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The lottery and scratchie ticket vending machine

lotteryselfserveI have been looking at how lottery products are promoted and sold in the US over the last few days. No retailer has the space and fittings investment Australian lottery outlets are forced to make.

The most interesting approach I saw was in a CVS store in Los Angeles – a self-serve vending machine offering stratchie and lotto tickets through a touchscreen selection – or a paper coupon entry and have this scanned.

The vending machine takes cash and does not give change. On top is a digital screen promoting games and listing the winning lotto numbers.

I watched as several customers made purchases without difficulty.

While a sign says YOU MUST BE 18 OR ORLDER TO PLAY, I saw no evidence of an age check.

The CVS store where I saw this lottery product vending machine is part of a large national business focused on healthcare. Their approach to retail is what I would expect to see from any of the national retailers in Australia such as Coles, Woolworths and 7-Eleven. I mention as they are the biggest bricks and mortar threat to newsagency lottery sales.

If technology like this vending machine did become available in Australia, it would be interesting to see if newsagents embrace it. For example, if it could be located in a shop window like an ATM, I wonder if many would. Or, if not, would newsagents place it in-store?  I suspect newsagents would prefer the personal service of over the counter. This makes sense as it is a perceived point of difference. However, such a point of difference is only valuable if you leverage it.

I have no knowledge about whether vending machines like this will come to Australia. What I do know is that Tatts continues to require small business newsagents to invest more retail space and capital in representing lottery products in their stores – compared to 7-Eleven and Coles Express and compared to what is required of lottery retailers in the US.

The lottery space is in play both in bricks and mortar stores and online. This is what the space and capital you invest is important.

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Lotteries

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  1. N

    I think this would be a great idea to have machines available less embarrassing and time waiting at counter. I also would like to know why golden casket co. does not publish that major prize money has already been won for each different scratchie games like america and a few other countries do. Also Australian golden casket games are also sold overseas. So are the chances of majority of Australians winning a top prize! Knowing if top prize is already won can give you an informed choice on choosing what scratches you want to buy. As feel golden casket is basically ripping money off Australian citizens. Because we’ll keep buying tickets thinking top prize is not won and golden casket gets richer. No far!!!!!

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  2. Subaru

    Perhaps, if The Lott removed processes such as Scan On Sale of scratchies, we’d be able to serve a lot more customers faster.
    Improving the customer experience at our counter would also allow us to serve other non-lott customers as well.

    I have had customers put non-lott products on the counter and simply walk out due to us taking too long to serve a Lott customer.

    The Lott need to consider that we have many customers, and not all of them buy Lott products

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