This case has been nominated for the Dutch Search Awards 2019 in the ‘Best use of Data’ category.

Staatsloterij: Their Challenge

Staatsloterij (state lottery) is the biggest game belonging to the Nederlandse Loterij. They were looking for insights into the impact of their media investments on ticket sales to new and returning players. Attribution modelling was an important topic for them. After carrying out several analyses, they discovered the result of media investments correlated with the size of the jackpot, as well as the number of days left before the draw. Due to this, standard attribution models don’t work. Search or Display ads, for example, can be extremely effective if the jackpot is large, but much less effective if the jackpot is relatively small. Similarly, people are more likely to buy a lottery ticket upon seeing an ad if the draw is only days away, compared to a draw that is weeks away.

Staatsloterij approached us to write a custom attribution model that takes the size of the jackpot and the number of days before the draw into account. We visualize the insights in our software solution, Objective Platform.

Campaigns

Staatsloterij’s game consists of monthly draws that take place on the 10th of every month. Leading up to each draw, Staatsloterij runs a marketing campaign. The goal of these campaigns is to generate both new and returning players. Staatsloterij aimed to use their media channels more efficiently.

The Solution

We built and automated connection to all of Staatsloterij’s data sources. The data is imported into Objective Platform daily, and goes through a data quality layer. This ensures all attribution and prediction models can run daily on up-to-date, clean data. First of all, we map customer journeys and use unified attribution to allocate value to each touchpoint. This gives Staatsloterij insights into the true added value of their online media channels.

Next, we connect cost data to these values. This enables us to calculate the attributed revenue and marginal ROI for each channel. Staatsloterij can use these insights to steer their media channels. They can also use our media budget optimization tool to determine an optimized media plan for each monthly campaign. For a given budget, it shows the predicted revenue for all media channels. Staatsloterij can optimize across and within channels.

For Staatsloterij, it is possible to steer taking the size of the jackpot into account. For every draw, we automatically receive the jackpot size. Our models than calculate the best possible media allocation based on the jackpot size and media budget.

Because we also take the number of days before the draw into account, Staatsloterij knows when to best invest in a certain channel. Additionally, they can choose to optimize for both new or returning players.

The Impact

The entire process is automated. Staatsloterij can easily share the finalized media plan with all media partners, saving them a lot of time.

Since Staatsloterij’s use of Objective Platform to optimize across and within their media channels, they have increased their revenue by an average of 14%. The average return on investment (ROI) grew from 14.7 to 18.1, which is an increase of 15%.

Here is a breakdown of the revenue and ROI for different sizes of the jackpot:

insights staatsloterij

Summary

We wrote the first attribution model that is specifically applicable to the business dynamics of the game industry. This is not a one-time analysis, but a set of models that is updated daily and continuously generates insights that were not available before. Objective Platform allows Staatsloterij to continuously improve their results over the long term, as well as the short term. Using these new insights and tools, Staatsloterij saves time, can optimize their media activities and apply their budget more efficiently. This results in less spend per channel and an increase in ROI.

We are Nederlandse Loterij’s analytics partner and, in addition to Staatsloterij, also work with Lotto, Toto and Eurojackpot. The models are configurable to the dynamics of each game, and Nederlandse Loterij can apply the insights gained from one game to the others.