Allwyn International’s management believes that the global lottery sector is in a period of significant change driven by digital transformation and social change.
These views and findings were presented in a report entitled “The Future of Lottery: A Game for Change,” produced by research agency The Future Laboratory.
Allwyn commissioned the report to examine consumer sentiment, technology trends and social changes to predict future impacts on the global lottery sector. Despite the diversity of views, Allwyn stressed that the report has no bearing on future plans for the UK’s Fourth National Lottery Licence.
Lotteries remain the most popular and widespread form of gambling in all regions and are important for governments in raising funds for public and civic needs. Their popularity is highlighted by the fact that in “the United States alone, lottery sales account for approximately $100 billion annually, exceeding the combined sales of movie, music and concert tickets.”
H2 Capital’s forecasts indicate the expected stability of the lottery market in the future:
“Global lottery sales are expected to grow to more than half a trillion US dollars by 2035, up 40% from 2025.”
However, caution must be exercised in making sweeping predictions as, like other entertainment sectors, lotteries face shifting generational preferences. As the report notes: “By 2030, Bank of America predicts that Generation Z— those born after 1996 — will own more than a quarter of global income. The changing demographics of millennials and Gen Z will challenge the sustainability of lotteries, and industry players must promote lotteries as “a proponent of a cause that makes them unique compared to other forms of entertainment.”
Pavel Turek, Allwyn’s Chief Global Brand, Corporate Communication, and CSR Officer, notes that the growing youth emphasis on social responsibility, transparency and relevance will lead to lottery brands increasing their commitment to supporting socially motivated causes and promoting responsible gaming.
“As regulated businesses, trust is the cornerstone of the lottery industry’s relationship with the public. As younger generations of consumers expect more from businesses, lotteries have the potential to double down on being a positive force for change in their communities over the next decade”, — he noted.
With a focus on future lottery drivers, the report examines new dynamics that are opening up opportunities for lotteries and shaping the future of the sector. Allwyn identifies the future drivers of lotteries as digital evolution, purposeful play and intergenerational engagement.
Despite the strong profile of lotteries in retail, traditional players must recognize that digital platforms are not just an alternative but have become the cutting-edge form of customer engagement.
The optimal platforms are able to effectively interact with various customers, offering convenience and an immersive experience. As technology advances, lotteries are able to innovate in gameplay and distribution channels, potentially driving customer engagement through mixed reality and personalized digital touchpoints.
Beyond digital, the importance of purposeful play is increasing as conscious consumers seek to engage with socially responsible and transparent brands. These dynamics reflect a broader shift in the entertainment paradigm, where the desire for meaningful participation and positive social impact is combined with the need for leisure.
Lotteries are moving beyond their traditional gambling guise and becoming a key element of social contribution, with every purchase contributing to a larger narrative of community upliftment and ethical commitment.
Allwyn has a strong focus on intergenerational engagement, highlighting the critical need for the lottery sector to live up to the ideals of millennials and Gen Z — consumers who are not only digitally savvy, but also deeply ethical, demanding authenticity and responsible action from the brands they are loyal to.
“The lottery industry must, therefore, evolve to meet these expectations, crafting gaming experiences that embody the values of these socially conscious generations,” the report emphasizes.
Allwyn brings together the dynamics of future drivers in the forward-looking segment “The Future of Lottery 2035”. The report examines changes in player thinking, key industry trends and innovations across various sectors that are expected to shape the future of lotteries.
Robert Chvátal, CEO of Allwyn, notes that technological innovation should enable lottery operators to create gaming environments that provide high standards of player safety. At the same time, it is important to continue to innovate in the areas of game design and community interaction. Security strategies must leverage cutting-edge technology, providing real-time intervention capabilities and hyper-personalized player protection to support a responsible gaming culture.
Players will be protected and actively involved in society, as the report views lotteries as platforms for sharing experiences, where players do not just play in isolation, but become part of an active community. Their participation in the game promotes collective efforts and strengthens ties with lottery operators towards a common goal.
“Interactive and socially conscious elements can be further integrated into lottery games. Although the cost of lottery tickets is typically low, new features that give players better visibility of where their contributions – or part of them – go over time could introduce another layer of added value, aligning with this demographic’s desire for progress and activism.”
Robert Chvátal commented: “With technology moving faster than anyone could have predicted, how our customers interact with us and play lotteries will continue to evolve, and we as a business need to keep innovating to serve them and our broader stakeholders. The Future of Lottery report acts as a catalyst for us at Allwyn to keep innovating and evolving our products to meet the demands of a new generation of players, delivering successful lotteries and returning more money to governments and good causes in every market in which we operate”.
Responsible development is not just a business goal; It is a commitment to future consumers that the Lottery will continue its commitment to improving society.
Chvatal added: “We are focused on the future. I believe this report is a valuable contribution to inform how we and the wider lottery and gaming community prepare for tomorrow’s world, and I’m excited to work with my colleagues at Allwyn on our own journey to build better lotteries well into the future.”
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