off course this is marketing funda to catch retailers.
but i don’t think that the allotment is based on lottery system.
As per my experience & assumption, you don’t get allotted if applied for 1-4 lots. But applied for more lots then there are chances to get allotted, in past, me & my friend applied for some IPOs, i has applied with one lot at sharp opening time & my friend applied after noon with big lots, & he got one lot, but i didn’t got any allotments. & this happened atleast 5-6 times before 2014, later i didn’t tried in IPOs as IPOs aren’t my crush from there.