Dedicated to the development of a full suite of internet products and services, Sciplay’s focus is to enable lotteries to capitalize on the potential of the internet, mobile and other interactive games – anticipated to be the next large wave of revenue growth in gaming.
The Perfect Fit
Many lotteries have begun to explore the benefits of the internet – posting results, advertising games and reporting lottery news on websites. Those exceptionally high levels of website traffic and are a perfect fit for the internet. Though many lotteries do not have the legal or regulatory authorization to fully capitalize on this traffic, they are beginning to explore what they can do today to best position themselves at each stage of the regulatory evolution.
“We see potential overlap of lottery players, casual games players and casino and poker players,” says Rick Weil, CEO of Sciplay. “Many casual players don’t play the lottery or don’t play frequently, but if they were introduced to the lottery through the internet, they would probably play more.”
There are millions of people in Canada already playing casual games on the internet. Casual games are video or online games characterized by simple rules, no long-term time commitment or special skills to play.
Overlay the almost 25 million instant tickets sold every week through more than 32,300 retail locations in Canada and the internet’s vast potential for enhancing entertainment and lottery revenue is readily apparent.
“Imagine using every one of your instant tickets as second-chance entries to drive this vast consumer base to your website,” says Weil. “Lotteries get this traffic for a relatively low cost, with an estimated 90% clicking through and registering. In the internet games business, you’re lucky if that number is 10%. ”
The challenge ahead: Can lotteries monetize this traffic by offering these ‘qualified visitors’ website content that will engage them for longer periods of time and create revenue-generating opportunities both through increased play and with local partner advertising tie-ins? Up to now, that’s been an issue. And that’s where Sciplay comes in.
Since 2001, Scientific Games has designed and launched web services for 28 lotteries and supported over 200 Internet second chance and promotional programs.
“Together with Playtech, we offer best-of-breed content, sophisticated player management systems and nearly four decades of lottery industry experience,” says Weil. “We believe the Sciplay advantage is that the interactive world is much more akin to instant games than lottery systems. When you think of all the work that goes into developing an instant game – from the theme and price point to the prize structure and promotion to the redemption – we have been doing these things for years and are extremely successful. That’s exactly what the interactive world is about.”
*Consistent with applicable regulation