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Just imagine not a single person under the age of 25 were to win the lottery in 2030. Hard to imagine, is it not? Even so, trends are pointing in that direction. In 2019, only about five per cent of people who play the lottery were between the ages of 18 and 25 in 2019, while roughly 62 per cent were 45 or older. As these numbers show, the lottery sector needs to attract younger customers to remain successful over the long term.

Lotteries and the metaverse

The metaverse has been made possible thanks to the ever-growing role digitalisation plays in our lives. It is often mentioned in the same breath as crypto-currency and NFTs. But what exactly is the metaverse? The metaverse allows users to enter online 3D environments, where they can visit virtual worlds with which they can interact and consume digital products. To give users the best experience possible, the metaverse focuses on virtual reality (VR) and augmented reality (AR).

The users’ needs and requirements take centre stage

Lotteries have also now discovered that they can digitalise and upgrade their products and services in order to provide customers with a virtual experience and maintain a presence in the metaverse in the future. According to the Federal Centre for Health Education, a quarter of the world’s population will spend an hour each day in the metaverse by 2026. In addition, about one in three multinationals is expected to offer their products and services in the metaverse. As the number of digital services available from lotteries and sports betting providers, as well as customer demand for them, continues to grow, the metaverse presents a great opportunity for companies in the lottery industry to offer their products online. The two most important things lotteries need to do are understand their players and prioritise their requirements and needs. It is also important to use the metaverse as a channel for engagement. How games and virtual worlds can help lotteries connect with their customers on a deeper, more interactive level needs to be explored.

Raising the profile of lotteries in the digital world

Artificial intelligence (AI) can also help qualify player data in order to meet their needs and requirements. In this way, lotteries can make the decisions necessary to attract, engage and retain players as customers. And last but not least, there is an opportunity for lotteries to establish and develop partnerships with leading digital platforms in order to increase their profile and brand awareness.

Having the courage to take the next step: lotteries can leverage AR to their advantage

Are you having a hard time figuring out how AR could be used by lotteries? After all, the primary service they offer is the sale of physical or digital tickets. You need to think outside the box. As an example to illustrate the point, AR can facilitate the virtual testing and evaluation of products through the use of holograms. This artificially generated experience broadens the customer’s imagination and is permanently imprinted in his or her mind. Instead of presenting the virtual lottery ticket or scratch card to the customer in the hologram, you can shower the player in money, show them their dream car or let them stand on the deck of the ship while on their dream cruise. This will have a measurable impact on customers’ willingness to pay.

Tapping the potential that personalisation offers

In a time where customers are experiencing a digital and media overload, they have come to expect personalised communication. This trend is especially true for lottery customers. Let us assume you know a lot about your customers and their lottery playing habits. The jackpot this weekend will be very large. In such cases, customers tend to play the lottery. You see that a customer has not purchased a lottery ticket two days before the winning numbers are set to be drawn. Why not send an automated e-mail containing a personalised message reminding them that a large jackpot is up for grabs this weekend? The next day, they have still not bought a lottery ticket. Do you simply move on and accept that the customer will not be purchasing a ticket? No, because data analytics now lets you send the customer a coupon for this weekend’s drawing. The value of the coupon is chosen specifically for that customer.

It is possible to determine the likelihood of sales cannibalisation based on historical booking behaviour and other information. More specifically, the goal is to identify whether a new product – or a new version of an existing product – is cannibalising sales from existing products. The conditions are favourable for personalised prices (and discounts) if there is a broad spectrum of willing customers, if customers can be contacted directly (for example, via a customer account or an app) and if a sufficient amount of data is available.

The key to sales success in the metaverse: well-designed CRM processes

Are you interested in the trend towards personalisation from a sales perspective? Would you also like to know how you as a lottery operator can achieve this? adesso provides the answers you need:

Personalised communication with customers is geared towards each individual recipient. A well-maintained CRM database is essential for effective communication with lottery customers. Along with that, it also lets you maintain a comprehensive overview of individual customers as well as larger customer groups. A reliable, consistent database makes this possible. You need to use it as a basis for shaping CRM processes, planning campaigns and managing interactions with your customers. It also enables you to instil responsible gaming practices so that customers play the lottery responsibly – maybe in the metaverse in the not too distant future.

Be part of the future!

There is hope after all that the lottery will indeed be won by someone under the age of 25 in 2030. The metaverse allows lotteries to start the necessary process of attracting younger customers through the use of AI by activating previously unknown emotions and through personalised customer contact.

The CRM experts at adesso know the issues facing lotteries and can aid you in developing a future-proof CRM strategy. Whether you are looking to target your customers with personalised content, better evaluate use of your website or set up automated campaign reporting, our team of CRM and data analytics professionals prepare your company to enter the metaverse. Contact us at lottery-sales@adesso.de to arrange an appointment for a personal consultation now.

You will find more exciting topics from the adesso world in our latest blog posts.

Picture Jean-Pierre Dettmer

Author Jean-Pierre Dettmer

Jean-Pierre Dettmer joined the Line of Business Lottery as a working student in February 2022. His major field of study is Strategy & Sales Management. In his free time, he enjoys sports, culture and travel.

Picture Lukas Böning

Author Lukas Böning

Lukas Böning has been a working student in the Line of Business Lottery since March 2022. His Master's degree focuses on strategic management. In his private life, he is passionate about travel, outdoor sports and culinary offerings.

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