Lottery industry stays strong through recession
Lotteries across the world performed well during the recession as people worried about the effect of the financial crisis looked for that life changing win. The upturn in fortunes for lotteries is in stark contrast with the rest of the gambling industry, which suffered heavily during the recession.
A report from Global Betting and Gaming Consultants (GBGC) shows that the UK National Lottery achieved some very strong growth during the financial meltdown with revenue increasing by 3.9 per cent. Overall, lotteries globally had an increase in gross gaming of 2.3 per cent to more than £75billion ($110billion).
The boost in revenues for the lottery was partly down to new innovations in the industry. Sales of lottery tickets via mobile phones and the internet contributed to the revenues of lotteries all over the world. Camelot, the UK lottery owner felt a 32 per cent increase in online and mobile sales, rising up to £488m. This part of their sales now make up about 9.5 per cent of total UK lottery sales.
Despite positive news for lottery sales around the world, GBGC’s report finds that casino revenues fell by 4.9 per cent and betting by 5.4 per cent, with the total gambling market shrinking by nearly 3 per cent to $370bn.
GBGC’s chief executive Warwick Bartlett said, “Faced with the prospect of dealing with the recession, consumers have turned to the national lotteries for that big win that could set them up for life.”
Published: April 22, 2010