Developing and Leveraging the Synergies Between VLTs and Traditional Games

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Developing and Leveraging the Synergies Between
VLTs and Traditional Games
Presented By Jim Logue and Barbara Hutchins
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Overview

• History
• Crossover Playing Behavior
• Synergy Between Products
• Promotional Opportunities
• Traditional Lottery Retailer Concerns
• Video Lottery Effect on Traditional Sales

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History

• October 1975
• Started with 1st Instant Game Diamond Dollars
• January 1978
• 1st Online Game/Play 3

• Lottery Retailers
• 650 At initial start-up
• Due to a rocky start-up decreased to 250
• Today there are over 500 retailers

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Video Lottery Operations

• December 1995
• Delaware Park
• 715 VLT Machines
• Dover Downs
• 500 VLT Machines
• August 1996
• Harrington Raceway
• 500 VLT Machines

• March 2009
• Delaware Park
• 3166 VLT Machines
• Dover Downs
• 3039 VLT Machines
• Harrington Raceway
• 2052 VLT Machines

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Summary Of Lottery Games Played In Delaware
Games Played(Based On Delaware Lottery Players)
(Base)
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Crossover Playing Behavior (Based On Past 12
Month Players)
(Base)
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( / / - / / )
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Traditional VLT Merger

• Dover Downs
• Video Dec. 1995
• Trad May 1996
• Delaware Park
• Video Dec. 1995
• Trad Nov. 1998

• Harrington Raceway Casino
• Video August 1996
• Traditional March 1998

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Synergy Between Products
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• Progressive Games
• Powerball Concept
• Multi State Lottery/ Video Lottery Group
• Delaware, Rhode Island, West Virginia

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Traditional Lottery Retailer
Delaware Park (2 locations)
Harrington Raceway Casino

• Location is Key
• Training
• Meeting w/Accounting

Dover Downs
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Promotional Opportunities

• Nascar Race
• Two Selling Locations
• 15,000 Instants Online
• DE State Fair
• Staffed by Employees
• 30,000 Instants Online
• Instant Ticket Giveaway
• Bus Rider Customers
• FREE 1 Instant Ticket
• Blackjack Every Minute
• Created Awareness

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Retailer Concerns

• Request for Slot Machine
• Request for Keno
• Loss Revenue
• Traffic Flow
• Saturation

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Traditional Lottery Sales
Top Retailer Ranking in Each County
Powerball Jackpot
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Traditional Lottery Sales at Three Racetracks
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Overall Traditional Sales
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In Conclusion

• Controlled Environment Advantage
• Good Crossover Between VLT Players and
  Traditional Lottery Players
• Advantages To Promotional Opportunity
• Overall Effect On Traditional Sales
• Effect On Retailers