According to the lottery's new superintendent, a key to increased
sales, was the lottery and its private manager, Northstar Lottery
Group, moving decisively to change its brand image in Illinois.
"Research indicates that most adults in Illinois support the idea of
the lottery, but a much smaller percentage actually play," said
Michael Jones, superintendent of the Illinois Lottery. "We also
learned during an advertising review that we have work to do to make
the lottery relevant to a larger segment of the population."
The lottery's emphasis on, and redesign of, its specialty instant
games -- Veterans Cash, Mission Move, Ticket for the Cure and Red
Ribbon Cash -- which benefit specific causes, helped players and
non-players alike realize the essence of the lottery: You risk a
small amount of money toward a large prize, with the net proceeds
going to something you believe in. "Making people aware of that
equation is one of the keys to the lottery's long-term success,"
Jones said.
Jones pointed to the Powerball creative done by the lottery's
multicultural ad agency, Commonground, as another turning point that
affected sales. "Almost everywhere I go, people comment on that
television spot," said Jones. "It seemed to capture what a great
state we live in -- and the possibilities of what a lottery can do."
Other marketing highlights that affected the lottery's brand,
according to Jones, include the rebranding campaign titled
"Anything's Possible," as well as the recent relaunch of Little
Lotto as Lucky Day Lotto.
Total sales increased 17.9 percent (unaudited) over last year.
Sales of instant tickets grew the most -- 27 percent -- to $1.62
billion during fiscal 2012. Among popular new instant games were the
beautifully designed Chicago Cubs, Chicago White Sox and St. Louis
Cardinals tickets, which allow participants a chance to win season
or World Series tickets.
Sales for Mega Millions grew 9.5 percent, thanks in large part to
a monthlong run-up to the $656 million jackpot of March 30 that
resulted in three winners across the country, including one from Red
Bud -- a serene, storybook city of 3,700 in downstate Randolph
County. Merle Butler and his wife of 30 years captivated people
across the country when he accepted an oversized check for the
largest prize in Illinois Lottery history, while a crowd of several
hundred Red Bud residents cheered the Butlers' good fortune.
This spring the Illinois Lottery became the first lottery in the
United States to sell tickets over the Internet. An Internet sales
pilot program began on March 25, allowing adults in Illinois to
purchase Mega Millions and Lotto tickets online. Internet sales
through June 30 for the two games totaled $2.2 million. Yearly sales
were down for Raffle, decreasing 50 percent due to having only one
Raffle game instead of two; Pick 3, down 3.9 percent; and Lotto,
down 2.9 percent. Sales increased for Pick 4, up 1.9 percent, and
Lucky Day Lotto, up 9.6 percent.
In fiscal 2012, the lottery transferred $639.87 million to the
Common School Fund and $65.2 million to the Capital Projects Fund
for roads, bridges and other capital projects.
Through the sale of specialty instant games such as Veterans
Cash, the lottery generated $3.5 million to four "specialty causes"
-- each receiving between $747,000 to $960,000: Illinois veterans'
groups; the battle against breast cancer; efforts to improve the
lives of people living with HIV/AIDS; and research into finding a
cure for multiple sclerosis.
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"The lottery's primary responsibility is to maximize revenue to
schools, roads and special causes in an ethical and socially
responsible manner by expanding its player base, offering games
everyone would like to play, chances to win prizes everyone would
like to win, while making sure everyone is aware of the odds and the
causes the lottery benefits," said Jones. "We have made progress
toward those goals in FY12, while creating a new department and
working with our private manager Northstar."
FY 2012 saw the lottery become an independent state agency,
charged with overseeing operations with the lottery's private
manager, Northstar Lottery Group. Final year-end net-income
calculations, which could affect Northstar's annual compensation,
will not be completed until September, when all fiscal 2012 lottery
revenues and expenses have been audited.
FY12 unaudited game sales
Game |
FY2012 sales |
Instants |
$1,624,593,276 |
Pick Three |
$278,554,979 |
Pick Four |
$194,144,817 |
Mega Millions |
$175,733,889 |
Powerball |
$137,430,391 |
Lucky Day Lotto |
$131,449,199 |
Lotto |
$104,567,267 |
Megaplier |
$12,786,566 |
Power Play |
$10,486,437 |
Raffle |
$9,999,860 |
Total |
$2,679,746,681 |
In 2009, contributions to the Common School Fund were capped at
$625 million plus inflation each year. Revenues generated above the
capped amount are transferred to the Capital Projects Fund.
Specialty game proceeds are disbursed under separate transfers
throughout the year.
Complete, audited financial results for fiscal 2012 will be
provided later this year. Financial reports for previous years are
posted on the lottery's website:
www.illinoislottery.com.
___
Founded in 1974, the Illinois Lottery has contributed more than
$17.5 billion to the state's Common School Fund to assist K-12
public schools, as well as $152 million to the Capital Projects
Fund. Players must be at least 18 years old. For more information on
the Illinois Lottery, visit
www.illinoislottery.com.
[Text from
Illinois Lottery
file received from the
Illinois Office of
Communication and Information] |