Since 1989, Scientific Games and the Kentucky Lottery have formed a strong partnership, building one of the most successful collaborations in the lottery industry. This strategic relationship has been key to transforming the lottery’s scratch-off games into a revenue-generating powerhouse, propelling Kentucky’s education funding efforts to new heights. The recent extension of this partnership marks a new chapter, ensuring that the Kentucky Lottery continues to benefit from Scientific Games’ comprehensive services, innovative game development, and retail support.

Scientific Games Extends its Longstanding Partnership with Kentucky Lottery

A Historic Partnership That Strengthens Over Time

For more than three decades, Scientific Games has served as the primary scratch-off game provider for the Kentucky Lottery. This partnership has played a pivotal role in the growth of the lottery’s instant game portfolio, allowing it to compete and thrive in a competitive market. The collaboration entered a new phase in 2018 when the Kentucky Lottery joined the Scientific Games Enhanced Partnership (SGEP) program. This move was a strategic decision to optimize the lottery’s scratch-off product offerings.

The introduction of the SGEP program has not only provided the Kentucky Lottery with unparalleled resources and expertise, but it has also resulted in significant growth. The lottery’s scratch-off game category has ballooned into a $940 million product category, a remarkable achievement that highlights the effectiveness of this partnership.

Supporting Kentucky’s Education System

One of the most significant outcomes of this partnership is its impact on education. Since 1999, the Kentucky Lottery has directed more than $5 billion toward funding scholarships and grants for students and families across the Bluegrass State. This funding has become an essential source of financial support for higher education, making a difference in the lives of countless students.

The success of the lottery’s scratch-off games is crucial to maintaining this level of funding, and Scientific Games has been instrumental in helping the Kentucky Lottery achieve this goal. Through the SGEP program, Scientific Games offers comprehensive portfolio management, game design services, and a host of logistical and digital tools that allow the Kentucky Lottery to maintain a steady pipeline of new and exciting scratch-off games.

The SGEP Program: A Catalyst for Growth

The SGEP program is much more than a simple service provider agreement. It is a collaborative and strategic partnership that enables the Kentucky Lottery to maximize the performance of its instant games. Scientific Games provides a wide range of services, including:

• Portfolio Management and Optimization: This helps the lottery to analyze game performance, identify opportunities for growth, and refine its product offerings to meet player demand.
• Game Design Services: By leveraging Scientific Games’ expertise in game design, the Kentucky Lottery is able to offer engaging and innovative scratch-off games that appeal to a broad audience.
• Advanced Logistics: Efficient logistics ensure that games are delivered to retailers in a timely manner, minimizing supply chain disruptions and optimizing sales.
• Licensed Brand Services: The use of licensed brands adds an extra layer of excitement to scratch-off games, driving interest and boosting sales.
• Digital Services: Scientific Games’ digital platform allows the Kentucky Lottery to connect with players online, offering promotions, updates, and other digital content to enhance the player experience.
• Retail Sales and Marketing Support: Scientific Games provides tailored marketing strategies that help the Kentucky Lottery increase its retail presence, ensuring that players can access the games they love in a variety of locations.

These services have been essential in helping the Kentucky Lottery grow its scratch-off game category, ensuring that it remains competitive in a crowded marketplace.

The Retailer Network: Driving Sales and Commissions

One of the key components of the Kentucky Lottery’s success is its extensive retailer network. Comprising more than 3,500 locations across the state, this network plays a critical role in distributing scratch-off games to players. Scientific Games has contributed to the strength of this network by generating over $1.6 billion in commissions for retailers.

In addition to monetary commissions, Scientific Games provides retailers with access to licensed properties that make scratch-off games more appealing to customers. Retailers also benefit from a digital customer relationship management program, which helps them build stronger connections with their customers and drive repeat sales.

Innovative Game Design and Development

Scientific Games is renowned for its innovative approach to game development. The company continuously pushes the boundaries of creativity to produce highly engaging scratch-off games that resonate with players. The partnership with the Kentucky Lottery has allowed both organizations to leverage this innovation to create new products that excite and captivate the lottery’s player base.

The result is a dynamic and ever-evolving portfolio of scratch-off games that ensures the Kentucky Lottery remains a top player in the industry. This, in turn, supports the lottery’s ability to generate the revenue needed to fund scholarships and grants.

Leadership Perspectives on the Partnership

Both the Kentucky Lottery and Scientific Games have expressed their commitment to continuing this fruitful partnership. Mary Harville, President and CEO of the Kentucky Lottery, has emphasized the importance of this relationship in fulfilling the lottery’s mission of supporting education.

“The Kentucky Lottery is always looking for new and exciting games to offer our players and retailers, and the Lottery’s continued partnership with Scientific Games will ensure we are doing just that,” Harville said. “Creative and top-performing Scratch Offs bring the players into retailers, which in turn helps the Kentucky Lottery increase our revenues each year. This allows us to fund the many scholarships for Kentucky’s students and families. We look forward to working with Scientific Games to carry out this mission in the years ahead.”

John Schulz, President of Americas and Global Instant Products at Scientific Games, echoed this sentiment, noting that the Kentucky Lottery’s decision to join the SGEP program was a strategic one. “Our partnership has proven to be highly successful, keeping the product pipeline flowing with exciting and innovative games to Kentucky Lottery retailers and players and protecting funding for scholarships for Kentucky students,” Schulz said.

The Future of the Kentucky Lottery and Scientific Games Partnership

As the partnership between the Kentucky Lottery and Scientific Games continues to grow, both organizations remain focused on innovation, collaboration, and delivering the best possible gaming experiences to players. This partnership is not only critical to the success of the Kentucky Lottery but also to the educational future of thousands of students who benefit from the lottery’s scholarship programs.

FAQs About Scientific Games and Kentucky Lottery Partnership

1. How long has Scientific Games been partnering with the Kentucky Lottery?

Scientific Games has partnered with the Kentucky Lottery since 1989, providing scratch-off game services and helping the lottery grow its instant game portfolio.

2. What is the Scientific Games Enhanced Partnership (SGEP) program?

The SGEP program is a comprehensive partnership that includes portfolio management, game design, logistics, licensed brand services, digital services, and retail sales support to help lotteries optimize and grow their scratch-off product offerings.

3. How has the partnership benefited the Kentucky Lottery?

The partnership with Scientific Games has transformed the Kentucky Lottery’s scratch-off games into a $940 million product category. It has also generated more than $1.6 billion in commissions for the lottery’s network of 3,500 retailers and helped fund over $5 billion in scholarships and grants for Kentucky students since 1999.

4. How does the SGEP program help the Kentucky Lottery’s scratch-off games?

The SGEP program provides services like game portfolio management, optimization, and design, as well as logistics, marketing, and digital tools. These services ensure a steady pipeline of innovative and engaging scratch-off games for Kentucky players.

5. How has the partnership impacted education in Kentucky?

Since 1999, the Kentucky Lottery has funded over $5 billion in scholarships and grants for students and families, supported largely by the success of its scratch-off games in partnership with Scientific Games.

6. What kind of services does Scientific Games provide to retailers?

Scientific Games offers licensed properties to make scratch-off games more appealing and provides a digital customer relationship management program to help retailers build stronger relationships with their customers.

7. What role does Scientific Games play in the design of Kentucky Lottery scratch-off games?

Scientific Games is responsible for game design and development, creating innovative and exciting scratch-off games that attract a wide audience of players, helping to maintain the lottery’s competitiveness.

8. How has Scientific Games supported the Kentucky Lottery’s mission?

Scientific Games has helped the Kentucky Lottery grow its revenues each year, allowing it to fund scholarships and grants for Kentucky’s students and families. The partnership ensures a continuous flow of innovative games to retailers and players.

9. What has Kentucky Lottery President Mary Harville said about the partnership?

Mary Harville emphasized the importance of the partnership, noting that the continued collaboration with Scientific Games helps the Kentucky Lottery offer exciting new games and increase revenues, which fund scholarships for students.

10. What has Scientific Games President John Schulz said about the partnership?

John Schulz highlighted that the Kentucky Lottery’s decision to join the SGEP program was strategic and has resulted in a successful partnership, keeping the product pipeline flowing with innovative games and supporting scholarship funding.

11. What is the future outlook for the Kentucky Lottery and Scientific Games partnership?

Both organizations are committed to continuing their collaboration, focusing on innovation, new game development, and contributing to Kentucky’s education funding. The extension of their partnership ensures ongoing support for scholarships and retailer success.