The experience of Minas Gerais in operating lotteries in partnership with the private sector is one of the best examples for the national lottery market, which is about to change with the start of operations in several states. Intralot do Brasil, a partner of the Lottery of the State of Minas Gerais, has been demonstrating this at all times for 12 years, when it signed a contract with the Minas Gerais government.
During this period, it reached a network of around 3,000 terminals and thousands of customers in physical and online channels and developed logistical, financial, commercial and operational know-how, positioning itself as the most successful operation in Brazil. It also stands out for its performance, with revenues exceeding R$ 1.2 billion.
In addition to a recently signed contract with NeoGames, one of the global leaders in solutions for lotteries involving sports betting and online / real-time e-Instants, Intralot do Brasil is very attentive to the lottery launch movements in several states, according to the company's CEO, Sérgio Alvarenga.
GMB - How is the lottery sector in Brazil today?
Sérgio Alvarenga – It's walking. There are some challenges, especially due to regulation and bureaucracy, which hinder the sector a little, but I see it with great optimism. And first of all, congratulations on the event [BiS] to you and [Carlos] Cardama. Another very successful edition and we are proud to be present with you.
We are here to show just that. What is the sector and the grandeur of this rich industry and you, who run a company that dominates the Minas Gerais market with its lottery products, I'm sure you have a lot of experience of what can happen throughout Brazil.
We are very excited. We have been preparing and, as you yourselves have already announced our new partnership with NeoGames, we are very optimistic about the market and that is why we have been investing in it. Here at the event, we are seeing other states preparing and positioning themselves. We have Paraná, Rio de Janeiro, Paraíba, Maranhão and Minas Gerais present. In Minas Gerais we have a new process for physical and conventional instantaneous. I'm very optimistic. We bet on the state lottery market in a period with so much difficulty, in 2010, and now I think the time has come to take advantage of this legal certainty. We are happy to see partners, who are not competitors, come to Brazil, which is a gigantic country, bringing this strength to the market.
Were the panels you participated in productive? Did they provide important information for the lottery activity in Brazil?
I think a lot. The panels were of the highest quality and the debates were very well done, grounded, technical and enlightening. I was surprised by the panels, not that I wasn't expecting it, but I think that each year the event matures more and the executives involved in the sector seek more knowledge. So it's been surprising and will continue to be.
The sports betting flag is flying high. How can state lotteries benefit from this and especially how is Intralot preparing for this new moment?
Separating a little. We attended a lecture by the secretary [Genaluca Lorenzon, from the Special Secretariat for Advocacy for Competition and Competitiveness of the Ministry of Economy] where once again we saw the goodwill of those who occupy the Secretariat, but we are always very concerned about politics and how much it interferes in this sports betting regulation. We are approaching the end of the four-year period and we still haven't seen the regulation happen. We remain well-positioned to make it happen. It became clear, in other panels enriched by competent people, that states will be able to place their sports betting through decrees and regulations. We are positioned in the State of Minas Gerais within our contract to operate sports betting in addition to other real-time online games, which it hosts. We intend to kick-start the first state lottery to operate sports betting very soon.
There is a market questioning regarding other verticals, especially the online casino, which is linked today to many sports betting houses. How to manage this in the future of regulation?
To be honest, I'm waiting for a government position. We see the Senate still at a slow pace discussing the bill that was approved in the House. Online casinos may be joining the discussion. I don't know if the future regulation of sports betting will cite anything. I hope this progresses. We are not from the sector or not being an online casino operator, we want Brazilians to have diversity and options. The modality will be very welcome.
Intralot is prepared for this market. You are already working in Minas Gerais and looking for other states!
We are very well prepared. We also organize ourselves internally with new partnerships and are ready to fight for new contracts and participate intensely.
Source: Exclusive GMB
