GPWA Times Magazine - Issue 39 - November 2017

I COVER STORY t’s easy to think of slot and table games when online casinos are mentioned – after all, they’re the mainstay of many affiliates. But one vertical on the back burner – the lottery, also known as the secondary lottery – has been slowly rising in popularity over the last decade. The percentage of U.K. residents buying their lottery tickets online has risen from 32% in 2012 to 62% in 2015, accord- ing to GamingIntelligence.com. China’s lottery market is expected to grow at a CAGR of almost 5% through 2016- 2020, saysmarket research company Technavio.And popularity is already high inmany places, as it’s a legal and regulated industry. Not tomention that, today, it’s possible to enter another country’s lotterywithout ever stepping foot on its soil – quite a change from the games of yore, where physical location was key. This continued popularity seems like a good sign, and many traditionally land-based lotteries have taken the plunge into the online universe – such as the U.K.’s National Lottery, whose ticket sales reached a record £7.6 billion in 2016, in part because of the increase in tablet and smartphone usage. But where does this leave affiliates? Is it time to grab a piece of the pie? And will it be worth the effort? THE BASICS The lottery’s most important asset might just be its ubiquity. Most countries have a government-run lottery whose purpose is to shuffle funds into public works projects. These operations have been largely land- based, but that seems to be changing, according toWendy Lawrence, manag- ing director at WL Marketing Limited, who has more than 10 years’ experience in the lottery world. “Traditionally, there has only been one state lottery – and many of these are not ac- tively driving the interactive channel, so there has been little on offer for an affiliate. This can and will change if we see the market continue to expand as it has over the last couple of years, with the likes of lottery portals and resellers. And new lotteries, such as Loteri Cymru and the Scottish Children’s Lottery, would love to work with affiliates to drive player acquisition,” she said. The U.K.’s National Lottery has one such lottery portal. Play- ers can choose from a multitude of brands, including Euro- Millions and Lotto, without having to hop from website to website. And the brands themselves are proliferating rapidly, according to Elaine Gardiner of CherryAffiliates, known for its EuroLotto brand. Wendy Lawrence The U.K. National Lottery’s ticket sales reached a record £7.6 billion in 2016 W W W . G P W A T I M E S . O R G 22