LOTTERY INDUSTRY

Lotteries Around the World

Lotteries are a big business, used by governments worldwide to raise money for many purposes. There are publicly operated lotteries on almost every continent in at least 100 countries and over 200 jurisdictions worldwide.

1. Lotteries are operated by national, state or provincial governments, and cities.
2. Lotteries are regulated by national, state or provincial governments.
3. Lottery tickets are sold at more than 203,000 locations in North America, most of which are retail outlets such as convenience stores, gas stations and supermarkets.
4. Retailers are paid a small commission on tickets sold, ranging from five to seven percent, usually with bonuses for the sale of winning tickets or exceeding sales goals.
5. Worldwide lottery sales were almost $262 billion in 2011.
6. Since the New Hampshire lottery was founded in 1964, lotteries have raised over $307 billion for government programs in North America (through fiscal year 2010).
7. In fiscal year 2011 U.S. lotteries turned over $18.5 billion to their beneficiaries.

Popular Games

1. Most lotteries offer instant or scratch-off tickets.
2. Keno and video lottery terminals are also popular.
3. Outside of the U.S. various kinds of sports betting is common.
4. There are also some raffles or passive games.
5. A few government lotteries, including those in Ontario and Quebec, also operate casinos.

2011 Worldwide draw lottery sales: $190.5 billion

2011 Worldwide instant ticket sales: $71.3 billion

2011 U.S. draw lottery sales: $23.8 billion

2011 U.S. instant ticket sales: $33.8 billion

Where does the state's share of lottery sales go?
Several state lotteries are dedicated exclusively to education, among them Arkansas, California, Florida, Georgia, Missouri, New Hampshire, New Jersey, New Mexico, New York, North Carolina, Ohio, Oklahoma and South Carolina.
A few states add the lottery profits to their general funds: Connecticut, District of Columbia and Rhode Island.

Many states split revenues between education, the general fund, and other purposes, including Arizona, Colorado, Iowa, Kentucky, Louisiana, Nebraska, Texas, Vermont, Washington, Virginia and West Virginia.

Some other interests supported by lottery revenues:

1. Ballparks and Stadiums: Maryland, Washington
2. Environment, Parks and Natural Resources: Arizona, Colorado, Iowa, Maine, Minnesota, Nebraska, Oregon
3. Transportation and Construction: Arizona, Colorado, Connecticut, Indiana, South Dakota
4. Compulsive Gambling Programs: Delaware, Iowa, Kansas, Massachusetts, Minnesota, Nebraska, North Dakota, Washington
5. Elderly Support: Pennsylvania, Puerto Rico, West Virginia
6. Housing: Kentucky, Puerto Rico
7. Vietnam Veterans: Iowa, Illinois, Kansas, Kentucky

During 2011:

1. U.S. lottery sales totaled $57.6 billion ($US)
2. Canadian sales reached $8.5 billion ($US)
3. Annual per capita sales were $195 ($US) in the U.S. and $239 ($US) in Canada
4. Total U.S. lottery retailers were 203,485

2011 World's Largest Lotteries (in total retail sales in $U.S., excluding VLT)

1. Italy:  Lottomatica S.p.A. $29.9 billion
2. China:  China Welfare Lottery $17.4 billion
3. France: La Francaise des Jeux $14.8 billion
4. China: China Sports Lottery $14.7 billion
5. Spain:  Loterias y Apuestas del Estado. $12.6 billion
6. Japan:  Mizuho Bank Ltd. $11.9 billion
7. United Kingdom: The National Lottery $9.9 billion
8. Greece: OPAP S.A. $6.8 billion
9. United States: New York Lottery $6.8 billion
10. Italy: SISAL S.p.A. $4.7 billion

2011 Ten Largest American Lotteries (in total retail sales in $U.S., excluding VLT)

1. New York $6.8 billion
2. Massachusetts $4.6 billion
3. Florida $4.2 billion
4. Texas $3.9 billion
5. California $3.8 billion
6. Georgia $3.6 billion
7. Pennsylvania $3.3 billion
8. New Jersey $2.7 billion
9. Ohio $2.6 billion
10. Illinois $2.4 billion

2011 Highest U.S. Annual Per Capita Sales (excluding VLT)

1. Massachusetts $698
2. D.C. $380
3. Georgia $372
4. New York $351
5. New Jersey $301

Source: LaFleur's 2012 World Lottery Almanac and Lottery Annual Reports

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