Mobile commerce for the National Lottery

Publication date: 2022-08-16

Mobile commerce for the National Lottery
Summary
Development and implementation of a project to introduce a mobile payment tool called DCB (Direct Carrier Billing) for the National Lottery in Kazakhstan

Background
The technology and legislation for lottery draws are constantly being improved. In 2016, a reform was carried out in Kazakhstan that obliges market participants to connect to the Lottery Information Processing Center (ЦОЛИ). Through this center, data on all sales and winnings are automatically available to the regulator - the Ministry of Culture and Sports of the Republic of Kazakhstan. Another important factor in the development of the lottery market is its digitization - currently, lottery tickets can be purchased not only in physical sales points, on the website, or in the application but also through the PayGate service, deducting funds from the balance of their mobile account

Task
To provide subscribers of all mobile operators in Kazakhstan with the ability to purchase lottery tickets and receive winnings using their mobile account through the DCB technology

Implementation
Initially, some employees of the National Lottery were skeptical about the introduction of an additional way to buy tickets using a mobile balance, calling it "exotic." However, in the end, it became so familiar and convenient for subscribers that it can now compete with payment by bank card. Before the start of this project, the PayGate company already had extensive experience in cooperation with mobile operators in Kazakhstan, and this greatly helped to accelerate the process of integrating and implementing mobile payment technology. The PayGate team implemented two mechanisms for purchasing lottery tickets:
1. Through SMS (SMS MO flow) - in this DCB flow, the consumer sends a message with a fixed/dynamic text to a short SMS number to make a one-time payment or subscription
2. Through the website (WEB PIN flow or WiFi PIN, One-Time Password) - in this flow, the consumer must enter their MSISDN (Mobile Subscriber Integrated Services Digital Number) on the website and enter the PIN code received by SMS to make a purchase or subscription

Result
Subscribers of all mobile operators in Kazakhstan were given the opportunity to buy lottery tickets and receive winnings using their mobile account. With the expertise of PayGate, the National Lottery added DCB technology to payment methods, which ultimately led to the popularity of this payment method on par with bank cards.

Author: Paygate

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