Making Lottery Align with Consumer Trends

Tom Fender surveys over 12 million shoppers to gather insights and to inform his retailer clients on how consumer preferences are evolving. The main take-away: There are far more similarities than differences in the preferences of consumers all around the world!

Credit Card Reading Device Attached To Digital Tablet

Top-off shopping: 80% of the world’s population is shopping more often, more frequently, and making smaller purchases. 25% say they are shopping much more frequently. 1 in 7 shoppers ‘top-off’ shop every single day! 14% of people say they top-off regularly for the very purpose of buying lottery tickets. This vital fact reflects the role of Lottery as a driver of increased frequency of top-off shoppers. How can Lottery contribute even further to this consumer behavior, and further capitalize on it? The notion that Lottery is an impulse purchase may not be entirely misguided. BUT much more interesting than that notion is that for a significant minority, the purchase of a lottery ticket is actually a driver of shopping behavior. And of course, from the retailer point of view, that is a tremendously powerful idea, making lottery players a very valuable target market.

Motivations for consumers to shop at neighborhood stores include the desire to support local businesses. They don’t want their local merchants to go out of business. They want to support local suppliers, local product, local economies in general, local everything. This is an important trend that speaks to underlying values which are becoming more and more a primary driver for consumer behavior. Lottery should increase its affiliation with local economies and stores.

Of course, convenience is the biggest driver. Consumers know they might pay a little more. Though interestingly, it is not clear whether they do view convenience stores as more expensive. Fully 20% of survey respondents said they shop at Convenience Stores to save money! No parking problems and much less time to shop means that the consumer is saving on the precious commodity which is their time.

Too, 1 in 3 products bought in super stores are thrown away! 43% of survey respondents said they shop at Convenience Stores to reduce this waste and have fresher food. As consumers, we are noticing that fact and that further justifies the proposition of paying a little more to buy products that will not be wasted. This calculus is steering us away from superstores to local merchants.

Convenience Retail is all about the experience, not the transaction or acquisition of a product. Think about how Starbucks totally reinvented the experience of buying a cup of coffee, creating an experience that consumers are happy to pay extra for. How can lottery enhance the theatre of how it is presented in the convenience store? Retail stores want Lottery to help them enhance the theatre and drama of in-store shopping because it is what drives footfall and increases dwell-time in store.

Retailers are evolving to become experiential and reflective of the values of their clientele. Stores are getting rid of cigarettes which are a key driver of footfalls. That means that Lottery’s role of driving footfall and dwell-time is increasingly valuable to retailers. Food service is becoming the big footfall driver for convenience stores. We may think that consumers at convenience stores value least expense more highly than other attributes. Not true anymore. The segment that is quite willing to pay more for premium offers and convenience is increasing.

25% of the world’s population leave home in the morning without eating breakfast. Some of them do not eat breakfast at all, but the market for those that do is huge – and “breakfast-to-go” is increasing. This is a high margin and traffic-driving category for convenience stores. How could Lottery take advantage of this scenario?
People are so busy – 51% of people do not know what they are going to do for dinner before Noon! Think about that. This fact points at why people’s life-style is pushing them more and more into the world of Convenience stores.

Consumers are increasingly looking for businesses that reflect their values. Design agencies are paid to think of things in a more complicated way. But simple is often better. In his opening talk, Ray Bates showed a slide of happy children and an ice cream cone with a simple statement of “3 euro”. That’s all that was needed to tap into the demand at this particular venue of a fairground where parents are struggling to manage their restless children. One selling benefit – 3 euro to make your kids happy!

Related Articles

View all

Synopsis

Français
Aligner la loterie sur les tendances de consommation. Tom Fender a interrogé plus de 12 millions de consommateurs pour recueillir des idées et pour informer sa clientèle dans le commerce de détail sur l’évolution des préférences du consommateur. Les conclusions principales sont les suivantes : Il existe bien plus de similitudes que de différences dans les préférences des consommateurs du monde entier. Achat d’impulsion : 80 % de la population mondiale fait des courses plus souvent et en faisant de plus petits achats. 25% déclare faire des courses bien plus fréquemment. 1 consommateur sur 7 fait un achat d’impulsion par jour ! 14% des gens déclarent faire régulièrement un achat d’impulsion spécifiquement pour acheter des billets de loterie. Ceci traduit le rôle de la loterie comme moteur de la fréquence des acheteurs impulsifs. Comment la loterie peut-elle favoriser encore plus ce comportement du consommateur et miser encore plus sur ce dernier ? Parmi les éléments favorisant la fréquentation des boutiques de proximité, on trouve l’envie d’encourager les entreprises locales. La loterie devrait augmenter son affiliation avec les boutiques et l’économie locales. 43 % des personnes interrogées déclarent faire leurs achats dans les commerces de quartier pour réduire le gaspillage et avoir des aliments plus frais. Ce calcul nous éloigne des grandes surfaces et nous rapproche des commerçants de quartier. Le commerce de détail de commodité est une question d’expérience et non de transaction ou d’acquisition d’un produit. Regardez comment Starbucks a entièrement réinventé l’expérience d’achat d’une tasse de café, créant une expérience pour laquelle le consommateur est prêt à payer plus. Les commerces de détail attendent de la loterie qu’elle rende plus théâtrale les achats en magasins, car c’est ce qui permet d’augmenter la fréquentation et le temps de présence sur le point de vente. Les gens sont vraiment occupés. 51 % d’entre eux ne savent pas avant midi ce qu’ils feront au dîner ! Cela donne à réfléchir. Ce fait met en avant la raison pour laquelle le mode de vie des gens les pousse de plus en plus vers les commerces de quartier.
Español
Alinear la lotería con las tendencias del consumidor. Tom Fender entrevistó a más de 12 millones de compradores para recopilar información. Gracias a estos conocimientos, sus clientes comerciantes pueden saber cómo están evolucionando las preferencias del consumidor. El principal aporte: Existen muchas más similitudes que diferencias en las preferencias de los consumidores de todo el mundo. Compra por capricho: El 80 % de la población mundial compra más a menudo, con más frecuencia y realiza compras más pequeñas. Un 25 % dice que compra con mucha más frecuencia. ¡Uno de cada siete compradores realiza compras por capricho cada día! Un 14 % dice que compra por capricho con regularidad, y ello incluye la compra de participaciones de lotería. Esto refleja el papel de la lotería como impulsor del incremento de la frecuencia de los compradores impulsivos. ¿Cómo puede la lotería contribuir más a este comportamiento del consumidor y sacar provecho de ello? Los motivos para que los consumidores compren en el comercio de proximidad incluyen el deseo de apoyar los negocios locales. La lotería debería incrementar su afiliación con las tiendas y las economías locales. Un 43 % de los encuestados afirmó que compra en las tiendas de proximidad para reducir desechos y contar con comida más fresca. Este cálculo nos está alejando de las grandes superficies para acercarnos al comercio local.  La base fundamental del comercio de proximidad es la experiencia, no la transacción o adquisición de un producto. Piense en cómo Starbucks reinventó totalmente la experiencia de comprar una taza de café, creando una experiencia por la que el consumidor está encantado de pagar un extra. Las tiendas minoristas quieren que la lotería les ayude a mejorar el espectáculo y la experiencia de la compra en las tiendas, porque es lo que impulsa la presencia e incrementa el tiempo de permanencia en el establecimiento. La gente está muy ocupada: antes del mediodía, ¡un 51 % de las personas no sabe lo que va a preparar para cenar! Piense en eso. Este dato indica por qué el estilo de vida impulsa a la gente, cada vez más, hacia el mundo de las tiendas de proximidad.
Deutsch
Die Lotterie an Verbrauchertrends ausrichten. Tom Fender hat mehr als 12 Millionen Einkäufer befragt, um Einblicke zu erhalten und seinen Einzelhandelskunden Informationen darüber geben zu können, wie sich die Vorlieben der Verbraucher verändern. Die wichtigste Schlussfolgerung: Es gibt hinsichtlich der Vorlieben von Verbrauchern weltweit weit mehr Gemeinsamkeiten als Unterschiede. Einkaufen zum Aufstocken: 80 % der Weltbevölkerung bevorzugt häufige, regelmäßige und kleinere Einkäufe. 25 % gaben an, dass sie viel häufiger einkaufen gehen. Jeder 7. gab an, dass er oder sie jeden Tag einkauft, um „aufzustocken“! 14 % der Befragten sagen, dass sie regelmäßig „aufstocken“ mit dem Ziel, Lotterielose zu kaufen. Das unterstreicht die Rolle der Lotteriebranche als Motivation für die erhöhte Einkauffrequenz der Menschen, die einkaufen, um aufzustocken. Wie kann die Lotteriebranche noch weiter zu diesem Verbraucherverhalten beitragen und dieses gewinnbringend nutzen? Ein Grund dafür, warum Verbraucher in Nachbarschaftsläden einkaufen, ist der Wunsch, lokale Geschäfte zu unterstützen. Die Lotteriebranche sollte ihre Kooperationen mit der lokalen Wirtschaft und örtlichen Geschäften verstärken. 43 % der Befragten sagte, dass sie in Nachbarschaftsläden einkaufen, um Abfall zu reduzieren und frischere Lebensmittel zu haben. Dieser Ansatz bringt uns weg von Mega-Stores und hin zu lokalen Händlern. Im Nachbarschaftseinzelhandel geht es um die Erfahrung und nicht die Transaktion oder den Erwerb eines Produkts. Denken Sie daran, wie Starbucks den Kauf einer Tasse Kaffee komplett neu erfunden und ein Erlebnis geschaffen hat, für das die Verbraucher gerne mehr bezahlen. Der Einzelhandel möchte, dass die Lotteriebranche dazu beiträgt, den Einkauf in einem Geschäft stärker zu einem Erlebnis zu machen. Denn das erhöht die Anzahl an Kunden sowie die Dauer ihres Verbleibs im Laden. Menschen heutzutage sind viel beschäftigt – 51 % der Leute wissen vor Mittag nicht, was sie abends kochen werden! Lassen Sie sich das auf der Zunge zergehen. Das zeigt, wie der moderne Lebensstil die Menschen dazu bewegt, häufiger in Nachbarschaftsläden einkaufen zu gehen.

Other Articles

View all

Publication of the European Lotteries CSR GUIDELINES coming soon

All over the world, more and more companies are integrating sustainable standards and policies in order to carry out their business in a way that will better manage their risks, anticipate consumer......

Read more Synopsis: fr / es / de

New European Commission report on evaluation of regulatory tools for enforcing online gambling

The report is a result of a Call for Tender (No 641/PP/GRO/IMA/17/1131/9610) for a Study to “ascertain which enforcement tools EU/EEA Member States use, how effective they are and how the regulato......

Read more Synopsis: fr / es / de

Scientific Games | Instant Games’ Epic Evolution

Instant Games’ Epic Evolution Back in 1978, when instant “scratch” games were introduced in the European lottery market, ABBA and the Bee Gees topped the charts and a gallon of petrol cost £......

Read more Synopsis: fr / es / de

Upcoming EL Seminars & Events

INSTANT GAMES SEMINAR 27-29 MARCH 2019, ROTTERDAM (NL) Instant Games, or scratch card games, are a growth category, without any doubt. EL figures show a continuous sales increase for instant games o......

Read more

Intralot | Trends vs Fads

The idea that change is accelerating is a common place. A simple search for “exponential change” on any internet engine would yield an infinite number of articles on the topic, written by reputabl......

Read more Synopsis: fr / es / de

EL takes part in the OECD consultation on tax challenges of digitalisation

Possible solutions to the tax challenges of digitalisation In March 2018, the European Commission proposed new rules to ensure that digital business activities are taxed in a fair way in the EU. Gi......

Read more Synopsis: fr / es / de

European Lotteries adds new ‘Executive’ Module to its Corporate University ELCU

The ELCU – EXECUTIVE will be held over 1 ½ days and is designed for professional staff from Lottery Operators, Suppliers and Regulators who have sufficient experience to actively and usefully parti......

Read more Synopsis: fr / es / de

IGT | Are the bats & faangs biting yet?

The major players in today’s advanced and emerging markets are commonly known by two acronyms: “FAANGs” ─ Facebook, Amazon, Apple, Netflix and Google ─ and their Asian counterparts, “BAT......

Read more Synopsis: fr / es / de

EL/WLA Marketing Seminar 2019 – Recurring trends of the seminar

Particular themes stood out consistently among the seminar. Certain trends were obvious, trends all of us should be doing all we can to immerse ourselves in this year to stay with the current cultur......

Read more