Big companies with a niche focus: Why personalisation matters in the coming era

On 7-9 February, European Lotteries and the World Lottery Association members met at Bloomsbury, a pleasant boutique hotel in the London city centre, for a dedicated marketing seminar with more than 100 participants from the global network. Karen Connell, who was the moderator for the two-day event, opened the seminar with a candid introduction. Her explanation of how “The Biggest Trend in Marketing is SMALL!” set the scene for the conference and focused the audience on a central question: how big has ‘small’ become in advertising? Her point of departure focused on the transition from the age of mass communications to an era that requires a personal and tailored approach to marketing. The one-size-fits-all products and uniform sales approach across a wide variety of audiences no longer works.

Nowadays, personalisation is massively important. The inconvenient truth for big companies is that the communication models built to manage their enormous size have become models for missed opportunities. Coca-Cola changed their strategy with the genius idea of putting people’s names on their bottles. It was a brilliant concept, but the marketing person who came up with this initially had to battle through corporate bureaucracy before it was internally accepted.

The pace at which marketers must operate is exponentially faster than in the past. Now, companies risk developing a marketing plan that is out of date after it’s been researched, written, re-drafted and accepted by all stakeholders. Therefore, communication gurus advise focusing on smaller actions that can be set up and implemented swiftly.

The Lotteries are an amazing brand; therefore, they should be cognizant of becoming too focused on big ideas. Essentially, the Lotteries should divert their attention to finding new connecting points with customers, especially at the micro-level.

Going small in storytelling

Jon Duschinsky, Canadian communicator and social innovator

The first keynote speaker, Jon Duschinsky, an influential communicator and social innovator from Canada, further dove into the trend of going small in storytelling. Stories are more engaging than plain facts or abstract numbers. For instance, storytelling is very important for children. Beyond spending quality time with parents, it sparks their imagination and helps children develop empathy, since stories create neuro pathways in the brain.

When looking at fundraising, the golden rule is to initially target the heart, then target the mind, in order to eventually reach the wallet. Human beings may pretend they make decisions on a purely rational basis, but in the end, empathy is the quickest way to action. Stories are important in gaining empathy, and are thus an incredibly powerful medium. Marketers have recognised this significance, and the Lotteries should make sure to keep it in mind.

The power of individuals on social media

The power of small also resides in the development of social media. The rising importance of digital platforms has given a soapbox to the “SmallMighty”. Essentially, this means that nowadays, small groups and individual people are having a critical impact on the world and the brands within it. Because of the power they yield on Twitter, Facebook and YouTube, the SmallMighty can make or break a business. For example, the leaked footage of a Chinese man being dragged off of an overbooked flight on United Airlines in the U.S. caused an uproar. Courtesy of social media, the videos that the passengers filmed circulated around the world in no time, painting the airline in a very negative light. No matter how big the company or how well-known the brand, one crisis can have a profoundly negative impact on customer trust and loyalty. In the digital era, companies have to be extra careful about upholding the highest standards, or risk facing the far-reaching backlash of an online crowd.

In a nutshell, the SmallMighty can be defined as those who are changing the shape of every industry. They think and act at a moment’s notice, have unprecedented power, and demand visualisation and personalisation at all times. They are free and unbound by geography, knowledge or experience. If approached carefully, the SmallMighty can help big brands to think small. Shell, Coca-Cola, Kraft foods, Diageo, GSK, Tesco, and others are subject to the influence of the SmallMighty. In building a positive reputation, corporations would be wise to focus their energy on creating a connection with the SmallMighty.

Relevance for the Lotteries

With the rise of the SmallMighty, it is important that the Lotteries be prepared in the face of popular criticism. Managers should anticipate a crisis at any given time. Now more than ever, there is a renewed focus on being responsible and transparent with consumers at all times. The highest ethical and legal standards have to be adhered to. From the moment a protest erupts on social media, there is potential to seriously undermine the hard-won trust of the client base of the Lotteries; which could in turn provoke drastic economic consequences for the sector at large.

The focus articles in this 57th edition of the European Lotteries magazine each contain useful analysis and relevant advice for marketing the Lotteries, drawn from the rich variety of speakers at the seminar. Following the latest trends in communications, they reveal new technologies and innovative approaches for engaging with customers and society at large.

Synopsis

Français

Grandes entreprises avec un créneau ciblé : pourquoi la personnalisation est importante à notre époque

La présentation de Karen Connell sur le thème « Le PETIT est la plus grosse tendance marketing ! » a donné le ton pour le reste du séminaire marketing d’European Lotteries organisé les 8 et 9 février. Karen a focalisé l’auditoire sur la question centrale de l’importance du small data dans la publicité d’aujourd’hui. La personnalisation est primordiale de nos jours. Pour les grandes entreprises, la désagréable vérité est que les modèles de communication conçus pour leur permettre de gérer leur taille énorme sont devenus des modèles d’opportunités manquées.

Les spécialistes du marketing doivent opérer beaucoup plus rapidement que dans le passé. De nos jours, les entreprises courent le risque de voir leur plan marketing obsolète une fois qu’il a été étudié, conçu, rédigé et accepté par toutes les parties prenantes.

Les loteries sont une marque incroyable : elles n’ont donc pas besoin de courir le risque de se focaliser uniquement sur des « grandes idées ». Elles devraient plutôt axer leurs efforts sur la découverte de points de connexion avec leurs clients, surtout au niveau micro-économique.

Les histoires sont plus intéressantes que des faits bruts ou des chiffres abstraits. Les humains ont beau prétendre prendre des décisions purement rationnelles, l’empathie reste au final le moyen le plus rapide de pousser le consommateur à agir. Les histoires permettent de générer de l’empathie et constituent donc un support extrêmement puissant. Les spécialistes du marketing sont conscients de cette importance, et les loteries doivent s’assurer de garder ce concept à l’esprit.

Pour comprendre le marketing moderne, il est essentiel de bien appréhender le pouvoir qu’ont les particuliers et les petits groupes sur les marques, et notamment depuis l’avènement des médias sociaux. L’importance croissante des plateformes numériques a donné une caisse de résonance à la notion de « Petit mais Puissant ». Cela signifie en substance que de nos jours, des petits groupes et des particuliers ont un impact critique sur le monde actuel et sur les marques.

Español

Grandes empresas con un enfoque especializado: el porqué de la importancia de la personalización en la era entrante

La explicación de Karen Connell de cómo “¡La mayor tendencia en marketing es ir a lo PEQUEÑO!” sentó las bases para el resto de la conferencia de marketing de European Lotteries del 8 y 9 de febrero. Centró la atención del público en una cuestión fundamental: ¿cómo de grande se ha vuelto lo “pequeño” en publicidad? Hoy en día, la personalización es extremadamente importante. La incómoda verdad para las grandes empresas es que los modelos de comunicación diseñados para gestionar su enorme tamaño se han convertido en modelos de oportunidades perdidas.

La velocidad a la que deben operar los profesionales del marketing es exponencialmente mayor que en el pasado. Ahora, las empresas corren el riesgo de desarrollar un plan de marketing que esté desfasado cuando se haya documentado, escrito, pulido y haya sido aceptado por todos los accionistas.

Las loterías son una marca increíble; por eso deberían estar al tanto de no centrarse demasiado en ideas grandes. Básicamente, las loterías deberían centrar su atención en encontrar nuevos puntos de conexión con los clientes, especialmente a nivel personal.

Las historias son más atractivas que meros hechos o cifras abstractas. Puede que los humanos finjan tomar decisiones sobre una base puramente racional pero, al final, la empatía es el modo más rápido de provocar una acción. Las historias son importantes a la hora de ganarse la empatía de alguien, de modo que son un medio increíblemente potente. Los profesionales del marketing han reconocido esta importancia de las historias, y las loterías deberían asegurarse de tenerlas en mente.

Para entender el marketing moderno, es esencial reconocer el poder de los individuos y de los pequeños grupos en lo que se refiere a las marcas, especialmente con el auge de las redes sociales. La creciente importancia de las plataformas digitales ha proporcionado una tarima al poder de lo pequeño. En esencia, esto significa que, hoy en día, los pequeños grupos y los individuos tienen un impacto vital en el mundo y en las marcas que alberga.

Deutsch

Konzerne mit Nischenfokus: Warum es in der Zukunft auf Personalisierung ankommt

Karen Connells Präsentation „Der größte Marketingtrend ist SMALL!” stellte den Ausgangspunkt für die Marketingkonferenz der European Lotteries am 8. und 9. Februar dar. Sie lenkte die Aufmerksamkeit des Publikums auf eine zentrale Fragestellung: Wie groß ist „klein“ in der Werbung? Personalisierung ist heutzutage von maßgeblicher Bedeutung. Fakt ist, dass Konzernen durch auf ihre Größe ausgelegte Kommunikationsmodelle viele Gelegenheiten durch die Lappen gehen.

Marketingspezialisten müssen heute exponentiell agiler sein als früher. Denn heute laufen Unternehmen Gefahr, Marketingpläne zu erstellen, nur um nach Forschungsphase, Formulierung, Überarbeitung und Absegnung durch alle Beteiligten festzustellen, dass sie schon wieder überholt sind.

Die Lotterien sind eine exzellente Marke und sollten sich deshalb davor in Acht nehmen, den Schwerpunkt zu sehr auf große Ideen zu legen. Sie sollten sich stattdessen eher darauf konzentrieren, neue Berührungspunkte mit Kunden zu finden, und zwar am besten auf Mikroebene.

Menschen reagieren stärker auf Geschichten als auf Zahlen und Fakten. Menschen glauben gerne, dass sie Entscheidungen rein rational treffen, doch schlussendlich bewegt uns nichts so sehr wie Empathie. Geschichten sind wichtig, um Empathie zu schaffen, und stellen deshalb ein besonders mächtiges Medium dar. Marketingspezialisten haben dies erkannt und auch die Lotterien sollten sich dieses Wissen zu Nutzen machen.

Ein weiterer Baustein im modernen Marketing sind zweifelsohne Individuen und kleine Gruppen, die insbesondere durch den Aufstieg der sozialen Medien für Marken an Bedeutung gewonnen haben. Die wachsende Bedeutung digitaler Plattformen hat den „kleinen Mächtigen“ („SmallMighty“) eine Bühne verschafft. Kleine Gruppen und Individuen können so einen entscheidenden Einfluss auf die Welt im Allgemeinen und die Welt der Marken im Besonderen nehmen.

Other Articles

View all

Successful EL/WLA seminar highlights value of responsibility

Hosted by EL Member Hrvaska Lutrija, this year’s successful seminar provided an excellent opportunity to hear from experts in RG and CSR, understand how other lotteries are implementing their progra......

Read more Synopsis: fr / es / de

EL elects new Executive Committee & adopts Antwerp Resolution

Hansjörg Höltkemeier re-elected as EL President for the period 2019-2021 Re-elected EL President Hansjörg Höltkemeier (right) said, ‘‘We have had three fantastic days at the special 10th edi......

Read more Synopsis: fr / es / de

EL publishes first-ever Annual Report

Looking back at a successful 2018, EL has presented its first ever Annual Report. The Annual Report provides an overview of activities from the past year, which would not have been achieved without the ongoing support of EL members. By continuing to provide best practices, content and enthusiasm, they pave the way for the work of the Association....

Read more Synopsis: fr / es / de

EL’s Responsible Gaming Certification continues to reap benefits for members

Peter Simoner, CEO of Loteria Kombetare received his Commitment certificate from EL President Hansjörg Höltkemeier Benefits of the Commitment Level Loteria Kombëtare in Albania was the first-eve......

Read more Synopsis: fr / es / de

European Standard on reporting in support of online gambling supervision notes considerable progress

On 12 and 13 September the CEN Working Group drafting the Standard held its two-day meeting in Brussels. The Standard is expected to be put for public comment and a vote by the end of November 2019....

Read more Synopsis: fr / es / de

European Commission Sport Unit Breakfast welcomes EL

At the fourth European Commission Sport Unit Breakfast EL was invited to present how lotteries are supporting and using sport. EL President Hansjörg Höltkemeier highlighted the importance of promoting the values of sport and the sustainable financing from national lotteries....

Read more Synopsis: fr / es / de

2020 EL Innovation Awards are now open for submission!

For EL lottery members only, the awards are another key initiative led by the EL Innovation Working Group (ELIG), which was set up to inspire, connect and engage the EL community in innovation. The aw......

Read more Synopsis: fr / es / de

EL organises Corporate University Modules for the second year running

The Induction Module, aimed at new entrants in the lottery world (up to 3 years experience), allowed for an extensive introduction to the sector and an insight into the many complex activities. Over t......

Read more Synopsis: fr / es / de

First-ever EL seminar on Instant Games

In 2017 the overall sales of Instant Games (or sometimes called Scratch Cards) in Europe was 25.9 billion EUR. This made Instant Games the second most important game in the portfolio of EL members. Th......

Read more Synopsis: fr / es / de

Upcoming EL Seminars & Events

8-10 October: EL/WLA Security & Integrity Seminar. 5-7 November: Innovation Seminar. 20-22 November: EL/WLA Sports Betting Seminar. 27-29 November: Legal and Regulatory Affairs....

Read more

New appointments for EL members

From left to right: Kerstin Kosanke, Managing Director, Lotto Brandenburg, Alexandru-Mircea Croitoru, General Manager, Loteria Romania, Bekir Yunus Uçar, General Director, Turkish National Lottery Administration & Gábor Czepek, CEO, Hungarian National Lottery...

Read more

10th EL Congress – Lotteries, democracy and the European political landscape

Brett Henning  Brett Henning, Co-founder and Director at Sortition Foundation analysed the results of the elections, looking closely at the rise in European populism. In the past months and years,......

Read more Synopsis: fr / es / de

IGT | Sustainability Strengthens the Social Contract

IGT recently released its 12th annual IGT Sustainability Report, “Ahead of the Game,” an externally audited document that validates IGT’s sustainability activities and data. The report highligh......

Read more Synopsis: fr / es / de

Scientific Games | Investing in growth with instant games

The global lottery industry faces new challenges from changing consumer and retail behaviours. Along with regulations and policy decisions, these changes place competitive and margin pressure on lotte......

Read more Synopsis: fr / es / de

EL Congress Antwerp – Day 1: The Corporate Success of Chance

The Black Swan with keynote speaker: Mr. Nassim Nicholas Taleb  International bestselling author Nassim Nicholas Taleb focused his keynote presentation on the Black Swan, his book which looks at th......

Read more Synopsis: fr / es / de

INTRALOT | Trends and technologies that modernise the Lottery Industry

As it was stated during the 10th EL Congress in the CEO Panel discussion by Maria Stergiou, Group Chief Sales and Operations Officer of INTRALOT, all the above technological trends are creating sever......

Read more Synopsis: fr / es / de

EL Congress Antwerp – Day 2: Give Chance a Chance

Talent Vs Luck After a lively performance by mentalist Gili, three inspiring keynote speakers highlighted the role of randomness in success and failure, bringing with them their own personal expertis......

Read more Synopsis: fr / es / de

Call for global action as Macolin Convention enters into force

The Convention entered into force thanks to its ratification by Italy, Moldova, Norway, Portugal, Switzerland and Ukraine. Another 32 countries, including Australia, have also signed it. Within 12 mon......

Read more Synopsis: fr / es / de

New Managing Director at Germany’s Lotto Brandenburg

Kerstin Kosanke, Managing Director of Land Brandenburg Lotto GmbH After finishing her law studies in Potsdam, Ms. Kosanke worked for 15 years as an independent lawyer with a focus on tax law and man......

Read more Synopsis: fr / es / de

Loteria Romania appoints new General Manager

Honoured in his new role Alexandru-Mircea Croitoru as General Manager, he will continue to work on the implementation of projects that will drive the development of the lottery. The Romanian Lottery is one of the oldest institutions in the country, established in 1906 in order to improve the health system, especially in rural areas....

Read more Synopsis: fr / es / de

Interview with Gábor Czepek, new CEO of the Hungarian National Lottery

Gábor Czepek, CEO, Hungarian National Lottery Szerencsejáték Zrt. is one of Hungary’s largest, dynamically developing state-owned enterprises: What were the most pressing tasks in this initial......

Read more Synopsis: fr / es / de

Introduction to new General Director at the Turkish National Lottery Administration

Following a career in journalism, Bekir Yunus Uçar spent over 20 years in public service. He worked in several roles at Türk Telekom before joining the Turkish National Lottery Administration. He was appointed General Director by the Minister of Treasury and Finance....

Read more Synopsis: fr / es / de

Chance is a part of Lotteries. Chance is a part of Success. Chance is also a part of Life.

Hansjörg Höltkemeier, EL President & Jannie Haek, CEO of the National Lottery Belgium open the Trade Show at the 10th EL Congress in Antwerp ‘‘The Success of Chance’’ was the theme for......

Read more Synopsis: fr / es / de