No gamble for Lotterywest

lotteryWestInside Lotterywest’s 2016 plans for a major overhaul of its 500-strong retail network.

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Lotterywest is set to install seven concept stores ahead of the rollout of a new shopfit across its entire network of over 500 retailers across Western Australia.

The retail transformation will modernise the stores and introduce a contemporary retail design as well a sizeable leap forward in technology.

Rollout of the new shopfit across the retail network will occur via a phased approach. Commencing in March 2016, all 500 stores in the retail network will gradually change over to the new design, while rollout of the new technology is scheduled between August and November 2016.

Lotterywest, which runs the lottery in Western Australia, has just completed building a mock store that it will use to test the new design and technology. There will be a number of significant milestones that will be implemented over the next 12 months, Lotterywest Transformation Program, Benefits Realisation Manager, Greg Cumming, told Inside Retail Weekly.

“During February and March 2016, we will install our new shopfit into seven concept stores at selected Lotterywest retailers,” Cumming said. “These concept stores will enable us to validate and refine the detailed design and deployment processes in a ‘live’ environment, across a range of different store types.

“These will be open to players and provide another opportunity to pilot our design and engage with our players.”

Consultation and engagement with retailers, lottery players and other stakeholders will continue through the mock and concept store phases.

One of the challenges was incorporating the needs of the varying business types and store sizes into the design and technology planning. Lotterywest worked closely with design partner, Best Group, and technology partner, Intralot, to ensure the improvements would be able to meet future as well as current customer expectations.

“With a smart new retail design and technology, we’re working hard to create an exciting, modern and consistent instore experience for our players – one that will stretch across the entire network from the most southern [retailer] located in Albany, all the way to our most northern in Wyndham,” Lotterywest CEO, Paul Andrew told Inside Retail Weekly.

“Our retail network represents 95 per cent of our sales and it remains a priority for us to do everything we can to grow this channel into the future. Our last shopfit was introduced in 2004, so it’s a great time to evolve our design.”

In-house knowledge and input also contributed to the new store design, according to Cumming.

“We have staff who, as part of their role, speak with other lottery retailers and attend conferences,” Cumming said. “On top of that, we also talked to lotteries from around the world – New Zealand, Europe, Scandinavia, North America; that was really about understanding some of the things they had done [and] lessons that they had learnt from the process.”

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Stakeholder consultation
Over the past 12 months, more than 20 sessions were held with stakeholder groups.

These included sessions with retailer reference groups; meetings with shopping centre managers, landlords and leasing agents; testing of the new technology by players; as well as consultation and presentations to a Lotterywest Retailers’ Consultative Panel, a retailers group representing the retail network.

“Some of that feedback has genuinely been instrumental in making some of the significant decisions within the program in approaches and the directions that we’ve made.” Cumming noted.

Lotterywest Retailers’ Consultative Panel member, Fred Geb, owner of Perth’s Forrestfield Marketplace News, further advised Inside Retail Weekly how retailer responses played an invaluable role in the transformation.

“We got a fair amount of feedback from other retailers; being in lotto kiosks or newsagents ourselves gives us a really good understanding of what’s going to work and what’s not going to work.

“The way the Scratch’n’Win will be displayed – originally they were going to be on a digital screen – now they will be incorporated in the lotto bench. It will make it a lot more visible for customers; we really think it will help lift our sales.”

The more visible Scratch’n’Win display will also showcase a wider range of tickets and is one of the key elements of the transformation. Other elements include the introduction of a self-service device to provide more choice and a new way to play – the 21-inch touchscreen will allow registered players to purchase tickets using their e-wallet; engaging internal and external signage including digital screens which will enhance marketing and promotions through digital media; and more targeted player communication through an improved Player’s Card, which will also boost player experience.

“It will help players skip the queue and serve themselves,” Geb said. “All their winnings will go into their new Player’s Card and they’ll be able to spend or access their winnings straight through it.”

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Going digital
A new terminal will feature the larger screen that takes up less counter space than the current terminal. On the player side, a large 19-inch (compared to the current 15 inch) player display unit (PDU) – will feature a screen that will offer various functions including promoting products.

Poster frames are being replaced with a 43-inch Digital Point of Sale screen (DPOS).  These brightly lit DPOS screens are engaging and will help promote various Lotterywest games across the week.

In addition, retailers will have a selection of modules from which they can choose for their store layout.

“We believe that many of the elements of our new design will help to attract a new generation of players and improve on the services we currently offer instore,” Cumming elaborated. “Our vision is a simple and engaging customer experience that improves business performance in every Lotterywest store.

“We aim to increase as well as improve interactions between retailers and players. The improvements will be critical to the business success of Lotterywest and our retailers over the next decade.”

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