The Ontario Lottery and Gaming Corporation (OLG) has seen significant growth in its digital gaming proceeds, as reported in their annual report for the fiscal year 2022-2023. The regulated and competitive market has played a crucial role in driving this growth, pushing OLG to innovate and optimize their operations.
According to the report, land-based gaming and digital gaming collectively achieved record-setting proceeds in FY 2022-23 exceeding $9 billion, an increase of $2.1 billion, or 29 percent.
The newly regulated market in Ontario has presented both challenges and opportunities for OLG. With the market open to multiple operators, OLG has had to think differently and push the boundaries of what’s possible. They have focused not only on their product offerings but also on optimizing their teams and processes to improve their speed to market.
The open market has leveled the playing field for OLG, as they are no longer the sole regulated operator in the province. Now, they compete with other operators who must adhere to the same rules and regulations. This not only benefits OLG but also ensures that customers are protected and have access to responsible gambling measures. From a marketing standpoint, transparency is crucial to ensure that customers who are not interested in gambling are not pushed into spaces they may not be comfortable with.
OLG has strategically focused on areas that leverage their differentiation in the market. Instead of massive media buys, they have explored more efficient channels to promote their offerings. Their promotions strategy targets specific segments they want to retain or grow, while their games strategy emphasizes quality over quantity.
The availability of responsible gambling programs, such as PlaySmart, has also differentiated OLG from other operators. OLG ensures that their promotion strategies have attainable wager requirements, further emphasizing their commitment to responsible gambling.
Partnerships with sports leagues, such as the NHL, NFL, and NBA, have provided OLG with unique opportunities to directly communicate with players and prospective players. These partnerships allow OLG to activate in spaces where they can age-gate and regulate who consumes their experiences.
As OLG moves forward into 2024, their marketing strategy will focus on leveraging these partnerships, as well as their partnerships with land-based gaming operators and affiliates. The goal is to engage the right players, in the right way, with the right message, while ensuring responsible gambling practices.
