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From the


It is with profound sadness that we report the passing of 



, President and Chief Executive Officer of the Kentucky

Lottery Corporation (and former president of the WLA, NASPL,

and MUSL along with many other accomplishments) on July 1.

Arch’s role in this industry and remembrances of his friends will be

commemorated at Lottery Expo Miami on September 13, as well as

recounted in all-to-brief fashion on page 12. Our prayers and condo-

lences go out especially to Arch’s family for their loss. 

Congratulations to the recipients of the 2016 Lottery Industry

Lifetime Achievement Award!

Tracey Cohen

(D.C. Lottery),


ole Hedinger

(New Jersey Lottery), and

Vernon Kirk


Lottery) have served our industry for decades with dedication and

distinction and we are so pleased and honored to recognize their

tremendous contributions. See their biographies on page 14.

Gardner Gurney has been at the helm of the New York Lottery for

many years, in top officer positions for the last 27 years, as Acting

Director since 2012, and as Director since 2015. Guiding one of

the largest lotteries in the world (fourth largest I believe) presents a

unique set of challenges. One of the topics we focus on is the risk

assessment models applied for driving rapid innovation in an en-

terprise of this magnitude. It inspires a vision for how our industry

does have the ability to be the leader in the games-of-chance indus-

try, to modernize in the face of changing consumer behavior that is

driving quantum changes in the market-place, and to drive growth

in a hotly contested competitive environment.

The panel discussions held at PGRI Smart-Tech NYC were more

poignant and substantive than ever. We have included edited ver-

sions of four of those discussions in this issue. Three of these focus

on the business of retail marketing and merchandising. Retailing has

not changed as much as most industries over the past two (or more!)

decades. The status quo won’t continue, though, as CPG brands

and retailers are innovating in rapid fashion. Consumer behavior

has been evolving rapidly over the past few years especially, and

retailing is finally resolved to catching up with its customers. This is

very exciting for an industry like Lottery which depends so much on

the retail channel. Let’s be the leaders in Retail Merchandising and

Marketing modernization!

Another panel discussion included in this issue focuses on the im-

portance of API’s—Application Program Interface. The technology

that enables seamless communication compatibility between multi-

ple IT systems is key to so many lottery industry objectives. For one

thing, multi-state retailers require standardization of reporting and

auditing across all jurisdictions, and this requires an API. But that is

just the tip of the iceberg. Cost-effective and timely deployment of

new technologies and games and innovation of any kind depends on

the enabling technology of API’s.

Initiatives like cashless transactions, for instance, depend on en-

abling technologies like API’s. Andrew Crowe of IGT gives a de-

tailed analysis of the benefits (and costs) of enabling consumers to

play the lottery with cashless media like credit cards.

Scientific Games, IGT, Novomatic Lottery Solutions, and Camelot

Global have all contributed to this dialogue on how Lottery can take

the leadership position in the modernization of retailing. These edi-

torial contributions focus on the issues in ways that help all of us to

understand how the market-place is changing, and how Lottery can

adapt to, and lead, the fast pace of modernization in retailing. The

future is ours to claim!

Motley Fool editorial contributor Jeff Hwang is a game inventor

and analyst who penned a most interesting article that drills deep

on the topic of why people gamble, and assesses the challenges for

the gambling industry to maintain growth into the future. He does

not talk about Lottery, but does talk about all forms of casino gam-

bling, online gambling, Daily Fantasy Sports, skill-based, etc., and

the play-styles and recreational preferences of Millennials (anyone

born between 1980 and 2000, a population of 87 million in the U.S.,

a group which outnumbers Baby Boomers and will account for one-

third of all retail spending within the next five years). It is not a

wholly optimistic picture, and I cannot attest to its accuracy or the

prescience of its conclusions. Still, it is a most interesting analy-

sis that makes it a must-read for those of us trying to understand,

and figure out what do about, the direction of consumer markets

in the broader games-of-chance industry. Google: Motley Fool Jeff

Hwang The Millennial Problem.

Please join us at

Lottery Expo


to be held at the Eden Roc Mi-

ami Beach Hotel on September 12, 13, and 14.

Three receptions

and two luncheons make it easy to visit with your colleagues from

around the world. We hope to see you there! Visit



for conference info, updates, and registration and room reser-

vations links.

Paul Jason, Publisher

Public Gaming International Magazine

Consumer behavior has been

evolving rapidly over the

past few years, and retailing is

finally resolved to catching up

with its customers.