16 PUBLIC GAMING INTERNATIONAL • MARCH/APRIL 2025 to get shoppers’ attention. So, these cross-promotional strategies strengthen the lottery’s position within the retail space. For instance, a promotion might offer 10 cents off per gallon of fuel when a customer purchases a $10 lottery ticket. These kinds of cross-promotions create additional incentives for players while reinforcing the lottery as part of a retailer’s broader sales strategy. Another exciting aspect of Arizona Lottery’s work with Circle K is how they’ve expanded collaboration beyond just their own stores. Because of the strong relationship they’ve built, Circle K now helps facilitate discussions with other vendors, enabling co-branded promotions. So, for example, a promotion could offer a discount on a Coca-Cola product with the purchase of a lottery ticket. Instead of having to navigate corporate channels and reach out to Coke headquarters in Atlanta directly, Circle K acts as a bridge, helping to get these partnerships off the ground faster and more effectively. This kind of retailer-lottery synergy is a win-win. It enhances the perceived value of the lottery, drives sales, and strengthens partnerships that can lead to even more innovative collaborations in the future. We still rely on traditional, boots-onthe-ground methods for on-site promotions, even though many vendors have moved away from them because they’re labor-intensive. But we see it as a win on multiple fronts. When we have someone in a store, or even out in the parking lot, selling lottery tickets, we’re not just promoting lottery; we’re also boosting visibility for the store and the retailer’s products. We’re adding value to the shopper’s experience, making their visit more engaging. And retailers appreciate it because they can see the impact firsthand. The Arizona Lottery has embraced this strategy for years—whether standing outside a Safeway or being part of a Fry’s grand opening for hours, engaging with customers and driving excitement. The best part? The effect can go viral. A successful promotion often spreads through social media and word-of-mouth, drawing even more attention to the Lottery brand. Yes, it requires an investment of time— but when done right, it becomes the gift that keeps on giving. It sounds like you foster a culture of openness to new ideas. T. Beenders: For sure. It’s always easy to be the one who points out why something won’t work—maybe it’s been tried before, or maybe it’s hard to measure ROI on something completely new. But we intentionally create a big comfort zone for new ideas so that creativity isn’t stifled. You’ll sometimes hear people ask, “How will this help us sell more lottery tickets?” And while, of course, selling more tickets is the ultimate goal, framing brainstorming sessions that way can smother creativity and thereby limit innovation. If every idea has to immediately justify itself in terms of sales, you’re less likely to come up with fresh new concepts. That’s not to say that ROI and measurable results aren’t important—they absolutely are. But if you focus too much on those questions too early, you risk shutting down creative thinking before it even has a chance to take shape. The key is giving new ideas the space to breathe first, and then refining them with a practical lens. Would the idea be that helping retailers succeed leads to more lottery sales? T. Beenders: It’s not just an idea — it’s a reality. We understand that a grand opening is a big deal for a retailer. They want to stand out from the competition, and when we show up to help them do that, it strengthens our partnership. So when the time comes to introduce new ideas, launch a pilot program, or place new vending machines that require additional floor space, those retailers are far more receptive. They remember that we were there to support them, whether it was helping with a launch, improving efficiency, or driving in-store engagement. That doesn’t mean they’ll say yes to everything we propose — we still have to demonstrate the value — but they’ll listen, and that’s a big part of the equation. We always look for ways to add value, sometimes in ways that only the lottery can. Retailers are constantly seeking ways to increase foot traffic and boost basket size. Our advertising not only promotes the lottery, it drives foot traffic to the store. And if we can help drive higher purchases — especially through creative promotions that encourage sales of food products or other high-margin items — then it’s not just a win for the lottery, but a more profitable partnership for everyone. Tell us more about creative approaches to merchandising. T. Beenders: Merchandising at retail is still king. It remains the gold standard because relevance at the point of purchase (POP) is critical. We recently conducted a player study focused on our holiday-themed games, asking players: What prompted you to buy lottery tickets? Was it a billboard, radio ad, or social media? What made you think about playing? The #1 answer? Point of purchase. Drawing attention and standing out at POP is still the most powerful touchpoint for lottery sales. Lottery is an impulse purchase, and effective merchandising is what triggers that impulse. That’s where a player suddenly thinks, “Oh! I should grab a lottery ticket for so-and-so as a Christmas gift.” That said, a diversified media mix is still essential—not just to reach a broader audience but also to pre-sell the idea of playing before they even get to the store. The more a consumer is exposed to the lottery ahead of time, the more likely they are to “So when the time comes to introduce new ideas, launch a pilot program, or place new vending machines that require additional floor space, those retailers are far more receptive. They remember that we were there to support them” continued on page 40
RkJQdWJsaXNoZXIy NTg4MTM=