On-line Lottery subscription services could add
literally millions of dollars in revenue to your State
budget, with NO tax increases. This can be done within
the current structure of the lottery through current
existing licensing procedures and additional guidelines
that could be done with administrative decisions .
of a potential
subscriber is someone who does not regularly play Lotto,
who could subscribe to the lottery, but does not have
the time or the desire to purchase from current venues.
These people are over the legal age, have played the
lottery, done on-line banking and/or purchased stocks,
and/or merchandise over the internet.
We used data
from a U.S. lottery-marketing group, the Director of
Sales, Pew research, the Gallup poll, and the U.S.
or 74.1% adults over the age of 18 in this state
(U.S. Census bureau)
or 57%* play the lottery once or more in the
previous year (Gallup poll)
or 56% of adults have gone on line in this state.
(Pew research internet by region)
or 67 % have purchased/paid bills (Pew research
Based on the
above data there are at least 982,000 adults who
have played the lottery, gone on-line and purchased
products or services.
Gallup Poll on Gambling in America found that 57 %
of American adults reported buying a lottery ticket in
the past 12 months. People with incomes of $45,000 to
$75,000 were most likely to play—65% had played in the
past year—while those with incomes under $25,000 were
least likely to play at 53%. Further, people with
incomes in excess of $75,000 spend roughly three times
as much on lotteries each month as do those with incomes
findings with income as the primary basis
the 2000 U.S. Census (www.uscensus.gov
) 951,127 households in this state had incomes of $50,000
or greater. Based on a survey done in 2004 by the Pew
) 80% of households with incomes of $50,000 go on-line,
and 67% have gone on line and purchased.
of this population goes on line (Pew Research 2004)
57%* play the lottery once or more in the previous year.
67% have purchased on-line minimum potential
Based on the
above data there is a minimum potential of 290,000
or 29.5%of adults who have played
the lottery, gone on-line, and purchased products or
is the national average of adults playing the lottery in
the past 12 months. Other benchmarks are 32% in
California to 67% in Virginia.
It is our conclusion that a sufficient number of
potential players, at least 290,000, based on our
estimates in this state, could participate in
on-line lottery subscription services. This could
Subscription revenues for this Lottery, in year one
Our assumptions for this estimate are based on:
average ticket sale $5.00 (Director of Sales
average draws per month 8.5 (104 per year)
month 1 of operation, we attract 6000 subscribers