Forces driving lottery expansion in 2024

How will these advances affect your lottery play?

Forces driving lottery expansion in 2024

International Game Technology PLC (IGT) is a global leader in lottery and other gaming technology. In a special report published in 2024, IGT partnered with trends strategists and technology specialists at the Foresight Factory agency to research and produce a study that would enable them to deepen their understanding of lottery consumer habits and behavior and how these will impact the lottery in the coming years.

The ensuing report revealed important trends that are currently driving lottery growth and will continue to do so in the near future. Let's take a closer look at some of the influences that are driving the changing lottery experience.

Technology liberating play

These days, technology is everywhere. More and more homes now have smart TVs, game consoles, and laptops. Throughout the workplace, cloud computing, cybersecurity, and A.I. is increasingly common. Technology is even with users when they're on the move thanks to smartphones and tablets. Most people are completely comfortable with interacting with multiple forms of technology in their day-to-day lives. What's more, new forms of technology are being created every day, from smart clothes to voice-assisted appliances.

Technology is also a key component of how players interact with lottery games and, just as in their other technology interactions, players can benefit from specific lottery app tools in ways that:

  • Increase controllability: Lottery apps should give the player as much freedom to choose how and what they play as possible. This means developing lottery apps that each player can customize to suit their personal play options; for example, if they like to play instant-win games, they can opt to receive alerts when new games are launched.
  • Improve engagement: Online lottery games are already becoming more interactive, which increases player engagement. As lottery gaming applications become more advanced, players may have opportunities for more immersive play. For example, A.I. and virtual reality could enable players to choose specific options to advance their play. 
  • Enhance social play: There is plenty of room for improving the social dimension of lottery gameplay. Research shows that this is particularly attractive to younger players who enjoy playing within their social circle and sharing their lottery experiences with their friends and family. Technology has the potential to lead the way to new multi-player lottery experiences.
  • Share social impact: A great way to reinforce and increase lottery popularity is to increase the visibility of the social benefits incurred by lottery revenue. Technologies such as mobile apps, interactive terminals, and QR codes lend themselves to this type of publicity. Engaging stories about causes, natural landscapes, and groups of people that benefit from lottery contributions could attract younger players who desire social change and progress.

A reciprocal customer relationship

The 2024 IGT report highlights the fact that the era of passive consumption has ended. In its place is a new age in which customers are empowered to enter into a more reciprocal relationship with the companies that they do business with. Many businesses are treating the consumers of their goods and services like collaborators or peers rather than mere customers. More and more often, consumers are consulted for their opinions, and feedback is encouraged. This enables consumers to lead the way to change.

Given their new voice, consumers, or prosumers, as they are referred to in the IGT report, intend for their ideas and opinions to be taken seriously. This provides a potential resource of ideas for lottery game designers who want to meet prosumer desires, making lottery games more engaging and more saleable.

Convenience is important to players

One of the main reasons for the rapid growth of the U.S. online lottery market is that players prefer convenient and accessible forms of entertainment. Players enjoy the convenience of being able to participate in a variety of lottery games without having to travel to physical retail stores or purchase tickets in person. This has not only made it easier for people to participate in lottery draws and games but has also contributed to the overall growth of the market.

Certain trends in the U.S. online lottery market have also attracted more players. For example, many digital games have designs and features that differ from traditional lottery games in interesting ways, such as multi-sensory factors like sound and rapid action movement. This appeals to younger lottery players who enjoy playing platform video games.

Lottery gamification

The term gamification refers to incorporating game elements such as rewards, badges, tokens, points, and leaderboards. This has become a popular way to attract players and increase engagement. Gamification offers several benefits, including:

  • Building loyalty: By providing incentives for continuing play, gamification encourages players to play longer and return to their favorite games more often. For example, when they reach certain milestones within a lottery game, players are rewarded with virtual or physical prizes.
  • Winner recognition: This helps not only to generate excitement around lottery games but also increases participation rates. Players enjoy recognition, such as winner announcements and leaderboards which also encourage other players to compete.
  • Valuable insights: Information on consumer behavior is vital for lottery companies to develop new lottery games that consumers will want to play. It can also help them customize their offerings and target promotions based on user preferences.

Fostering a healthy relationship to lottery play

Promoting healthy and sustainable relationships to lottery gaming is an important part of every lottery program. It's crucial that the industry assists players in choosing to moderate their screen time and their spending on lottery activities. For example, a simple way to ensure moderation is by using pop-up windows to remind players when a certain amount of time has elapsed. Continuing public campaigns to raise awareness of problem gambling and providing tools to enable healthy play are also valuable strategies.

Building brand loyalty

Making consumers feel special is a great way to foster brand loyalty. There are several ways to boost brand loyalty through exclusivity, including:

  • Lottery clubs: Many state lotteries have their own VIP club or similar that players can join for free.
  • Early access: Give players early access to new games, promotions, and products.
  • Loyalty programs: Offers that let players earn points or free games depending on how many tickets they purchase.
  • Exclusive interactions: Customized offers for private, invite-only groups.
  • Extra benefits: Second-chance entries, ticket remainder graphics, and in-person events.

Live lottery action

Real-time interaction has a strong draw to lottery players, particularly those of the younger generation. Thanks to technology, live events no longer need to be in-person. This has several advantages:

  • Players can participate for free.
  • Travel to the venue is not needed.
  • More lottery players can participate.
  • A greater and more diverse audience.
  • Easy data collection.

The data collected by IGT highlights the fact that it is advantageous for lotteries to consider combining live and social media events. Here's why:

  • 80.5% of weekly lottery players surveyed visited YouTube in the past month.
  • 74.3% of them accessed Facebook.
  • 64.2% used Instagram.
  • 51.5% visited TikTok.

Intertwining real-time, live streaming with social media presents a unique way to give players throughout the country easy access to:

  • Second Chance events.
  • Daily number drawing.
  • New game launches.
  • Prize collections.

All of these features can help to increase brand awareness, raise player education, and increase participation and engagement.

The future of A.I. in lottery

There are many potential uses for A.I. in lottery, both for lottery organizers and players. A.I. potential for lottery players:

  • Personalized content: A.I. can create player profiles based on data collected over time. These profiles include information about a player's preferences, game choices, and behavior. With this data, lottery designers can offer games and content tailored to players' interests.
  • Responsible gaming tools: Responsible gaming tools ensure that players enjoy the lottery while maintaining healthy habits. A.I. can help players manage their gaming responsibly by providing reminders, setting limits, and offering guidance.
  • Enhanced customer service: A.I. can optimize customer service by analyzing player interactions and providing seamless and helpful assistance. Whether it's answering queries, resolving issues, or suggesting games, A.I. can ensure a smoother experience for players.

A.I. potential for lottery organizers:

  • Enhanced security: A.I. can be used to detect anomalies that may indicate tampering, fraud, or security breaches.
  • Predictive analysis: Sophisticated algorithms can help to predict player behaviors.
  • Real-time monitoring: A.I. systems are able to continually monitor player transactions, behavior, and irregularities.
  • Deep insights: By utilizing A.I., lottery organizations can collect and collate consumer demographics and preferences to provide a more tailored marketing initiative.

What's next?

The ongoing surge in internet-connected devices, expanding 5G bandwidth, and rapid technological advancements will further amplify the impact of lottery gaming experiences. Consumers' active engagement in both physical and virtual lottery games and events contributes to what IGT calls 'The Power of Live.' Lotteries can harness this momentum by embracing live streaming as an effective communication channel. To ensure sustained growth, it's crucial to stay attuned to these trends, adapt to evolving player preferences, and explore innovative ways to connect with participants throughout 2024 and beyond.

About International Game Technology

Headquartered in London, IGT is a global company specializing in the design, development, manufacturing, distribution, and sales of computerized gaming for lottery and sports betting. The company is committed to providing entertaining and responsible gaming experiences.


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