All You Need to Know About Electronic Lotteries
When most people play the lottery, they have one picture in mind; a larger than life check with their name on it and confetti in the air. There is at least one lottery in every country and despite the fact that the chances of winning are slim, people keep playing them with the hope of securing a hefty paycheck. This has made the lottery and gambling industry lucrative and you should have as much information about it before you go in.
Paper lotteries have been around since time immemorial, but e-lotteries are taking over thanks to fast internet access on smartphones and advancing digital technologies. In this article, we look at the electronic lotteries for an in-depth look into how you can get in on the business.
What Is Electronic Lottery
Electronic lotteries are no different from the traditional paper lotteries we have come to know, love, and hate; the only difference is that that are offered via the internet while paper lotteries are offered in stationary terminals. With more people accessing digital and web technologies, e-lottery firms are working to provide seamless services to as many people as possible. With payment options such as PayPal, Western Union, and more recently cryptocurrencies, players can buy their tickets and receive their winnings immediately after the conclusion of a draw.
The modern e-lotteries are targeted at specific demographics such as people looking to immigrate; case in point the American Green Card lottery, sports fanatics, philanthropists and many more. In the past decade, electronic lotteries have grown exponentially and there is no end in sight for them.
Legal Provision For E-Lotteries
Countries the world over have continued to implement and enact laws that govern the operation of e-lotteries and gambling in general. There are quite a number of governments that have passed laws to outlaw lotteries, but most governments have allowed them to operate.
With that said, the countries that have allowed the operation of e-lotteries in their jurisdiction have set regulations on their introduction, operation, and how their citizens participate in the electronic lotteries. The legal provisions for electronic lotteries state that
* Only the certified and licensed electronic lotteries should operate
* Certified and licensed e-lotteries should not offer their services to underage persons
* They should take responsibility against uncontrolled and compulsive indulgence
There are some countries that offer electronic lotteries to its citizens dubbed national or state lotteries. This has led to an uptake of electronic lotteries and they have contributed to the slow death of traditional paper lotteries.
E-Lottery Operating Platforms
The beauty of electronic lotteries is that they are accessible in a variety of platforms. However, the traditional means has fallen out of favour with most people. The increased internet connectivity the world over has allowed e-lottery operators the chance to reach a wider audience and conversions take less time and effort.
With the growing internet access via mobile, e-lotteries are also developing mobile-ready websites to target and get more users playing e-lotto on the go. Smartphone apps are also becoming the in thing amongst the participants and the traditional lottery terminals are dying a slow death.
Paper Lottery Versus Electronic Lotteries
There are glaring differences between these two types of lotteries, and the electronic lotteries will inevitably take over the industry. Here are three major differences between them that are being seen the world over.
Traditional paper lottery requires that there be a place of business which means that operators must procure gambling and place of business licenses from the relevant government authorities, maintenance costs, employee wages, and direct contact with the players.
Electronic lotteries, on the other hand, have lower costs and all players come together on the cyberspace. With minimal startup and operating costs, the operators can focus on incentivizing players from all over the world. All they need is a robust marketing strategy and budget and they are set to start their business.
Paper lotteries do not give players much option when it comes to planning playing strategies that would increase their chances of winning big. This has made e-lotteries the preferred option. People can play for larger sums of money by creating and using strategies that will increase their payouts. However, this makes electronic lotteries riskier than the print lotteries.
Paper lotteries have a clear set of rules, with fixed prices and rewards; on the other hand, electronic lotteries have more flexibility. Players have access to discounts, price options, promotions, and more, which make e-lotteries more attractive. For this reason, the electronic lottery software needs to be upgraded from time to time since they have personal data of their players. Other than this, paper lottery operators have geographical limitations which means that they have to open more lottery and betting shops, install more terminals or make the change to electronic lotteries in order to drive extra business.
What to Consider When Looking For E-Lottery Software
On all fronts, electronic lotteries have better returns compared to paper lotteries. However, you need an electronic lottery software and there is no one size fits all. In this section, we look at the options available and what you need to consider when looking for electronic software.
White Label Versus Standalone Casino
As a prospective electronic lottery operator, you will have to choose between creating an online casino from scratch, commonly referred to as a standalone casino or purchase a white label lottery software. The difference between these two modes is in the level of control you want. What does each of the mean?
This is more capital and time intensive since you have to start from scratch and deal with licensing requirements and procuring all the necessary legal provisions. There is also the worry of opening affordable and secure gaming merchant accounts, providing accessible customer support, as well as negotiating and sign contracts with online payment system providers; which can all be stressful.
However, you can use turnkey service providers who provide customized gaming portfolios and can cater to all the licensing requirements. Standalone casino allows you complete control over your business but there is a high investment required compared to white label solutions that might cause massive delays.
White Label Lottery Solution
This is a cheaper and easier option to the standalone option especially when it comes to application of a license as well as the maintenance and processing of your gaming system. Think of it as a ready-made online casino solution, which allows for a faster entrance into the electronic lottery market. Your casino will operate under the supplier’s license and it comes with a custom design and logo, and better yet you will retain your domain name.
This is the best option if you are a beginner and there are many options available in the market. With that said, there are certain things you need to know before you buy a white label electronic lottery software.
One of the advantages of white label software is that the provider is privy to the gaming trends in a variety of countries. This way they can customize your gaming portfolio in line to your country’s gaming trends and help you maximize your return on investment.
Ready Partner Marketing Solution
As an electronic lottery operator, you need partners that will help your business gain momentum and to fast track your profits. The white label software provider you settle on should be able to provide a ready partner marketing solution. It will come at an extra cost, but your will be able to keep in touch with what players want and thus increase your profits significantly.
The price you pay for the software ought to reflect the quality and number of features the software has to offer. It requires that you do due diligence on your part to identify the software that is worth the price you are willing to pay. You should ensure that you can use the provider’s license especially if you are in a country where electronic lotteries are illegal.
Unlike paper lotteries, electronic lottery transactions can be difficult to deal with since no cash exchanging hands. The white label software provider should have payment modes that are acceptable in your country to make it easy for your players. Mobile payments, credit and debit cards, cryptocurrencies, and mobile electronic wallets are some of the most preferred transaction modes. You will need to look into the other electronic lotteries and identify how players in your country prefer to purchase their tickets. It also comes in handy when paying out winnings.
Despite the growing preference for electronic lotteries over traditional paper lotteries, your white label software provider should have a robust security system. This is due to the fact that players provide their personal data and with the growing cybersecurity threats, you do not want to come under investigation by the government for privacy violations. However, you can also add an extra layer of security to protect your players from a security breach.
The lotteries market is evolving and traditional paper lotteries are on their death bed. Players now prefer the convenience provided by electronic lotteries and you are better placed to follow suit. However, you can combine both paper and electronic lotteries to gain profits from the tech-averse lottery players.