Lottery Transaction Device, System and Method with Paperless Wagering and Payment of Winnings

Abstract

A lottery device, system and method incorporate lottery and non-lottery transaction capabilities within a single device that also provides for paperless wagering and payment of winnings. As part of the present invention, a transaction instrument facilitates typical consumer transactions as well as transactions related to lottery offerings and can use a reader terminal component to associate lottery tickets with the transaction instrument.

Description

CROSS-REFERENCE TO RELATED APPLICATIONS [0001]This application claims the benefit of U.S. Application Ser No. 10 / 801,098, filed Mar. 15, 2004 and entitled “Lottery Transaction Device, System and Method”, which claims the benefit of U.S. Ser. No. 60 / 454,530, filed Mar. 13, 2003 and entitled “Lottery Inside System”, the disclosures of which are incorporated herein by reference. This application further claims the benefit of U.S. Application Ser. No. 12 / 578,320, filed Oct. 13, 2009 and entitled, “System, Device and Method for Paperless Wagering and Payment of Winnings”, which claims the benefit of U.S. Provisional Application Ser. No. 61 / 104,828, filed Oct. 13, 2008, entitled “System and Method for Paperless Wagering and Payment of Winnings,” U.S. Provisional Application Ser. No. 61 / 122,179, filed Dec. 12, 2008, entitled “System, Device and Method for Paperless Wagering and Payment of Winnings,” and U.S. Provisional Application Ser. No. 61 / 207,866, filed Dec. 29, 2008, entitled “System...

AI Technical Summary

Benefits of technology

[0020]In another aspect of the present invention, rewards and customer relationship management (CRM) features can be incorporated. Thus, whereas the player has traditionally been anonymous, the present invention facilitates knowing what the purchasing and gaming habits are of the card holder, and can allow the card holder to earn rewards and build credits towards desirable products and services, for example. In one embodiment of the present invention, the player can remain anonymous while still earning monetary prizes and / or non-monetary rewards.

[0021]In providing the above, the present invention facilitates the operation of a gaming system without kiosks or point of sale terminals necessarily adapted for lottery transactions. Point-of-sale terminals are still employed in one implementation of the present invention, but such terminals can be ordinary retail terminals provided with reader technology to facilitate reading and writing of information to the transaction instrument. Costs of operation for the LSP are lowered, which in turn reduces costs for lottery operators and retailers. Profits are improved as well, with the ability to earn interest from winnings managed in a LSP account as well as the ability to generate revenue through better knowledge of the lottery customer. In this regard, the present invention provides a method for a lottery system operator to derive non-transaction related earnings without providing a fee to the cardholder.

[0022]In addition to the above, lotteries and players can employ new lottery offerings using the transaction instrument (e.g., a lottery-branded card). Further, the present invention improves tracking of wagering customer sessions. Even further, the present invention facilitates player convenience and security through the employment of biometric measures as described below.

Problems solved by technology

Past and modern lottery and gaming systems are beset with problems.

Gaming with physical tickets exposes lottery operators and system providers to losses due to theft of tickets and fraud.

Physical tickets also require dispensers and / or kiosks within retail environments, which can overburden retailers in their efforts to free up space for saleable merchandise.

Kiosks and other physical devices are also expensive and contribute to high infrastructure costs for retailers and lottery and / or gaming service providers who must buy, install and manage these devices.

Such steps are inconvenient to the winner, and add to the cost and oversight requirements of lottery operators.

Not only does this facilitate undesirable behaviors (e.g., addiction, tax evasion), but it does not allow the lottery operator or retailer to know anything meaningful about their market.

Despite the revenue and increased foot traffic received, lottery distributors are finding that they often cannot support the floor or counter space requirements for dedicated lottery terminals.

They also find it more difficult to train staff on multiple machines, or to satisfy customers who wish to minimize check-out line waiting while being able to purchase both merchandise and lottery tickets together.

Further, governments are finding it more difficult to fund and maintain dedicated lottery terminals, and feel they may be foregoing revenue opportunities because would-be lottery distributors do not have the physical and personnel resources to operate dedicated lottery terminals.

Images