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Why is Tatts competing with Lotterywest in Western Australia?

At a recent function, I was sitting next to the new CEO of Lotterywest, talking about Lottoland and the announcement at the function by the Premier, Mark McGowan, to act on Lottoland in WA.

I mentioned that Tatts is also a competitor in WA, allowing online purchases via their website and their app. The Lotterywest CEO was surprised.

I grabbed by phone and in a matter of seconds completed a purchase for that night. She was shocked and commented that Tatts is another competitor Lotterywest must face.

The competition from Tatts felt by Lotterywest is the same competition every retailer must feel. Online must be the main game in town for Tatts. They have no option but to drive online purchases. They are more efficient and more profitable.

It is easier to win a new customer through online.

It is easier to get an online purchase converted to a perpetual subscription.

Online also provides Tatts with a direct to consider relationship. As any manufacturer selling online direct to consumers know, this is the most valuable of relationships.

Driving online is smart business for Tatts and Tatts shareholders.

While newsagents can lobby for Tatts to give them a share in online, I don’t see any way that can happen unless you can get Tatts to agree for you to be able to vend tickets online. Not now. The time for that argument was ten or fifteen years ago.

This is one reason I say there is no upside in lotteries for retailers. Unless you can access online sales yourselves, over the counter will continue to decline for most retailers.

In case you have not seen how easy it is to purchase using the Tatts App, check out this video I made a couple of months ago:

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Competition

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  1. Jonathan Wilson

    Maybe this new planned law banning Lottoland should also be written to ban Tatts from offering online sales to WA (i.e. no-one other than Lotterywest can offer lottery tickets in WA)

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  2. Mark Fletcher

    Jonathan it should be.

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  3. Peter

    I am extremely surprised that a person was appointed CEO of Lotterywest who was not aware of online gambling via an app on a mobile telephone.

    I agree with Jonathan on banning all online gambling sales. The big issue I see with this is how too we police or stop this and does it include all net based gambling which to my way of thinking is what an app on mobile is.

    1 likes

  4. Mark Fletcher

    Peter I doubt the previous CEO was across it either. The new CEO had been in the role for a few weeks and was dealing with considerable change in the organisation change in support of newsagents.

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  5. Pat

    Mark, you can buy through the app because your registered address is in an area that you can purchase from the Lott. Same goes for someone with a registered address outside the WA can’t purchase Lotterywest online. Because the Lott covers, Tatts (VIC, NT, ACT & TAS), NSW Lotteries, SA Lotteries and QLD Golden Casket, you can buy into their games if a resident of the associated states, anywhere. The purchase feeds back into each customers resident state lottery.

    The CEO of a lottery company should know the basics of how online entries work.

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  6. Mark Fletcher

    Pat that could be it. My address is Victorian. However, my view is that should not matter as I cannot use the app overseas.

    I’m okay with the new CEO weeks into the job not knowing.

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