iGaming Business magazine iGB 111 July/Aug | Page 67

Sports Betting Focus 2018
REALISING
POTENTIAL of lottery
THE
A once-dormant vertical should now be seen as a compelling sector that holds serious growth
prospects, says Richard Mifsud
Lottery is a vertical that has remained largely tried and true
in the experience that it brings to players. For many people,
the word ‘lottery’ conjures up visions of rotating barrels packed
with cascading balls, all wrapped up in the very real opportunity
to win life-changing sums of money.
However, while this rather hackneyed image may ring true
with players on a global level, that is not to say lottery gameplay
is lacking for innovation. Lottery is no longer limited to
irregularly timed draws presented in a one-size-fits-all package,
and the market is responding to this. A host of forward-thinking
operators and providers are now bringing groundbreaking
innovations to the fore.
By way of example, risk-adjusted jackpots are coming into greater
focus, while themed draws that can be matched to the style and
messaging on a particular operator are growing in popularity. These
customisable draws can be held on an hourly, daily, weekly or event
basis and have the capacity to appeal to a wide range of customer
demographics. All of these recent developments have played an
important part in boosting the power of lottery as an acquisition tool,
and this is a factor that markets all over the globe are increasingly
sitting up and taking notice of.
Richard Mifsud is CEO and co-founder of
Helio Gaming. A highly respected executive
with years of experience in the igaming industry,
Richard oversees the company’s overall growth
strategy, product portfolio and strategic objectives.
Factors including the types of games people play, how long they
engage with those games for and which games they play next
are important to consider, and gameplay types tailored to each
specific region will stand providers in good stead to capitalise
on these opportunities.
For example, in Africa, a commitment to mirroring the
high-frequency example set by sports betting has been core to
our approach. Sports betting is immensely popular in Africa, with
small-stake, high-win multiples demonstrating a consistent level of
popularity. Higher frequency opportunities to win must be deployed
by lottery operators in Africa in order to entice a player-base
accustomed to a high level of regular betting opportunities. At Helio
Gaming we have deployed our Lotto Hero product, which allows
players to win £1m on the hour every hour, in part with a view to
meeting this demand.
Meeting the needs of emerging markets
The disruptive potential of lottery as a vertical is clear, and this
is especially true in emerging markets such as Latin America
and Africa. Rich in potential, these regions are exhibiting high
demand for lottery products. Operators and providers with
high-quality products and robust technological frameworks
can take advantage of this.
In Africa, we are seeing a high level of interest from incumbent
operators in integrating next-generation lottery technology.
There are valuable opportunities to be found in countries like
Nigeria, a nation with 90 million internet users and more than 100
million citizens with mobile access. Of course, as with any new
market, a carefully considered approach to market entry must be
taken if the end result is to be a success. Approaching African and
Latin American jurisdictions with exactly the same set of products
and features that has brought success in European markets is
unlikely to lead to profitability.
Ironing out the kinks
Clearly, the lottery market is primed to grow rapidly with meaningful
opportunities up for grabs. However, that is not to say that the
sector is free of challenges. The monopolies in place in many more
mature markets should be seen as a relic of the past – in today’s
open society this kind of anti-competitive practice runs the risk of
stifling innovation. Ultimately, in a regulated market, what games
can be offered should be at the discretion of the client and the wider
marketplace, as opposed to the express decision of the regulator itself.
It is also crucial not to dismiss the importance of the retail sector
in deploying a successful lottery product. To again take Africa as
an example, while being mobile-friendly is equally key in light of
growing rates of mobile penetration across many African nations,
retail remains a lucrative channel. We are working closely with
aggregators who will also offer our solution to retail operators,
and it will be fascinating to see how this develops.
iGamingBusiness | Issue 111 | July/August 2018
65