Lottery Advertising Services

The Vendor is required to provide effective advertising and marketing services that support the lottery’s mission, further establish the lottery’s brand identity, increase brand awareness in the district and surrounding areas, increase contributions and transfer of profit to the general fund, promote lottery games and promotions, and encourage trial to increase sales, all within the advertising guidelines and objectives of the lottery.
- Billing oversight
1. Accounting
•    Provide timely and accurate reports and billing that meets lottery specifications
•    Staff to support and implement proper accounting processes for the contract.
•    Develop an annual budget for:
o    Advertising expenditures,
o    Media production that includes fees and hard costs, and
o    Other services required by the contract.
•    The level of anticipated annual spending will be determined by lottery.
•    Develop a cost-efficient plan that is responsive to lottery’s advertising and marketing needs.
•    The initial budget shall be reviewed monthly and revised as required by lottery.
•    Budgets shall be incorporated in the marketing and advertising plan and subject to lottery approval.
•    Shall not make any commitments on behalf of lottery without lottery’s prior written approval.
•    Provide lottery with a summary of all approved expenditures to date for the current fiscal year which runs October 1 through September 30.
•    Indicate the current amount billed to lottery during the fiscal year, the amount billed that has not yet been paid, and amounts committed that have not been billed.
2. Cost savings
•    Recommend ways to generate cost savings wherever possible and provide quantitative and qualitative measurements that illustrate the return on investment (ROI) for each.
•    Make lottery aware of any cost savings that might be achieved by the expedited payment of media or any other cost saving opportunities.
3. Estimates required
•    Lottery will not be responsible for any expenditure for which prior written approval was not obtained.
•    All estimates shall be segregated by fiscal year and by budget category, as defined by lottery (i.e. Media, production, brand, communications, research, and sponsorships).
•    Estimates shall include a project start date and target completion date. 
•    Media estimates shall include flight dates. 
•    Lottery will not be responsible for expenditures exceeding the estimate.
•    Submit revised estimates for consideration if it appears that the costs of an estimate will exceed the originally approved amount.
•    All costs relating to research or other special projects shall be completely detailed in any estimate submitted for approval. 
•    The approval of any such estimate will be contingent upon the subsequent submission and approval of required documentation.
4. Media buy payments
•    Payment for media buys can be processed once authorized by lottery and purchased by the contractor and corresponding approved invoice. 
•    Affidavits, tear sheets, and any other appropriate documentation to affirm proof of placement shall accompany any final invoices.
•    Perform quarterly media impression reports to track unpaid and earned media.
- Advertising development
1. Alternative solutions
•    Alternative campaigns, rather than only one creative solution to a game or promotion.
•    At least three versions of TV storyboards, radio scripts, digital ads, and all other creative products must be offered when the contractor makes a creative presentation to lottery, unless otherwise approved by lottery director of marketing and communications or designee. Three versions are required for traditional or digital media.
•    Present alternative outreach options to lottery such as, but not limited to, bus posters, transit, or outdoor placements.
2. Approval
•    Obtain written approval from lottery before producing any advertisement or related material.
•    When producing any creative work, the contractor shall not vary from approved scripts, storyboards, or print layouts without lottery’s written approval.
•    Failure to adhere to approved scripts, storyboards, or layouts may void lottery's approval of the estimate for the project.
•    Shall be liable for all costs if advertisements or collateral materials are executed in a manner not consistent with lottery's written approval.
3. Creative services
•    Following approval by the director or marketing and communications or designee, the contractor shall be responsible for the execution, creation, and production of lottery advertising materials, including but not limited to print, digital, broadcast advertisements, out of home advertising, social, point-of-sale (POS) items, and any other materials required by lottery.
•    Develop multi-media campaigns in support of the brand, games, promotions, and initiatives identified by the lottery.
•    Assist the lottery in developing game names, instant ticket designs, game logos, trade characters, and art for other uses upon request.
•    The lottery shall own all exclusive, perpetual rights to anything created under this contract.
4. Production
•    Submit for lottery approval all production estimates.
•    Estimates must clearly indicate any subcontractors or other parties who will be involved in the production work and where those parties are located. 
•    Production work is all inclusive and refers to any work created for the lottery. 
•    This includes video, art, and printing.
5. Campaign reporting
•    Shall assemble reports, highlight key findings and make clear recommendations to lottery in correlation with all campaigns.
•    This may require data extraction and assembly from various disparate reporting systems. Reports shall be customized as determined and approved by the director of marketing and communications.
•    Provide monthly key performance indicator (KPI) dashboards (for example: campaign pacing, return on ad spend (ROAS)/cost per action (CPA)/cost per point (CPP)), and quarterly strategy reviews with recommendations and testing roadmaps.
- Advertising and marketing plan
1. Advertising and marketing plan development
•    The advertising and marketing plan shall be developed by to support lottery brand, games, promotions, and initiatives. 
•    The advertising and marketing plan shall include the usage of minority and local community media sources.
•    The contractor, in collaboration with others third parties, may have input into the development of the product and promotion plan; however, the lottery shall have the sole authority for development and implementation of the product and promotion plan.
•    In providing creative materials for lottery campaigns, the contractor shall utilize contemporary design principles and adhere to recognized industry best practices. 
•    The contractor shall ensure that all designs and imagery are of the highest quality, visually appealing to players, and fully compliant with responsible gaming standards
2. Advertising sensitivity
•    All advertising campaigns shall be in good taste and shall not make unsubstantiated promises.
•    Lottery advertisements or promotions shall not be of a nature that unduly influences any person to purchase a lottery ticket or number of tickets.
3. Collateral material and signage
•    Responsible for the creative design and production of printed materials produced in support of the lottery's advertising and marketing efforts and shall be pre-approved by the lottery.
•    Design and produce interior and exterior signage, which identifies retail locations as lottery retailers upon request by the lottery
•    Produce an annual report, retailer newsletter templates, or other printed items upon request by the lottery. 
•    Lottery owns all original artwork, layout, design, and final product and can use as needed.
•    Provide Spanish translation and localization of POS and campaign assets for non-English speaking retailers and players, as necessary, maintaining brand consistency and compliance.
- Media planning and buying
1. Bonus commercials
•    Attempt to negotiate free bonus spots or additional promotional support from all radio and TV stations included in a lottery buy.
•    Any bonus spots or additional promotional support provided by participating stations shall be identified in the summary of any media buy, and the value of the bonus spots or additional promotional support shall be calculated as an added value to the lottery.
•    Quantify added value (bonus spots and promo lines) monthly, assign an equivalent rate, and report the % added value vs. paid by station or vendor and campaign.
2. Negotiation and placement
•    Responsible for the negotiation, purchase, and instructions for the placement of all media time and space.
•    In negotiating media purchases, the contractor shall make the lottery aware of any savings that might be achieved through long-term commitments or other special programs.
•    Any such commitments must be approved by the lottery and any savings achieved shall be passed on to the lottery.
3. Media services
•    Responsible for developing and updating an annual media plans and campaign specific media plans, for negotiating and placing lottery materials effectively and efficiently, and for verifying actual placement as required by lottery for all lottery products.
•    Media plans shall take into consideration all media outlets in the state.
•    Media plans shall include the process by which the contractor determines where, when, and how often the contractor will run an advertisement in order to maximize engagements and ROI. 
•    The media plans shall result in a set of advertising opportunities that target a specific audience and fit in with the lottery’s marketing budget.
•    Develop a media plan that maximizes results, achieves specific objectives, and supports creative and other strategic direction to provide measurable results.
•    The media plan shall include such elements as an identification of when and what type of media should be written and placed, time schedules for identifying and analyzing demographic market and delivering media coverage, and a means to determine the effectiveness of the media campaign.
•    Maintain current media plan flowcharts for all fiscal year media activity showing media type, markets, tiers, weekly GRPS or impressions, creative rotation, daypart and unit mix, costs, and reach and frequency projections.