Millennials represent 25% of the global population and engage in gaming more than most other generations, yet they tend not to play the lottery. Since Millennials’ digital gaming habits are likely to get stronger as they age, neglecting to appeal to them today risks losing them for the long term.
“To aid lotteries in understanding the needs and preferences of a player group with immense influence, IGT set out to learn more about what makes Millennials tick,” said Gerard Caro, Senior Director of IGT’s Insight Team. “We define and explore five Millennial gaming expectations to help fulfill the untapped demand and potential of this powerful demographic.”
The new white paper, “Millennials Matter: Tapping Into the Preferences of a Game-Changing Demographic,” is now available for download on IGT.com/LotteryBlog.
Millennial Expectation #1: Easy to purchase. Easy to play.
With 63% of Millennials shopping on their mobile phone each day, and 38% of Millennials having made a purchase on a mobile device within the past week, it is no surprise that Millennials also demand convenient purchase and play.
“According to an IGT global study, 50% of Millennials said it is extremely or very important for a lottery game to be convenient for them to play,” Caro noted.
Globally, 19% of Millennials said their lottery spending would increase significantly if they were aware of the ability to purchase lottery tickets from a checkout lane, and 20% said it would increase if they were able to purchase from a self-service machine.
Millennial Expectation #2: Be a brand that speaks to me.
Millennials find the lottery to be antiquated, according to a recent qualitative study performed by IGT. How to change that perception? Communicating via social media isn’t enough. Lotteries need to tune in to Millennials’ interests and values and offer messages that resonate with them.
Millennial Expectation #3: Provide great products. Do great deeds.
Millennials will invest in a brand if it supports their values. The brand promise is an excellent opportunity for lotteries, as many already raise funds for important causes that Millennials support, such as education, environmental protection, and the arts.
“Unfortunately, 74% of Millennials polled are currently unaware of where lottery revenues go,” Caro stated. “If lotteries want to leverage Millennials’ affinity for brands that support social causes, they must make a larger effort to raise awareness about their role.”
Millennial Expectation #4: If it’s not social, it’s not for me.
Millennials expect highly social interactions that continue throughout—and even after—the play experience.
IGT cites research showing that 91% of Millennials in the U.S. who bet or gamble are active on social networking sites at least once a week. In addition, 48% of Millennials state it is extremely desirable that a game is social and allows them to share their experience with friends/others.
“Lotteries need to increase the opportunities for Millennials to be social, whether in the form of crowdsourcing new games or feedback, giving away experiential prizes (e.g. group trips and concerts), or integrating with social networking sites,” said Caro.
Millennial Expectation #5: Tap into a competitive nature.
Millennials demand game play that is intuitive, suspenseful, and contains skill-based elements while remaining true to the requirements for games of chance.
Fantasy sports and popular non-lottery games like Clash Royale and World of Warcraft can provide inspiration. To appeal to Millennials, lotteries must apply those gamification strategies.
IGT Marketing Manager Stelios Iasonos and intern Ariana Callender also offered their perspective on how lotteries might attract younger players. “The lottery isn’t relevant to me and my peers—but it should be,” stressed Callender. “When I think about how I want to spend my money, it’s on experiences and brands that I value…whose messaging communicates something modern and—most importantly—fun.”
Looking outside the industry, IGT cited the example of State Farm’s “Chaos In Your Town” digital campaign, which resulted in the younger demographic making 1 million personalized films in less than 12 weeks and generated 120 million impressions across social media.
“By creating shareable, interesting, and engaging content, State Farm reached Millennials where they are and drastically changed the perception of the company with this key demographic,” observed Caro.
To get the full picture of how to tap into the preferences of this game-changing demographic, download your copy of “Millennials Matter” at IGT.com/LotteryBlog.