the pyramid, must
be preserved. We are looking forward to
the study on the financing of sport that
the European Commission will carry out
next year. To date, no sustainable and at
the same time politically feasible ways of
compensating the great losses in state
lottery funding (that would occur in the
event of a market opening to companies
that only seek private profit) have been
proposed and properly discussed.
Sport
Setting up an adequate structure:
EL Monitoring System - A new step forward
In June 2005, EL signed during its Congress
in Rome a Memorandum of Understanding
with UEFA, in wich the following obligations
were mentioned:
UEFA and EL have the intention to discuss
a common Code of Conduct for football in
relation to betting.
In the interest of protecting and maintaining
the integrity of football, EL is willing voluntarily to provide UEFA with information on
irregular betting patterns for UEFA competition matches, to assist UEFA in either
taking preventive measures prior to a fixture in question or investigating the conduct connected with UEFA competition
matches with respect to its rules and regulations.
To enable EL to fulfill its obligations with
respect to UEFA, the Executive Committee
decided at its last meeting of March 14,
2008 to set up a professional structure
inside EL, which will collect information
and monitor the matches.
To support these activities, the Danish
Lottery, Danske Spil a/s will designate collaborators who will perform the work. At the
General Assembly in Cyprus on June 20,
2008, EL Members will have to confirm this
new task for EL and the related costs. The
costs will actually be covered by the only
Members who operate Sports Betting and
who are part of the MatchInfo Group.
Such collaboration with UEFA can only be
efficient if the information sharing is optimal and well structured. As soon as the EL
Monitoring System is functional, the persons in charge will contact each Lottery in
order to improve the level of information.
These services will start with UEFA and
might be expanded afterwards to the FIFA
and other professional football leagues.
Jens Nielsen, Chair of the EL Sports Betting
Working Group and Operations Manager at
Danske Spil in Denmark
Questions to Jens Nielsen, Chair of the EL
Sports Betting Working Group and
Operations Manager at Danske Spil in
Denmark:
1/ What is the main challenge for EL in
setting up this EL Monitoring System?
Our main challenge - and our clear goal - is
to deliver consistent and high-quality information to our friends and partners in the
sports world. Information about irregular
betting patterns can help sports against
match-fixing, primarily as a preventive
measure before matches, but also an infor-------------------
PAN
--------
33
RAMA
mation source in possible investigations
afterwards.
Internally our main challenge in setting up
our monitoring system has been
resources. It requires time and effort to
coordinate the monitoring system, and
this is what we are now addressing with
the establishment of an EL Monitoring
System.
2/ How important is this Monitoring
System for UEFA and the sport in
general?
I believe it is very important. We offer
some key information to the sports organisations - namely information on bets on
their matches. This can be vital for them
in determining if there are clear indications that a certain match could possibly
have been fixed, or indeed the contrary, if
our betting patterns show something
opposite. This is information which the
sports world cannot possibly get without
our assistance, the people who handle the
bets.
It must also be mentioned that the EL
monitoring system is very important for
us, Lotteries. Besides helping sports, we
are definitely helping ourselves. A professional system which creates awareness
about irregular betting in other member
countries will help everyone run their
sports betting games in a safer, controlled
and profitable way.
3/ What are you expecting from EL
Members who operate Sports
Betting?
We hope and expect that everyone with
fixed odds sports betting will participate
in our EL monitoring system. For most
Lotteries, it requires nothing more than
remembering to inform the rest of the network about irregular betting patterns
observed on their own matches. This monitoring task is already taking place in
Lotteries with sports betting because of
risk concerns and ethical issues. There are
no legal strings, and there is a high level of
willingness around our network to help
improve each other with focus on our
combined final output.
Bernadette Lobjois
Secretary General
SGI