RFP R002746 Scratchers Products and Related Services

Closed State & local contract opportunity Posted

Solicitation number
0000035698
State
California
Responses due

Opportunity facts

Point of contact

Opportunity details come from caleprocure.ca.gov. Updated .

About this opportunity

The California State Lottery (Lottery) has issued RFP #R002746 seeking qualified vendors to serve as Primary and Secondary Contractors for producing instant lottery tickets (Scratchers) and related services. The procurement aims to maximize lottery profits and contributions to California public schools by selecting one Primary Contractor, expected to print approximately 70% of Scratchers games, and one or more Secondary Contractors. The Lottery anticipates manufacturing approximately 1 billion Scratchers tickets annually, launching 52-54 games with price points ranging from $1 to $40. Bidders must submit proposals for both Primary and Secondary Contractor roles, with evaluation criteria focusing on overall proposal quality, competitive pricing, and best value to the Lottery. Key deliverables include ticket manufacturing, marketing and sales support services, and collaboration to increase Scratchers sales and profits. The RFP timeline includes an Intent to Bid/Written Questions deadline of June 3, 2025, proposal submissions due on July 17, 2025, and a projected contract start date of December 1, 2025, with an initial six-year base term and potential unilateral extensions up to three additional one-year periods.

The Lottery has established specific participation goals and requirements for small businesses and disabled veteran-owned enterprises, including a 25% Small and Microbusiness Participation goal and a mandatory 3% Disabled Veteran Business Enterprise (DVBE) participation requirement. Current Scratchers printing vendors include Scientific Games LLC (Primary), Pollard Banknote Limited, and IGT Global Solutions Corporation (Secondary). The Primary Contractor must provide $120,000 monthly in marketing and sales support funds and $120,000 annually for a Scratchers Product Research Fund, while Secondary vendors will contribute $80,000 annually to the research fund. Proposers must submit detailed personnel information, including key roles such as Account/Contract Manager and Graphic Designer/Game Development, and demonstrate expertise in lottery ticket production and related services. The Lottery's Scratchers sales have dramatically increased by over 300% since fiscal year 2011-2012, with a sales goal of $6.82 billion for fiscal year 2025-2026, indicating significant potential for the selected contractors. The contract will require innovative approaches to ticket design, marketing, and sales strategies to continue driving growth in Scratchers ticket sales.

Opportunity text

This Request for Proposal (RFP) #R002746 (also referred to as ¿solicitation¿) is for the California State Lottery (Lottery) to solicit proposals from qualified vendors for one to serve as Primary Contractor, and one or more to serve as Secondary Contractors to produce instant lottery tickets (Scratchers®) products and associated services, as well as other products identified herein, with the objective to maximize Lottery profits and contributions to California public schools. The Lottery¿s intent is to enter into contracts with one or more experienced contractors for printing and related services associated with Scratchers manufacturing. The Lottery intends to award contracts to both a Primary Contractor and Secondary Contractor(s). The Primary Contractor will not have exclusivity, but can expect to print the majority of the Lottery¿s Scratchers. The Lottery anticipates that the Primary Contractor will be assigned approximately 70% of the Lottery¿s Scratchers games over the life of the Contract. Work assigned will be at the Lottery¿s discretion. Bidders must submit a proposal to be the Primary Contractor, as well as a Secondary Contractor. It is the Bidder¿s responsibility to identify any differences in its proposal that would apply only where a specific type of contract is awarded. Where Bidder fails to identify such differences, the terms of Bidders proposal will be deemed applicable regardless of whether a Primary or Secondary Contract is awarded. The Lottery will select Primary and Secondary Contractors based on overall quality of proposals, competitive pricing, and best value to the Lottery. The Primary Contractor will manufacture Scratchers and provide marketing and sales support services. The Lottery anticipates that the Primary Contractor will serve as a business partner and work closely with the Lottery to ensure that Scratchers sales and profits continue to increase in the future. Secondary Contractor(s) will manufacture Scratchers and perform other tasks as required by the Lottery, which may include marketing and sales support services for a certain number of Scratchers games during the term of the Contract. While the Lottery anticipates that the Contracts that result from this Request for Proposals (RFP) will provide for all of the Lottery¿s Scratchers ticket production requirements, the Lottery reserves the right to secure production and related services from other vendors at any time during the Contracts¿ terms. The base term of these Contracts will be six (6) years. The Lottery may unilaterally elect to extend any of these Contracts for a period of 3 years from the end of the initial term. Thereafter, the Lottery may unilaterally extend the contracts up to three additional times, for up to 1 year(s) each, provided that the Lottery notifies subject Contractor(s) at least four months prior to commencement of each extension period. All extension periods will be subject to the same terms and conditions that are applicable to the base term, including all pricing terms. Please review all attachments carefully for this solicitation. Proposals are to be sent electronically as well as have physical samples delivered by the proposal deadline.

Files

File Type Posted
Attachment_3_-_Price_Sheet_final.docx DOCX document
Liquid_Files_Instructions_RFP_R002746.pdf PDF
RFP_R002746__Scratchers_final_5-23-25_v1.pdf PDF
ATTACHMENT_9_-_Resume.docx DOCX document
Attachment_8_-_Personnel_Form_rev.docx DOCX document
RFP_R002746__Scratchers_final_5-23-25_v1.1.docx DOCX document

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