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JANUARY/FEBRUARY 2011VOLUME 26 | ISSUE 1
The Official Newsletter for California Lottery Retailers
2010 RETAILER MAKEOVER OF
THE YEAR!
It’s a great start to 2011 with MEGA Millions sales worth celebrating!
The MEGA Millions jackpot started out at $12 million on November
12 and rolled 16 times to a whopping $380 million. The second-
largest MEGA Millions jackpot of all time (behind the $390 million
amount won back in 2007) was hit by two winning tickets, one in
Washington and one in Idaho. But that doesn’t mean that Californians didn’t win
big. Sold throughout California were 10 MEGA Millions tickets that matched five of
six numbers each worth $209,300.
The jackpot jumped from $242 million on New Year’s Eve to $380 million by the
following Tuesday, a leap of $138 million. That is the largest incremental gain in the
history of MEGA Millions! Our sales followed the national trend and I’m sure you felt
the heat on Tuesday, January 4th, when national MEGA Millions sales were in excess of
$120 million per day. During peak ticket buying times sales figures nationally showed
$242,000 worth of tickets purchased every minute. Now that’s MEGA Millions Fever!
I’m pleased to report a 20% year-over-year growth in overall Lottery sales due to
your efforts and your willingness to implement suggestions by your District Sales Reps.
The introduction of the Set For Life $5 Scratchers game backed by an advertising
campaign consisting of radio, television and outdoor billboards should keep sales
strong. The Set For Life game offers a top prize of $2 million paid in installments of
$100,000 over 20 years and promises to be a Lottery player favorite! Our sales goal
of $2.2 billion in Scratchers sales this year is within our reach. Just remember to
activate and display new tickets as soon as you receive your ticket shipment. See the
check list below to gain higher profits from Lottery products in your store.
Congratulations to South Grove Liquor for becoming the California Lottery’s
2010 Retailer Makeover of the Year. After just six months since their extreme
makeover this retailer in the Santa Ana District Office territory raised their sales
by 66%, closing the calendar year with nearly $1 million in sales and more than
$300,000 for the state’s public schools.
Thank you for your dedication and willingness to accept the new business model
we’re rolling out to the retail
environment. As you begin to see the
results of these changes in your sales,
you’ll be happy you made them.
Thanks a billion!
MICHAEL BRENNAN Deputy Director of Sales and Marketing
Ring In the New Year With Higher Sales!
CALIFORNIA LOTTERY COMMISSIONERSJohn Mass, ChairmanJohn MenchacaAlex Fortunati
ACTING CALIFORNIA LOTTERY DIRECTORLinh Nguyen
DEPUTY DIRECTOR OF SALES AND MARKETINGMichael Brennan
DEPUTY DIRECTOR OF SALESMichele Tong
CHIEF, NORTHERN FIELD OPERATIONSStacy Matsunami
MANAGING EDITORNorma Minas
ASSISTANT EDITORSTim Dugas Kelsey Rubstello
CONTRIBUTORSJohn BridegroomHeidi GlaserSally ForcierSteve Freund Steven FontenetteJose O’CampoElizabeth WillsJeanne WinnickWinston WongDoug Wood
COVER PHOTOSNorma Minas Doug Wood
DESIGNPage Design Group
FOR MORE INFORMATION CALL1-800-LOTTERY TDD 800-345-4275
PROBLEM GAMBLING HELPLINE1-800-GAMBLER
COVER FEATURES THE TRIAD OF SALES SUCCESS:District Sales Rep Heidi Glaser is instrumental in helping retailers MJ and Okhee Hong grow their sales and create lots of happy customers at South Grove Liquor.
WWW.CALOTTERY.BIZ
Four Ways to Increase Profits1. Fill your Scratchers bins/facings.
2. Maximize Scratchers activation with:New games, “Ideal Mix” games
3. Display multiple $5 games.
4. External visibility at retail. Use your Sales Reps suggested placement of Lottery point of sale materials to help increase your sales.
BEING SET FOR LIFE…FOR ONLY $5!It’s a high five advantage when you sell $5 games. Activate
your $5 games as soon as you receive them to give customers
the chance to win big! Based on sales trends in other states,
higher prize payout tickets are a major hit with players.
Add $5 Scratchers to your “ideal mix” for:
� HigherCommissions—You earn 30¢ per ticket sold instead of only 6¢.
� IncreasedProfits—Your effort to sell a $5 game is the same
as selling a $1 game.
� MoreExcitingPrizes—Our studies show this is what players want.
The latest Scratchers® ticket, Set For Life gives your players a chance to
win a $2 million prize paid as an annuity of $100,000 a year for 20 years. Don’t
let your customers miss out on the Set for Life ticket or other new Scratchers
games this spring including In the Money and Fat Cat. $5 could easily become
a $100,000 payday for one of your lucky players.
NEW SCRATCHERS
The California Lottery’s latest guidelines to streamline
Scratchers ticket inventory management will help
you run your Lottery business more efficiently. You
won’t have to worry about extra stock inventory
because you’ll get new tickets just in time to fill
your ticket bins and keep your customers happy.
Get the newest and best selling games,
the “Ideal Mix,” to display in your stores.
KEY BENEFITS TO RETAILERS:
� Triple sales when you activate all 3 NEW games!
� Ideal Games + Timed Deliveries = Increased
$ales and decreased inventory handling.
� If you have questions about your delivery,
contact your District Sales Rep.
� Check the Scratchers Inventory Summary
Report to see your next order.
Increasing Scratchers® Sales Right Inventory + Right Time + Right Retailer = Sales Goals
Your 2011 A & B Week Scratchers Order Schedule is coming in
a new one page format and not the little booklet from the past.
Log in to www.calottery.biz for a copy.
SALESMAKER January/February 2011 1
MJ and Okhee Hong will be the first to tell you they are
living the good life in Orange County, California, but
they also will tell you they work daily from 8 a.m. to 10 p.m.
to keep the doors open to serve their loyal customers at their
liquor and convenience store in Garden Grove.
As California Lottery retailers, they increased their sales by
$10,000 a week, or 66% in the last six months of 2010, while the
economy limped along and many small businesses were forced
to close their doors.
In the Hong’s store, Lottery staff cleaned floor-to-ceiling
windows, moved a huge ice machine installed a Hot Spot
monitor and created an inviting space for customers to sit
and play Lottery games.
Theadditionofatableandthreechairsprovedtobethemostprofitableandsignificantcontributiontotheirweeklysales,raisingthosesalesby$10,000perweek.
“The makeovers have been a great success up and down the
state, but MJ and Okhee have surprised us with their phenomenal
increase in sales especially in this economy,” says Deputy Director
of Sales Michele Tong. “With their great location and steady foot
traffic, it made sense to enhance the Lottery brand outside and
change the interior to provide a Hot Spot game area. With nearly
$1 million in Lottery sales in 2010, the Hongs contributed more
than $300,000 to California public schools.”
Retailer Makeover Boosts Sales For South Grove LiquorHowaPatioTableandChairsGrewHotSpotSales!
2010 RETAILER MAKEOVER OF
THE YEAR!
No outdoor visibility of Lottery products.
As the California Lottery honored Okhee and MJ Hong for their sales spike, customers lined up through the front door. Pictured are Lottery Sales Manager John Bridegroom; Chief, Northern Field Operations Stacy Matsunami; Lottery Ticket Sales Specialist Gina Kan; District Sales Rep Heidi Glaser; Retailers Okhee and MJ Hong; Deputy Director of Sales Michele Tong and Deputy Director of Sales and Marketing Michael Brennan.
RETAILER MAKEOVER OF THE YEAR
BEFORE
AFTER
2 SALESMAKER January/February 2011
In January 2010, the Hong’s were selected with eight
other businesses from a statewide network of more than
21,000 Lottery retailers to receive a store makeover. The
goal of the program was to improve the brand appearance
and display of Lottery products and help the businesses
increase their sales.
Winner Awareness and counter branding
reminds customers to play Lottery games.
Counter and console need cleaning and clear branding.
Players enjoy Hot Spot corner and sales increased by $10,000 weekly.
Unappealing entrance area was
transformed to Hot Spot play area!
(1) District Sales Rep Heidi Glaser celebrates the 66% sales increase at South Grove Liquor with owner Okhee Hong and Lottery Ticket Sales Specialist Gina Kan. Their team effort to ship, activate and display the latest tickets makes a difference in sales.
(2) David Taylor, a representative from Assemblyman Allan Mansoor’s office brought a congratulatory message for the Hong’s economic contribution. Pictured with the Hongs is son Phillip Hong, a City of Los Angeles fireman, their granddaughter Ruby and daughter-in-law, Mandy, a college advisor.
(3, 4, 5) “Before” and “after” makeover photos show how adding winner awareness point of sale, bright cheery brand recognition on the counter and an inexpensive Hot Spot area increased sales to more than $10,000 per week.
(6) Deputy Director of Sales and Marketing, Michael Brennan, responds to the media regarding the Lottery’s $1 billion annual contributions to schools since 2000.
BEFORE
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SALESMAKER January/February 2011 3
An Invitation for You to Login at www.calottery.biz
Do you know that the California
Lottery’s ebiz website is just for
retailers like you? Get the latest
information about the best new games,
accounting and billing information and
much more. We’re providing you with a
one stop shopping site for all your for
all your retailer information needs.
Though many retailers have signed in
to use the automated statements
provided through ebiz, you may be
among those that have not yet taken
the opportunity to do so. Give it a try!
The2011A&BWeekScratchers®OrderScheduleisavailabletodownloadatwww.calottery.biz.AskyourSalesRepformoreinformation.
Regina Aguirre Is a $25,000 Replay WinnerRegina Aguirre hit a winner out of the ball park when she registered
her non-winning replay ticket at calottery.com/replay and won
$25,000. Aguirre celebrated her win at an event at the CVS
Pharmacy, in Northridge where she had purchased her lucky ticket.
Regina says she goes there regularly because the store is
“clean and the Lottery vending machine is always working. It’s a
really good retailer.” CVS Pharmacy is one of the 21,000 retailers
that carry Lottery products throughout the state.
Pictured left to right is Lottery Route Sales Representative Steven Fontenette, Key Accounts Specialist Steve Freund, Regina Aguirre, the CVS District Manager and Store Manager Matt Enterkin.
RETAILER INFO
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2011 A&B Week Scratchers® Order Schedule
(Check the “Summary Inventory Report” from your Lottery terminal to review your upcoming Scratchers® order)
Additional retailer resources are available at: https://www.calottery.biz or contact your Lottery Sales Representative. For more
information call Lottery Customer Service at 1-800-LOTTERY, press 1-3-1-1 and enter your ZIP Code to speak to your SIMC Rep.
Orange = “A” Blue = “B” My week: _____
My DSR: ______________________
Phone: ______________________
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Date = State Holidays
1–3–1–5Lottery Customer Services:
� Ticket Validation
� Retailer Requested Adjustment Status
� Claim Status
� Pack Activation
� General Information and Questions
1–3–1–3Retailer Network Support Services:
� Contract Issues
� Terminal Installations
� Scratchers® Vending Machines Issues
� Change of Ownership
1–3–1–2–3Revenue Collection Services:Listen to the Revenue Collection Menu (For personal assistance, press Option 4):
� Billing, Sweep, or Mid-tier Inquiries
� Bank Account Changes
� Pack Settlement or Refund Inquiries
� Probation and Terminations
� Financial Inquiries and Information
1–3–1–1Scratchers Inventory and Delivery Information Services:
At the prompt, enter a retail location’s 5-digit zip code:
� Delivery/Mis-delivery Issues
� Incomplete Orders/Missing Packs
� Ticket Order Issues
1–3–1–4Security Services:
� Lost/Stolen Tickets
� Criminal Activity
1–3–1–2–4Tax Bureau Services:Listen to the Tax Menu (For personal assistance, press Option 5)
� 1099/Sales Information
� Tax ID or Tax Reporting Address Changes
RETAILER PHONE REFERENCENeed To Contact The Lottery? Call 1–800–LOTTERY (1-800-568-8379)
Listed Below Is A Quick Reference With The Numbers To Dial For The Service You Need:
4 SALESMAKER January/February 2011
Your terminal can generate reports to help you manage your inventory. Ask your District Sales Rep to show you how.
MANAGE YOUR SCRATCHERS® ACCOUNTING & BILLING
Keeping track of your Scratchers inventory is easy when you confirm your
delivery and activate your ticket packs properly before selling. To receive or
confirm an order correctly, check to ensure the pack numbers match the
numbers on the delivery invoice and input
the numbers into the terminal or scan your
delivery invoice.
Remember,forbestresults,confirmyourorderswhenyoureceivethemandactivateyourindividualticketpacksbeforeyoudisplaythemforsale.Here’showitworks:
TICKET ORDERS
We’ve got a New Counter Top SignTo Increase Your Lottery Product Visibility
FEATURES:
� Dual Jackpot: Mega Millions & SuperLotto
Plus (with a removable face plate to
easily change games)
� Bright Red LED which makes it easy
to read and very noticeable
� Blue light ring around the outer frame
which is programmed to move in a
circular motion once either of the games
reaches jackpot alert level.
� The unit receives up-to-date jackpot
information via a wireless transmitter
from the existing Altura
� The base of the unit is small and flat
which allows you to keep small counter
top items in place, they can sit right on
top of the base.
� It has a telescoping pole to lower or raise
the sign so it doesn’t get obstructed by
counter top merchandise.
We will have a limited number of these new
signs available. Please contact your Sales
Rep to see if your store meets the criteria
for placement.
For questions contact 1-800-568-8379 or contact your District Sales Rep.
CREATED
ISSUED
CONFIRMED
ACTIVATED
SETTLED
SALESMAKER January/February 2011 5
