Marketing Strategies For The Lottery Industry
The lottery industry enjoys more than three billion dollars in annual revenue. That’s well worth considering, but why do they keep making money? Like any other business, it’s because of the money people spend on tickets. And it’s also because of the fact that people are always willing to play lottery games. People can be forgiven for thinking that winning the lottery is going to be extremely easy, even if they don’t understand how the process works. They just read a few easy-to-read lottery tips from books and they know they’ll win.
The lottery industry chain works very simply: sellers purchase tickets from retailers and then sell them to buyers. Ticket sales represent the lifeblood of the industry, so to speak. In an industry chain, the top sellers are the ones who make the most profit. The “top dogs” in a lottery syndicate or network usually make millions or billions of dollars each year. That’s why it’s so important to get as many tickets as possible sold. A global market is huge enough to provide a steady stream of profits to stay financially healthy.
But don’t let the number of sales count too much. Just remember that this whole system works on numbers: sellers and buyers will choose the numbers they want to bet on and place their bets. It’s the amount of people playing the game that makes it a success. The lottery’s global market size can fluctuate significantly based on weather and other factors. So a company’s market overview should take this into account.
This global value and growth rate of the industry can be determined using certain data that can include the following: current revenue and market share by countries, players by gender and age, and supply and demand by location. These are some very important variables to take into consideration because of how they affect the long-term results. Let’s look at these a little more closely to give you a better idea of what should be expected.
Countries – How many countries play the lottery? There are currently over 120 countries around the world that play this popular game. Each has its own unique demographics and playing patterns. In addition, there are many different types of countries that are included in this market. For example, European countries have a higher population than Asian countries that regularly play the lottery, so Europe gets the majority of the sales.
Players – What age group are these people? People vary in age all over the world. In fact, there are countries where adults can be younger than 21 while other countries restrict the legal age limit to 15 years old. So you have to take into account the age range of your target market to be able to successfully market to them. On the other hand, if you are targeting middle-aged, adult females in a particular country, you may want to consider targeting this age group to generate more profits.
Age and gender – Two categories of people also enter this lucrative market all the time. The first category consists of people who are in their 40’s or higher and the second is comprised of young males. These two groups have been traditionally ignored by marketers, but recent studies have shown that both genders are significantly involved in playing this game. However, it is important to keep in mind that it is usually men who are more active in this game and therefore are more likely to become customers. Marketing to these two groups is highly recommended.
Location – Where do people play the lottery in your area? Many cities have been identified as having a high growth rate for lottery players per capita. If your city is not on the top ten list of these areas, then it may be a good idea to continue your marketing in other cities until such time it can be targeted at your target audience.