February 22, 2012

Summary Report Marketing Strategies Advisory Group

Recommendations to Enhance Oregon State Lottery Responsible Gambling Practices

1

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

ACKNOWLEDGEMENTS

This report was developed through a contract between Problem Gambling Solutions, Inc. and the Oregon State Lottery (OSL). The author gratefully acknowledges the contributions made to this project by the OSL Marketing Strategies Advisory Group, the OSL project team, and stakeholders who provided valuable input.

Advisory Group Members:

Jeffrey Marotta, Ph.D., NCGC II; CEO & Senior Consultant Problem Gambling Solutions, Inc. - Chair

Julie Hynes, MA, CPS; Problem Gambling Prevention Coordinator, Lane County

Nicole Corbin, LPC, CPS; Problem Gambling Services Manager, Oregon Health Authority

Wendy Hausotter, MPH; Problem Gambling Prevention Coordinator, Oregon Health Authority

Oregon State Lottery Commissioners:

Steve Ungar – Chair Pamela Fogg Bill Ihle Amy Lowery Mary Wheat

Oregon State Lottery - Project Team:

Larry Niswender Krystal Smith Director Sr. Project Coordinator/Support

Jon Clontz Laura Sofro Deputy Director Marketing Research Manager

Cornell Balagot Sharon Tietsort Video Lottery/Product Development Manager Human Resources Manager

Dan Brown Marianne Manning Retail Operations/SR Field Operations Manager Retail Sales Support Manager

Ruth Edsall Louise Plata HR/ER and Staffing Manager Traditional Product Manager

Thomas Graham Steve Green Retailer Training/Retail Support Manager Retail Operations/Senior Retail Operations Mgr

Lyndsey Hambelton Video Lottery Product Manager

Special recognition and appreciation goes to Pamela Fogg for her participation during Advisory Group meetings, to Larry Niswender for initiating and championing this project, and to Louise Plata, the OSL Project Leader, and to Krystal Smith, the OSL Project Coordinator for their valuable support through this process.

2

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

: Sum

mar

y R

epor

t | 2

/22/

201

2

The views and opinions expressed in this report are those of the authors and do not necessarily reflect the views of the Oregon State Lottery, the Oregon Health Authority, or any other organization involved in this project.

Questions regarding this report may be directed to Jeffrey Marotta, PhD, CEO, Problem Gambling Solutions, Inc.

(503) 706-1197 or problemgamblingsolutions@comcast.net

Suggested Citation:

Oregon State Lottery. (2012, February). Summary Report: Marketing Strategies Advisory Group. Salem, Oregon: Author.

3

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

Summary Report: Marketing Strategies Advisory Group Recommendations to Enhance Oregon State Lottery Responsible Gambling Practices

Table of Contents

1. Introduction ………………………………………………………………….………... 4

Marketing Strategies Advisory Group …………………………………...………..… 4

2. Current Situation …………………………………………………………………....… 5

Roles and Responsibilities ………………………………………………………...…5

Problem Gambling Statistics ………………………………………………………... 6

Revenue from Problem Gamblers ……………………………………………..…… 7

Youth Gambling …………………………………………………………………… 8

Limited Understanding of Problem Gambling ……………………………………... 8

3. Emerging Trends ……………………………………………………………….......… 8

4. Current Strategies and Programs: Strengths, Limitations, Best Practices……...… 9

Responsible Gambling Operational Policies ………………………………...……… 9

Awareness, Outreach, and Prevention ……………………………………………… 10

Retailer Training ……………………………………………………………..……... 11

VLT Responsible Gaming Features (RGFs) ………………………………………... 12

Research ………………………………………………………………………….… 13

5. Advisory Group Recommendations…………………………………………….…… 14

Strategy 1: Develop Organizational Business Practices and Structures to Reflect the OSL’s Commitment to Responsible Gambling …...……… 14

Strategy 2: Increase Coordination and Partnerships ……………….………..……… 15

Strategy 3: Enhance Personal Responsibility ……………………..………………… 16

Strategy 4: Prevent Youth Gambling ……………………………….……………… 19

Strategy 5: Reduce Risks and Intensity of Play ………………………...…………… 20

Strategy 6: Invest in Program Evaluation & Research ……………………...……… 22

6. The ORcade: Advisory Group Recommendations ………………………………… 22

Findings ………………………………………………………….………………… 23

Recommendations ……………………………………………..…………………… 23

7. Conclusions …………………………………………………………………………… 26

8. Appendices ………………………………………………….………………………… 27

Appendix A: Marketing Strategies Advisory Group: Strategy Map Appendix B: Oregon State Lottery Marketing Strategies Advisory Group: Project Plan Appendix C: World Lottery Association: Responsible Gaming Framework

4

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

: Sum

mar

y R

epor

t | F

ebru

ary

22

, 20

12

Summary Report Marketing Strategies Advisory Group

Recommendations to Enhance Oregon State Lottery Responsible Gambling Practices

1. Introduction

Marketing Strategies Advisory Group In December 2011, the Oregon State Lottery (OSL) formed an advisory group of experts in the fields of public health and problem gambling. This advisory group’s objective was to examine responsible gambling efforts by the OSL to assess strengths and areas for improvement. The advisory group’s primary focus was to review marketing strategies and recommend practices to minimize harm from the use of OSL products, including the proposed ORcade website. Secondarily, the advisory group was invited to examine and make recommendations on other aspects of responsible gambling practices including employee and retailer training and product development. Advisory group membership was based on nominations by the Governor’s Office and on subsequent recommendations by nominated individuals. Each member of the advisory group possessed extensive experience working within the public health and the problem gambling field. Two members were Certified Prevention Specialists, two members had clinical backgrounds working with problem gamblers, and every member had program and policy development experience. In addition to a background in public health and clinical psychology, the advisory group Chair was familiar with the gaming industry as a responsible gambling consultant and trainer. Public health experts utilize epidemiologic “host/agent/environment” principles when aiming to reduce gambling-related harm. Within this process, supply reduction, demand reduction, and harm reduction are considered. Due to the scope of the Marketing Strategies Advisory Group’s task, the members focused their attention on harm reduction activities even though the most effective strategy to reduce societal problems related to problem gambling is to reduce supply, particularly to gaming machines.1,2,3 The group was guided by a Marketing Strategies Advisory Group Strategy Map, a planning tool introduced during the first meeting to achieve a common understanding and agreement of the

1Marshall, D., & Baker, R. (2002). The evolving market structures of gambling: case studies modeling the socioeconomic assignment of gambling machines in Melbourne and Sydney, Australia. Journal of Gambling Studies, 18(3), 273-291. 

2Productivity Commission. (1999). Australia’s Gambling Industries. Inquiry Report No. 10, Canberra: Ausinfo. 

3Williams, R. J., West, B. L., & Simpson, R. I. (2007b). Prevention of problem gambling: A comprehensive review of the evidence. Report prepared for the Ontario Problem Gambling Research Centre, Guelph, Ontario, CANADA. August 1, 2007.

5

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

project’s objectives, roles, and perspectives (see Appendix A).Although OSL staff initiated the process and provided support to the Advisory Group, they purposefully allowed the Advisory Group to guide the process without unsolicited interference or influence. Originally, the group was conceptualized as needing to meet three to five times to accomplish its task, however, latitude was provided by the OSL to allow the group additional time in order to best meet its objective. Ultimately, the advisory group met on eight occasions from January 6, 2012 to February 22, 2012 following the project plan as depicted in Appendix B. 2. Current Situation Roles and Responsibilities The regulation and provision of gambling are accompanied by a responsibility to mitigate potential harm from these activities. At the state level, the OSL and the Oregon Health Authority (OHA) play key roles in the reduction of gambling related harm. Gaming stakeholders, including gaming industries, OSL retailers, charities, local governments, and others also have important roles to play; however, detailed attention to these groups are outside the scope of this report.

Oregon State Lottery The OSL has had a long history of taking measures to reduce gambling related harm and those efforts have evolved over the OSL’s existence. The issue of problem and responsible gambling is related to a number of the OSL business plan objectives. A priority in the OSL 2012–2017 business plan is to “minimize the potential impact of problem gambling through a variety of industry best practices and methods.” The OSL attention to problem and responsible gambling is consistent with the mission of the Oregon Lottery. Within the OSL strategic plan, there is a statement that the “Lottery will actively work to balance its mission to maximize revenues while minimizing the impact of problem gambling in Oregon.” The OSL has the primary role for providing statewide problem gambling awareness messaging designed to inform the public that “gambling treatment is free, confidential, and it works.” The OSL also has the primary roles for promoting responsible gambling through providing television, radio, and print messaging. The OSL website provides information on responsible gambling and OSL has purchased the www.1877MYLIMIT.org domain for the statewide Problem Gambling Helpline’s website, which is maintained by the Helpline contractor and dedicated to provide information about the help that is available for Oregon problem gamblers and their loved ones. The OSL monitors and enforces consumer protection rules, regulations, and contract conditions as applied to OSL retailers. These include problem gambling signage requirements, age restrictions for product sales and product placement, prohibitions for lending VLT patrons money, marketing and incentive restrictions, and disallowing continued play of VLT patrons who are visibly intoxicated. Balancing revenue production with minimizing the impact of problem gambling is perhaps most challenging in the areas of product management and marketing. Game design and product promotion are important areas within a comprehensive responsible gambling approach.

6

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

: Sum

mar

y R

epor

t | F

ebru

ary

22

, 20

12

Other OSL roles related to responsible gambling include retailer training, and research and development. These OSL responsible gambling activities and others are described in greater detail in section 3, Current Strategies and Action Programs. A final and important responsible gambling role rests within the Oregon Lottery Commission. The Commission oversees the governance of the OSL including adopting rule and policy changes. This body has the authority to establish responsible gambling standards and practices.

Oregon Health Authority: Problem Gambling Treatment and Prevention The 1991 introduction of video poker into the OSL game mix was accompanied by legislation to set aside a portion of those proceeds for the treatment of gambling addiction. That legislation was later revised and resulted in ORS 461.549, ORS 409.430 and ORS 409.435. These statutes set aside “not less than 1% of Lottery net proceeds” into a Problem Gambling Treatment Fund and designated the Department of Human Services (later designated to the Oregon Health Authority) to utilize these funds for the administration of Problem Gambling Treatment and Prevention Services. Funding for OHA problem gambling treatment and prevention programs has varied over the last three biennium, from $12,067,000 in 2007-2009; $8,740,000 in 2009-2011; to $10,972,521 in 2011-2013. The current annual funding represents one percent of the Department of Administrative Services forecasted OSL net transfers in this fiscal biennium (2011–2013). The OHA administers a comprehensive system of problem gambling treatment programs ranging from telephone counseling through residential gambling addiction treatment. Outpatient problem gambling treatment and prevention services are located in all Oregon counties. Problem gambling prevention efforts help prevent gambling-related problems, promote informed and balanced attitudes, and protect vulnerable groups. These goals are accomplished by promoting healthy public policy, developing collaborative relationships between various stakeholder groups, and providing local governments with funds to develop and implement regionally specific prevention plans. The prevention plans follow a public health model, employing strategies similar to those used in evidence-based alcohol, tobacco, and other drug prevention efforts. Activities are varied and focus on infusing problem gambling into existing prevention infrastructure such as coalition building, middle and high school-based education efforts, college-based education efforts, community awareness events, local media initiatives, development of local ordinances and policies, and more. As the majority of OHA problem gambling prevention efforts are focused on youth, the role of promoting responsible gambling among adult gamblers falls primarily on the OSL. Problem Gambling Statistics The estimated prevalence of problem (1.7%) and pathological gambling (1%) among the adult general population in Oregon is 2.7%.4 Applying this rate to the 2011 U.S. Census Bureau estimates suggests that about 81,000 adult Oregonians meet the criteria for problem and pathological gambling. Several demographic variables have been shown to be significantly associated with

4 Moore, T. (2006). The prevalence of disordered gambling among adults in Oregon: a replication study. Portland, OR: Oregon Gambling Addiction Treatment Foundation.

7

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

gambling problems including being an ethnic minority)5, being a college student (especially a male collegian athlete),6 manifesting a mental health or addiction disorder, 7and holding low socio-economic status.8 The problems experienced by gamblers seriously affect their families and communities, often damaging employment, legal, health, and family life areas. Problem gamblers have high suicide rates partly because of the devastation that can occur from this disorder. Taken as a group, Oregon's pathological gamblers produce millions in social costs, impacting the criminal justice system, the corrections system, human service systems, and Oregon’s overall economic health. Approximately 1,500 adult Oregonians received Lottery funded treatment in FY 2011 with nearly three-quarters reporting Oregon Lottery retailers as their primary gambling location, with Video Lottery games being reported as the preferred games of the majority of treatment clients. The combined estimated gambling related debt of those entering treatment last year was $37 million. Only 2% of Oregonians who needed treatment received treatment this past year. With unstable funding, enrollments have dropped over 25% in the last two years.9 Revenue from Problem Gamblers Several studies have indirectly investigated the percentage of gambling revenue from problem gamblers. A consistent and important finding of these studies is that problem gamblers contribute a disproportionate amount of total gaming revenue.10 In Alberta, 39% of gambling revenue comes from problem gamblers.3 Alberta’s gambling environment is similar in several respects to Oregon; both jurisdictions operate video lottery, both jurisdictions have approximately 19,000 combined VLTs and slot machines, and both jurisdictions have similar census rates (3.6 million in Alberta, 3.8 million in Oregon). The per capita expenditure on gambling activities in Alberta was $495 in 200411 while the 2008 average per capita expenditure on gambling activities in Oregon was $426.12 On average, each of the problem gamblers in Alberta spent $3,064 on gambling activities in 2004.5 The average gambling expenditures by problem gamblers in Oregon has yet to be determined through empirical evaluation. 5Volberg, R. (2001, February). Changes in gambling and problem gambling in Oregon: Results from a replication study, 1997 to 2000. Salem, OR: Oregon Gambling Addiction Treatment Foundation.

6Shaffer, H. J., and Hall, M. N. (2000). Updating and refining meta-analytic prevalence estimates of disordered gambling behavior in the United States and Canada. Boston: Division of Addictions, Harvard Medical School. 7Petry, Nancy M. et al. (2005) Comorbidity of DSM-IV Pathological Gambling and other psychiatric disorders: results from the national epidemiologic survey on alcohol and related conditions. Journal of Clinical Psychiatry, 66(5). 564-74.

8National Research Council (NRC). (1999). Pathological Gambling: A Critical Review. Washington, D.C.: National Academy Press. 9 Moore, T. (2011, December). Gambling Treatment Program Evaluation Update. Salem, OR: Oregon Health Authority. 10Williams, R. (2005, April). Proportion of Gaming Revenue Derived from Problem Gamblers. Research Institute Conference, Edmonton, Alberta. 11 Based on reported expenditures by Williams (2005) converted at the rate of .7725 Canadian dollars to U.S. dollars; the 2004 average exchange rate.

12Whelan, R. & Josephson, A. (2010, June). The Contributions of Indian Gaming to Oregon’s Economy in2008A Market and Economic Impact Analysis for the Oregon Tribal Gaming Alliance. Portland, OR: ECONorthwest.

8

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

: Sum

mar

y R

epor

t | F

ebru

ary

22

, 20

12

Youth Gambling Recently collected data in Oregon suggest that youth gambling should be an area of great concern. The 2010 Student Wellness Survey (SWS), an anonymous, research-based survey of students in grades 6, 8 and 11, assesses school climate, positive youth development and the behavioral health of Oregon youth. This survey found that: most Oregon adolescents (63%) have gambled and started gambling early (more than 1/3 of 6th graders had gambled); more Oregon youth reported gambling in the past 30 days than had used alcohol, cigarettes or marijuana; comparing the results of Oregon youth surveys over time, many risky behaviors are decreasing, yet gambling has significantly increased; and youth who gamble are almost twice as likely to engage in alcohol use and binge drinking and are more likely to skip school, smoke and use marijuana. Data from a 2008 youth gambling survey in Oregon found that 1 of 25 Oregon adolescents report severe gambling-related difficulties and adolescents in families with parents who gamble are twice as likely to be an at-risk gambler and four times as likely to be a problem gambler.13 The SWS also found that parents and teachers don’t talk as much to kids about gambling as they do about other risk behaviors, partly because they are not aware themselves of the potential risks, nor of the degree to which kids are gambling. Limited Understanding of Problem Gambling It is important to note the context in which we are operating, in that problem gambling is not well understood by the general public, including members of helping professions, parents, gaming industry line employees and others. Experts in the problem gambling field note significant barriers when it comes to the perception of problem gambling and gambling behavior (e.g., stigma that problem gambling is less harmful than substance abuse and other problem behaviors; perception that children do not gamble, etc.). Therefore, efforts to mitigate problem gambling take on even greater importance and must be handled consistently and comprehensively. 3. Emerging Trends14

Technology has always played a role in the development of gambling practices and continues to provide new market opportunities, new concerns, and new responsible gambling practices. The current drivers of change include new technology, globalization of gambling, increased completion, and shifting demographics. The next generation of gamblers are used to living in a technological world designed for convenience and customized services. They have grown up in a video gaming culture that fosters interactive, skill-based, collaborative and competitive play. With internet access becoming available on a variety of platforms, access to gambling is expected to expand in our homes, offices, cars, planes, coffee shops and parks. Access of this pervasive sort is of great concern.

13Volberg, R.A., Hedberg, E.C. & Moore, T.L. (2008). Oregon Youth and Their Parents: Gambling and Problem Gambling Prevalence and Attitudes. Salem, OR: Oregon Department of Human Services.

14 Based on information from: Stephenson, E. & Mehmel, B. (2010). Emerging Gambling Technologies: Implications for Responsible Gambling. Canadian Partnership for Responsible Gambling. Toronto, Ontario, Canada.

9

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

An emerging trend is product line convergence; where traditionally lottery/VLTs/keno has been separate businesses within lotteries, these lines will soon converge. Convergence has the potential to allow for consistent delivery of marketing and responsible gaming features and tools across all product lines. It may mean that a player could have a single account or profile across all types of gambling. The gambling industry has increased the focus on responsible gambling, to the point where responsible gambling is being built into product standards, design, development and operation (e.g., GSA Global Responsible Gambling Initiative). Gaming analytics applications may enhance and personalize gambling experience and enable responsible gaming tools beyond what is currently available. Players will be able to customize setting limits for time, money, and frequency, including offering players to ability to exclude themselves for self-designated time periods. Additionally, these new systems can be utilized to provide feedback to players about their play behaviors e.g. time and money or provide information relative to their risk level. Another trend is the increasing influence of the responsible gambling advocates. Responsible gambling questions are on the radar of manufacturers, operators and legislators . . . what used to be an afterthought is becoming a forefront issue. Gaps in responsible gambling knowledge are opportunities that can be filled through collaboration, research and program development. As new games and gambling platforms are being developed, building responsible gambling considerations in from the start will ensure that players have tools and information when the new developments arrive. What remains to be seen is if responsible gambling tools and information will be enough to curb the impact of new technologies on levels of problem gambling. 4. Current Strategies and Programs:

Strengths, Limitations, Best Practices Responsible Gambling Operational Policies The OSL strategic plan states that the “Lottery will actively work to balance its mission to maximize revenues while minimizing the impact of problem gambling in Oregon.” Correspondingly, one of the four strategic objectives within the OSL 2012–2017 business plan is to “minimize the potential impact of problem gambling through a variety of industry best practices and methods.” The OSL has adopted a broad range of strategies, policies and programs to promote responsible gambling practices.

Central Strength: The OSL has pledged to balance revenue production with minimizing the impact

of problem gambling, as reflected in the OSL mission, and is willing to continually improve upon responsible gambling policies and practices.

Central Limitation:

The integration of responsible gambling into everyday business operations is incomplete, as witnessed by the absence of a comprehensive responsible gambling strategy, the absence of a Lottery Commissioner with expertise in

10

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

: Sum

mar

y R

epor

t | F

ebru

ary

22

, 20

12

public health, and the absence of a high-level responsible gambling manager or officer.

Best Practice Elements:15 Policy Commitments to Responsible Gambling - Corporate policy statements

make a clear commitment to address problem gambling and identify corporate expectations for responsible gambling actions.

Strategy for Responsible Gambling - The corporation has a strategy for responsible gambling with defined goals and a clear plan of action.

Senior Staff Focused on Responsible Gambling - Executive staff member is accountable for responsible gambling policies and programs.

Responsible Gambling Integration - Responsible gambling programs are embedded across all the activities of the organization.

Staff Information - There are regular reminders to staff about responsible gambling actions.

North American Lotteries Recognized by the World Lottery Association (WLA) as Reaching the WLA Level IV Responsible Gambling Achievements:

Atlantic Lottery. British Columbia Lottery Corporation (BCLC). Loto-Quebec. Ontario Lottery and Gaming Corporation. Nova Scotia Gaming Corporation.

Awareness, Outreach, and Prevention Messages The OSL has the primary role for providing statewide problem gambling awareness messaging designed to inform the public that “gambling treatment is free, confidential, and it works.” The OSL also has the primary roles for promoting responsible gambling through providing television, radio, and print messaging. The focus of the responsible gambling messaging has been to encourage players to “set a budget and time limit” and has included other forms of player education such as, identification of the signs/symptoms of problem gambling, provision of the true mathematical odds of various gambling activities, efforts to dispel common gambling fallacies and erroneous cognitions, and guidelines and suggestions for responsible gambling. In addition to television, radio, outdoor, and print advertisements, Helpline brochures are available in retail locations. The planned FY 2012 OSL investment in problem gambling awareness and responsible gambling media is $1,055,000 for media placement, $380,000 for production and agency fees. This combined $1.4 million responsible gambling marketing budget represents approximately 12% of the full $12 million OSL marketing budget; in past years the investment was earmarked at approximately 10%; thus the 15Responsible Gambling Council (2012). Responsible Gambling Index (standards). Downloaded February 18, 2012 from http://rgcheck.com/.

11

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

FY2012 responsible gambling marketing budget represents a 17% increase over typical historic levels. However, for the past several years these efforts have not reached their performance target for increasing calls to the problem gambling helpline.

Central Strength: The OSL has made substantial un-mandated investments to educate Oregonians

about help resources and for the promotion of responsible gambling. Central Limitation:

Problem gambling awareness, treatment outreach, and problem gambling prevention efforts have been disproportionately lower than game promotion efforts, resulting in campaigns that have been too narrow in scope and reach.

Best Practice Elements:16 Sustained information/awareness initiatives that follow public health best

practices and are targeted to specific populations have significant potential to improve people’s knowledge and/or change their attitudes at a community-wide level.

Interventions to strengthen families and create effective parenting practices are one of the most powerful ways to reduce adolescent problem behaviors, and further serve to reduce problems at later ages.

Improvements in knowledge and awareness are reliably produced in people who are asked to attend to these messages. Awareness campaigns appear to have a very limited impact if people are not explicitly asked to attend to the information or have no intrinsic interest in it.

Model Programs:

Victoria Department of Human Services. British Columbia Lottery Corporation (BCLC).

Retailer Training The OSL responsible gambling retailer training program consists of (a) a training video and discussion on responsible gambling practices for new retailer training workshops, (b) describing the problem gambling and responsible gambling brochures during on-site training by OSL field staff, and (c) through written communication with retailers including the placement of responsible gambling information on products.

Central Strength: The OSL has produced an excellent responsible gambling training video

specifically targeting VLT retailers, including front-line staff.

16Williams, R. J., West, B. L., & Simpson, R. I. (2007b). Prevention of problem gambling: A comprehensive review of the evidence. Report prepared for the Ontario Problem Gambling Research Centre, Guelph, Ontario, CANADA. August 1, 2007.

12

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

: Sum

mar

y R

epor

t | F

ebru

ary

22

, 20

12

Central Limitation: Most employees have not seen the video so these efforts have limited reach;

arguably the most important responsible gambling ambassadors are the front-line staff working in VLT retail establishments, and current training efforts do not systematically target this group.

Best Practice Elements:17

Awards program for VLT retailers who meet defined criteria for excellence in promoting responsible gaming practices on their premises.

Corporate RG policies are explained to employees along with local (e.g., venue-based) codes of practice, self-exclusion procedures and regulations.

Staff learn about problem gambling and its impact as well as key RG information.

Staff are taught skills and procedures required of them for assisting patrons who may have problems with gambling.

Staff are trained to avoid messaging that reinforces misleading or false beliefs. All VLT retail staff are trained upon hiring and are retrained regularly. Objectives are clear and accessible to learners, training accommodates different

learning styles, and is tested or reviewed with staff. A formal evaluation process is in place. The training program and/or evaluation is informed by the best available

evidence. Model Programs:

Nova Scotia VLT Retailer Responsible Gaming Program. Alberta Gaming and Liquor Commission VLT Retailer Training Program. Quebec VLT Retailer Training Program.

VLT Responsible Gaming Features (RGFs) Video Lottery game design incorporates several harm reduction measures including relatively low maximum payouts, displaying clocks on video line games, portraying bets and winnings as dollars rather than credit points, and placing the 877-MY-LIMIT phone number on every terminal. Plans are in motion to replace the Video Lottery Central System with new VLTs, ones with enhanced RGF capabilities.

Central Strength: Next generation of OSL VLTs are being ordered that will have enhanced RGFs

to meet requirements for the GSA Global Responsible Gambling Initiative.

17Responsible Gambling Council (2012). Responsible Gambling Index (standards). Downloaded February 18, 2012 from http://rgcheck.com/.

13

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

Central Limitation: Current VLTs have limited RGF capabilities; inabilities to track an individual’s

play across VLTs and offer players the ability to set limits.

Best Practice Elements:18,19 Implement and monitor use of a VLT player card that allows players to utilize

various responsible gaming features: o Play Activity Report. o Current Session Feedback. o Limit Setting (Pre-commitment). o Timeouts. o Risk Assessment.

Test the effectiveness and implications of removing the point of sale for VLT sessions away from the gambling location.

Jurisdictions with Play Information and Management System Experience: Nova Scotia. Focus of RGF is prevention. Sweden. Includes problem play identification and intervention features. Norway. Australia: Victoria, Queensland, South Australia and New South Wales.

Research The research and development budget for responsible gambling in the FY2012 plan is $65,000, which represents approximately 5% of the total research and development budget. However, the OSL includes topics related to responsible gambling, embedded in R&D projects focused elsewhere, that are not included in these figures.

Central Strength: The OSL has a research team with the skills and technical knowledge to support

responsible gambling practices by conducting primary research, analyzing internal data, tracking responsible gambling industry developments, and conducting evaluation research.

Central Limitation:

The comparative level of effort placed into researching responsible gambling practices appears minimal.

Best Practice Elements:

18 Roberts, G. (2008, November). Best advice for preventing gambling problems in Nova Scotia. Nova Scotia Department of Health Promotion and Protection Addiction Services. Halifax, NS , Canada 19Responsible Gambling Council (2009). Insight 2009: Play Information and Management System. RGC Centre for the Advancement of Best Practices. Toronto, Ontario, Canada

14

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

: Sum

mar

y R

epor

t | F

ebru

ary

22

, 20

12

Responsible gambling practices are informed by the best available evidence, including ongoing evaluation.

"Scientific integrity" is a basic research value and the perception of scientific integrity is aided by research being conducted by independent researchers and through the use of review boards.

Model Programs:

Nova Scotia Gaming Corporation (commissions research to enhance social responsibility and responsible gambling programs and practices).

Alberta Lottery (provides funding for the Alberta Gaming Research Institute). 5. Advisory Group Recommendations

The Advisory Group recommendations are provided to advise the OSL Director and OSL Commission on strategic priorities to reduce gambling-related harm, based on a thorough assessment of knowledge and evidence. Strategy 1: Develop Organizational Business Practices and Structures to

Reflect the OSL’s Commitment to Responsible Gambling (RG)

Policy commitments to responsible gambling.

o Enhance policy statements to make a clear commitment to address problem gambling and identify OSL expectations for responsible gambling actions.

Construct and adopt a Responsible Gambling Code of Conduct or other established set of responsible gambling standards.

WLA RG Accreditation.

GSA RG Standard.

RGC RG Index & Accreditation.

Canadian RG Framework & Standards.

o Create policy where Lottery Commission and its meetings reflect Lottery mission and priorities.

Recommend to Governor that at least one Lottery Commission appointee possesses expertise in social responsibility and/or public health.

Include “Responsible Gambling” as standing Commission meeting agenda item.

Strategy for responsible gambling.

o Create a transparent RG strategy with defined goals, a clear plan of action, whose progress and outcomes are tracked. Include key problem gambling

15

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

treatment and prevention partners in the development and monitoring process.

See Appendix C for example: World Lottery Association: Responsible Gaming Framework.

Senior staff focused on responsible gambling

o Establish Responsible Gambling Officer or Social Responsibility Officer as dedicated position. That person should have a background in public health and positioned as a high level post with direct reporting to OSL Director.

o In addition, or as an alternative to the above, create a Responsible Gambling Department.

Responsible gambling integration.

o Responsible gaming programs are embedded across all the activities of the organization.

Staff information.

o There are regular reminders to staff about RG actions.

Include OSL Responsible Gambling Code of Conduct (or other RG policy statement) into employee handbooks and orientation trainings.

Support staff development in learning more about responsible gambling, problem gambling, and related programs. Include problem gambling in periodic staff meetings or gatherings.

Provide an annual mandatory briefing on problem gambling for Lottery employees and Commissioners.

Strategy 2: Increase Coordination and Partnerships

Develop partnerships to assist in the implementation of the OSL responsible gambling strategy to coordinate efforts to proactively address emerging trends and issues in the field, administer effective policy and programs, and coordinate efforts to achieve significant improvements toward established targets.

Form a Responsible Gambling Advisory Board and hold regular meetings.

o Ensure board is represented by public health and/or problem gambling expert(s).

Enhance consultation and coordination with the Oregon Liquor Control Commission (OLCC).

o Work with OLCC to integrate RG education into clerk and server trainings.

16

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

: Sum

mar

y R

epor

t | F

ebru

ary

22

, 20

12

o Increase collaboration with OLCC to utilize their infrastructure to promote RG and enforce regulations related to RG.

o Train OLCC field staff about OSL RG rules and regulations.

o Develop relationships between OLCC field staff and OSL field staff.

Enhance consultation and coordination with the Oregon Health Authority (OHA) and their problem gambling service vendors.

o Work with OHA to coordinate RG education campaigns.

o Participate in scheduled OHA problem gambling service update meetings/webinars (as of the time of this report, these occur on a quarterly basis).

o Require field staff to meet at least annually with local problem gambling prevention and treatment providers to share information and resources, discuss concerns, update each other on trends and initiatives, etc.

o Engage in regular meetings or exchanges with the OHA problem gambling helpline contractor.

Enhance connections with organizations dedicated to reduce gambling related harm within Oregon, nationally, and internationally.

o Provide annual updates/visits to Voices of Problem Gambling Recovery, Lane County Problem Gambling Advisory Group, Latino and Asian Problem Gambling Advisory Groups, and other known entities in Oregon’s problem gambling field. Actively seek these groups’ input on marketing efforts and strategies.

o Consult with other lotteries, particularly those in Canada, to better understand and learn from their experiences in providing responsible gambling practices and programs.

o Plan forums and stakeholder meetings to share research and promising practices, and to identify emerging issues with stakeholders across Oregon.

o Develop a problem gambling community grants program for demonstration projects across Oregon.

Strategy 3: Enhance Personal Responsibility

Player education / informed choice.

o Incorporate a play information and management system on VLT terminals that offer the following features, at a minimum:

Play Activity Report: A historical record of the amount of time and/or money the player has spent within a given time period.

17

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

Current Session Feedback: A running total of time and/or money spent during an active session.

Limit Setting: The opportunity to set time and/or money limits prior to participation in gambling (see “Pre-commitment tools” below for expanded set of recommendations).

Timeouts: The ability for players to ban themselves from gambling for a certain period of time.

Risk Assessment: An assessment of a gambler’s risk level based on play patterns or a self-administered test.

Cost of Play: Provide information on the “cost of play” on gaming machines, e.g., incorporate a cost of play calculator on platform.

Dynamic Warning: Explore the use of banner or pop-up messages after continuous play periods.

o Provide information to gamblers through mixed mediums about the nature of gambling and the real odds related to the games, e.g., “What’s your gambling IQ?” interactive program, player brochures, etc.

o Encourage understanding of notions like house advantage and randomness.

o Bust common gambling myths, and provide tips on how to gamble safely and keep it fun.

o Utilize methods, including social media, to get the message out (e.g., BCLC’s responsible gambling forum).

Pre-commitment tools.

Limit setting or pre-commitment allows players to decide what they intend to spend in advance and thereby reduce the chance that they will overspend the limits.

o Explore pre-commitment tools allowing patrons to set time and budget limits online, i.e., prior to entering a VLT retail establishment.

o Utilize biometric devise in player interface systems (plays card or USB flash drive).

o Mandate the use of player interface device and pre-commitment enrollment.

Self-exclusion programs.

o Programs where players acknowledge that they are problem gamblers, and that their ability to claim lottery prizes is an unwelcome incentive to them to play. The players acknowledge that they want to reduce the incentive to play by entering into a voluntary self-exclusion agreement restricting them either access to play and/or from claiming prizes and/or from receiving promotional materials.

o Implement self-exclusion programs; acquire technologies to do so.

18

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

: Sum

mar

y R

epor

t | F

ebru

ary

22

, 20

12

Self-exclusion from VLT play.

Self-exclusion from web portal entry.

Self-exclusion from receiving winnings and promotional material(e.g., Iowa Lottery offers a program to allow a person to ban him/herself from receiving lottery prizes over $600 as well as any lottery promotional materials).

o Design interventions into self-exclusion programs that encourage self-excluded individuals to seek state-funded problem gambling treatment.

o Consider flexible self-exclusion time periods, following parameters based on evidence from the field.

Responsible gambling education.

Enhance the promotion of responsible gambling practices and supporting programs that reduce the risk of problem gambling.

o Place greater level of effort into the promotion of responsible gambling.

Ensure that problem gambling services experts and/or ongoing advisory body (as recommended elsewhere in this report) are consulted early in the development process of responsible gambling material.

Double frequency and increase types of media.

Increase funding; create separate budget line for responsible gambling promotion that distinguishes those activities from problem gambling awareness / helpline and treatment promotion.

Increase the use and/or intensity of responsible gambling strategies when products are viewed as potentially appealing to at-risk populations such as college aged persons or certain ethnic groups.

Treatment awareness.

Enhance Referrals to Intervention Programs and Services / Problem Gambling Awareness.

o Place greater level of effort into problem gambling awareness and referral.

Increase frequency and types of media, including social media.

Increase funding.

Remove Lottery affiliation from helpline advertisements.

o Reduce OSL influence in the development of problem gambling awareness ads to address perception that the OSL has a conflict of interest in both promoting gambling and raising problem gambling awareness, and concern that the OSL is not a neutral and knowledgeable party with regard to treatment of gambling addiction.

19

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

Contract out problem gambling and responsible gambling ad development to an agency selected by PG Advisory Committee, review ad concepts with committee; include OSL staff and persons with problem gambling and public health expertise on committee.

Ensure that problem gambling services experts and/or ongoing advisory body (as recommended elsewhere in this report) are consulted early in the development process of awareness and referral material.

Strategy 4: Prevent Youth Gambling

Utilize risk assessment tools and/or advisory bodies when selecting new lottery games to determine if any of the game’s content is considered problematic or risky.

o For example, GAM-GaRD is a tool designed to aid the development of socially responsible games. Used by UK National Lottery and others.

Advertising and marketing code of practice; Select or develop, vet with stakeholders, and implement.

o Point of sale age restriction signage; revisit current signage requirements.

o Prohibit in-store advertisement or product placement at child’s eye level (four feet or lower).

o Restrict the placement and content of ads.

Product billboards be a minimum of 500 feet from elementary and secondary schools, public playgrounds, and established places of worship (per OAAA Code of Industry Principles for products illegal for sale to minors)20

70+ percent of readership/viewership above 18.

o Restrict product promotional items.

Prohibit giving away toys, games, or other items designed for children as promotional materials.

o Prohibit the use of logos on kids’ clothing, toys, etc.

o Prohibit use of cartoon characters and restrict use of animated characters; marketing with animated/cartoon characters (e.g., Santa Claus) has a special attraction to children, which is the rationale behind banning the use of these characters for tobacco products.

o Prohibit celebrity endorsements whose primary appeal is to minors. 20 Outdoor Advertising Association of America, Inc. The OAAA Code of Industry Principles. http://www.oaaa.org/about/IndustryCode.aspx Accessed February 21, 2012.

20

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

: Sum

mar

y R

epor

t | F

ebru

ary

22

, 20

12

Adopt a code review process.

o Consult with external, non-gaming industry entity with expertise in public health/problem gambling prior to launching major promotions or marketing campaigns in order to gain objective / third-party interpretation regarding compliance with established codes of practice.

Message to parents.

Interventions to strengthen families and create effective parenting practices are one of the most powerful ways to reduce adolescent problem behaviors, and further serve to reduce problems at later ages.

o Develop, in conjunction with OHA, parent education materials specific to Lottery products.

Add to game and player sites, e.g., Keno-to-Go, ORcade.

Add to responsible gambling materials.

Add to responsible gambling campaigns, e.g., “Don’t use Scratch-it tickets as stocking stuffers for minors.”

o Collaborate with OHA on initiatives or active programs that aim to educate parents about the risks associated with youth gambling.

Enhance the enforcement of age restriction and sales laws and rules.

o Implement minor decoy (or reward-and-reminder) programs.

o Increase observational compliance checks.

Create responsible gambling programs targeting youth and educators.

o Scratch-it for Schools; review program, continue to explore possibility to use program as an opportunity to educate school staff on issues related to youth and gambling.

Develop clear guidelines regarding the placement and signage requirements for Instant Ticket Vending Machines (ITVM’s).

o Locations under constant surveillance (i.e., not merely in a location near a check stand) and placed away from customer exit; if this is not possible, restrict ITVM in that location, instead offering tickets only via an employee.

o Post clear signage stating no one under 18 may use machines.

Strategy 5: Reduce Risks and Intensity of Play

Assess game risk.

o Utilize risk assessment tools and/or advisory bodies to assess risk levels for current games and seek to balance risk level with intensity and/or scope of

21

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

responsible gambling features (e.g., GAM-GaRD, by UK National Lottery and others, is a tool designed to aid the development of socially responsible games).

Only accept cash or paper credit vouchers; no credit card or ATM card accepters.

Bet limits; revisit current bet limits by reviewing emerging evidence from the field.

Speed of play limits; revisit current speed of play parameters.

Prize limits; revisit current prize limits.

Avoid the use game features that reinforce a player’s illusion of control or otherwise incentivize excessive play.

o Avoid design features that artificially inflated near-misses.

o Avoid higher payout percentage with larger bet-sizes.

o Avoid features that reinforce a player’s illusion of control (e.g., real stopping).

o Avoid bonuses for longer play or that encourages longer play.

Promote a healthier gaming environment: Enhance responsible gambling retailer policies, practices, and programs.

o Create Responsible Gambling Code of Conduct for Lottery VLT Retailers.

o Make responsible gambling Video Lottery retailer line-staff training mandatory.

o Offer incentives for all employees to participate in retailer training.

o Embed responsible gambling training materials into OLCC server and clerk trainings.

o Develop and promote an online option to deliver responsible gambling annual renewal/update training.

o Require or incentivize annual re-fresher RG training for all Video Lottery retailer line staff.

o Develop incentives for retailers to promote RG practices:

Create certification program for excellence in responsible gambling promotion;

Offer financial incentives and/or require in new video lottery contracts.

o During at least one Retailer Forum each year, provide briefing on problem gambling and responsible gambling.

22

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

: Sum

mar

y R

epor

t | F

ebru

ary

22

, 20

12

Strategy 6: Invest in Program Evaluation and Research

Player surveys.

o Include items on setting limits, awareness of responsible gambling methods, gambling treatment availability, parenting knowledge and attitudes about OSL products, gambling related consequences.

System monitoring.

o Utilize and report analytics of clicks from responsible gambling links on OSL websites, including OSL second-chance website if it is implemented.

o Build in features to VLT gaming platforms to track frequency of engagement in responsible gambling features.

Market research.

o Responsible gambling promotion; assess messages and mediums to effectively promote responsible gambling.

Responsible gambling strategy reviews: Evaluate and report.

o Develop performance measures for each responsible gambling program.

o Track, evaluate, and report on responsible gambling program outcomes.

Third-party assessment of responsible gambling programs and strategies.

o Utilize data to continually improve responsible gambling efforts.

Assessment of responsible gambling features for new technologies, including remote venues, and for use on VLTs.

o Use of biometric devises with pre-commitment strategies.

o Win/Loss/Net accounting ledger.

o Self-administered risk assessment.

6. The ORcade: Advisory Group Recommendations

In addition to recommending strategies and actions to continue to build on the OSL’s responsible gambling practices, the advisory group was asked to review the proposed ORcade website to assess whether the OSL intentionally or unintentionally marketed to minors, and to recommend measures to strengthen responsible gambling features and ensure the highest standards are in place to protect youth. To accomplish this task, the Advisory Group was provided several sources of information about the ORcade website and project. Advisory Group members were provided unlimited access to the ORcade site for the purpose of interacting /exploring the site and testing responsible gambling features. The Advisory Group was also provided written information about the ORcade project and had the opportunity to interview key OSL staff involved in the project’s development.

23

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

Findings

The Advisory Group found no evidence that the OSL had intentionally or unintentionally marketed to minors. However, there was also no evidence of a clear and careful consideration of how the site might appeal to youth, and the site was found to include features and graphics that minors, including young children, would find attractive. The prevailing concern was that adults entering the site may allow their children to observe them interact with the ORcade. As the site has features and characters attractive to children, the child could be drawn to the site and provided messages, via observing adult user reactions and site content, that Oregon Lottery products are safe, fun, exciting, and parentally permissible. A young child receiving these types of unintentional messages may be viewed as being groomed to engage in future underage gambling, an activity that places them at greater risk for developing future gambling problems. Again, due to the perception of gambling and problem gambling behaviors as referenced earlier in this report, this group finds that extra review and precautions are necessary. Importantly, the ORcade site was designed to deny minors’ access to the site by utilizing an age gate technology that is among the most stringent available. The age gate technology verifies that the information entered when logging into the site corresponds to public records and denies access when discrepancies are found. The site also contains material on responsible gambling and links to responsible gambling and problem gambling resources. Although the ORcade site is not technically a gambling site, where wagering takes place, recent federal legal ruling21and current trends suggest a high likelihood that state lotteries will offer online wagering opportunities in the not too distant future. Therefore, the Advisory Group approached the ORcade review and responsible gambling recommendations with an eye on the future. The Advisory Group identified several recommended actions to improve upon the ORcade site’s responsible gambling features and better address youth protection.

Recommendations Increase Protections for Youth

Strengthen age-gate.

o At log-in page, include measures to reduce risk of “auto-fill” function; remove ability to “auto-fill” user password field.

o Although the ORcade age-gate utilizes a current best-practice technology, continue to explore age-verification and identity-authentication technologies and work to develop better safety and security solutions and technologies.

o Periodically, have designated tech savvy youth test the site and try to get around the age gate; share lessons learned with developers of the technology.

21 United States Justice Department (2011, September). Whether Use of the Internet and Out-of-State Processors to Sell Lottery Tickets Violates the Wire Act: Memorandum opinion for the Assistant Attorney General, Criminal Division. Opinions of the Office of Legal Counsel, Volume 35 http://www.justice.gov/olc/2011/state-lotteries-opinion.pdf

24

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

: Sum

mar

y R

epor

t | F

ebru

ary

22

, 20

12

Include timing out feature to reduce the risk of a minor accessing the site.

o Automatically log out user after 10 minutes of idle time.

Fun FREE Games, within the site, should not include animated games that may be especially attractive to young children.

o For example, Icicle ClimbTM contains characters and graphics that appeal to young children do to their association with features commonly found in children’s material (e.g., the Icicle ClimbTM yeti mirrors the abominable snowman character from the classic animated Christmas tale).

Revise site theme.

o Create theme and feel to appeal to youthful adult audience as opposed to young audience (if desire to appeal to age 21 - 45 adult demographic); regarding the 18-24 age group, consult on products and marketing with problem gambling treatment and prevention providers because college aged persons are among those at highest risk for developing gambling problems.

o Use extra consideration if using animated characters to assess if they are associated with characters or images children identify with.

o Rebrand site –“ORcade” is too close to “arcade,” which is a term associated with minors.

Include parent education within site.

o Provide access to information that will educate parents about ethical digital citizenship as related to allowing minors access to age-restricted sites and help them think critically about how their attitudes towards gambling and behaviors related to gambling can impact their children.

o Provide information that is easy to find and access from the home page, available during registration, and that can also be found in other appropriate places within the Web site.

o Include specific information or FAQs about the services offered by the OSL and OHA, especially resources and safety tools and how to use them (e.g., setting filtering options, defining and setting appropriate privacy levels).

o Provide links to additional resources that offer relevant parent education information.

o Provide messages in multiple languages as appropriate.

Improve Responsible Gambling Features

Prominently feature responsible gambling.

o Place link to 1877MYLIMIT.ORG on every page at the top menu.

o Include features to call out responsible gambling material.

25

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

Responsible gambling banner.

Responsible gambling pop-up message when user reaches maximum limit of 2nd Chance entries.

Reinforce engagement of responsible gambling material.

o Incorporate responsible gambling features that are engaging and provide incentives for interacting with them. The following are examples:

After every five 2nd Change Drawings, provide a bonus 3rd chance if the user correctly answers a responsible gambling factoid.

Utilizing a “Gambling IQ” spin-the-wheel game where users earn points or other prizes for correctly answering factoids designed to increase player’s responsible gambling and technical knowledge.

Revise terms that may be negatively perceived.

o Replace “play responsibly” label with less controversial term such as “keeping it fun”, “MyLimit,” “health, hope, help,” or other term like the BCLC’s “GameSense.”

o Remove language such as the statement “reverse your fortunes.” Such statements can be interpreted to be targeting low income / vulnerable citizens.

Incorporate limit setting tools.

o Place limit on total number of second-chance entries per week as opposed to per game per week (e.g., a total of 25 chances per week, instead of 25 per game per week).

o Create user-friendly process for users to ban themselves from site and from receiving any promotions or other communication linked to site.

o Create tools for users to set their own limits on the number of second chance entries they can enter per week.

26

Mar

ketin

g St

rate

gies

Adv

isor

y G

roup

: Sum

mar

y R

epor

t | F

ebru

ary

22

, 20

12

7. Conclusion The primary recommendation of the Marketing Strategies Advisory Group is for the OSL to create and implement clear responsible gambling framework to contain the risks associated with OSL practices and products. The six recommended strategies can serve as the foundation to an OSL responsible gambling framework. The recommended strategies include actionable items, many of which can be implementation over the next two years. Some measures can be implemented immediately. Others may be put in place over a longer time frame to allow the research and development needed for sound programs and measures. Some of the actions seen as most important include: (a) Appointment of a Responsible Gambling Manager or Officer who is accountable for responsible gambling policies and programs; (b) creation of a public health seat designation within the Lottery Commission; (c) ongoing utilization of an advisory committee made up of problem gambling and public health experts to review products and marketing strategies; and (d) continue to fund public awareness efforts promoting the Helpline, but turn the primary responsibility of creating messages and developing media over to a neutral third party entity selected and jointly overseen by OSL and OHA. As the Advisory Group recommendations are being considered, it will be important to remember that while certain initiatives are more effective than others, there is almost nothing that is not helpful to some extent and, conversely, there is almost nothing that, by itself, has huge potential to prevent harm. Implementing practices, programs, and product design features to theoretically reduce harm is better than waiting for “proof” of effectiveness. Even the less effective initiatives may change the behavior of a few individuals, lay the foundations for later behavior change, or may contribute to the effectiveness of other initiatives.22 The OSL has had a long history of taking measures to reduce gambling related harm and those efforts have evolved over the OSL’s existence. The recommendations of the Advisory Group are intended to build upon past efforts and strengthen Oregon’s response to reduce the unintentional harms created by state-operated gambling. With recent political and technological developments, it is more important than ever for the OSL to place responsible gambling as a central priority.

22Williams, R. J., West, B. L., & Simpson, R. I. (2007b). Prevention of problem gambling: A comprehensive review of the evidence. Report prepared for the Ontario Problem Gambling Research Centre, Guelph, Ontario, CANADA. August 1, 2007.

Appendix A: Marketing Strategies Advisory Group: Strategy Map

Objective: The Marketing Strategies Advisory Group will examine responsible gambling efforts by the Lottery to assess strengths and areas for improvement. The advisory group’s primary focus will be reviewing marketing strategies and recommending practices to responsibly promote Lottery products, including the proposed ORcade Web site. Secondarily, the Advisory Group will examine and make recommendations on other aspects of responsible gambling practices including employee and retailer training and product development. Once the advisory group has concluded their examination, the group’s recommendations will be provided to the Director and Lottery Commission who will then determine future steps.

Innovation Perspective

Internal/

Operational Perspective

Stakeholders Perspective: Customers, OSL Retailers, Governmental Bodies

Public Perspective

Products: Develop summary report and presentation of Advisory Group processes and recommended practices and marketing strategies to assure appropriate steps are being taken to protect public health within the context of meeting the OSL’s statutory obligation to “produce the maximum amount of net revenues to benefit the public purpose commensurate with the public good”.

Methods: Examine responsible gambling efforts by OSL to assess strengths and areas for improvement. Hold advisory group meetings to develop a set of recommendations; participants inclusive of (a) experts in problem gambling prevention, (b) public health advocates, and (c) OSL administration and operation personnel.

Lottery Staff: Initiate and orchestrate process for the continually improvement of practices to support responsible gambling and minimize unintentional harm related to Lottery products and activity.

Advisory Group: Provide advice to OSL for the deployment of a process and set of recommendations to achieve project objectives.

Public Relations: The Advisory Group will help assist the OSL with demonstrating their desire to be a good corporate citizen and reflect the government’s duty-of-care by taking appropriate precautions to avoid the unintentional marketing to minors and implementing practices and programs to reduce problem gambling risk.

Public View: The Advisory Group will provide credible and knowledgeable advice to assist the OSL and the State in serving the public well by taking appropriate measures to reduce the potential for public harm while generating needed revenues for public programs and services.

Form Advisory Group; organize meetings

Participate with examination & Advisory Group

Review & analyze recommendations

Hold Advisory Group meetings; plan agendas

Examine & analyze materials & proposals

Document recommendations & processes

Customer Relations &Retention: The Advisory Group will assist the OSL (a) maintain current customers by providing materials and interactions supportive of responsible play, and (b) demonstrate to customers the OSL’s commitment to customer well-being and public welfare.

Appendix B

Oregon State Lottery Marketing Strategies Advisory Group: Project Plan 

 

Meeting Dates 

& Times 

Focus Topic  Description  Desired Outcome 

1/6/12 Friday 

1:30 – 3:30 

Start‐up  

Introductions 

Set context 

Review Objectives 

Planning 

Mutual understanding & agreement 

1/19/12 Thursday 

9:00 – 10:30 

ORcade Web site  

Review ORcade materials 

General Discussion 

Brainstorm RG concepts to improve upon current RG features  

AG members have accurate understanding of ORcade project 

Identify RG concepts that may be usefully applied to project 

1/25/12 Wednesday 1:30 – 3:00 

Marketing Strategies Binder Review  

Discuss “Marketing Strategies Binder Review”  

Obtain additional information 

Understanding current RG efforts 

Identify needs:  Areas, departments, programs where RG improvements are desired 

1/26/12 Thursday 

8:00 – 10:00 

Needs Assessment & Recommendation Brainstorming 

Review needs identified during 1/25/12 meeting 

Brainstorm recommendations 

Identify initial list of recommendations 

Identify evidence‐based RG practices and RG trade practices 

1/31/12 Tuesday 

1:30 – 3:00 

Recommendation Development 

 

Review initial list of recommendations 

Review RG literature and policies from other jurisdictions 

Develop recommendations 

Identify broad strategies to enhance RG efforts 

Reach agreement on preliminary set of recommendations 

2/14/12 Tuesday 

1:00 – 3:00 

Recommendation Development 

Review suggestions from Oregon stakeholder groups o Recovering persons o Latino Advisory Group 

Discuss report structure 

Reach agreement on which additional suggestions to recommend 

Develop report outline 

2/21/12 Tuesday 

1:00 – 3:00 

Summary Report Review 

Review, discuss, edit draft summary report of Advisory Group recommendations   

Reach agreement on report edits 

Conclude meeting with provisional summary report 

2/22/12 Wednesday 3:00 – 4:30 

Summary Report Presentation 

 

Present final Advisory Group summary report to OSL team 

Discuss 

Address questions 

Shared understanding of recommendations including rationale for each recommendation 

TBD   Follow‐up Meeting  

Debrief on process and resulting outcomes 

Discuss opportunities for collaboration 

Advisory Group members understand what recommendations will be implemented  

Shared understanding of next steps 

Appendix C

World Lottery Association: Responsible Gaming Framework

The Seven Responsible Gaming Principles serve as the foundation for the WLA Responsible Gaming Framework (RGF). The WLA RGF consists of four levels of achievement and 10 Program elements. It outlines how lotteries can demonstrate their level of commitment to the WLA Responsible Gaming Principles. The WLA RGF allows for cultural and regional differences and is designed to complement and improve – not replace – the safeguards that individual lottery operators have in place.

Each of the four levels achievement reflects how successfully a lottery has implemented the RG Principles into its day-to-day operations. The more advanced the responsible gaming program, the higher the level of achievement. The four levels of achievement are:

Level 1: Commitment All WLA members qualify for this level. By becoming a member of the WLA your lottery has agreed to embrace the WLA RG Principles. Hence the criteria for the level 1 certification have been fulfilled. Level 2: Self-Assessment and Gap Analysis Members complete a self-assessment and determine what RG programs need to be built to ensure the organization addresses all the Principles. Level 3: Planning and Implementation Members need to develop a plan, a timetable and a budget to implement specific RG programs. Level 4: Continuous Improvement Members are implementing specific programs into their day-to-day operations and are continuously improving their programs. The broad categories of commitments and actions that members must translate into actual programs are the 10 Program Elements of the RG Framework. The 10 Program elements are:

1. Research 2. Employee Training 3. Retailer Program 4. Game Design 5. Remote Gaming Channels 6. Advertising and Marketing Communications 7. Player Education 8. Treatment Referral 9. Stakeholder Engagement 10. Reporting, Measurement and Certification

http://www.world-lotteries.org/cms/images/pdf_member/csr/RGF_Submission_Guide_en_es_fr_FINAL_26-Aug-2011/ENGLISH_RGF_Submission_Guide_24-pages_FINAL_26-Aug-2011.pdf