Industry Update -Australia -

Transcription

1 Industry Update -Australia - Sue van der Merwe General Manager Group Lottery Operations Tatts Lotteries Annual Regional Conference

2 Presentation Outline Australian Gambling Market Australian Lotteries Market Key Developments 2

3 Australian Gambling Market -Expenditure /10 total Gambling Expenditure = AUD$18.4 billion 2009/10 total Lottery Expenditure = AUD$1.5 billion Per capita spend = AUD$1, Gaming machines dominate; sports betting fastest growing sector 3 Source: Australian Gambling Statistics, 28 th Ed. 2009/10 published Dec 2012

4 Australian Gambling Market -Expenditure Long Term Trends 4 Source: Australian Gambling Statistics, 28 th Ed. 2009/10 published Dec 2012

5 Australian Gambling Market -Percentage Share - 5 Source: Australian Gambling Statistics, 28 th Ed. 2009/10 published Dec 2012

6 Australian Lottery Industry Northern Territory Tatts NT Lotteries Pty Ltd 20 year Operator Agreement to 2032 Queensland Golden Casket Lottery Corporation Limited Licensed Lottery Operator Agreement 65 years to 2072 New South Wales New South Wales Lotteries Corporation Pty Ltd Operator Licence 40 years to 2050 Australian Capital Territory (ACT) (Serviced by NSW Lotteries) Approval under the Lotteries Act 1964 and Pool Betting Act 1964 (ongoing) Western Australia Lotteries Commission / Lotterywest Lotteries Commission Act (1990) Victoria Tattersall s Sweeps Pty Ltd Category One Public Lottery Licence 10 years to 2018 Intralot Australia Pty Ltd Category Two Public Lottery Licence 10 years to 2018 South Australia Tatts Lotteries SA Pty Ltd Master Agency Agreement 40 years to 2052 Tasmania Tattersall s Sweeps Pty Ltd Foreign Games Permit 5 years to

7 Australian Lottery Industry -Products - Draw 2% Pools 0% Keno 2% Instants 9% Lotto/ Numbers 87% 2012 Australian Lottery Sales of US$5.707 billion Lotto games account for 87% of sales Instants are also an important category Traditional draw game strong in NSW 7 Source: La Fleur s 2013 World Lottery Almanac 21 st Edition

8 Australian Lotteries -Rankings in the Global Lottery Industry 2012 World Rankings - Lotto Per Capita (US$) Rank Lottery Per Capita 1. Lotterywest $ Tattersall s $ Golden Casket $ NSW Lotteries $ South Australian Lotteries $184 (Tatts Lotteries overall ranks as number 3 at US$208) 8

9 Sales Trends -Last 4 years - $6,000 $5,000 $4,000 $3,000 $2,000 $1,000 $- US$M Lotto/Numbers Keno Pools Draw Instants 9 Source: La Fleur s World Lottery Almanacs

10 Australian Lottery Industry -Lotto Portfolio - Lotto - Saturday, Monday and Wednesday - 6/45 matrix - 6 prize divisions Oz Lotto -Tuesday - 7/45 matrix - 7 prize divisions Powerball -Thursday -6/40 and 1/20 matrix -8 prize divisions Maintaining a balance between base week and jackpot games is important for long term success 10 Source: La Fleur s 2013 World Lottery Almanac 21 st Edition

11 Key Trends and Developments Lotto portfolio growth has been driven by regular game changes which are always done with the portfolio impact in mind Small and regular price increases are a regular part of the way we manage the lotto portfolio Instants sales have been under some pressure disposable income issue Responsible Play is an integral part of our lottery operations

12 Key Trends and Developments -Powerball relaunch- 1. New Game Structure WAS NOW 5/45 1/45 6/40 1/20 2. New prize divisions and prize pool distribution 12

13 Key Trends and Developments -Powerball relaunch- 3. New chances of winning Chance of winning a Division One prize in Powerball changed from 1 in 54,979,152 to 1 in 76,767,600. The chance of winning any prize in Powerball improved from 1 in 119 to 1 in Price Increase The price per game increased by ten cents from 75 cents to 85 cents, plus agent commission.

14 Key Trends and Developments -Powerball relaunch- 5. New jackpot sequence In an attempt to reach bigger jackpots much faster and more often, the $15M level was removed from the sequence. WAS NOW

15 Key Trends and Developments -Powerball relaunch- 6. Early Results Jackpot rolled to $60 million early on but since then jackpots have been a little under expectation (the game is being won at lower levels). New Division 8 has delivered 3,096,888 MORE WINNERS, in the first 6 monthscompared to the previous divisional structure (average division 8 prize payment is $13.66 ). Players are positive about the change

16 Thank You 16