With the Mega Millions jackpot in the inching past the half billion mark, it’s safe to say the United States is in the grips of Lotto fever. Gaming affiliates need to keep an eye on this market because it could seriously impact their revenues in the months and year to come.

Just last week Illinois became the first state to offer online lottery ticket sales and early sales figures seem encouraging. Online lottery ticket sales are hardly an innovation, they’ve been popular in the UK for years.  If this experiment takes off in the Land of Lincoln, you can bet that other states will fall the lead online.

Remember, selling lottery tickets via the web in the United States has only been a possibility since the Department of Justice redefined their interpretation of the Federal Wire Act back in December.

To keep the gaming affiliate world up to date on the latest developments, a lottery news roundup with all the latest information.

Retailers React to Online Sales

In Illinois, first day online lottery ticket sales came in at around $15,000. Not too shabby for a Sunday, unless you’re a land based lottery ticket retailer like a gas station.

Representatives of the The Illinois Petroleum Marketers’ Association/Illinois Association of Convenience Stores expressed concern this week that the new system could eat into their sales. Though they’re not completely against the idea. Gas station owners would be intersted in a value-added lottery ticket that could be purchased in hard form, with an online component.

Keep an eye on this subject as it could come up again in the near future.

Indiana Considers Online Sales

One state over from Illinois in Indiana, lottery officals are seriously considering online sales. Though they don’t have any formal plans in the works, the Hoosier state’s lottery could turn to online sales if Illinois sales cut into their retail sales.

Web-based ticket sales could become a reality without the approval of state legislators. That gives lottery commissions plenty of leeway to implement a plan whenever they like.

Ticket Sales Still Strong

While online lottery ticket sales start building momentum, traditional lottery ticket sales will likely remain very popular in the United States. Last week lottery officials in West Virginia announced that their lottery posted $139 million in revenues in February, a full 21 percent more than was forecast.

An improving economy, a mild winter, and delays in building land based casinos were all cited as factors in the lottery uptick in West Virginia.

What it Means for Affiliates

So what does online lottery ticket sales mean for affiliates? Should it take off, it could take a bite out of certain markets like Bingo whose players may be heavily into the lottery as well. It’s highly unlikely that any state government would offer any type of incentives for affiliates.

How do you think online lottery ticket sales will impact gaming affiliates? Let us know in our General Discussion Forum.


Tags: ,

Related posts: