Kentucky Lottery Renews 10-Year Deal with Scientific Games

The Kentucky Lottery has announced a decade-long extension of its partnership with Scientific Games. This extension allows Scientific Games to continue managing the lottery's scratch-off games, reinforcing a relationship that has driven significant growth and community support over the past three decades.

Since 1989, the Kentucky Lottery and Scientific Games have collaborated to deliver engaging lottery experiences and contribute to state education funding. Through this partnership, over $5 billion has been generated for scholarships and grants for Kentucky students. With the new extension, both entities aim to sustain this momentum, benefiting players, retailers, and communities across the state.

 

Scientific Games Enhanced Partnership Program (SGEP)

The partnership’s extension includes the continued use of the Scientific Games Enhanced Partnership program (SGEP), a comprehensive approach that employs advanced data analytics and patented technologies. Since introducing the SGEP to the Kentucky Lottery in 2018, the state has emerged as one of the top 20 performing lotteries in the U.S.

SGEP focuses on portfolio management, game design, logistics, and marketing support. This approach has shown tangible results: U.S. lotteries that used SGEP during the 2023-24 fiscal year experienced a 31% rise in weekly per capita sales. John Schulz, Scientific Games President of Americas and Global Instant Products, praised the collaboration, stating, “Our partnership has proven to be highly successful, keeping the product pipeline flowing with exciting and innovative games to Kentucky Lottery retailers and players.”

A key outcome of this partnership is its contribution to education funding in Kentucky. Since its inception, the Kentucky Lottery has supported scholarships and grants for students, with the help of the revenue generated by scratch-off games. The 10-year extension is expected to maintain this financial support, with local retailers also standing to benefit from the continued collaboration. The commissions for retailers are projected to reach $1.6 billion.

Mary Harville, CEO of the Kentucky Lottery, emphasized the benefits of the extended partnership, saying, “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.”

Wider Reach of SGEP Across the U.S.

The success of the Kentucky Lottery’s implementation of SGEP is not unique. The program has been adopted by other U.S. lotteries, including those in Kansas, Colorado, Arizona, Illinois, and Ohio. These lotteries have also seen increased revenue and player engagement, showcasing SGEP's effectiveness in boosting sales and improving game offerings.

 

 

Conclusion

The Kentucky Lottery’s 10-year extension with Scientific Games represents more than a business arrangement. It marks a continuation of a strategic approach to game management that has proven to drive sales and support education funding. As Scientific Games continues to innovate and deliver engaging scratch-off experiences, the partnership aims to maintain its positive impact on Kentucky communities, retailers, and students for years to come.